Marada to build second plant to handle work GM, Chrysler award company 4 new contracts

June 24, 1992|By Kerry O'Rourke | Kerry O'Rourke,Staff Writer

WESTMINSTER -- Marada Industries Inc. plans to begin building a second manufacturing facility this summer to handle work on four new contracts for General Motors and Chrysler.

The facility will be on Route 97 across from the Air Business Park, where Marada has operated for seven years. The addition will mean 50 to 60 new jobs, officials said.

The plant, which also makes auto parts for Volkswagen, Honda and Jeep, now employs 220 people.

Marada has been awarded four contracts to make beams for truck and minivan doors for 1994 models, sales coordinator Melissa J. Salter said. Three of the contracts are with GM and one is with Chrysler, she said.

The beams will bring the vehicles up to the safety standards of cars, Assistant General Manager Dan L. Quickel said.

The new 40,000-square-foot plant will sit on an 80-acre parcel owned by Marada's parent company, Canadian-based Magna International, she said.

Officials hope to start operations at the new plant in January.

Sales at Marada are expected to be $55 million this year, $10 million higher than in 1991, Salter said.

The company won GM's "Mark of Excellence" award last year, which helped increase business, she said. The automaker gives the award to suppliers it considers outstanding.

Half of Marada's work is for GM.

A recent move by the automaker to slash the cost of its parts is not expected to hurt Marada, said Kenneth B. Jacobs, Marada's general manager.

GM plans to rebid contracts for the 1993 model year and wants suppliers to improve productivity by 50 percent by 1995.

The change forces suppliers to "have their act together," Jacobs said.

In the long run, the cost-cutting move will allow Marada to bid on parts it hadn't previously been able to, he said.

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