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German Industrial Hose Manufacturer Picks Indiana for First North American Facility

NORRES starts business in United States

GELSENKIRCHEN, Germany (April 15, 2014) – Governor Mike Pence joined executives from NORRES, a German manufacturer of industrial hoses, today to announce the company’s plans to locate its first North American facility in South Bend, Ind., creating up to 32 new high-wage jobs by 2018.

The Gelsenkirchen, Germany-based company will invest $1.87 million to purchase, renovate and equip a more than 30,000 square-foot facility at 2520 Foundation Drive in South Bend. The company expects to launch its Indiana operations at the end of May, serving warehouse and production operations for original equipment manufacturers across the country.

“As NORRES finds its North American home in the Hoosier State, it will also soon stand out in its industry with the advantages it gains in Indiana,” said Pence. “After meeting with NORRES leaders today, our Hoosier business environment is a perfect fit for the growth plans the company’s leadership shared with me. Just like the many other German companies that already dot our Hoosier landscape, our central U.S. location and affordable cost of doing business are key assets companies gain in Indiana, a state that works for business.”

NORRES, which develops, produces and sells industrial hoses for the pharmaceutical, food production and plastics industries, employs more than 250 associates around the world. The company plans to begin hiring engineering, production, sales and administrative positions at the new Indiana facility in the coming months.

“To accommodate remarkable growth rates, NORRES sought the support of the German American Chamber of Commerce of the Midwest in Chicago to find the best place to locate its North American facility,” said Burkhard Mollen, chairman of NORRES. “After an extensive site search, NORRES chose Indiana for this facility because of its decisive advantages of location, especially its central geographical position that will make it an optimal transportion hub.”

Founded in 1889, NORRES helps companies optimize production with specialized technical hoses, hose systems and system accessories. In addition, the company plans to produce cable protection conduits and membrane tube diffuser aeration systems, which can be used for waste water treatment. With an additional facility in China NORRES operates with a focus on sustainability, using bioplastics and raw materials with a limited environmental impact during production. NORRES hoses comply with a wide range of standards and specifications in the most diverse industries, including the ATEX Directive, UL approvals, FDA conformity and numerous other food regulations.

"This is another great example of cooperation between the state, the city and the St. Joseph Chamber of Commerce to attract new investment and bring good paying jobs to our community," said South Bend Deputy Mayor Mark Neal. "South Bend, Ind. is on the world map as a great destination for advanced manufacturing. NORRES' precision operations will create the types of skilled jobs that will further South Bend's comeback.

The Indiana Economic Development Corporation offered NORRES North America, Inc. up to $465,000 in conditional tax credits based on the company's job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The city of South Bend will consider additional property tax abatement.

NORRES will join 110 other German companies operating in the Hoosier State that are responsible for the creation of 12,500 jobs in recent years. This week Pence is leading his second overseas economic development and jobs mission to Germany, after his initial mission to Japan last year. Germany is the third largest source of foreign investment and employment in Indiana.

About NORRES

NORRES, established in 1889, is a global player and a leading manufacturer of industrial hoses, hose systems and other innovative, high-performance plastic products. By constantly endeavoring to develop new product and system ideas, optimise existing ones and design made-to-measure solutions for a wide range of industries and customer requirements, NORRES supports you in your efforts to secure product advantages and cut costs with innovative solution strategies.

A broad spectrum of complementary services and consulting further relieve the strain on your budget and boost your productivity. For more information, visit www.norres.com.

About IEDC

Created in 2005 to replace the former Department of Commerce, the Indiana Economic Development Corporation is governed by a 12-member board chaired by Governor Mike Pence. Victor Smith serves as the Indiana Secretary of Commerce and Eric Doden is the president of the IEDC.

The IEDC oversees programs enacted by the General Assembly including tax credits, workforce training grants and public infrastructure assistance. All tax credits are performance-based. Therefore, companies must first invest in Indiana through job creation or capital investment before incentives are paid. A company who does not meet its full projections only receives a percentage of the incentives proportional to its actual investment. For more information about IEDC, visit www.iedc.in.gov.