AUBURN HILLS, Mich.,
Dec. 22, 2014 /PRNewswire/ --
- New investment will increase capacity of fuel-efficient
transmission at Kokomo Transmission Plant (KTP)
- Sixth investment in five years at KTP for transmission
production
- TorqueFlite eight-speed automatics are projected to power
more than a million vehicles and help owners save 700 million
gallons of gas
- KTP achieves milestone in implementation of World Class
Manufacturing
- Company has invested nearly $1.8
billion in its Kokomo transmission operations and almost
$5.6 billion in its U.S. facilities
since June 2009
With sales of vehicles equipped with the popular eight-speed
transmission growing, FCA US LLC confirmed that it will invest an
additional $266 million in its Kokomo
Transmission Plant (Ind.) to increase capacity of the
fuel-efficient TorqueFlite transmission. This is the sixth
investment made at Kokomo Transmission (KTP) since June 2009, bringing total investment in FCA US
Kokomo operations to nearly $1.8
billion.
FCA US, formerly Chrysler Group
LLC, notified city officials of the new investment at the
Dec. 8, 2014, Kokomo Common Council
meeting, asking the Council to amend an existing tax abatement to
support this new investment. The investment will be used to
purchase new equipment and tooling, adding more assembly capacity
within KTP's existing floor space. With the Council's approval,
work in the plant will begin immediately and be completed in the
third quarter 2016. With this investment, there will be retention
of employment.
"Since the launch of the eight-speed, employees at Kokomo
Transmission have been working practically round the clock to
produce this advanced, fuel-efficient transmission," said
Brad Clark, Head of Powertrain
Manufacturing Operations, FCA – North
America. "We are pleased that vehicles equipped with this
transmission have been so well received by consumers. This
investment will give us the additional capacity we need to make it
available across even more vehicles in our product line.
"We are grateful to Mayor Goodnight and the Kokomo Common
Council for their continued support of FCA
US," said Clark. "This investment further demonstrates our
commitment to this community and our workforce, and firmly
establishes Kokomo as the center of competence for transmission
production."
KTP has been producing the eight-speed transmission since
September 2012. In 2013, KTP produced
nearly 300,000 eight-speeds. That number has more than doubled to
nearly 700,000 in the first 11 months of 2014. Currently, the
eight-speed transmission is available on the Jeep® Grand Cherokee,
Chrysler 300, Dodge Challenger, Dodge Charger, Dodge Durango and
Ram 1500. The Company sold more than 800,000 of these models in the
U.S. through November 2014.
The KTP-produced advanced-technology TorqueFlite eight-speed
automatics – first of their kind ever made available to
mainstream-brand customers – are projected to power more than one
million vehicles worldwide. And their combined effect is
staggering.
Over their lifetimes, these vehicles are projected to save their
owners more than 700 million gallons of fuel, compared with their
predecessors that featured five- or six-speed automatics. That
quantity of gasoline is worth approximately $2.5 billion at the pump, based on current
fuel-price forecasts.
In comparison to the fleet of conventional transmissions they
replaced, TorqueFlites promise to reduce carbon dioxide emissions
by more than six million metric tonnes over the same timeframe.
Earlier this month, KTP was awarded bronze status for its
results in implementing World Class Manufacturing (WCM), a
methodology that focuses on reducing waste, increasing
productivity, and improving quality and safety in a systematic and
organized way. Bronze is awarded after earning a minimum of 50
points in 10 technical and 10 managerial pillars by demonstrating
clear WCM know-how and competence through employee-conducted pillar
presentations and a review of projects that have been expanded
across the shop floor. KTP earned a score of 51.
FCA US Kokomo Investment Announcements
FCA US has made five additional
investments in the Kokomo Transmission Plant since June 2009:
- May 11, 2010 – Announced an
investment of $43 million to increase
capacity at its Kokomo Casting and Kokomo Transmission plants, and
adapt them to support production of the World Engine and improve
processes for the 62TE transmission program.
- November 23, 2010 – Announced an
investment of nearly $843 million in
the Company's existing transmission manufacturing facilities in
Kokomo to accommodate production of a new advanced front-wheel
drive automatic transmission.
- December 14, 2010 –
Confirmed an investment of $85 million in its Kokomo
Transmission Plant for a variety of powertrain improvements.
- December 2010 – A $300 million investment intended for Indiana
Transmission Plant I was reallocated to the Kokomo Transmission
Plant to accommodate additional production of the eight-speed
automatic transmission.
- February 28, 2013 -
Announced that it will invest $212
million at Kokomo Transmission, Kokomo Casting and Indiana
Transmission I Plants for additional tooling and equipment to
produce the eight- and nine-speed transmissions.
Over that same period, the Company has invested nearly
$5.6 billion to upgrade and expand
its facilities in the U.S.
About FCA US LLC
FCA US LLC is a North American automaker with a new name and a long
history. Headquartered in Auburn Hills,
Michigan, FCA US is a member
of the Fiat Chrysler Automobiles N.V. (FCA) family of companies.
FCA US designs, engineers,
manufactures and sells vehicles under the Chrysler, Jeep, Dodge,
Ram and FIAT brands as well as the SRT performance vehicle
designation. The company also distributes the Alfa Romeo 4C model
and Mopar products. FCA US is
building upon the historic foundations of Chrysler, the innovative
American automaker first established by Walter P. Chrysler in 1925; and Fiat, founded in
Italy in 1899 by pioneering
entrepreneurs, including Giovanni
Agnelli.
FCA, the seventh-largest automaker in the world based on total
annual vehicle sales, is an international automotive group. FCA is
listed on the New York Stock Exchange under the symbol "FCAU" and
on the Mercato Telematico Azionario under the symbol "FCA."
Follow FCA US news and video
on:
FCA Content On Demand (COD): www.fcacod.com
Company blog: http://blog.fcanorthamerica.com
Company website: www.fcanorthamerica.com
FCA360: www.fca360.com
Facebook: www.facebook.com/ChryslerGroup
Flickr: www.flickr.com/photos/chryslergroup/
Pinterest: www.pinterest.com/fcacorporate
Instagram: http://instagram.com/fcacorporate
Streetfire: www.streetfire.net/uploaded/chryslervideo.htm
Twitter: www.twitter.com/fcacorporate
YouTube: www.youtube.com/pentastarvideo
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SOURCE FCA US LLC