Airbus a 'game changer' for Mobile

MOBILE, Ala. (WALA) - Airbus and Alabama officials confirm Airbus will build its first U.S. assembly plant in Mobile.

Alabama Governor Robert Bentley, Senators Richard Shelby and Jeff Sessions, Mobile Mayor Sam Jones, Congressman Jo Bonner and Airbus officials were in attendance for the announcement Monday morning at the Mobile Convention Center.

“This is a real game changer for Mobile County and the whole region,” said County Commission President Connie Hudson.

Reports say the assembly plant will cost $600 million to build and will create 2,500 construction jobs. Groundbreaking is scheduled for 2013 and production is expected to begin in 2015. Officials expect the first plane to be delivered by 2017.

At full production, the plant will employ about 1,000 people and turn out four planes a month by 2017.

Airbus currently operates an engineering center in Mobile at Brookley Aeroplex. It employs more than 200 engineers and support staff.

The new factory would build planes in the "A320 single-aisle jetliner family." Those include the A318, A319, A320 and A321, planes are used in services from short-haul airline routes to intercontinental segments.

Airbus CEO Fabrice Bregier said the decision to build the planes in the US is beneficial to the company's strategy. Bregier said there is a projected need for over 4,000 planes over the next 20 years.

In addition to the factory itself, the deal will likely bring aerospace industry suppliers to the region and the city creating more jobs and providing a "tremendous boost" to the local economy, according to Mobile Mayor Sam Jones.

“This will create even more construction and manufacturing jobs for Mobile. It will also have a positive impact on the city’s housing market,” he said.

Alabama Commerce Secretary Greg Canfield said Airbus' decision to build here solidifies the state's "international reputation as a state that fosters success and profitability for companies that choose to invest here.”

The announcement comes after disappointment for the company and the state from the loss of a previous contract to Airbus archrival Boeing.

Mobile County officials say Airbus’ parent company EADS was involved in the effort to build U.S. Air Force refueling tankers in Mobile. EADS and then-partner Northrop-Grumman were awarded the bid in 2008 only to have the Pentagon’s decision upheld upon an appeal from competitor Boeing.

EADS later bid for the contract without Northrop-Grumman, but was defeated in 2011 by Boeing’s offer.

"We never gave up on EADS and Airbus," said County Commissioner Mike Dean.

Mayor Jones said the city was "disappointed, but not discouraged" when Boeing snatched away the contract.

Bentley's office says the Airbus project is part of Accelerate Alabama, a program created by the Alabama Economic Development Alliance in 2011.

“Winning the Airbus project will, indeed, accelerate Alabama,” Bentley said.  “This type of project is exactly why I created the Alabama Economic Development Alliance... With the Airbus project, we are seeing positive results that will lead to new jobs."

Bregier said the company is capitalizing on a good time to expand operations in the US.

He said, “Mobile is now becoming part of Airbus’ global production network, joining our successful and growing assembly lines in Hamburg, Toulouse and Tianjin.”

Aerospace is one of 11 business sectors that the Accelerate Alabama plan, which aims to bring a broad range of jobs to the state, is pursuing.

Bentley said,  “We all worked together for a common goal, and success is the result. Airbus and its parent company, EADS, have been great citizens of Alabama for years, and we are excited to build on our wonderful relationship.”

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