Greensburg Daily News, Greensburg, IN


February 5, 2014

Company invests $3 million; will make nails

GREENSBURG – An Indianapolis-based supplier of construction materials plans to invest about $3 million into a Greensburg facility to manufacture nails.

Hahn Systems, which distributes construction and industrial supplies, late last year acquired the assets ECS Fasteners, a nail maker in Westport, and has renamed the company Fuzion Products and moved the machines and employees to 1556 E. Commerce Drive in Greensburg.

Chris Felger, chief financial officer of Hahn Systems, said that the company employs five and expects to hire another 15 within the next three to five years. New employees will earn about $25,000 per year. In total, the 20 employees will earn an average of about $32,000.

The company will invest in Greensburg $2.3 million in personal property, 90 percent of which will be used to acquire additional nail making machines. Fuzion currently operates one machine around the clock, and Felger said he hopes the next machine, which is imported from Skanderborg, Denmark-based Enkotec, will arrive this summer.

Last week, Fuzion made nearly 1,400 boxes of nails, with each box weighing about 50 pounds and containing about 8,500 nails. The nails are used primarily for wood pallet making and in construction.

Fuzion also plans to invest another roughly $750,000 on real estate upgrades, Felger said.

The Greensburg City Council on Monday unanimously approved seven-year tax abatements on both the personal property and real estate investments. Taxes on the real estate investment will be abated in full in the first year, with the abatement declining in each subsequent year until taxes have to be paid in full in the eighth year.

Taxes on the personal property were abated at 70 percent per year for seven years. Mayor Gary Herbert said the taxes the company pays will essentially be the same as with a traditional abatement where the abated amount declines every year. Though the company initially will pay more in taxes, it will pay less toward the end of the abatement term as the value of the machines declines.

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