St. Louis-based Alberici Constructors posts strong revenues

St. Louis Daily Record & St. Louis Countian, Apr 1, 2005 by St. Louis Daily Record Staff

Alberici Constructors Inc., headquartered in St. Louis, bucked the reported slowdown in automotive construction during 2004 by posting strong revenues and securing new automotive contracts in excess of $500 million.

We won a number of important automotive projects in 2004. The industry outlook for the year ahead is strong as automakers and their suppliers invest in facilities and retool for new models as part of a competitive strategy aimed at lowering production cost and capturing market share. The execution of this strategy will provide Alberici with significant opportunity to serve our clients, said Greg Kozicz, president, Alberici Constructors Inc., in a press release

In response to the increased volume of work, Alberici has bolstered its automotive management team. Alberici Constructors' current COO, LeRoy Stromberg, will assume leadership of the new team as senior vice president-automotive. Supporting Stromberg will be vice presidents Chris Hermann, Mark Okroy and Glen Hardy. Paul Lemley, senior vice president of Alberici Group and company spokesperson in the Great Lakes region, will continue to lead all business development activities for the automotive business unit.

Alberici ended 2004 with several key automotive projects across North America. They included:

- Completion of the 250,000-square-foot American Axle world headquarters in Detroit;

- The 2005 model year plant conversion at the GM Orion plant completed in partnership with Michigan Industrial Group-Alberici;

- The continued modernization of the Ford Kentucky Truck Plant in Louisville, Ky.;

- The installation of a flexible body shop at DaimlerChrysler's Brampton, Ontario, plant; and

- Upgrades to Jeep assembly facilities at DaimlerChrysler's Jefferson Avenue complex in Detroit.

Among the major new contracts Alberici secured last year is the $160 million contract for the construction of the new General Motors Delta Township plant in Lansing, Mich. Now in its ninth month of construction, this $800 million project along Interstate 69 in Delta Township will consist of a three-building, 2.2-million-square-foot manufacturing vehicle assembly center/body shop, paint shop and general assembly facility; a 500,000-square-foot regional metal center; and a central utilities complex to serve the site. It will also be the first total manufacturing complex registered with the U.S. Green Building Council for basic Leadership In Energy and Environmental Design certification.

Alberici has partnered with James N. Gray Construction Co. and Ghafari Cos., an architectural and engineering services firm, on this design/build project. The plant is expected to open in late 2006.

Alberici attributes its success to meeting four major objectives: safety, schedule, quality and cost. We are executing work on tight budgets and even tighter schedules and building automotive projects faster, better and leaner. We strive for continuous improvement in our safety programs. As a result, we have received recognition from the National Maintenance Agreement Policy Committee for our safe performance in the automotive industry, said LeRoy Stromberg, senior vice president-automotive and COO of Alberici Constructors, in the press release.

In addition to safe performance on the job, Alberici is becoming known in the industry for its use of three-dimensional modeling. Historically, new plants and plant conversions have been designed and developed from two-dimensional drawings. Alberici's three- dimensional modeling capability lets clients see their facilities in virtual reality first, allowing them to make key construction decisions before committing to costs in the field.

This technology enables facilities to be scaled, displayed and then viewed from every angle and perspective, said Paul Lemley, senior vice president of Alberici Group, in the press release. Owners and designers can make early decisions ranging from the look and feel of the facility to how the wiring, piping and product flow will actually work. Three-dimensional modeling is having a dramatic affect on the cost, quality and environmental impact of future manufacturing facilities.