Oct. 27, 2009 6:42 a.m.
By George Nelson
YOUNGSTOWN, Ohio -- Comprehensive Logistics Inc. is in line to receive $5.3 million in state loans to finance its work supporting production of the new Chevrolet Cruze at General motors Co.’s Lordstown assembly plant. ##M:[MORE]##

The Ohio Department of Development’s Development Financing Advisory Council in Columbus recommended the company receive a $1 million 166 loan at an interest rate of 3% for a six-year term, as well as a $4.3 million Ohio Enterprise Bond Fund loan, also for six years, at a rate to be determined at closing. The loans are pending approval by the State Controlling board.

Comprehensive Logistics, based in Liberty, provides logistics services to GM’s Lordstown plant at its 365,500-square-foot warehouse on Victoria Road in Austintown.

The loans, according to Department of Development, will support transaction costs, debt service and the acquisition of machinery and equipment supporting the Lordstown plant’s production of the highly anticipated Cruze. The $7 million project is expected to retain 149 jobs.

“Besides distribution, which they typically do now, they are going to be doing some assembly of component parts that are coming in for the Cruze,” said Tom Presby, business development manager for the Youngstown/Warren Regional Chamber. “All this is for the gearing up for the new car.”

The loans were part of $25.5 million in state financing recommended Monday by the financing council.

“These resources provide funding assistance and tools that will help Ohio businesses grow and thrive,” said Gov. Ted Strickland ina prepared statement. “We are committed to supporting the expansion of Ohio’s business community by making investments in growing sectors of the economy that create good jobs and move our state forward.”

Copyright 2009 The Business Journal, Youngstown, Ohio.