More business expansion in the region

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Business expansion has continued in Southeast Missouri despite a weakening national economy.

A total of 52 new business starts were recorded in the second quarter in the seven-county region tracked by the Southeast Missouri Regional Planning and Economic Development office. Ten business closings were reported, resulting in a net gain of 42 new businesses.

Thirteen businesses reported expansions.

Approximately 410 new jobs were created in the region, with about 86 jobs lost as a result of business closings.

Cape Girardeau County led the region with 21 new businesses, followed by St. Francois County with 18 new businesses, with retail and service industry growth accounting for most new development. Of the 52 new businesses, 28 were retail and 24 provided services of some kind.

No new manufacturing operations were reported.

The business scene throughout the area has been a busy one, said Ron Steele, regional economic development planner for the commission. New businesses, expansion of existing ones and business closings are common occurrences, said Steele, who keeps tabs on business openings and closings in the commission's seven counties of Cape Girardeau, Bollinger, Iron, Madison, Perry, St. Francois and Ste. Genevieve.

Steele and others involved in keeping tabs on business activity say business growth is continuing in Southeast Missouri.

During the first six months of 2001, more than 60 new-business permits were issued by the Cape Girardeau Finance Department. Fifteen expansions and nine closings were reported.

A total of 120 business starts were recorded throughout the Southeast Missouri Regional Planning and Economic Development region, with 26 expansions and 18 closings.

Harley rally $1.2 million economic impact

The Cape Girardeau Convention and Visitors Bureau will make bids for the Missouri State Harley Owners Group rallies for 2003 and 2004.

More than 3,000 bikers attend the 2001 rally held in Cape Girardeau Sept. 7-9.

The group will return to Hannibal for the 2002 rally.

Terri Clark-Bauer, CVB director, said the city will bid for the 2003 rally "but, this is the anniversary year for Harley Davidson and the group may to Platte County, site of one of the Harley manufacturing facilities."

The local group will also bid for the 2004 rally.

"We've received positive feedback from everywhere concerning the recent rally here," said Clark-Bauer. "The bikers liked the community, and everything went well during the three-day rally."

The rally was good for the economy. Clark-Bauer estimated the economic impact at more than $1.2 million. Harley-Davidson owners have an above-average annual household income. Many of those attending were bankers, lawyers, professors and physicians.

"The Harley rally was an overwhelming success both in foot traffic and dollars spent in the downtown area," said Evelyn Boardman, who edits the Downtown Merchants Association newsletter, "Around the Clock."

"The cyclists were great people, and everyone had a great time," said Boardman. The DMA hosted a downtown party for the biker on the Saturday night of their three-day visit to the city.

Boardman also reported on the DMA Auction, held at the Knights of Columbus Hall recently. "We raised about $11,000," she said.

The event was down in dollar amounts, but "was fun and entertaining," she said.

Funds from the annual auction are used for downtown improvements, and to help sponsor such events as the annual Christmas Lights Parade and the City of Roses Musical Festival, which was held over the weekend in the downtown area. More than $190,000 have been raised since the auctions started 14 years ago.

New Harley facility for Kansas City

Harley-Davidson has announced plant to relocate its Dyna Glide Line manufacturing facility from York, Pa., to Kansas City, Mo.

Jim McCaslin, president and chief operating officer for Harley-Davidson, said the move would take place over the next few months, with production fully underway in Kansas City early in 2002. The Kansas City plant is already handling certain fabrication and paint operations for the Dyna line.

The Dyna Glide family is one of five families of motorcycles produced by Harley-Davidson. They are: Sportster, Softail, Dyna Glide, Touring, and the new VRSC family.

Dyna models represent approximately 15 percent of the company's total production. Harley-Davidson's production goal for 2001 is 231,000 motorcycles.

The Kansas City plant opened in 1998 and currently manufactures the Harley-Davidson Sportster family of motorcycles. The facility is also gearing up to manufacture the new Harley-Davidson V-Rod motorcycle and its Revolution powertrain.

The Kansas City company will add 300 jobs as a result of its expanded role within Harley-Davidson. The K.C. plant now employs 550 people. Harley's expansion for the Missouri facility will also result in a large investment for the area.

Harley-Davidson, Inc. is the parent company for the group of companies doing business as Harley-Davidson Motor Company, Buell Motorcycle Company and Harley-Davidson Financial Services, Inc.

The Harley-Davidson Motor Company is donating the use of 30 police motorcycles and $1 million to assist in the relief efforts in New York City and Washington, D.C. The motorcycles will be used to replace police motorcycles, squad cars and other police units that were destroyed following the terrorist attack on the World Trade Center on Sept. 11. The company's $1 million donation will be made directly to the American Red Cross for use in the relief effort.

B. Ray Owen is the business editor for the Southeast Missourian.