Tài liệu LOS ANGELES COUNTY WORKFORCE PREPARATION AND ECONOMIC DEVELOPMENT COLLABORATIVEMetal

LOS ANGELES COUNTY WORKFORCE PREPARATION

AND ECONOMIC DEVELOPMENT COLLABORATIVE

Metal Manufacturing

In Los Angeles County

COMMUNITY DEVELOPMENT TECHNOLOGIES CENTER

Part I: An Industry Overview

July 1999

About This Report

This report is produced by the Community Development Technologies Center, a regional

nonprofit organization that provides training, applied research and technical assistance

services in community economic development. CDTech is project director for the Los

Angeles Regional Workforce Preparation and Economic Development Collaborative, a

three-year pilot project to help establish an integrated workforce development system for

the county.

The work of the Collaborative is led by a Joint Management Committee made up of

representatives from: the California Workers Assistance Program, AFL-CIO, the

Department of Public Social Services for Los Angeles County, the Employment

Development Department, Los Angeles Area Chamber of Commerce, Los Angeles

County Office of Education, Los Angeles Economic Development Corporation, Los

Angeles/Orange Counties Community Colleges Consortium, and the South Bay Private

Industry Council.

The contents of this report are solely the responsibility of CDTech. For additional

information about this report and the project itself, please call Linda J. Wong at (213)

763-2520, x 235.

1

THE METAL MANUFACTURING INDUSTRY

IN LOS ANGELES COUNTY

AN OVERVIEW

Introduction

This overview of the Los Angeles metalworking industry was commissioned by the Los

Angeles County Workforce Preparation and Economic Development Collaborative (here

after known as the “Collaborative”). The Collaborative is one of six regional projects

established under California’s Regional Workforce Preparation and Economic

Development Act of 1997. The purpose of the legislation is to facilitate the

implementation of a seamless, integrated workforce development system by

strengthening existing partnerships in economic development, employment and training,

welfare reform and school reform. The goal is to improve the content and delivery of

education and workforce development services by aligning these programs with the

training needs of existing and emerging industries.

The Los Angeles Collaborative is addressing this particular goal by developing two

products:

· An Internet search engine (http://www.laworkforce.org) that will connect

different information systems, so that job seekers, employers,

education/training providers and others can easily access information about

jobs, career ladders, and education/training resources; and

· A “skills gap” profile of key occupations in five industries— apparel, food

processing, health services, high tech/electronics and metalwork— so that

identified gaps in skill sets and education curricula can be closed through

industry-led efforts.

This report provides an overview of the metal manufacturing industry in Los Angeles, the

“demand” side of the equation. It examines the characteristics of the industry— its size,

the firms’ ownership structure and product niches and any geographic clustering of firms

in the region. A subsequent report will address their recruitment, hiring, training and

promotion practices, especially among smaller companies.

Additional reports will focus on the “supply” side of the equation— the education and

training infrastructure for this industry. A comprehensive inventory will be developed of

metal manufacturing technology programs offered by high schools, regional occupational

programs, adult education schools, community colleges and others. A narrative report

will accompany this inventory, explaining the major findings from the research and field

interviews. Lastly, a report on best training practices will be prepared. This report will

highlight the characteristics of effective programs that are successful in educating,

training and placing students in jobs in the industry.

2

Definition of Metalworking

Manufacturing in general is defined by the Standard Industrial Classification (SIC)

Manual1

as the mechanical or chemical transformation of substances or materials into

new products. Metal work is categorized under durable manufacturing and encompasses

the following SIC’s:

SIC: Subsector Description

33 Primary metals Businesses that smelt and refine metals from ore,

pig or scrap. Examples include firms which

manufacture castings, sheets, barbed and

twisted wires; firms that hot roll iron and steel into

basic shapes, such as sheets, strips, rods, bars and

tubing.

34 Fabricated metals Companies that manufacture metal cans, tin ware,

hand tools, cutlery, general hardware; firms that do

electroplating, anodizing and finishing of metal

products; manufacturers that produce stovepipes,

awnings, eaves, etc.

35 Industrial machinery Firms that manufacture engines, turbines, farm

and garden machinery, cranes, industrial trucks

and tractors, industrial machinery, computer

and office equipment, etc.

37 Transportation Businesses that manufacture and/or engage in

equipment research and development of aircraft, aircraft

engines and parts; firms that produce or engage

in research and development of guided missiles,

space vehicles, propulsion units and related parts.

The core of the industry is made up of firms in primary metals, fabricated metal products

and industrial/commercial machinery. However, some economists also include

Transportation Equipment, SIC 37, in the metal work category, because this segment has

manufacturing related to aircraft and aerospace equipment.

While the SIC codes are useful in describing various metalworking processes, they

actually understate the complexity of the industry. Metalworking is very diverse in terms

of products, processes and markets. Firms offer a wide range of goods and services, from

1

The Standard Industrial Classification is the statistical classification standard for all establishment-based

Federal economic statistics categorized by industry. It covers all economic activities and defines industries

in accordance with the composition and structure of the economy. The Office of Management and Budget

is responsible for the publication of the Standard Industrial Classification Reference Guide.

3

raw metal processing to intermediate metal work (for example, sheet metal and metal for

building structures) to finished goods.

The smallest segment of the industry is primary metals refining. This subsector consists

of firms engaged in raw metal processing such as foundries. The larger segments are

fabricated metals and industrial/commercial machinery. Companies in these categories

manufacture components or finished products. Also included are firms which provide

services to the industry, such as heat treating, plating or finishing. They are not true

manufacturers of a product, but rather, members of the supplier network. If the aircraft

and aerospace segments are included in metal work, they would represent the largest

subsectors in terms of total employment.

Characteristics of the Industry in Los Angeles County

Employment gains since the recession. When the recession bottomed out around 1995,

manufacturing in Los Angeles began a slow, steady recovery. For metalworking, the

rebound occurred with:

Fabricated metal products. From an average of 66,700 jobs in 1988, this

subsector lost nearly 21,000 jobs by 1995, a decline of 31 percent. However, there was a

modest rebound in 1998, with the number of jobs increasing to 49,600.2

Industrial machinery. This segment of metalworking declined from a high of

61,100 jobs in 1988 to a low of 46,300 jobs in 1995. However, it, too, experienced a

slight recovery in 1998, edging up to about 47,400 jobs.3

Aircraft and related parts. This segment was the hardest hit during the

recession. From a peak of 123,300 jobs in 1990, employment plunged to a low of 62,400

in 1995, representing a loss of over half of the workforce. However, this subsector

bottomed out in 1996 and began a slow upward climb to 65,300 jobs by 1998.4

Using 1995 as the base-line year for the start of the economic recovery, metal

manufacturing in the county saw a modest rebound of 5 percent in 1998.5

Firm size and ownership. A 1995 RLA analysis of 50 metalwork firms in the “neglected

areas” of Los Angeles County6

revealed an industry that is very mature and very

fragmented. The typical firm is a family-owned “job shop” that has been in business for

30 years. It is small, with fewer than 50 employees, and performs custom work for larger

companies. Subsequent research showed that small companies dominate fabricated

2 Manufacturing in Los Angeles, Los Angeles Economic Development Corporation, June 1999, at 8.

3

Ibid at 9.

4

Id at 7-8.

5

Id.

6

The analysis was conducted by Rebuild LA as part of its economic development strategy to form

manufacturing networks. “Neglected” areas are neighborhoods in which the poverty rates exceed 20

percent.

4

metals and industrial machinery manufacturing. Nearly 90 percent of the firms in these

subsectors employ fewer than 50 people. An overview of the industry, based on the

number of firms and employees, is provided in the chart, “Metalwork Industry, Los

Angeles County,” which is found in the Appendix.

At present, the industry is experiencing the competing pressures of consolidation and

fragmentation. At the top tier of prime contractors, a series of mega-mergers has shrunk

the number of major industry players to a handful. Driving these consolidations is the

need to be commercially and globally competitive. To achieve operational efficiencies,

these firms are finding that size and scale are the most expedient ways to reposition

themselves.7

As these prime contractors consolidate at the top, there has also been a

simultaneous fragmentation, or “externalization” of functions, at the bottom. To reduce

costs and streamline operations, more companies are transferring specific operations to

outside suppliers. What the larger firms keep in-house are the technical and product

development capabilities, while the smaller companies do the actual metalworking.

Unfortunately, this means that subcontractors are vulnerable to industry downturns and

increasing demands from their customers, who can outsource to other suppliers,

especially those in Asia and Europe.8

The great majority of small metalworking companies are locally owned. This is not

surprising in view of the family-owned nature of the businesses. Many firm owners grew

up in Los Angeles and prefer to stay in the region. Moreover, their dependence on a local

customer base and their heavy investment in equipment and technology make relocation

out of the region cost-prohibitive. However, even though job shop owners and suppliers

live in the region, most influential corporate decision-makers are no longer based in

California.9

With the globalization of this industry, manufacturing subcontracts will go to those

regions that have the most productive workforces; that is, the ones that have the best

combination of skilled workers, technology and effective management. Historically, the

companies most capable of training and upgrading the skills of their workforce were the

large prime contractors like Hughes, Lockheed, Northrop and McDonnell Douglas. They

had the internal capacity to develop and sustain workforce development programs for

existing employees, new hires or potential job applicants. However, with small firms

dominating the landscape of this industry, new and existing training resources must be

directed to these smaller companies. Without a stronger training infrastructure, small

firms will face tremendous challenges as platform segments decline and the profile of the

industry becomes increasingly high tech.

7

For example, Northrop acquired Grumman in 1994. Lockheed merged with Martin Marietta in 1995 to

become Lockheed Martin. Boeing purchased the space and defense business of Rockwell International in

1996, then merged with McDonnell Douglas in 1997. Raytheon bought Hughes Aircraft in 1997.

8 Beyond Consolidation: A Study of the Continuing Transformation of Aerospace and Defense in Southern

California, A.T. Kearney, Los Angeles Regional Technology Alliance and Los Angeles Economic

Development Corporation, 1998.

9

In terms of aerospace, the only large companies headquartered in Southern California are Northrop and

Litton Industries. Boeing is headquartered in Seattle, Washington and Lockheed Martin in Bethesda,

Maryland.

5

Geographic Concentrations

The largest geographic concentrations of the industry are found in the southeastern

portion of the county, the South Bay, and the city of Los Angeles (mainly in South

Central Los Angeles). (See Appendix for maps of the different segments of metal

working in Los Angeles County.) A detailed analysis of the character of the industry,

broken down by region, is provided in this following section.

Antelope Valley. This region10 was hard-hit by the downsizing of the defense industry.

In a 1997 telephone survey of local residents, over 12 percent of the respondents were

former aerospace workers who had separated involuntarily from their companies. Out of

this group, nearly half had left aerospace employment before 1990. Another 26 percent

left between 1990 and 1994; and 19 percent left in 1997. Nearly 45 percent of the

aerospace respondents said they left as a result of industry lay-offs. However, recent

aerospace industry data shows a leveling off since 1994 and modest employment gains

since 1995.11 Of the largest manufacturing firms in the Antelope Valley, the top four are

now aerospace or aircraft companies:

Lockheed Martin Skunk Works 5,500 employees

Northrop-Grumman Corporation 2,735 employees

NASA (civil service and contract) 1,800 employees

Boeing North America 1,000 employees.12

The Antelope Valley is currently competing for two major projects, which could generate

several thousand new jobs and millions of dollars into the Southern California economy.

The first is the Joint Strike Fighter, which is the next-generation multi-role aircraft being

developed by the U.S. Department of Defense for the armed forces. This is a high

performance stealth weapon system with multiple variants for different users. It is

expected to be the last new U.S. military aircraft to enter major serial production for the

first half of the 21st century. The program is now in the “concept demonstration” phase,

which will conclude in 2001. Boeing and Lockheed Martin are the two competing

primary contractors. Both are building their prototypes in Palmdale.13

The second possible project is VentureStar, a space vehicle representing the next￾generation X-33. Lockheed Martin is developing a prototype at its Palmdale Skunk

Works facility. If the project stays in Palmdale, it could generate about 2,500 direct jobs

for the launch and manufacturing facilities. Additional jobs would be created for the

payload processing facility, engine manufacturing, communications facilities, service

companies providing fuel and other support, military support personnel and the tourism

and hospitality industries. However, Lockheed Martin has not yet decided where the

10 Antelope Valley encompasses the Mojave Desert region, which includes Kern and Los Angeles counties.

This region extends from Acton to Ridgecrest, and from the San Bernardino county line on the east to

Interstate 5 on the west.

11 1997 Antelope Valley Labor Base Analysis, Alfred Gobar Associates, October 1997, at 9 and 11.

12 1999 Antelope Valley Business Outlook, Antelope Valley Board of Trade at 5.

13 Conversation with Judy Turner, Director of Business Development, Los Angeles County Economic

Development Corporation, June 3, 1999.

6

VentureStar will be built. Moreover, Palmdale is only one of three possible California

sites for the project.14

City of Los Angeles. Within the boundaries of the federal Empowerment Zone (here

after known as the “EZ”)

15 are over 960 metal work companies, which employ nearly

22,000 people. Metal work is the second largest manufacturing sector in the EZ, next to

apparel production. Metal work represents about 20 percent of all manufacturing and 15

percent of the manufacturing employment base in the EZ. By far the largest segment of

metal work is fabricated metal products, which employs half of the workforce in the

industry. Next is industrial machinery manufacturing, which employs another 33

percent.16

San Fernando Valley/Santa Clarita Valley. Recent studies17 about the region18 do not

break out manufacturing into subsectors. At best, a distinction is drawn between

technology-based manufacturing and general manufacturing. “Technology-based”

manufacturing includes aerospace and defense-related manufacturing. This segment

represents the second largest employer in the region, despite the job losses from the

recession. “General manufacturing” refers to all other kinds of manufacturing. This sector

also declined during the recession. However, it remains the Valley’s largest provider of

lower-skilled jobs.

In a data-run of SIC codes 34 and 35,19 manufacturers of fabricated metal parts and

finished products, SIC 34, have the largest number of employees in sheet metal work,

followed by plumbing fixtures and fittings; hardware such as bolts, nuts, screws, rivets

and washers; and services such as stamping, electroplating and coating. For SIC 35,

industrial machinery, companies are concentrated in industrial and commercial

machinery manufacturing of all types, including computer peripheral equipment, machine

tools, industrial molds and ball bearings.

14 Id. The other two sites are Vandenberg Air Force Base and Harpers Dry Lakebed in San Bernardino

County.

15 The Zone encompasses a geographical area that is about 19 square miles in size and includes the

communities of Pacoima, Boyle Heights, the East Downtown Corridor, the Historic Corridor, Central

Avenue, the Slauson Industrial Corridor, the Broadway District, Watts and Firestone-Willowbrook.

16 Total Manufacturing in the Supplemental Empowerment Zone, Community Development Technologies

Center, May 1997. Research done for the Los Angeles Community Development Bank.

17 Partnerships for Progress, An Economic Strategy for the San Fernando Valley, SRI International, Valley

Economic Development Center and Economics Research Associates. See also Report and Findings on the

San Fernando Valley Economy, 1998, San Fernando Valley Economic Research Center.

18 San Fernando Valley is bounded by the Santa Susana Mountains to the north and west, the Santa Monica

Mountains to the south, and the San Gabriel Mountains to the east. The region includes Burbank,

Calabasas, Glendale, Hidden Hills, portions of Los Angeles, Santa Clarita and San Fernando.

19 Data-run conducted by Community Development Technologies Center, March 1999, using Dun &

Bradstreet. The San Fernando Valley is defined by core zip code areas.

7

A subregional study20 of the Northeast San Fernando Valley21 uncovered 606 business

establishments in the metal work industry. Over half are engaged in the manufacturing of

industrial machinery or component parts, and another 38 percent are in fabricated metal

products. All together, these 606 firms employ nearly 10,000 residents. The largest

concentration of metal work firms is found in Pacoima, Sun Valley and North

Hollywood.

San Gabriel Valley. A 1998 study of the San Gabriel Valley industrial clusters22

revealed that metalwork companies employed about 22,600 people in the region. The

largest component of the cluster was found in industrial machinery, with over 8,600 jobs,

followed by: fabricated metal products, with over 6,500 employees; primary metals, with

nearly 4,000 employees; metal services with just over 2,000 employees; metal work

machinery and tools with 1,100 employees; and wholesale with several hundred

employees.

There is a definite geographic clustering of firms in the San Gabriel Valley. Industrial

machinery manufacturers are mainly located in the northern part of the San Gabriel

Valley along the 210 freeway; this area includes the cities of Pasadena, Monrovia, Azusa

and Glendora. Companies making components are found in the southern part of the

Valley, with the largest concentration in the City of Industry-La Puente, El Monte, South

El Monte and Montebello. Metalworking is experiencing the greatest growth in the

Industry-La Puente areas, based on 1991 to 1996 data.23

While metalworking is a significant segment of the region’s economy, residents seem to

be ambivalent about the merits of attracting more manufacturing firms into the Valley. In

a recent public opinion poll, 43 percent of the polled respondents agreed that there should

be efforts made to attract new manufacturing businesses, with another 6 percent strongly

agreeing with this statement. On the other side, 38 percent disagreed and another 5

percent strongly disagreed; only 8 percent responded with “don’t know.”

24

20 Northeast San Fernando Valley Sector Employment Report, Community Development Technologies

Center, November 1998.

21 Northeast San Fernando Valley is bounded by the 210 Freeway to the north, the 405 Freeway to the west,

the 134 Freeway to the south and the 2 Freeway to the east. This subregion includes Sylmar, San

Fernando, Pacoima, Sun Valley, Panorama City, Van Nuys and North Hollywood. Parts of Glendale and

Burbank are also included.

22 San Gabriel Valley Industrial Cluster Study, Applied Development Economics, revised June 1998. See

also, San Gabriel Valley 1998-99 Economic Overview and Forecast, Los Angeles Economic Development

Corporation (1998). This region is bounded on the west by the cities of La Canada/Flintridge, Pasadena,

South Pasadena and Monterey Park. To the north are the San Gabriel Mountains and the foothill

communities of Altadena, Monrovia, Azusa, Glendora and La Verne. The southern boundary is marked by

the 60 freeway and picks up Hacienda Heights, Rowland Heights and Diamond Bar. The eastern boundary

goes to the San Bernardino County line and includes the cities of Pomona and Claremont. See 1998 San

Gabriel Valley Resource Guide at 43.

23 San Gabriel Valley Industrial Cluster Study, id.

24 San Gabriel Valley First Annual Survey & Report, San Gabriel Valley Economic Partnership and the

Rose Institute of State and Local Government, Claremont McKenna College, January 1999.

8

South Bay. This region25 has historically had a large concentration of aerospace and

defense-oriented companies. As a result, it was especially hard hit by the defense budget

cutbacks in the past decade. Between 1987 and 1996, the total payroll for the South Bay

aerospace industry declined from $4.65 billion to $2.09 billion. At the same time,

business taxes generated directly by aerospace declined from $109 million in 1987 to

$56.8 million in 1996.26

With a bottoming out of the recession in the second half of the 90’s, South Bay business

leaders undertook an in-depth analysis of the region’s industrial base. In assessing the

future of the region, this analysis concluded that three anchor industries should be

targeted for business attraction and retention programs: high technology, transportation

and trade, and entertainment/multi-media.27 The high tech category includes aerospace,

computers and satellite communications. In addition to these anchor industries, “linked”

industries were also recommended for retention and attraction; these include metals and

industrial machinery. Firms in these related industries are geographically clustered. Two

out of three South Bay manufacturing workers are employed in just four cities: El

Segundo, Torrance, Hawthorne and Carson.

Southeast Los Angeles County. This region28 contains the historic industrial core of the

county. It was the home for traditional “smokestack” manufacturing, such as steel and

tire production, until these firms disappeared in the late 70’s. Then the region was

pummeled again by the decline in aerospace and defense spending. From 1988 to 1995,

aerospace employment dropped a precipitous 60 percent.29 Because so much durable

manufacturing was concentrated in this part of the county, it has had an especially

difficult time climbing out of the recession.

To facilitate a coordinated response to the downturn, the Gateway Cities Council of

Governments was formed in 1996. This body connected together 27 cities and the

County. A nonprofit economic development organization, the Gateway Cities

Partnership, was formed to mobilize and manage short- and long-term economic

development initiatives. Its responsibilities include industrial cluster support, workforce

transition, market development, site reuse and technology innovation.

25 The South Bay is bounded by the I-105 freeway on the north and the I-110 freeway to the east. The

Pacific Ocean is the western and southern boundary. This region covers 16 incorporated cities, including

Inglewood, and stretches of unincorporated county territory between Inglewood and Hawthorne and around

Carson.

26 South Bay Economic Adjustment Strategy, Executive Summary, Economic Roundtable, Beltramo and

Associates, Kosmont & Associates, UCLA and USC Departments of Geography, April 1998. See also

1997/98 South Bay Economic Profile & Forecast, Los Angeles Economic Development Corporation,

October 1997.

27 South Bay Economic Adjustment Strategy, ibid.

28 Southeast Los Angeles County is the region bounded by Whittier, Santa Fe Springs, Norwalk, Cerritos

and Hawaiian Gardens to the east; the Pacific Ocean on the south; the 710 freeway to the west, picking up

Lynwood, South Gate, Huntington Park, and Vernon; and to the north, Commerce, Montebello and Pico

Rivera.

29 Southeast Los Angeles County Defense Adjustment Strategy, DRI/McGraw Hill, 1997.

9

The Southeast Los Angeles County Defense Adjustment Strategy report identified metals

and aerospace/defense as industry clusters which represent the region’s historic strengths.

However, these industries also require intensive support because recovery has been

slower for firms in these sectors. In a survey of durable manufacturing firms, which

included aerospace and defense subcontractors, workforce development was ranked as

one of the top three priorities. Over half of the responding firms reported problems in

recruiting qualified job applicants with needed skills. Among high tech companies, a

similar survey identified a need for the upgrading of skills for current employees.

Conclusion

As a linchpin industry in the region, metal work has seen its share of crises. It has

suffered through the disappearance of traditional “smoke stack” manufacturing; the loss

of local production to offshore facilities; the downsizing of defense and aerospace; the

mergers of the prime contractors; and the contracting of services to outside suppliers and

other vendors.

As the industry continues to undergo restructuring, however, opportunities exist to build a

support system that will help it weather the turmoil in the global marketplace. One of

these is the development of a coordinated, flexible workforce training system that can

meet the industry’s short-term training priorities, while addressing the longer term need

to grow new talent.

To recruit new blood into this sector, industry leadership will have to overcome the

negative image of manufacturing as dirty, monotonous assembly line work. This should

not be a difficult undertaking, however, since metalworking has evolved into

sophisticated, state-of-the-art operations with the advent of new technologies.

Moreover, it offers a flexible career path that provides many options for job seekers. One

can start in traditional blue collar jobs and work up to the skilled trades, such as tool, die

and mold-making. Or one can start in machining and learn computer numerical control

processes. With continuing education, a person can become a manufacturing technician,

which, in turn, can lead to an engineering career. If an individual has entrepreneurial

ambitions, he or she can move into a business pathway. This diversity of career options

and the high salaries associated with blue and white collar jobs help to make

metalworking a very attractive industry. Subsequent reports commissioned by the

Collaborative will examine these issues more closely.

10

REFERENCES

General

A.T. Kearney, Los Angeles Regional Technology Alliance and Los Angeles Economic

Development Corporation, Beyond Consolidation: A Study of the Continuing

Transformation of Aerospace and Defense in Southern California (1998).

Los Angeles Economic Development Corporation, 1998-99 Economic Forecast and

Industry Outlook (July 1998).

Los Angeles Economic Development Corporation, Manufacturing in Los Angeles (June

1999).

Southern California Association of Governments, 1999-2000 Regional Economic

Forecast for Southern California.

Antelope Valley

Alfred Gobar Associates, 1997 Antelope Valley Labor Base Analysis (October 1997).

Antelope Valley Board of Trade, 1999 Antelope Valley Business Outlook.

Los Angeles City

Community Development Technologies Center, Total Manufacturing in the

Supplemental Empowerment Zone (May 1997).

UCLA School of Public Policy and Social Research/Advanced Policy Institute, The City

of Los Angeles/UCLA Industry Cluster Initiative Project (1998).

San Fernando Valley

Community Development Technologies Center, Northeast San Fernando Valley Sector

Employment Report (November 1998).

San Fernando Valley Economic Research Center, Report of Findings on the San

Fernando Valley Economy (1998).

SRI International, Valley Economic Development Center and Economics Research

Associates, Partnerships for Progress, An Economic Strategy for the San Fernando

Valley (1998).

11

San Gabriel Valley

Applied Development Economics, San Gabriel Valley Industrial Cluster Study (Revised)

(June 1998).

Los Angeles Economic Development Corporation, San Gabriel Valley 1998-99

Economic Overview and Forecast (1998).

1998 San Gabriel Valley Resource Guide (BenchMark Publishing Company).

San Gabriel Valley Economic Partnership, Rose Institute of State and Local Government,

First Annual Survey of the San Gabriel Valley (January 1999).

South Bay

Los Angeles Economic Development Corporation, 1997/98 South Bay Economic Profile

& Forecast (October 1997).

Economic Roundtable, Beltramo and Associates, Kosmont & Associates, UCLA and

USC Departments of Geography, South Bay Economic Adjustment Strategy, Executive

Summary (April 1998).

South Bay Economic Development Partnership, 1998 South Bay Patterns for Change.

South Bay Economic Development Partnership, 1998 Survey of South Bay Businesses

(September 1998).

Southeast Los Angeles County

DRI/ McGraw Hill, et. Al., Southeast Los Angeles County Defense Adjustment Strategy

(1997).

12

APPENDIX

1. Table: Metalwork Industry, Los Angeles County

2. Map: Los Angeles County Metalwork Industry

3. Map: Los Angeles County Primary Metals Subsector

4. Map: Los Angeles County Fabricated Metal Products Subsector

5. Map: Los Angeles County Industrial Machinery Subsector

6. Map: Los Angeles County Aircraft and Aerospace Subsector

Metalwork Industry Los Angeles County

SIC Description

Size of Company

(Number of

Employees)

Number of

Companies

Total

Number of

Employees Annual Sales

Response Rate

for Annual

Sales

33 Primary Metals 1 to 50 357 5,226 $1,029,572,285 87%

51 to 100 45 3443 $2,332,002,591 84%

101 to 500 44 8180 $978,809,914 68%

501 and above 3 4826 $149,515,000 33%

Other: not reported 12 $5,330,000 17%

SIC 33 subtotal 461 21,675 $4,495,229,790

34 Fabricated Metal Products 1 to 50 2129 22498 $3,708,752,421 93%

Except Machinery and Transportation 51 to 100 135 9987 $3,330,530,894 81%

101 to 500 99 19890 $2,104,618,555 77%

501 and above 4 3500 $350,700,000 75%

Other: not reported 44 $77,018,759 30%

SIC 34 subtotal 2411 55875 $9,571,620,629

35 Industrial and Commercial Machinery 1 to 50 3506 30557 $4,637,035,981 93%

and Computer Equipment 51 to 100 127 9304 $3,941,394,516 86%

101 to 500 91 17988 $2,819,661,858 73%

501 and above 2 3000 $5,807,213,750 50%

Other: not reported 68 $32,400,255 15%

SIC 35 subtotal 3794 60849 $17,237,706,360

37 Transportation Equipment* 1 to 50 234 3152 $1,963,192,930 90%

(Aircraft, Engines and Parts; Aerospace, 51 to 100 22 1759 $160,975,827 73%

Parts and Related Equipment) 101 to 500 46 11185 $11,409,917,284 74%

501 and above 18 91642 $212,729,975 11%

Other: not reported 28 0%

SIC 37 subtotal 348 107738 $13,746,816,016

Totals 7014 246137 $45,051,372,795

Source: Dun and Bradstreet (June-July 1999)

Data believed reliable but accuracy is not gauranteed.

Data is self-reported by companies and may not be complete.

All information based on companies' primary and/or secondary SICs.

*Includes SICs 3721, 3724, 3728, 3761, 3764, and 3769

Complied by: The Community Development Technologies Center (D.Gilliam and E. Mailian) 7/30/1999