Michigan loan program getting boost from bank

NOVI (AP) -- A program to make loan money more available to Michigan-based businesses is getting a boost from Fifth Third Bank, Gov. Rick Snyder announced last week. Snyder and an official with Cincinnati-based Fifth Third Bank say the bank has the capacity to make new loans totaling $2.5 billion to Michigan businesses in 2012. Word of the additional money was part of an update to the state's Pure Michigan Business Connect program and brings the multi-year loan program's capacity from $3 billion to $8 billion. "It's about Michigan's comeback -- it's about job-creation," Snyder said of the program, which launched about six months ago and involves about 700 state companies and organizations. He said program's basic premise is "asking Michigan businesses to do business with one another." Snyder said the Fifth Third Bank's 2012 participation is the largest commitment by a financial institution to date. David Girodat, president of Fifth Third Bank Eastern Michigan, said it means an additional $5 billion in access to loans, including another $2.5 billion available for consumers. The program is a public-private initiative involving the Michigan Economic Development Corp., state agencies and major Michigan companies and organizations. The announcement was made in Novi at the Global Access Exporter Forum. Also last week, Snyder announced that CMS Energy Corp.'s Consumers Energy unit, which provides electric and natural gas service to millions of people in Michigan, has committed to increase its spending with Michigan companies by $250 million during the next five years. The utility currently spends $2 billion a year on purchases of Michigan goods and services, Snyder's office said. ---------------- Online: http://www.MichiganAdvantage.org/businessconnect. Published: Tue, Nov 22, 2011