NC Continental plant expands despite car slump

RALEIGH -- A subsidiary of German tire and car parts maker Continental AG plans to expand operations at a North Carolina brake systems factory despite slack parts demand from auto makers. North Carolina officials on Monday approved a state grant of up to $2.2 million over nine years to coax Continental Teves Inc. to expand operations in the Henderson County city of Fletcher. The plant makes brake systems and components and employs about 290. The state grant is conditional on the company adding more than 300 additional jobs. A second plant in Morganton employs about 370 workers. The German parent company said its pretax profit slid 91 percent during the second quarter as sales slowed on weaker demand from auto companies. (Copyright 2009 by The Associated Press. All Rights Reserved.)