Why Toyota chose the Inland Empire for expansion.

Toyota's latest investment in the United States also is an investment in the Inland Empire. Recently, construction began on Toyota's $75-million Ontario Parts Center which will begin operating in the fall of 1996. We expect the Center to provide nearly 400 jobs with an annual payroll of about $14 million.

When Toyota decided to build its largest parts center in the world, numerous sites were considered. But the advantages of locating that center in Ontario soon became apparent. One of the first considerations in the site selection process was finding a parcel of land large enough to accommodate a 760,000-square-foot building, which is larger than 17 football fields. Secondly, the facility needed to be reasonably close to Long Beach Harbor, Toyota's shipping hub. Accessibility to a good freeway network was vital, as Toyota's Just-In-Time delivery service means trucks will be transporting parts to and from Ontario. Lastly, a strong and diverse work force was needed to help fill the jobs the parts center win create.

When the Ontario Parts Center is complete, Toyota Motor Corporation will transfer service parts supply responsibility for all of North America from Japan to the U.S. The new operation will then supply parts:

* to all seven of Toyota's North American distributors, including the United States, Canada, Hawaii, Puerto Rico, Guam, American Samoa and Saipan;

* to Toyota's eleven U.S. parts distribution centers;

* to the company's 1,400 Toyota, Lexus and forklift dealers;

* and to General Motors' service parts centers.

The Ontario Parts Center also will help Toyota increase purchasing of parts and materials from U.S. suppliers. And, because of Toyota's increasing exports of U.S.-built vehicles, North American parts will be exported to Toyota Parts Centers in Japan and Europe. This will include service parts for the Chevrolet Cavaliers Toyota will soon begin selling in Japan under the Toyota nameplate.

This project is a tremendous undertaking. There will be an inventory of more than 190,000 different parts, with a value of approximately $75 million. Some 30,000 line item orders a day will be processed. Every thirty seconds of every working day, one pallet of auto parts will be received and shipped from our Ontario Parts Center.

This project is another major step in the 'Americanization' of Toyota. Toyota has come a long way in the 37 years the company has been doing business in the U.S. Back in 1957, Toyota's only business was importing and distributing small cars built in Japan. Today, we have over $5 billion invested in U.S. operations. At the end of last year, Toyota employed more than 16,000 Americans, with a total payroll exceeding $700 million. Another 72,000 Americans work in 1,400 Toyota, Lexus and Toyota forklift dealerships across the country. A large share of Toyota's U.S. operations are right here in California, with more than $2 billion invested by Toyota and another $980 million by our 167 dealers. Together, Toyota and our dealers are responsible for nearly 19,000 California jobs, with a total California payroll of $865 million.

Today, Toyota does far more than just sell products in the U.S.:

* In 1985, every Toyota car and truck sold in the. U.S. was imported from Japan. Last year, 46 percent of those sold here were built in North America. By the mid-'90s, that number will climb to 60 percent.

* New United Motor Manufacturing (NUMMI), the Toyota-General Motors joint venture in Fremont, Calif., is the only auto plant operating in the state of California. Toyota also builds cars, engines and other parts in Kentucky and operates five other North American manufacturing plants.

* Toyota has invested more than $300 million to establish major research, development, testing and design facilities in the U.S., several of which are located in California.

* Last year, Toyota bought more than 4.4 billion in parts and materials from some 415 U.S. suppliers for plants in Japan and in the U.S. In 1993, the Made in California" Toyota Corolla was the No. 1 U.S. passenger car export to overseas markets, and Toyota was the No. 2 U.S. passenger car exporter.

The profits earned from our U.S. operations have not been carted off to Japan, as some would like you to believe. These profits are invested in plants and facilities and in bigger payrolls in California and across America. This rapid growth in U.S. operations has led the company to build a new facility in Ontario.

And Toyota strongly believes in giving back to the communities in which we do business. At our ground breaking in June, we donated a Toyota Previa mini-van to one school district and $20,000 to another. Most recently, Toyota prepaid its property taxes to provide the City of Ontario with $3,500,000 in funds to help build a middle school.

We are proud of what we are contributing to make the American auto industry again the strongest in die world. And I am very proud of die relationship that is developing between Toyota and the community of Ontario. As Toyota's operations in Ontario grow, I believe that relationship will do die same.

Bob Bennett is Vice President and General Manager of the North American Parts Logistics Division for Toyota Motor Sales, U.S.A., Inc.