Friday, December 9, 2011

Tax incentives awarded for high tech employment growth

Three high tech companies — Hexcel Corp., L-3 Communications and Futura Industries — are either considering or preparing to launch major expansions of their Utah operations that combined could see those corporations investing nearly $700 million in the coming decade and creating more than 1,200 jobs.
Hexcel Corp. is contemplating investing as much as $650 million in its West Valley City operations over the next 10 years. If that investment is completed in its entirety, it could result in more than 600 new jobs, which would double the number of its Utah employees. At a meeting Thursday of the Governor’s Office of Economic Development (GOED) board, Hexcel official Brett Schneider signaled that his company was accepting a $7.7 million tax incentive from the state, which GOED awarded based on the company hiring more than 600 employees over a 10-year period in conjunction with a projected $650 million expansion.

L-3 Communications, which already employs some 4,000 Utahns at its Communications Systems West division in Salt Lake City, expects to invest $5.6 million to $6.1 million in an expansion program that will begin next year and result in the hiring of 500 employees over the next decade. On Thursday the GOED board approved a $5.5 million tax incentive package for L-3. 

Futura Industries, a Clearfield-based company that turns raw aluminium into extruded parts for a variety of industries, said it is preparing early next year to launch a two-phase $23 million expansion of its aluminium production lines. The GOED board on Thursday approved a tax credit of $1.7 million for Futura over the eight-year life of the project. Salt Lake Tribune