Michael Sullivan, GOED Communications Director
John C. Dench, ITT Communications Contact
Governor Announces Major Business Expansion Adding 2,700 Jobs
ITT composite expansion further strengthens Utah aviation and aerospace industry
Salt Lake City, UTAH - Flanked by company leadership at the Utah Capitol, Governor Gary R. Herbert announced that ITT Corporation will bring more than 2,700 new jobs to Utah over the next 15 years, 500 of which are planned for the near future. "With Utah's unemployment rate at 7.4 percent, my focus is jobs, jobs, jobs. We are working harder than ever to bring quality jobs to the State," said Governor Herbert. The new jobs are part of ITT's expansion of its Salt Lake County composites engineering and manufacturing facility.
"ITT Corporation is one of the foremost global leaders in the aerospace composites industry. Utah has strategically targeted this very industry as key to bringing jobs and long-term growth to the State," Governor Herbert said. "Utah's business-friendly message is piquing the interest of international companies that invest in growth, so it is no surprise Utah is where they choose to grow."
"The ITT success story demonstrates that Utah has the fertile fields to cultivate and grow a world class aviation composites industry," said Spencer Eccles, executive director of the Governor's Office of Economic Development (GOED). "The expansion announced today punctuates that Utah has the business environment and workforce that can sustain long-term growth."
ITT's project will begin development this summer. Currently ITT employs 400 Utahns who serve commercial and military aircraft customers. Project jobs include high technology composite manufacturing and assembly positions, as well as engineering and project/program leadership positions. New wages are estimated to be approximately $1.3 billion over the term of the project. Salaries will exceed 125% of the Salt Lake County average salary and include full benefits.
"This initiative builds on 40 years of business success in Utah," said Jim Barber, vice president of ITT Electronic Systems' Integrated Structures business. "With this new facility, ITT is responding to the rapidly growing need for next-generation aircraft materials, and strengthening Utah's economy."
In addition, ITT plans to invest over $120 million in facilities and equipment to bring the new aerospace composite facility into operation. Over the life of the agreement between the State and ITT, new State tax revenues are expected to exceed $112 million.
"ITT's outstanding presence in our State and this expansion of its composite engineering facility will be a long-standing component of Utah's aerospace, aviation and medical device industries," says Jeff Edwards, president and CEO of Economic Development Corporation of Utah.
Earlier today the Governor's Office of Economic Development Board voted in a special session to approve a post-performance, single taxpayer economic development tax incentive for ITT. The maximum value of the incentive will be in the form of a $33,656,000 EDTIF post-performance refundable tax credit incentive that will represent 30% of new state revenue collected over 15 years. The company will be eligible for increments of the tax credit only after they complete the requirements for job creation and capital investment.
ITT Electronic Systems provides innovative integrated solutions for the global defense, intelligence, information assurance and commercial aerospace sectors. As a leader in electronic warfare and communications, ITT leverages their experience and innovation to ensure the success of their customers' critical missions. ITT technology leadership extends into the areas of airborne electronic attack, networked and satellite communications, counter- improvised explosive devices, airspace management, surveillance systems, airborne and shipboard radar, acoustic sensors, advanced composite structures and electronic weapons interfaces.
ITT Corporation is a high-technology engineering and manufacturing company operating on all seven continents in three vital markets: water and fluids management, global defense and security, and motion and flow control. The company has a heritage of innovation, ITT partners with its customers to deliver extraordinary solutions that create more livable environments, provide protection and safety and connect people around the world. Headquartered in White Plains, N.Y., the company reported 2010 revenue of $11 billion and more information about the company can be found at www.itt.com.