Cabinet for Economic Development
Governor Beshear and Remington Arms, a Freedom Group Company, Announce Expansion in Graves County
Expansion to create 100 new jobs, entail $5 million investment in the Commonwealth
HICKORY, Ky. (May 11, 2010) – Gov. Steve Beshear today joined company and community officials in Hickory to announce the expansion of Remington Arms Company, one of the largest domestic producers of shotguns and rifles. The company will add 100 new jobs to the Graves County facility and invest $5 million as a result of the project over the next three years.
“Kentucky is proud to partner with Remington, a longstanding corporate citizen, on this significant expansion,” said Gov. Beshear. “The creation of 100 new jobs and a $5 million investment in the Commonwealth will have a tremendous impact and is a testament to our ongoing commitment to support our existing industries.”
Founded in 1816, Remington is one of the nation’s oldest continuously operating manufacturers of shotguns and rifles. The company operates multiple manufacturing facilities within the United States and performs all significant R&D at its facility in Elizabethtown, Ky. Remington, which currently employs 91 Kentuckians in Hickory, plans to add 30,000 square feet to its existing 44,000 square-foot facility to accommodate the relocation of certain rifle production lines from Connecticut.
“Remington’s current operations in the Commonwealth contributed $33 million in Gross State Product in 2009, supporting a total of 268 full-time, permanent jobs, generating nearly $10 million in annual compensation for Kentucky residents and more than $3.7 million in state and local tax revenues,” said Joe Gross, COO of Freedom Group, the parent company of Remington Arms. “We are pleased to be in a position to further our investment in Kentucky to take advantage of the highly productive local workforce and the state’s business-friendly environment. On behalf of Remington Arms and its parent company, the Freedom Group, I would like to thank state and local officials for listening and responding quickly to our site selection and expansion issues. Their willingness to meet our ambitious time frame demonstrates their sensitivity to today’s intensely competitive business environment and their sincere interest in building the economy of western Kentucky.”
The Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved Remington Arms Company for tax incentives up to $4.5 million through the Kentucky Business Investment program, which can be earned over a 15-year period through corporate income tax credits and wage assessments.
KEDFA also approved the company for up to $45,000 through the Kentucky Enterprise Initiative Act, an incentive program that allows approved companies to recoup Kentucky sales and use tax on the cost of construction materials, building fixtures and equipment used for research and development. Additionally, KEDFA approved a $250,000 Economic Development Bond grant to the Graves County Fiscal Court for the benefit of Remington Arms Company.
“I am very excited about the expansion of Remington Arms and the addition of 100 new jobs to our community,” said Tony Smith, Graves County Judge Executive. “We feel very fortunate to have Remington Arms as a corporate member of our community. This expansion demonstrates that the employees and management have an outstanding work ethic. I would like to congratulate the Commonwealth of Kentucky, Remington Arms employees and the community on this project, for without their efforts this would have not been possible.”
“We are very excited about the expansion of operations at Remington Arms. These jobs are greatly needed in Mayfield and Graves County,” said Mayfield Mayor Arthur Byrn. “This successful project is the result of a cooperative effort by the local community, the Commonwealth of Kentucky and Remington management. We look forward to continued growth for Mayfield-Graves County.”
“Our community is very proud to have the Remington Arms facility in the Mayfield and Graves County area,” added Don Dorris, executive director of the Graves Growth Alliance. “We would like to thank Remington for choosing to expand their operation here in Graves County, Kentucky, and for providing a great work environment and the opportunity for our skilled workforce to secure good-paying manufacturing jobs at a top-notch company like Remington.”
A detailed community profile for Hickory (Graves County) can be viewed at http://thinkkentucky.com/EDIS/cmnty/index.aspx?cw=019. Information on Kentucky’s economic development efforts and programs is available at www.ThinkKentucky.com.