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SALT LAKE CITY — The Governor’s Office of Economic Development Thursday announced an incentive to Fiberspar Corporation that would help the company expand into Utah.
Fiberspar — a leading composite manufacturer in the oil and gas industry — said it plans to create at least 276 new full-time Utah jobs.
“We are excited to expand our business in Utah with this new manufacturing facility," said Peter Quigley, Fiberspar president and chief executive officer. "Locating a Fiberspar manufacturing facility in Utah will allow us to leverage the growing number of composite material and technology companies located in the state, while allowing us to meet the needs of our oil and gas producing customers.”
The GOED board approved a single-taxpayer, post-performance tax credit incentive for Fiberspar in the amount of $1,474,900, based on the company hiring at least 276 employees over 10 years. The new full-time positions will have average wages in excess of 125 percent of the average county wage, including full health benefits. Estimated new state wages will be in excess of $80 million over the 10-year life of the agreement with the state.
The post-performance tax credit will be payable from new corporate income, wage and payroll, and sales taxes paid by the company over the same period. The company expects to spend over $23 million in capital investment and will pay in excess of $7.3 million in new state taxes over the 10-year life of the incentive period.
According to GOED, Utah's manufacturing industry now boasts the ability to assemble a jetliner from nose to tail with the composite materials supply chain that is in place across the state. In recent months, companies including ITT Composites, Boeing and ATK Aerospace Systems have all announced relocations or expansions in Utah.