Gov. Mike Easley announced that Andrew Corp., a global designer, manufacturer and supplier of communications equipment and services, will move into a new facility in Wayne County in 2006 adding 204 new jobs and retaining and relocating 232 existing jobs from the company's Smithfield facility. The project represents an investment by Andrew of $11.5 M over six years.
"Andrew Corp.'s decision to remain in North Carolina will enhance our already strong presence in the information technology sector and provide more than 200 new jobs for the state," Easley said. "North Carolina is a major center for telecommunications, networking and software development with 2300 IT companies employing more than 200,000 highly skilled workers."
Andrew Corp. is an Illinois-based, S&P 500 company that employs more than 11,000 workers in 35 countries. Its sales for fiscal 2005 totaled $1.96 B. In 2003, Andrew bought selected assets of Channel Master LLC, out of bankruptcy, including Channel Master's Johnston County plant that was making a variety of satellite communications related products. The Smithfield building is under the control of a bankruptcy judge and is scheduled to close next year.
Andrew, whose satellite communications group manufactures satellite antenna systems and electronics for home, commercial and military markets, considered moving the Smithfield jobs to South Carolina, Mexico or Illinois before deciding to locate in the Wayne County Industrial and Business Park near Goldsboro. Pending completion of all necessary local agreements, construction of the new 125,000 square foot facility is expected to begin this month, with a phased relocation from Andrew's 750,000 square foot Smithfield facility beginning later in 2006.
"Andrew is pleased that the support of the state and various local officials has enabled us to keep our satellite communications manufacturing operations here in North Carolina," said Jude Panetta, group president, Satellite Communications, Andrew Corp. "We look forward to the exciting opportunities this new location will provide for our employees and our overall ability to support customers from a state-of-the-art, highly efficient manufacturing facility."
"Our skilled workforce and this great company make a winning combination here in Wayne County," said Sen. John Kerr (D-Wayne). "Andrew's position in military and commercial applications is a great fit for eastern North Carolina."
The 204 new jobs are primarily in manufacturing, but also include production support, professional staff and engineers. While wages will vary by job function, the expected average wage of the new positions is $540 a week, not including benefits, which is higher than the Wayne County average of $481 a week, not including benefits.
Andrew will become the 35th recipient of a Job Development Incentive Grant (JDIG) since Easley started that program in 2002. It is the 10th JDIG award of 2005.
Under the terms of the 10-year agreement, unanimously approved by the state Economic Investment Committee, the N.C. Department of Commerce estimates the project will:
· Generate a cumulative gross state product value of $503 M; · Produce a positive, cumulative net state revenue impact of $7.3 M For each year that Andrew meets required performance targets, the state will provide a grant equivalent to 65 percent of the state personal income withholding taxes derived from the creation of new jobs. If the organization creates all of the jobs called for under the agreement and sustains them for 10 years, Andrew could receive a maximum benefit of $1.4 M.
JDIG grants are awarded only to projects whose benefits exceed their costs to the state and which would not be undertaken in North Carolina without the grant. Since 2003, the program has been responsible for creating more than 11,000 jobs and $2 B in investment to North Carolina.
Other partners who contributed to this project include the N.C. Department of Commerce, N.C. Community College System, Wayne County and the Golden LEAF Foundation.