VOL. 130 | NO. 33 | Wednesday, February 18, 2015
Coca-Cola Awarded Incentives to Stay, Expand in Memphis
By Amos Maki
Coca-Cola appears poised to grow its Memphis presence.
The city-county Economic Development Growth Engine awarded Coca-Cola Refreshments USA Inc. a 15-year tax break Wednesday, Feb. 18 to consolidate distribution operations in Memphis and West Memphis, Ark., into one facility in Memphis.
The city-county Economic Development Growth Engine has awarded Coca-Cola Refreshments USA Inc. a 15-year tax break to consolidate distribution operations in Memphis and West Memphis, Ark., into one facility in Memphis.
(Daily News/Andrew J. Breig)
Coca-Cola is considering a $10 million project to consolidate distribution operations in a 266,800-square-foot space 4770 Southpoint Road in Memphis.
The Atlanta-based beverage giant would maintain its production operations on Hollywood Street in Memphis and in West Memphis but plans on moving 317 employees from the Hollywood location and another 50 employees from West Memphis to the new distribution center, which will serve the Memphis region.
“The key message I’d like to deliver is we value the 108-plus years of operating in the Memphis community and we feel like this will position us for position us for future growth and give us an opportunity to continue to support the community for another 100-plus years,” said Joe Gentry, general manager for Coke’s Memphis and Little Rock region.
Gentry declined to say when the company, which said it was considering unidentified sites in Mississippi and Arkansas for the project, would make a final decision and referred questions to a company spokesperson.
The 15-year payment-in-lieu-of-tax freeze would save the company $3.5 million while producing a local tax benefit of $27.3 million over the same period of time, according to EDGE.
EDGE said the project would bring in $7.83 in new tax revenue for every $1 abated.
“That may be the highest (cost-benefit ratio) I’ve seen since I’ve been on this board,” said EDGE board member Jackson Moore.
According to the company’s PILOT application, the 50 new jobs would pay an annual average salary of $39,913 while the 317 retained jobs would have an average annual salary of $39,793.