Pennsylvania Governor Rendell Helps Break Ground On Westinghouse Nuclear Headquarters

$200 Million Project In Butler County Will Create, Retain 3,174 Jobs

August 14, 2007 -- CRANBERRY WOODS, Butler County – Pennsylvania Governor Edward G. Rendell had a shovel in his hand to help break ground today for a new Westinghouse Electric Company headquarters and technology center in Butler County, but he was thinking about special legislation he signed into law nearly a year ago that was designed to keep global companies like this one from moving out of Pennsylvania.

Article continues below...

“Without the strategic development areas legislation I signed into law last November, Westinghouse might have relocated out of Pennsylvania,” Governor Rendell said. “This project serves as a clear example of how SDAs are already working to help companies not only stay in the commonwealth, but also to expand, encourage capital investment, and promote job creation and retention.

“Westinghouse’s commitment to create at least 931 new jobs over the next five years proves the company recognizes the quality of Pennsylvania’s workforce. Upon completion of this project, Westinghouse will have approximately 4,400 employees in western Pennsylvania. That’s great news for our economy, our business climate and – most importantly – our hardworking men and women.”

Strategic development areas legislation gives the Governor the power to create special zones that offer tax incentives to businesses dedicated to creating new jobs and investing their resources in the areas that become SDAs. Each SDA must have the full support and endorsement of the affected municipalities. Companies operating in SDAs must own or lease the property in question and create or maintain 500 jobs within three years or make a capital investment of at least $45 million.

Two Westinghouse properties in Butler and Westmoreland counties have received strategic development designation.

Westinghouse’s $200 million headquarters will be constructed in Cranberry Woods and consist of three wings totaling 800,000 square feet. It will serve as the Westinghouse headquarters and technology center for the worldwide hub of Westinghouse Electric Company, the global leader in commercial nuclear power.

Westinghouse President and CEO Steve Tritch said the company is pleased that Pennsylvania, under Governor Rendell’s leadership, was able to make Westinghouse competitive with other states that were also determined to be viable locations for the company.

“George Westinghouse first established our company’s roots in southwestern Pennsylvania in 1886 with the founding of The Westinghouse Electric Company – the name that we are privileged to carry to this day.” he said. “For many generations since then, Westinghouse has contributed to the economic and social health and vitality of this region and we are proud to continue the legacy of our founding father.”

Westinghouse’s $200 million expansion project was coordinated through the Governor’s Action Team, which consists of economic development professionals who serve as a single point-of-contact for businesses considering locating or expanding in Pennsylvania.

The Community Development Corporation of Butler County and the Allegheny Conference on Community Development worked with Westinghouse and the Governor’s Action Team to secure a $6 million funding offer to the company from DCED. The financial package consists of a $2.25 million Pennsylvania Industrial Development Authority loan, a $1.65 million Opportunity Grant, a $1.25 million Infrastructure Development Program grant and $860,000 in Customized Job Training funds.

The company is also eligible to apply for a $10 million loan through the Citizens Job Bank program, which offers low-interest loans to companies that commit to creating or expanding jobs in Pennsylvania.

In Butler County, there have been 13 Governor’s Action Team projects successfully completed since January 2003. These projects total commitments for 2,504 new jobs created and 4,388 jobs to be retained. The commonwealth has offered more than $46.6 million in state assistance for these projects, which will leverage more than $242 million in additional investment.

Statewide since January 2003, 841 Governor’s Action Team projects have been successfully completed. These projects total commitments for 91,708 new jobs created and 208,155 retained jobs. The commonwealth has offered more than $1.6 billion in state assistance for these projects, which will leverage more than $10 billion in additional investment.

Westinghouse, a group company of Toshiba Corporation, supplied the world’s first pressurized water reactor in 1957 in Shippingport, PA. Today, Westinghouse technology is the basis for approximately half of the world’s operating nuclear plants, including 60 percent of those in the United States. To learn more about the company, visit www.westinghousenuclear.com.

For information on the Governor’s Action Team and other DCED programs, visit www.NewPA.com or call 1-866-466-3972.

Source: Pennsylvania Governor