Missouri pitches bid for Boeing aircraft plant

  • Associated Press
  • Wednesday, November 27, 2013 2:22pm
  • Business

CHESTERFIELD, Mo. — As suitors across the country line up hoping to land a new Boeing Co. commercial aircraft manufacturing plant and its thousands of high-paying jobs, Gov. Jay Nixon on Wednesday stressed the company’s Show-Me State roots and vowed to compete aggressively against the other bidders.

Missouri is among several states vying to produce the Boeing 777X commercial airplane. Alabama, California, South Carolina, Texas and Utah also are pursuing the project. The Chicago-based aircraft manufacturing giant initially wanted to build the jet in Washington state, where the company was founded, but scrapped those plans after union machinists refused to accept concessions in a proposed contract. Boeing immediately looked elsewhere, and company executives met privately with Nixon last week.

The Democratic governor took his pitch Wednesday to about 300 civic and business leaders in St. Louis and St. Charles County at an awards luncheon hosted by Progress 64 West, a group that promotes development along the Interstate 64 corridor. Nixon said he and legislative leaders are considering whether to hold a special session on possible economic incentives for the manufacturer before lawmakers’ scheduled return to Jefferson City in early January.

“When it comes to game-changing manufacturing projects, it doesn’t get much bigger than this,” Nixon said. “This is a huge, transformative project and we’re going to compete for all of it.”

He didn’t offer details on how much he thinks Missouri would have to provide Boeing in tax incentives, but the Legislature in recent years twice has approved costly packages crafted to entice specific corporations to move to the state.

In 2008, lawmakers authorized $240 million of tax credits for Bombardier Aerospace to build passenger jets near Kansas City International Airport. The company instead chose to manufacture the planes in Mirabel, Canada, near its Montreal headquarters.

Two years later, Nixon summoned legislators to a special session to consider incentives for Ford Motor Co. to continue manufacturing vehicles at its facility near Kansas City. Lawmakers subsequently approved $150 million of auto industry incentives that have been used by Ford and General Motors Co. to expand production in the Kansas City and St. Louis areas.

But those deals pale to the largess some states have offered, including Washington, which a decade ago gave Boeing more than $3 billion in tax credits. Lawmakers there also have approved nearly $9 billion in tax breaks over more than a decade should the Boeing 777X plant stay close to home.

Since Boeing expects to choose a location as soon as January, Nixon and other elected leaders have to move fast.

“It will be a short Thanksgiving,” he said. “This is moving quickly. It’s a matter of days, not weeks.”

Boeing already employs 15,000 people in Missouri, with the St. Louis region the aircraft-maker’s second-largest location outside of Seattle, where the company’s defense unit is based. Nixon joined company CEO W. James McNerney Jr. at the Paris Air Show in June to announce the addition of 400 information technology jobs at its north St. Louis County campus. Nixon traced the company’s Missouri connections to aerospace manufacturer McDonnell Douglas, which was based at Lambert-International Airport in St. Louis before its 1997 merger with rival Boeing.

“The aerospace industry has long been part of the fabric of this region’s identity and economy,” Nixon said. “Our long tradition of excellence in aerospace spans from Charles Lindbergh and the Spirit of St. Louis, to McDonnell Douglas and Boeing Defense.

“For generations, workers here in Missouri have built the aircraft and weapons that have kept our world safe and our economy strong.”

Asked after his speech how Missouri could attract Boeing after missing out five years ago on its bid for the Canadian company, Nixon again cited the company’s familiarity with the state.

“Boeing has a significant investment in this region, and our workers have performed in a very competitive way for them,” the governor said. “You have, in essence, a hometown company.”

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Business

Allan and Frances Peterson, a woodworker and artist respectively, stand in the door of the old horse stable they turned into Milkwood on Sunday, March 31, 2024, in Index, Washington. (Ryan Berry / The Herald)
Old horse stall in Index is mini art gallery in the boonies

Frances and Allan Peterson showcase their art. And where else you can buy a souvenir Index pillow or dish towel?

Everett
Red Robin to pay $600K for harassment at Everett location

A consent decree approved Friday settles sexual harassment and retaliation claims by four victims against the restaurant chain.

magniX employees and staff have moved into the company's new 40,000 square foot office on Seaway Boulevard on Monday, Jan. 18, 2020 in Everett, Washington. magniX consolidated all of its Australia and Redmond operations under one roof to be home to the global headquarters, engineering, manufacturing and testing of its electric propulsion systems.  (Andy Bronson / The Herald)
Harbour Air plans to buy 50 electric motors from Everett company magniX

One of the largest seaplane airlines in the world plans to retrofit its fleet with the Everett-built electric propulsion system.

Simreet Dhaliwal speaks after winning during the 2024 Snohomish County Emerging Leaders Awards Presentation on Wednesday, April 17, 2024, in Everett, Washington. (Ryan Berry / The Herald)
Simreet Dhaliwal wins The Herald’s 2024 Emerging Leaders Award

Dhaliwal, an economic development and tourism specialist, was one of 12 finalists for the award celebrating young leaders in Snohomish County.

Lynnwood
New Jersey company acquires Lynnwood Land Rover dealership

Land Rover Seattle, now Land Rover Lynnwood, has been purchased by Holman, a 100-year-old company.

Szabella Psaztor is an Emerging Leader. (Olivia Vanni / The Herald)
Szabella Pasztor: Change begins at a grassroots level

As development director at Farmer Frog, Pasztor supports social justice, equity and community empowerment.

Simreet Dhaliwal is an Emerging Leader. (Olivia Vanni / The Herald)
Simreet Dhaliwal: A deep-seated commitment to justice

The Snohomish County tourism and economic specialist is determined to steer change and make a meaningful impact.

Nathanael Engen, founder of Black Forest Mushrooms, an Everett gourmet mushroom growing operation is an Emerging Leader. (Olivia Vanni / The Herald)
Nathanael Engen: Growing and sharing gourmet mushrooms

More than just providing nutritious food, the owner of Black Forest Mushrooms aims to uplift and educate the community.

Owner and founder of Moe's Coffee in Arlington Kaitlyn Davis poses for a photo at the Everett Herald on March 22, 2024 in Everett, Washington. (Annie Barker / The Herald)
Kaitlyn Davis: Bringing economic vitality to Arlington

More than just coffee, Davis has created community gathering spaces where all can feel welcome.

Emerging Leader John Michael Graves. (Ryan Berry / The Herald)
John Michael Graves: Champion for diversity and inclusion

Graves leads training sessions on Israel, Jewish history and the Holocaust and identifying antisemitic hate crimes.

Gracelynn Shibayama, the events coordinator at the Edmonds Center for the Arts, is an Emerging Leader. (Olivia Vanni / The Herald)
Gracelynn Shibayama: Connecting people through the arts and culture

The Edmonds Center for the Arts coordinator strives to create a more connected and empathetic community.

Eric Jimenez, a supervisor at Cocoon House, is an Emerging Leader. (Olivia Vanni / The Herald)
Eric Jimenez: Team player and advocate for youth

As an advocate for the Latino community, sharing and preserving its traditions is central to Jimenez’ identity.

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.