Four Winns granted multimillion-dollar tax credit

Posted on February 26, 2010
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Michigan officials have awarded Four Winns a state tax credit valued at $27.1 million over eight years.

The funds are meant to encourage the company to expand in Michigan over competing sites in Minnesota and Tennessee. The city of Cadillac is considering an abatement in support of the project, state officials said in a statement.

"The manufacturer of recreational fiberglass boats has defined a project to invest up to $63 million over the next eight years, an average of $7.9 million per year, to expand in Cadillac to support increased production of Four Winns, Wellcraft and Glastron boat brands currently produced in Cadillac and Little Falls, Minn.," Michigan officials said.

"Assuming a return to peak manufacturing levels, the project has the potential to create 5,255 total jobs, including up to 2,320 directly by the company, between now and 2018," the release stated. "The MEDC estimates the increased economic activity created by the project could create an additional 2,935 indirect jobs."

Four Winns was one of 10 companies to receive such incentives. Combined, the 11 projects are expected to create 17,321 new jobs (5,749 direct and 11,572 indirect) and generate more than $804 million in new investment in the state.

 

Comments
10 February, 27 2010, 04:23 PM
By deep south
I totally agree with DB.  We are talking about blowing some smoke!  If they created 500 jobs they will be doing good. 
9 February, 27 2010, 08:33 AM
By Boatbuilder

As someone who has been and still is in this industry for over 25 years it makes me extremely happy to see at least some of the small towns gaining back some of those lost jobs. At the same time I can only hope that the economy turns around and there is some recovery for those in Little Falls & Murfeesboro. There are truly some very taleneted and dedicated people that worked for the former Genmar companies who will be watching jobs move away.


What would be more encouraging is to see the group of people who constantly post on this and other sites with their pessimistic glass half empty,  woe is me attitudes. You must really lead a miserable lives. Why not try the more optimistic glass half full, go forward approach? Trust me it would do wonders for your outlook and personal well being.


The industry has suffered through this trainwreck of an economy but, in time it will rebound even if not to its historic levels. I do not believe anyone truly thinks that will ever happen.


It is like a scrambled egg, once scrambled it cannot be undone. But we can take the optimistic approach and look and hope for the best going forward. Try it sometime.

8 February, 26 2010, 04:48 PM
By Pedro
Strange, just a few days ago we see ALL Glastron production being moved to Cadillac and the announcement that there will be  NO increase in facilities. Of course not - they can already handle 20X their current levels! Why do these idiot bureaucrats need to lie about totally fallacious growth and employment #s when they are snookering the taxpayers? Only answer I can figure is that they are practicing so they can move to Washington.
7 February, 26 2010, 04:46 PM
By jobs shift
You guys are missing the message between the lines.  They are just going to consolidate all they bought, in Cadillac.  The jobs are going to come from, Arkansas, Tennesee, and Minnesota.  It is not organic growth it is just transplanting jobs.  Obviously they are also hoping to count the jobs that are create from past layoffs when the economy returns.  They only paid $77M for the business, if they can just break even over the next 8 years they will get back a third of what they spent. Cash is king and Platnium is proving it.  The only question is if Platnium is planning on sticking around for 8 years.
6 February, 26 2010, 04:19 PM
By Boat Sales Person

Four Winns did not offer rebates or engine warranty to sell old product and still has not.  Until old inventory is sold off they will not get new orders! Help the dealer base shed old product and we all can survive!  Old world sales tactics strong arming the dealer for boats they don't want or can't take is not the answer.  Understand the problem!  Don't ignore the guy that buys from you! Pretty simple stuff! I hope Platinum is listening! A world class company would survey the dealer base to find the problems. We are waiting?

5 February, 26 2010, 03:02 PM
By Terry
The governor of the State of Michigan is term limited and she is over soon .She  has no  conception of the real world. It makes her and her party sound like real stars to project all theses jobs(smoke and mirrors). The boating industry will never come back like it once was, at least not in Michigan.
4 February, 26 2010, 02:49 PM
By RUSS
WISH THE GOV. WOULD HELP DEALERS WITH FLOORPLAN FUNDS. 4 WINNS CAN EXPAND ALL THE WANT, WHOSE GOING TO BUY THEIR PRODUCT WITH OUT FUNDING THE DEALERS?
3 February, 26 2010, 01:45 PM
By George
Ever hear of tax reduction for everyone, not just the chosen few?
2 February, 26 2010, 12:21 PM
By Larry

Ok


Just read the article about the Missouri Dealers having a Tax break for the Large boat buyer's.


WHATS the Difference ????  Large manufacturers are always given Incentives ( Tax Breaks ) Look a Wal Mart.


Guess when it is the little guy ( Dealers ) they don't count. When are the politians going to wake up & see this for what it is !! These companies will do business where they have the right employee's & options.


Why do they insist on giving away the bank when they can not balance the books now?


Larry

1 February, 26 2010, 12:20 PM
By DB

What kind of crack are they smoking at project boats?  They will never employ 2300 more people in Cadillac.  The national economy won’t support that kind of growth.  Let’s get to a point where we don’t need this kind of tax mumbo jumbo to survive.  Why are they talking about expansion when they are bogged down with too much old inventory in the field and their whole line up that need to be updated?

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