Subsidy Tracker Individual Entry

Company: 
Motorola Mobility
Parent Company: 
Lenovo
Subsidy Source: 
state
Location: 
Illinois
City: 
Libertyville
Project Description: 

headquarters retention

Year: 
2011
Major Industry of Parent: 
electrical and electronic equipment
Specific Industry of Parent: 
computers
Subsidy Value: 
$117,900,000
Program Name: 
multiple
Awarding Agency: 
multiple
Type of Subsidy: 
MEGADEAL
Number of Jobs or Training Slots: 
2,500
Capital Investment: 
$600,000,000
Source of Data: 

The value and the breakdown of the subsidy package and the job and investment projections are taken from Alejandra Cancino, "Motorola's state tax break comes with wiggle room," Chicago Tribune, June 20, 2011. See also a press release issued by the Illinois Department of Commerce and Economic Opportunity on May 6, 2011; available online at: http://www.ildceo.net/dceo/news/2011+archives/pr05062011.htm

Notes: 

The $117.9 million subsidy package was assembled to discourage Motorola Mobility from relocating from its headquarters in the Chicago suburb of Libertyville. The package included at least $113.7 million over 10 years from the Economic Development for Growing Economy (EDGE) program ; $1.25 million from the Employer Training Investment Program (ETIP); and a $3 million Large Business Development Grant. The company was also named a "High Impact Business" but there is no information about the amount of benefits it would receive through this designation. In May 2012, Motorola Mobility was bought by Google; the purchase did not impact the subsidy package. In July 2012, Motorola Mobility announced that by summer 2013 it will relocate from Libertyville to Chicago. Chicago did not offer new subsides but the 2011 state subsidy package remained in place (taken from: "Motorola Mobility moving to Chicago next year," The Associated Press State & Local Wire, July 26, 2012). In March 2013, in another round of layoffs, Google cut jobs at the Libertyville location, bringing down Motorola's employment below 2,500 workers, the number required by the subsidy agreement. The subsidy package appears to be currently on hold until the company brings its employment back to 2,500 (see for example: Anna Marie Kukec, "Google cuts 1,200 more Motorola Mobility jobs," Chicago Daily Herald, March 9, 2013). Overlaps with main Subsidy Tracker data: none.

Source Notes: 
If an online information source is not working, check the Tracker inventory page for an updated link.