Subsidy Tracker Individual Entry

Company: 
Continental Tire the Americas
Parent Company: 
Continental AG
Subsidy Source: 
multiple
Location: 
South Carolina
County: 
Sumter And Lancaster
Project Description: 

tire manufacturing plant and U.S. headquarters expansion

Year: 
2011
Major Industry of Parent: 
automotive parts
Specific Industry of Parent: 
automotive parts-tires
Subsidy Value: 
$250,000,000
Program Name: 
multiple
Awarding Agency: 
multiple
Type of Subsidy: 
MEGADEAL
Number of Jobs or Training Slots: 
1,700
Capital Investment: 
$500,000,000
Source of Data: 

The value and the breakdown of the subsidy package were taken from Rick Brundrett , "$35 Million 'Rabbit' Pulled Out of Hat for Continental," The Nerve, June 26, 2012; available at: http://thenerve.org/news/2012/06/26/Continental-incentives/. The jobs and investment values as well as CDBG grant information are taken from October 6, 2011 press release by South Carolina Department of Commerce, available at: http://sccommerce.com/news/press-releases/continental-tire-americas-llc-...

Notes: 

The value of the subsidy package was calculated by The Nerve, a news project of the South Carolina Policy Council, based on documents the organization received as a result of Freedom of Information Act request. The subsidy package was put together for Continental Tire's new plant in Sumter County and for the company's U.S. headquarters expansion in Lancaster County. The package will be disbursed over 10 years and includes both state and local subsidies: $118 million in corporate income tax credits; $37 million in Job Tax Credits; up to $35 million from a deal closing fund; $32 million in Job Development Credits; $18.6 million in unspecified local assistance; $5.1 million in training assistance; and a $5 million grant from the South Carolina State Port Authority. Sumter County also approved unspecified amount in FILOT (fee-in-lieu of taxes) assistance in the form of a flat fee of 4 percent instead of 10 percent of the plant's assessed value. The county will rebate to the company its FILOT payments for first 10 years. The subsidy package value does not include $4 million in federal Community Development Block Grant funds. The main Subsidy Tracker database incudes an Enterprise Zone Job Development Credit entry for the company for 2012 but without a subsidy value.

Source Notes: 
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