ADM Considers Moving Headquarters to Chicago, Dallas or Atlanta
Archer Daniels Midland (ADM), a major food processing giant is reportedly considering moving its international headquarters. Dallas, Atlanta and Chicago are some of the cities among others that the company officials visited in recent few weeks to scout for a suitable place, according to several news reports.
Currently stationed in Decatur, Illinois, ADM announced plans of shifting base sometime in September. The agribusiness giant stated that it wanted to move out after staying in the city for 44 years to make international travel easier for employees, reports Bloomberg.
The company is apparently looking for a place that has a good labor base, greater and easier transportation access and financial incentives (tax benefits) as well.
According to the Business Journal, ADM executives met with Dallas city officials. St. Louis, Denver, Houston and Indianapolis are also on the company's radar.
"We've made a decision to locate our global headquarters (to) another city. It's not a huge list. At this point we haven't ruled any in or any out from that list," Victoria Podesta, spokeswoman for ADM told the Journal-Constitution.
ADM Seeking Illinois Tax Incentive
The company is not anxious to leave Illinois so soon. But it seems there was a slight hitch in negotiations with state officials. It had wanted the state to give an annual $1.2 million tax incentive for the next 15 to 20 years, which the government did not find agreeable.
The General Assembly, on its part was ready to give ADM tax breaks of up to $24 million. But Governor Pat Quinn said that they won't be considering any tax legislations until the state takes care of its pension problems. The company is also required 'to provide documentation that attests to the fact of competition among a competing state,' reports Star Tribune.
"Any special legislation that would give tax breaks to ADM or any other company I don't think is the proper priority right now. The priority is pension reform that is constitutional and fair, and so I think the company would be best off helping us get pension reform," Quinn said in a speech in Urbana, Illinois.
ADM has not commented on the issue.
Until now, Chicago is slightly ahead of the other cities in its bid to lure the company.
ADM is the world's largest grain processor and will bring about 200 jobs to the city it moves into. It currently has 30,000 employees and operates in more than 140 countries. It was ranked #27 in Fortune's 500 List of Biggest Companies in the U.S., reports The Land. ADM announced its entry into the Australian market with the acquisition of GrainCorp Ltd., an Australian grain handler firm for $3.2 billion. Shares of ADM were up 1.04 percent on closing trade.