Amer Sports Selects Utah for Future Expansion

Pete CodellaNews, Tax Credits

The Governor’s Office of Economic Development (GOED) today announced Amer Sports Winter & Outdoor Company will expand its operations in Utah, planning to add up to 155 jobs, $6.5 million in new state revenue, and up to $32 million in capital investment over the next 10 years.

“Amer Sports Winter & Outdoor’s presence and corporate culture elevates both Northern Utah and the state’s outdoor industry,” said Val Hale, executive director of GOED. “Working with the Utah Office of Outdoor Recreation, led by Tom Adams, we are grateful that Amer Sports Winter & Outdoor, a company that houses well-known brands such as Salomon, Atomic, Arc’teryx, Mavic, Suunto, Armada and Peak Performance, has chosen to expand its U.S.A. Winter & Outdoor headquarters here in the state.”

Amer Sports, the parent company of Amer Sports Winter & Outdoor, is a sporting goods company with internationally recognized brands including Wilson and Precor, in addition to the Winter and Outdoor brands. The company’s technically advanced sports equipment, footwear, and apparel improve performance and increase the enjoyment of sports and outdoor activities.

“We have built a partnership with the city of Ogden, Weber County and the State of Utah and are excited to announce the expansion of our operations,” said Bill Kirchner vice president & general manager of Amer Sports Americas.

“Our brands play an integral role in the outdoor and winter sports community by inspiring consumers to live active and healthy lifestyles. We value the unique opportunity Utah provides us to engage with skiers, snowboarders, runners, bikers and hikers and are proud to call Utah our home”

“Ogden has been fortunate to have Amer Sports Winter & Outdoor in our community since 2007,” said Mike Caldwell, mayor of Ogden City. “The city’s unparalleled access and strategic location to outdoor recreation is an undisclosed advantage to this internationally known company. We are fortunate that Amer Sports Winter & Outdoor is a great community partner, and we look forward to strengthening our relationship.”

Amer Sports Winter & Outdoor plans to create up to 155 jobs over the next 10 years. The total wages in aggregate are required to exceed 110 percent of the average county wage. Projected new state wages over the life of the agreement may be up to $43,576,270, which includes wages, salaries, bonuses and other taxable compensation. Projected new state tax revenues, as a result of corporate, payroll and sales taxes are estimated to be $6,570,270 over 10 years.

“Amer Sports Winter & Outdoor and Utah go way back—the company helped establish the outdoor industry here in the state and solidified our brand as a destination for outdoor enthusiasts,” said Theresa Foxley, president and CEO of the Economic Development Corporation of Utah. “We’re grateful for its continued, expanding presence.”

Amer Sports Winter & Outdoor may earn up to 20 percent of the new state taxes they will pay over the 10-year life of the agreement in the form of a post-performance Economic Development Tax Increment Finance (EDTIF) tax credit. As part of the contract with Amer Sports Winter & Outdoor, the GOED Board of Directors has approved a post-performance tax credit not to exceed $1,314,054. In addition to the EDTIF post-performance tax credit the company was also approved for an Industrial Assistance Account post-performance grant of up to $300,000 for the retention of current employees, not to exceed $2,000 per employee. Each year that Amer Sports Winter & Outdoor meets the criteria in its contract with the state, it will earn a portion of the total tax credit.

Amer Sports Winter & Outdoor is expanding its headquarters in Ogden and will build a new distribution center within the State of Utah, at an undetermined location that will be announced at a future date.