Posted on 01/31/2017 7:40:49 AM PST by bigbob
Caterpillar Inc (CAT.N) said on Tuesday it would move its global headquarters to the Chicago area from Peoria, Illinois later this year to move closer to a global transportation hub and make it easier to recruit executives.
A limited number of senior executives and some relocated from Peoria will be based at the new headquarters, and about 300 will be based there once the facility is fully operational, the company said in a statement.
The company did not specify the exact location of its new headquarters.
(Excerpt) Read more at finance.yahoo.com ...
Other stories with more detail can be found at the link.
Move to Chicago? I guess they enjoy paying kickbacks.
Trying to make Peoria the next rust-bucket? Slippery slope.
The C-level execs and any employees who travel demand proximity to an airport with excellent connections. We’ve watched that play out in the Greensboro, NC area since country club dwelling fools were allowed to prevent an airline hub with their ignorant protests over noise back in the 80’s. It went to Charlotte. Corporate headquarters have been dwindling since.
This is what Boeing did a couple of decades ago.
Who in their right mind would move into Ill., much less Chicago?
South Chicago?!?
Chicago is broke. What was Cat bribed with? And who gets stuck with the tab?
Let’s see...a record 46 months of diminishing sales worldwide? Yep, moving to a new world HQ ought to solve the problem.
Why not Shanghai? Or Rio. If you’re going to spend the money spend it big.
Can’t figure out how IMHO a $25 stock consistently trades in the $85-100 range.
Yep, and many others for the same reasons. “Close to airports and easier to recruit”. I worked for a Fortune 100 company and spent plenty of time driving or riding to/from O’Hare but the prettiest sight was seeing the Elgin toll plaza sign in my rear-view mirror as I’d head for home.
I can’t figure out why they would pick Chicago over much more friendly Tax and Regulation sites. There must be some kind of financial incentive we are not hearing about.
A deal this size must’ve been done during the Obama admin. What was the Obama admin’s involvement, if any?
Note to Cat’s shareholders: Better pray this is on the up-and-up....
Peoria is not just a small city, it is an unusually hard to get to small city. It not only lacks a serious airport, but doesn’t even have main highways connecting it directly to other cities.
I imagine Illinois/Chicago offered lots of goodies for them to stay in state.
I’d say it’s the recovery from when it was a $25 stock in early 2009 that is the reason for present valuation. If moving some execs to Chicago keep that trend going, no question the shareholders and analysts will reward them for doing this move.
If you read this article:
Then you will realize that this is part two of President Trump’s job plan, you will see that:
“Watch closely and you’ll note how many significant corporations come out in opposition to the Visa restrictions. Their opposition is not about security; their opposition is, in no small part, because their strategic business models necessarily include the import of foreign workers.
The corporations who will be most vocal against the security visa executive action, will be those business interests who rely upon non-U.S. workers. The America electorate is about to discover just how many foreign workers are inside the U.S. economic system.”
You see our President is a very smart person, people came to him while he was President-Elect and wanted to move companies back to America, but failing to see that our President wants ‘Hire Americans’ and these companies did not understand that, they want to keep the ‘H1B’ visa action going so they don’t have to ‘Hire American’...so how many of these companies are really going to go along with this?
This ‘war’ is just beginning, and we will see just how many companies will stay in America now...
GE left Connecticut for Boston last year for, apparently, the same reason. But greasing these moves are under the table, crony-capitalist tax breaks.
Chicago is a great town, once you get past the BS of living in a big city. Lots of fun, lots of good places to eat and drink, lots of things to do. But people who don’t like any of the above might not like the city itself.
They should be moving to a lower tax state with a sounder financial situation. Any where in crook county is a bad choice. Boeing also made a bad choice. They should have moved to Texas.
They are just doing it so when they bulldoze the city, they’re sitting pretty as a local bulldozer source.
They were built on midwestern, country roots and an outlook that made them naturally strong. And that strength made them successful.
Now, on the decline, they have chosen short-term superficiality.
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