TTX Company, a major provider of railcars and related freight car management services to the North American rail industry, will move its headquarters to Charlotte, creating 150 jobs Governor Roy Cooper announced today. The company will invest $14.5 million in Mecklenburg County.
“Designated as the number one state in the nation to do business for the second year in a row, our quality of life, infrastructure and talented, well-educated workforce lets companies know they will find success in North Carolina," said Governor Cooper. “Charlotte’s stellar reputation as a place to do business makes TTX’s decision to move its headquarters to the Queen City no surprise.”
TTX, currently headquartered in Chicago, is a railcar pooling company founded as Trailer Train in 1955 by the Pennsylvania Railroad. The company is privately owned by North America’s leading railroads and functions as the industry’s railcar cooperative. TTX’s right-sized, low cost, reliable fleet of over 170,000 railcars serves North America’s railroads and the world’s freight needs. TTX helps railroads meet their customers’ needs by providing well-maintained railcars in an efficient, pooled environment, investing $6 billion in additional railcars over the past ten years alone. TTX has a complete engineering and design team to care for its large and varied fleet with maintenance operations in terminals across the United States. Today’s decision will establish the company’s headquarters in Charlotte and includes units involved with finance, information technology, human resources, and business and product development, among others.
“We believe Charlotte presents a unique opportunity for TTX that provides for strategic partnerships to strengthen our business,” said Thomas F. Wells, President & Chief Executive Officer for TTX Company. “Our company is positioned to provide strong rail and freight car management services from the Charlotte metro area – as such, we are excited to partner with local innovators, business leaders, and academic institutions to drive value for the North American rail industry and the local economy. We also look forward to welcoming new local talent to join our existing workforce to continue to drive our long-term success.”
“I’m pleased TTX recognized North Carolina’s commitment to develop and attract talent to our state, a commitment that became an important factor in their site selection decision,” said North Carolina Commerce Secretary Machelle Baker Sanders. “We never take for granted the importance of a strong, well-trained workforce. From our excellent universities to our community colleges and K-12 schools, North Carolina will continue to invest in our people and the educational systems that create opportunities for everyone.”
The North Carolina Department of Commerce led the state’s support for the company during its site evaluation and decision-making process.
Although wages will vary depending on the position, the average salary for the new positions will be, at a minimum, $162,000. The current average wage in Mecklenburg County is $80,349.
TTX’s project in North Carolina will be facilitated, in part, by a Job Development Investment Grant (JDIG) approved by the state’s Economic Investment Committee earlier today. Over the course of the 12-year term of this grant, the project is estimated to grow the state’s economy by $855 million. Using a formula that takes into account the new tax revenues generated by the new jobs, the JDIG agreement authorizes the potential reimbursement to the company of up to $1,827,750, spread over 12 years. State payments only occur following performance verification by the departments of Commerce and Revenue that the company has met its incremental job creation and investment targets. JDIG projects result in positive net tax revenue to the state treasury, even after taking into consideration the grant’s reimbursement payments to a given company.
Because TTX chose a site in Mecklenburg County, classified by the state’s economic tier system as Tier 3, the company’s JDIG agreement also calls for moving $609,250 into the state’s Industrial Development Fund – Utility Account. The Utility Account helps rural communities finance necessary infrastructure upgrades to attract future business. Even when new jobs are created in a Tier 3 county such as Mecklenburg, the new tax revenue generated through JDIG grants helps more economically challenged communities elsewhere in the state.
“We’re so excited to welcome a new headquarters operation to Charlotte,” said N.C. Senator DeAndrea Salvador. “Many companies find our business-friendly city an inviting place to locate, and we’re confident TTX will also enjoy the many advantages our region offers.”
“North Carolina is one of the best business locations in the United States, and we’re pleased that a company of TTX’s caliber has recognized our strengths,” said N.C. Representative Mary Belk. “Our community welcomes TTX with open arms and all of us in Mecklenburg County and the City of Charlotte will work together to support this company’s move and continuing growth in our state.”
Partnering with the North Carolina Department of Commerce and the Economic Development Partnership of North Carolina on this project were the North Carolina General Assembly, the North Carolina Community College System, Mecklenburg County, the City of Charlotte, Charlotte Center City Partners, and the Charlotte Regional Business Alliance.
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