INDIANAPOLIS, Ind. (Oct. 5, 2015) – Rolls-Royce secured its future commitment to Indianapolis Monday by announcing plans to invest nearly $600 million in its Indy operations and research over the next five years.
"The fact that they made this sort of investment in the city and state, I think it speaks well for the workforce here," Indianapolis Mayor Greg Ballard said.
The investment is the aerospace and defense contractor’s largest in the U.S. since its acquisition of the former Allison Engine Company in 1995. The investment announced Monday will go to modernize and upgrade Rolls-Royce’s Indianapolis operations, reducing costs by eliminating unused space and consolidate operations.
"A company that could go anywhere, could invest anywhere has chosen the state of Indiana and city of Indianapolis," Gov. Mike Pence (R-Indiana) said.
Upgrades at Plant 8 at Tibbs Avenue and Raymond Street will include installation of new equipment, and renovation work is expected to begin immediately. The company said some of its infrastructure and equipment dates back to World War II.
"We've got assets all over the world - 50 countries," Marion Blakey said, president and CEO of Rolls-Royce North America. "And obviously there's a lot of pressure. There's a lot of incentives from a variety of locations to say come to us. But the fact is, we have tremendous assets right here in Indianapolis,"
For 100 years, Rolls-Royce has been engineering, designing and manufacturing advanced technology in the Hoosier State, including engines that power U.S. naval vessels and Department of Defense aircraft.
As part of the agreement, the company will receive about $35 million in incentives from both the city and state, including tax credits and a training grant through the Indiana Economic Development Corporation.