Posted by Governor's Office on 06:48:04 12/17/04

NEWS RELEASE

Acting Governor Richard J. Codey

Date: December 16, 2004

FOR MORE INFORMATION:
Kelley Heck 609-777-2600

CODEY LAUDS PFIZER S $500 M EXPANSION PLAN
State Commerce Commission today approves three business incentive agreements with Pfizer that will retain 2,070 New Jersey jobs

(TRENTON) Acting Governor Richard J. Codey today congratulated Pfizer Inc. for its plan to invest $500 million and retain 2,070 jobs in expansion projects in Morris Plains and Parsippany.

This is excellent news for New Jersey, our workers and our economy. We applaud Pfizer for renewing its commitment to another generation in New Jersey. With this investment, Pfizer reinforces its standing as a global pharmaceutical leader and as an anchor for the world s pre-eminent life sciences cluster, Acting Governor Codey said.

New Jersey remains a national leader in job creation with a record-breaking performance and a premier center for the growing research-based economy, the Acting Governor continued. At a time when other States and countries are feverishly recruiting pharmaceutical companies, Pfizer s investment speaks volumes about our State s life sciences cluster. Clearly, the best just got better.

During its regular meeting today the New Jersey Commerce & Economic Growth Commission approved nine resolutions, three involving tax incentive agreements critical to Pfizer s decision to move forward with the first phase of a multi-year expansion and renovation plan.

The Business Retention program will extend a New Jersey Sales and Use Tax exemption to Pfizer, for the costs of its expansion and retention of employees. Retained employees will be moved from Pfizer s existing New Jersey facilities, to the new or renovated facilities. The tax exemption applies only to the property purchased for the relocation, and allows Pfizer to purchase machinery, furniture and other building materials at the project locations.

The Business Retention and Relocation Act will prove vital to our continuing efforts to effectively and efficiently serve our diverse business community, said Commerce Secretary Virginia S. Bauer. Moreover, key revisions to its grant capability, its related tax credit transfer program, in addition to new sales and tax exemptions for manufacturers will undoubtedly serve to expand New Jersey's reputation as the foremost business location in the Northeast.

Treasurer John E. McCormac said, This is a signature retention effort, and I extend special credit to state officials who worked with the company on a day to day basis to help grow Pfizer's jobs and investments right here in New Jersey.

Pfizer will initiate three projects, two of which will update and expand the company s Morris Plains campus, and one a third that will expand a facility in Parsippany.

The Morris Plains projects will include the construction of a 250,000 square foot research and development building; the renovation and expansion of existing laboratory and office space; and the construction of a 450,000 to 500,000 square foot office building. The Parsippany project will include a 160,000 square foot expansion that will house a research and development facility.

In addition to retaining more than 2,000 jobs, the construction projects will create numerous construction jobs and millions of dollars of economic activity. They will also lead to increased income and corporate business tax revenue to the State, and increased local property tax revenues.

New Jersey s success hardly comes by accident. The State has worked hard to strengthen relationships and address the business needs of our life sciences companies. Today s commitment is testament to the power of New Jersey s economic incentives and the State s resolve to remain the location of choice for corporate headquarters, research and development, marketing, manufacturing and distribution, Acting Governor Codey said. ###

Photos and audio and video clips from Acting Governor Codey's public events are available

in the Acting Governor's Newsroom section on the State of New Jersey web page, http://www.nj.gov/gov_newsroom.html.

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