Posted: Nov 12, 2013 4:42 PM EST | Updated: Nov 22, 2013 4:42 PM EST
Libbey Inc. executive Dan Ibele announced today the company will invest $20 million in Libbey’s Shreveport manufacturing site, bringing new technology and a new research and development component to its operations. The capital investment in new glass making technology will create 70 new direct jobs, averaging more than $38,000 per year, plus benefits. The new investment will also generate an additional 75 new indirect jobs in the community for a total of more than 140 new jobs. Libbey also will retain 511 existing jobs in Shreveport.
To secure the existing Libbey workforce, the new $20 million investment and to encourage growth of the company’s Shreveport workforce going forward, LED offered the company a new incentive package that includes a $500,000 Modernization Tax Credit to be claimed over five years after the investment is made. The company also is expected to utilize the state’s Quality Jobs and Industrial Tax Exemption programs. In addition, Libbey may claim Louisiana’s refundable Research and Development Tax Credit on qualified R&D expenditures. For businesses with 100 or more employees, that incentive provides an 8 percent refundable tax credit.
Over the next two years, Libbey will install new state-of-the-art equipment investing in proprietary glass making technology to keep the company and the Shreveport facility at the forefront of the glassware industry. Based in Toledo, Ohio, Libbey selected the Shreveport site for additional investment over other U.S. and international sites.
Earlier in the year, North Louisiana Economic Partnership (NLEP) and a coalition of state and local partners began visiting Libbey’s corporate officials in order to enhance communications and relationships. Libbey had previously announced the modernization of the Shreveport site in June 2011 with a $9 million renovation of an existing glass making furnace. Libbey completed the investment but later reduced its workforce due to changing market demand and foreign competition in the consumer glass tableware sector.
Less than six months ago, Libbey Glass announced laying off 100 employees. The job losses left some in the community fearing the company would leave altogether. Those layoffs went into effect at the end of May 2013. Libbey Glass is said to have transferred the lost jobs to Ohio and Mexico.