Casey's Plans Indiana Distribution CenterPosted: Updated:
Iowa-based Casey's General Stores Inc. (Nasdaq: CASY) has announced plans to open a distribution center in Terre Haute and create up to 185 jobs by 2019. The company says it will invest $30 million in the facility, which it hopes to open next year. Casey's operates nearly 1,800 convenience stores in 14 states.
April 1, 2014
Terre Haute, Ind. -- Governor Mike Pence joined executives from Casey's General Stores, Inc. (NASDAQ: CASY), a Midwestern convenience store chain, today to announce the company's plans to open a new distribution center here, creating up to 185 new jobs by 2019.
"Indiana is a state that works for logistics," said Pence. "Perfectly situated here at the Crossroads of America, our central location helps companies like Casey's reduce distribution costs. And with more pass-through interstates than any other state, Indiana helps companies reach their customers faster."
The Ankeny, Iowa-based company will invest approximately $30 million to construct and equip a 250,000 square-foot distribution and logistics facility in the Vigo County Industrial Park. Construction is anticipated to begin in November, and the new facility is expected to open its doors by fall 2015. This will be Casey's second distribution center, allowing it to reach new markets and increase distribution efficiencies.
"One of Casey's objectives is to continue to grow our store base in our existing 14 state territory, at the same time expanding our presence in new markets," said Robert Myers, chairman and chief executive officer of Casey's. "We believe Terre Haute is an excellent location that will enable us to accomplish this, while at the same time providing a more efficient distribution system to our existing stores."
Casey's was founded in 1969 when Don Lamberti leased an old country store from his parents, remodeling it into a convenience store. Today, the company has grown to include 1,788 stores across the Midwest, including 80 stores in Indiana. Selling self-service gasoline, a wide variety of grocery items and prepared foods, the company primarily serves communities with a population of 5,000 or less. Casey's currently employs approximately 29,000 associates in 14 states with more than 850 employees in Indiana.
The Indiana Economic Development Corporation offered Casey's Marketing Company up to $1.4 million in conditional tax credits and up to $100,000 in training grants based on the company's job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. In addition, the IEDC will provide Vigo County with up to $200,000 in infrastructure assistance from the state's Industrial Development Grant Fund. Vigo County will consider additional incentives at the request of the Terre Haute Economic Development Corporation.
"We are delighted that Casey's has selected the Vigo County Industrial Park for the site of its second distribution center," said Judith Anderson, president of the Vigo County Commissioners. "It is especially thrilling to have such a well-known, growing company as Casey's make such a significant investment in our community."
Already this year, two companies have announced plans to locate or expand their distribution operations in Indiana. Combined, distribution facilities for ConAgra Foods and Dunham's Sports aim to cover 2.3 million square feet and create more than 200 new jobs for Hoosiers in the coming years.
Casey's General Stores, Inc., headquartered in Ankeny, Iowa, owns and operates over 1,780 convenience stores in 14 Midwestern states. The stores offer self-service gasoline, a wide variety of grocery items, and prepared foods, such as made-from-scratch pizza and donuts, chicken tenders, and sandwiches. Casey's operates its own distribution center, delivering approximately 90 percent of in-store products.
The first stores opened in 1969 in small towns throughout Iowa. As of April 30, 2013, approximately 59 percent of all of our stores are located in areas with populations of fewer than 5,000 persons, while approximately 16 percent of our stores are located in communities with populations exceeding 20,000 persons. The company has a strong balance sheet and owns nearly all of its assets, enabling it to take advantage of growth opportunities. For more information, visit www.caseys.com.
Created in 2005 to replace the former Department of Commerce, the Indiana Economic Development Corporation is governed by a 12-member board chaired by Governor Mike Pence. Victor Smith serves as the Indiana Secretary of Commerce and Eric Doden is the president of the IEDC.
The IEDC oversees programs enacted by the General Assembly including tax credits, workforce training grants and public infrastructure assistance. All tax credits are performance-based. Therefore, companies must first invest in Indiana through job creation or capital investment before incentives are paid. A company who does not meet its full projections only receives a percentage of the incentives proportional to its actual investment. For more information about IEDC, visit www.iedc.in.gov.
Source: Indiana Economic Development Corp.