Friday, August 6, 2010

Adobe to get $40.2 million from Utah to expand Orem operations

Software giant Adobe Systems Inc. plans to significantly expand its presence in Utah by investing $100 million to build a new facility and hire as many as 1,000 people during the next 20 years. The announcement came Thursday, immediately after Utah offered the California-based Fortune 500 company a $40.2 million incentive to expand in the state.

The expansion involves Adobe’s Orem-based Omniture business unit that it acquired last October. Adobe makes design and graphic arts-oriented software tools; Omniture is a provider of Web software that tracks and analyzes Web page traffic.

“We’re hiring right now,” said Mark Garrett, Adobe executive vice president and chief financial officer. He said the jobs being added involve a mix of software technology, sales, marketing, engineering and administrative positions. Adobe already employs 620 people in Utah who work at the Omniture business unit.

To get the state’s incentive money, Adobe agreed to pay at least 75 percent more than the average county wage in which it expands. That would work out to an average wage of at least $60,000 annually, not including benefits, if it builds a facility in Utah County, state officials say.If the facility is located in Salt Lake County, the average wage would need to be nearly $75,000, not including benefits

Adobe will not receive the money it was offered all at once; the incentive is payable over 20 years in the form of a tax credit on corporate, payroll and sales taxes. The incentive allows the company to pay less taxes over 20 years — as long it keeps the Utah facility in operation and maintains the work force as agreed with the state. Salt Lake Tribune