Illinois governor opposes ADM tax incentives without pension fix

Reuters News
Posted: Oct 04, 2013 11:18 AM
Illinois governor opposes ADM tax incentives without pension fix

CHICAGO (Reuters) - Illinois Gov. Pat Quinn is opposed to giving Archer Daniels Midland Co tax incentives to retain a global headquarters there until lawmakers address the state's pension problems, a spokesman said on Friday.

ADM last week said it was considering locations for a new corporate headquarters that would improve access to transportation and help attract employees. The company has been the dominating corporate presence in the central Illinois city of Decatur for 44 years.

ADM on Tuesday told state lawmakers it wants to stay in Illinois and asked for legislation that would allow it to apply for income tax incentives worth about $1.2 million a year for the next 15 to 20 years .

Following the hearing, a spokesman for Quinn said the governor had not taken a position on the incentives and needed to review the request the same as any other proposal.

ADM is one of four large players known as the "ABCD" companies that dominate the flow of agricultural goods around the world. The others are Bunge Ltd, Cargill Inc and Louis Dreyfus Corp.

Illinois finished its June 30 fiscal year with a deficit topping $6 billion, $9 billion in unpaid bills, and a worst-in-the-nation pension underfunding of $100 billion.

(Reporting by Tom Polansek)