OGDEN — Boosted by a state tax incentive, a large outdoor recreation company with a headquarters office in Ogden is expanding and bringing new jobs.
The Utah Governor’s Office of Economic Development recently announced that Amer Sports will expand operations in Ogden, planning to add up to 110 jobs and $1.5 million in capital investment over the next five years.
Amer, which first opened in Ogden in 2007, will be eligible to earn back 15% of the new state taxes they will pay as part of a five-year agreement with the state. According to a press release, the GOED Board approved, post-performance tax rebate cannot exceed $228,161 over the life of the deal. Each year that Amer Sports meets the criteria in its contract with the state, it will earn a portion of the total tax rebate.
GOED says the projected new state wages over the life of the agreement could be as much as $14.9 million, which includes wages, salaries, bonuses and other taxable compensation. New state tax revenues (from corporate, payroll and sales taxes) are estimated to reach $1.5 million over the five-year agreement.
The Helsinki, Finland-based sporting goods company operates subsidiaries like Salomon, Wilson, Atomic, Arc’teryx, Peak Performance, ENVE, Suunto and Precor.
In 2016, the company acquired ENVE Composites, the Ogden-based manufacturer of high-end cycling accessories. Amer purchased ENVE for $50 million, in an all-cash transaction. ENVE, which makes carbon wheels, components, and other accessories for road and mountain biking had annual sales of about $30 million at the time of the sale.
Ogden Mayor Mike Caldwell lauded the deal, saying since moving to the city, Amer has expanded multiple times, created jobs and aided with city efforts to revitalize certain areas of town. The company was an anchor tenant at the historic American Can Complex after it was redeveloped by the city.
The Utah Legislature previously authorized the GOED post-performance tax rebates. Eligible companies work with the office to outline specific performance criteria. When GOED confirms the criteria has been met, companies can receive a refund up to 30% of the state taxes they paid for up to 20 years.