Drug giant Merck choses N.C. over Georgia for new plant

<p>Pharmaceutical giant Merck & Co. has selected North Carolinas Research Triangle Park over Georgia as the site for a $300 million vaccine plant, Gov. Sonny Perdue said.</p><p>Merck Chief Executive Raymond Gilmartin confirmed this morning that theyve chosen North Carolina for a new vaccine manufacturing center, Perdue said Friday. I wanted to know why. I wanted to get a definite post-mortem.</p><p>Gilmartin thought there was a higher critical mass of qualified workers, particularly with the number of Ph.Ds they needed. We were not persuasive enough, Perdue said.</p><p>Gilmartin told The Atlanta Journal-Constitution on Friday that the company chose North Carolina after considering Georgia and a third state, which he didnt identify.</p><p>Financial incentives were involved, but the final decision swung on the skill base available, Gilmartin said. There is a lot of biotech activity in the Research Triangle.</p><p>On Wednesday, North Carolinas legislature was called into a special session by Gov. Mike Easley and approved incentives worth $36 million to attract Mercks vaccine plant. An Easley spokesman did not immediately return calls seeking comment Saturday.</p><p>The Merck plant will make two vaccines: one for measles, mumps and rubella, and one for chickenpox.</p><p>The first phase of the project is expected to produce up to 300 high-level jobs.</p><p>North Carolina lawmakers on Wednesday approved creating a new fund to award grants to buy and develop industrial sites for businesses. Merck is expected to receive $24 million through the fund.</p><p>The pharmaceutical company also would receive a rebate on sales taxes paid for construction materials, worth about $4.7 million. The drug maker would also receive a $3.7 million cash grant over a 10-year period.</p><p>The Georgia site under consideration was at Stanton Springs, a planned $800 million mixed-use project along Interstate 20 in Newton, Morgan and Walton counties.</p><p>Glenn Cornell, commissioner of the Georgia Department of Industry, Trade and Tourism, said he believes North Carolinas tax structure and incentives factored into Mercks choice.</p><p>We put a very aggressive proposal on the table, Cornell said. It was so aggressive that the North Carolina Legislature had to call a special session to better our proposal. We have to reach a threshold of what is the right amount of return on investment.</p><p>Information from: Constitution</p>

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