Based in Clermont, Kentucky, the James B. Beam Distilling Co. brands have been produced in the state since 1795. Beam Suntory was formed in 2014 after the company was acquired by Japan-based Suntory Holdings.
“We are excited about this expansion opportunity at our Booker Noe site, building on our recent investment in the new consumer experience in Clermont, and now expanding production to ensure enough of our premium liquid is available wherever consumers are looking for them,” said Carlo Coppola, managing director of the James B. Beam Distilling Co. “We appreciate the continued support of Governor Beshear and his administration of the bourbon industry and these incentives will enable us to bring more great jobs to Kentucky. We are still finalizing our plans and will have more details to share very soon.”
To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) today preliminarily approved a 15-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $3 million in tax incentives based on the company’s investment of up to $436.4 million and annual targets of: creation and maintenance of 51 Kentucky-resident, full-time jobs across 15 years.
Additionally, KEDFA approved Beam Suntory for up to $550,000 in tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.
“Jim Beam is a renowned name within Kentucky’s signature bourbon industry, and I am thrilled to see the company continue to grow in our state,” Governor Andy Beshear said. “This is a substantial investment in Nelson County that will ensure Jim Beam continues to grow in Central Kentucky for decades to come. Thank you to the leaders at the company for once again showing faith in our state and our incredible workforce.”
By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments. In addition, the company can receive resources from Kentucky’s workforce service providers.
“It’s always exciting when we are able to celebrate the expansion of one of our companies. I want to thank Jim Beam for making this tremendous investment in Nelson County,” added Kim Huston, president of the Nelson County Economic Development Agency. “Jim Beam is considered family as their history of making great bourbon goes back decades and generations. The future of Jim Beam is bright as this expansion will allow production to increase, and we will be able to see even more bottles of Beam products available in the United States and across the globe.”
Kentucky’s bourbon sector is a nearly $9 billion signature industry, generating more than 22,500 jobs with an annual payroll exceeding $1.23 billion.