Intel investment

Intel will invest $500 million in Irish plantExplore related topics
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By Quentin Fottrell
DUBLIN (MarketWatch) — U.S. computer technology and manufacturing company Intel Corp. /quotes/comstock/15*!intc/quotes/nls/intc (INTC 21.08, -0.21, -0.99%) will begin work on a two-year, $500 million upgrade of its Irish research and development plant in Leixlip just outside Dublin, the Irish government announced Saturday.

The news comes at a time when Ireland’s economy is in the grip of an economic and financial crisis, with unemployment once again in double-digits in percentage terms, and a general election due in March for the embattled Fianna Fail-led government.

Irish Prime Minister Brian Cowen said the investment will support 850 construction jobs as well as 200 new high-skilled employees in Ireland and called the announcement by the U.S. company a “watershed moment” for Intel’s relationship with Ireland.

“Intel’s investment demonstrates that Ireland remains a competitive location for advanced manufacturing,” Cowen said. “This is a cornerstone of the smart-economy strategy which recognizes that manufacturing will play a fundamental part in our economic future.”

Ireland jealously guards its 12.5% corporate tax rate, a major attraction for multinationals, but there are concerns among businesses here it may be threat after Ireland agreed to a EUR67.5 billion European Union-International Monetary Fund rescue package. Ireland will contribute an additional EUR17.5 billion to the EU/IMF deal.

Cowen said, “The government remains committed to providing a stable and competitive location for foreign direct investment, while also investing in R&D and innovation, thereby ensuring that major international companies like Intel continue to create jobs in Ireland.”
http://www.marketwatch.com/story/intel-will-invest-500-million-in-irish-plant-2011-01-15

That now strengthens the case for Dublin Underground which this government shelved for the Metro North vanity project. It is however at IDA level a deal that they can be very proud of and could not have come at a better time to get Sarko off his box and back into it.