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ImmediateRelease:
Contact:  Paul Pfeiffer
Wednesday, August 19, 2009
(716) 541-1738

Buffalo Niagara Enterprise Welcomes GEICO A Second Time

Five years after their first major investment in the Buffalo Niagara region, GEICO officials were back in town to announce the expansion of operations at their facility in the CrossPointe Business Park in the Town of Amherst.  GEICO will invest $2.4 million in their Amherst location which will now be home to GEICO Insurance Agency, a new subsidiary of the parent company.  An estimated 300 jobs will be created over the next three years. 

“We are very pleased that we could bring this new GEICO operation to Amherst,” said GEICO Chairman Tony Nicely. “The people of Western New York have always been tremendously supportive and that’s certainly mutual.  We want to thank all the local and state groups that have worked with us to make this happen.  We are so glad to be here.”

GEICO is the third largest, and fastest growing, auto insurer in the United States today.  With the establishment of the new subsidiary the company will be able to expand their business by offering other valuable insurance products like homeowners, renters and boat owners.

“We’re very pleased to have been able to work with GEICO again on a project of such regional significance to our community,” said Thomas A. Kucharski, President & CEO of Buffalo Niagara Enterprise who helped coordinate incentives for the company.  “GEICO’s commitment to bring another 300 jobs to the Buffalo Niagara region is a testament to the quality of our workforce and further proof that we can effectively compete in attracting business investment from signature companies.”

GEICO officials stressed their model of providing the highest quality of customer service along with the most affordable pricing of insurance policy premiums.  To meet this balance workforce efficiencies and effectiveness are vital.  As a result, the quality and competency of the Buffalo Niagara regions workforce was a significant determining factor in bringing the GEICO Insurance Agency and the 300 related jobs to Western New York.

Working closely with state and local economic development agencies, BNE also helped the new entity access Empire Zone tax credit benefits, sales tax exemptions on new equipment through the Amherst Industrial Development Agency and an extension of low-cost hydropower form the New York Power Authority.

“For GEICO to select Western New York as its primary location to expand its business is an enormous win for this region,” said Dennis M. Mullen, Chairman & CEO designate, Empire State Development. “The company’s decision speaks volumes to both the quality of the local workforce here in Western New York, as well as the pro-business environment New York State offers for companies and entrepreneurs alike.  ESD is committed to working with Governor Paterson to ensuring businesses can thrive and compete in our State in any economic climate.”

Today’s announcement is the second time that Buffalo Niagara Enterprise has worked closely with GEICO officials on a major investment in the region.  In 2003-2004, GEICO announced a $36.3 million project that led to the construction of the 250,000 square foot customer service center in Amherst.  A key element of that project was BNE facilitating the successful designation of the project as Regionally Significant and eligible for Empire Zone benefits.  Collaboration between the Towns of Tonawanda and Amherst was essential in both of these projects. 

“These two GEICO projects serve as a great example of how our business attraction and economic development efforts can revitalize our local economy,” BNE President & CEO Tom Kucharski stated.  “By successfully attracting companies to our region, and then providing the kind of tools and business environment where they can prosper, growing companies will choose to reinvest in our community,” he concluded.