The local plant will pick up remanufacturing of the 3500 series engine from the Caterpillar facility in Lafayette, Ind., where new 3500 engines are produced. The move will add 41 jobs in Corinth and four in Booneville, along with a substantial capital investment.
“Caterpillar has been a great partner for many years,” said Mayor Tommy Irwin. “It’s obvious Caterpillar sees Corinth as a place they want to invest in. It says so much about the people we have here.”
Alliance President Gary Chandler said locals have been pursuing the project for several years.
“We have been trying to position ourselves to win large engine work going back to 2010,” he said. “We were fortunate enough to win the C175 engine in February 2014. That put us in a position to compete for additional large-engine reman work.”
The new jobs will pay well above the average manufacturing wage in Alcorn County.
Many have had a hand in landing the project.
“Our local governments all the way up to MDA and the governor’s office have been very good to work with as this project has taken shape and gained traction over the last three months,” said Chandler. “We appreciate the incentives that helped make the business case to win this 3500 engine work for Corinth.”
The Alcorn County Board of Supervisors will consider property tax exemption and free port warehouse exemption for the project.
“This is good news for Alcorn County,” said Board of Supervisors President Jimmy Tate Waldon. “We are pleased with Caterpillar’s decision to relocate the 3500 engine reman work to Corinth. This project solidifies Caterpillar’s presence in Alcorn County and adds jobs, too. It’s a win-win.”
Prentiss County will also consider an exemption for the project.
News of five plant closings in other areas emerged Friday as the company continues with the cuts announced late in 2015 in response to a downturn in business.
Caterpillar on Thursday announced 2015 year-end results, with revenues of $2.67 billion for 2015, a decrease of $212 million, or 7 percent, compared with 2014. Profit after tax was $460 million, a decrease of $75 million, or 14 percent, from 2014.