©2016 Michigan Economic Development Corporation

Monroe Wins Expansion Project for La-Z-Boy Incorporated Facility

Tuesday, December 21, 1999

John Truscott
(517) 335-6397

152 New Jobs for State La-Z-Boy Incorporated has chosen Monroe, Michigan, over alternative sites in the southeastern United States, for a new administrative support and information technology (IT) facility, Governor John Engler announced today. The project will create 152 new jobs, 92 directly by the company, for Michigan workers. "La-Z-Boy's decision to increase the size of their support and IT functions in Monroe demonstrates their commitment to maintaining their administrative corporate headquarters operation in Michigan," Engler said. "La-Z-Boy is one of Michigan's top 100 companies, and the high-tech jobs this project will create are great for our workers." Of the 152 new jobs, 60 will be spin-off jobs created from spending by people who receive income from the jobs at La-Z-Boy Incorporated, according to an economic analysis done by the University of Michigan. Engler also announced the approval of a tax credit for La-Z-Boy Incorporated, worth an estimated $1.7 million over fourteen years. The tax credit was approved by the Michigan Economic Growth Authority (MEGA). This project will provide almost $7.7 million in revenue to the state over the life of the agreement, resulting in a net positive gain for the state of almost $6 million after the MEGA credit. The project is expected to generate almost $96 million in personal income. La-Z-Boy Incorporated, a manufacturer of residential and office furniture, was founded in Monroe, Michigan, in the late 1920s and was incorporated in the state in 1941. The company has experienced significant growth of its furniture products in the past few years through internal expansion and the acquisition of new subsidiaries. To support the company's expanding operations, additional administrative support and IT personnel are required. "We are pleased to have the continued support of the State of Michigan and the City of Monroe as we expand and remodel our existing world headquarters," said Jerry Kiser, president of La-Z-Boy Incorporated. "This will provide the space needed to accommodate those positions necessary to support our growing business. It is exciting to think about the opportunities this presents for all of Monroe County." William P. Morris, president of Monroe County Industrial Development Corporation, states, "We are very pleased that La-Z-Boy, a long standing leading corporate citizen, has decided to expand their headquarters here in Monroe County. La-Z-Boy personifies the expression 'good corporate citizen'. The Michigan Economic Development Corporation and the city of Monroe worked in very close cooperation to make this investment in our community and its citizens possible." The Michigan Economic Growth Authority program, which is administered by the Michigan Economic Development Corporation, is used to promote high quality economic growth and job creation in Michigan that would not occur without this program. La-Z-Boy Incorporated MEGA Analysis Summary Estimated (All estimates in 1999 dollars) TOTAL JOBS CREATED 152 Direct 92 Indirect 60 NET POSITIVE STATE REVENUE IMPACT $ 5,953,000 Revenue Forgone $ 1,712,000 Revenue Gain $ 7,665,000 Average Wage $ 738/week