Tuesday, May 29, 2018

Belt Magazine Article

Dear City of Racine Alderpersons,

Please be sure to read this excellent article from Belt Magazine about:
How Wisconsin Gov. Scott Walker Got Taken in the Foxconn Deal

Regardless, while the general assumption has been that the Wisconsin plant will produce large LCD panels, suitable for the biggest TV sets being sold, The China Post reported on August 12 that a Sharp official described the proposed U.S. plant as focused on making small LCD panels, primarily for the automotive market. Just more evidence that what Gov. Walker and his team have envisioned is unlikely to come to pass.

Regardless of the final nature of Foxconn’s development in Wisconsin, Gov. Walker’s conceit that an insular manufacturing site will somehow be the viral start of what he is calling “Foxconn Valley,” a Midwestern Silicon Valley, is the kind of magical thinking which would be comical if it didn’t involve decades of dipping into the wallets of Wisconsin taxpayers.

Further note that Corning has already REFUSED to come to Wis Valley unless the already beleaguered and overburdened Taxpayers of SE WI pay for their manufacturing facility:

"If Foxconn Technology Group is going to build a Gen 10.5 LCD fabrication facility in Mount Pleasant, then a manufacturer of glass substrates will have to locate on the same property. The head of the company expected to build the plant, however, made it clear this week his firm would not be carrying all of the cost to do so.

Wendell Weeks, Corning chairman and chief executive officer, said during an earnings call this week that the strategy the company has laid out makes it clear that “we weren’t going to put in new melting capacity for display unless we get two out of every three dollars from others and that we could keep 100 percent of the revenues and profits.”

The company’s first Gen 10.5 facility in Hefei, China was a $1.3 billion investment, but Corning contributed just $460 million after government and commercial incentives. Weeks was asked if Corning would require a similar financial split if it were building a facility in Wisconsin."

Good luck with your future EMPTY FIELD of DREAMS!
Tim & Cindy

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