Latest Post | Last 10 Posts | Archives
Previous Post: Madigan: Reinstate EDGE credit that was already temporarily reinistated
Next Post: Put it up for a vote
Posted in:
* Nick Vlahos in the Peoria Journal Star…
Much of Caterpillar’s relocation rationale revolves around better international transportation options in Chicago. That’s a bit of a red herring. It can take as long to drive from, say, Naperville to O’Hare International Airport as it can to fly there from Peoria. And Caterpillar can and has use private aircraft to fly from Peoria to anywhere on earth.
Perhaps Caterpillar’s seventh floor is leaving Peoria for a more simple, personal reason, at least in part: [Cat CEO Jim Umpleby] and other executives want to live somewhere else.
Granted, we are speculating. But after talks with plenty of well-connected people the past few days, we believe this theory deserves at least some consideration.
Umpleby is a Caterpillar veteran, with more than 30 years of service. But it appears little of that time has been spent at a Peoria base.
The Chicago-area native worked for Caterpillar all over the country and world, including Malaysia, San Diego and Singapore. How you gonna keep them down on the farm after they’ve seen Kuala Lumpur?
Such personal-preference moves might not be unprecedented. In 2015, ConAgra Foods announced it was moving its world headquarters from Omaha, Neb., to Chicago. The new ConAgra CEO was residing in the Chicago suburbs.
Some commenters here made many of those same points yesterday.
Thoughts?
posted by Rich Miller
Wednesday, Feb 1, 17 @ 9:20 am
Sorry, comments are closed at this time.
Previous Post: Madigan: Reinstate EDGE credit that was already temporarily reinistated
Next Post: Put it up for a vote
WordPress Mobile Edition available at alexking.org.
powered by WordPress.
So they want to live in Chicago over Peoria. Can, uh, can you blame them?
Comment by Anonymous Wednesday, Feb 1, 17 @ 9:24 am
Big Al’s vs. the Art Institute ..
Comment by Wow Wednesday, Feb 1, 17 @ 9:25 am
Some of what ails us, and especially our economy, is the cult of personality that surrounds these CEO types. Company’s bend to their very expensive whims that have little to do with business. In the end, we all pay for their failures.
Comment by JS Mill Wednesday, Feb 1, 17 @ 9:25 am
More fruit from the Cubs World Series win.
Comment by Enemy of the State Wednesday, Feb 1, 17 @ 9:28 am
I’m surprised Caterpillar doesn’t use the same playbook as State Farm when it comes to their corporate team. Surprised Rauner hasn’t said anything about this (snark)
Comment by Almost the Weekend Wednesday, Feb 1, 17 @ 9:29 am
The press release (although from the CEO) says only less than 300 jobs will ultimately be moved out of 12,000. Am
I missing something here? So they’re not going to build a new headquarters. Ok. Go try and find another company to base in Peoria. This is not a big deal. Climate change? That’s a big deal. Man, we still haven’t had any measurable snowfall and it’s February 1!
Comment by New Slang Wednesday, Feb 1, 17 @ 9:32 am
CEOs have become the professional athletes of the business world, breaking contracts on a whim.
Will they be paying back the tax abatements and other incentives they were given for promising to stay in February 2015?
Comment by Jocko Wednesday, Feb 1, 17 @ 9:32 am
We are learning in this state and country that the privilege that CEOs possess makes then capricious and amoral. Let’s put more of them into Government! S/
Comment by Honeybear Wednesday, Feb 1, 17 @ 9:32 am
Not going to hold my breath for IPI’s explanation of this. Mayhaps people are fleeing Illinois for a reason other than taxes?
Comment by Springfieldish Wednesday, Feb 1, 17 @ 9:32 am
CAT will do what CAT wants to do. They even sandbagged all of their political allies on this one, including Governor Rauner. Why? Because they can. Because every time an election cycle rolls around, they know that those politicos will pander for their support. They know that their behavior, however bad, will be rewarded. They’d rather be feared than loved. “Illinois costs more than Indiana so we’re moving jobs to Mexico” results in continued tax credits, more work comp rally cries, and right to work legislation. #winning
Comment by c'mon, man Wednesday, Feb 1, 17 @ 9:33 am
JSMill—–How do you like the real estate taxes they pay and the purchasing power they bring to a community?
Yep, I know, you never thought of it that way.
Comment by Piece of Work Wednesday, Feb 1, 17 @ 9:35 am
While this is a disadvantage for towns like Peoria, Decatur, etc., it is an advantage for the state. Chicago is the capitol of the Midwest. We should be drawing more and more international companies from surrounding states.
Comment by Stan Wednesday, Feb 1, 17 @ 9:35 am
@JS Mill is right — the CEO “cult of personality.”
Worship of corporate titans has become part of American culture. Heck, we just elected one president.
No surprise that CEO pay has grown 90 times faster than the average corporate employee since the late 70’s. And we keep giving them “tax incentives” so they’ll grace us with their presence.
Comment by Ted Wednesday, Feb 1, 17 @ 9:37 am
Agree, but perhaps it will be a bit easier for them to attract upper level management talent to the Chicago area compared to Peoria. The Chicago area just offers more amenities than Peoria.
Comment by No Longer A Lurker Wednesday, Feb 1, 17 @ 9:37 am
=== Chicago is the capitol of the Midwest. ===
But it’s a Democratic City in a state that has been run by Madigan. How can it possibly be an attractive place for CEOs to locate? Maybe IPI can explain it.
Comment by Anon Wednesday, Feb 1, 17 @ 9:39 am
Obviously, the social castes of Peoria must be lacking the necessary glitter and glamour. The wealthy don’t want to socialize with the rest of us hoi polloi.
Comment by Huh? Wednesday, Feb 1, 17 @ 9:39 am
And the whims of those CEO’s are frequently supported by the corporate boards that have to sign off on these expensive moves. Supposedly, after consideration, not with a rubber stamp.
Comment by Cassandra Wednesday, Feb 1, 17 @ 9:39 am
Made me think of the whims of the US and Illinois ceos…..the worst Cats can do is ruin the lives of its employees …..I can’t say customers I have a Komatsu now…I can’t say shareholders because they seem to gets richer as revenues head to join earnings at zero.
Comment by David Wednesday, Feb 1, 17 @ 9:40 am
***And the whims of those CEO’s are frequently supported by the corporate boards that have to sign off on these expensive moves. Supposedly, after consideration, not with a rubber stamp.***
Often, a significant membership of the Board is made up of CEOs from other organizations. You’re not really getting independent oversight if everyone has the same perspective. This is also a contributing factor to why CEO pay has grown at a rapid pace.
Comment by Biscuit Head Wednesday, Feb 1, 17 @ 9:45 am
Cat was one of the few huge US companies to not be based in/near a major US city (oddly, many of them are/were here in Illinois). They were an outlier, and it was probably always a matter of time. Just like ADM. Now one has to wonder how long the Quad Cities and Bloomington can hold out.
Comment by From the 'Dale to HP Wednesday, Feb 1, 17 @ 9:49 am
@Piece of Work
I would be willing to make a wager that JS Mill knows a thing or two about property taxes as he is intimately involved in the school system.
Comment by #5 Wednesday, Feb 1, 17 @ 9:50 am
According to NYT, IL had a net influx of college students over the ladt 25 years largely due to the amenities that only a big city like Chicago can provide. Moves like CAT only help rev up that area and help all of IL. Sorry for Peoria, but I don’t see a gov role here.
Comment by Simple Simon Wednesday, Feb 1, 17 @ 9:51 am
Lets suppose you are not one of the 300 Cat employees that gets to use the corporate jet and you have a meeting in San Francisco. If you live in the Chicago area you can likely drive 30 mins to O’Hare or Midway depending upon where you live, park, and catch a flight almost every hour to SFO. However, if you live in Peoria, you either drive 2+ hours to the airport and wait, or take one of the 2 flights a day from Peoria to O’Hare. It is a total day killer. These are important considerations to people that fly a lot.
Comment by Red Ranger Wednesday, Feb 1, 17 @ 9:51 am
I can recall a study that showed the greatest predictor of where a corporate hq was located was where the CEO owned a house.
Comment by d.p.gumby Wednesday, Feb 1, 17 @ 9:52 am
I grew up in rural Illinois. It sucks. The majority of people in my high school fled when we graduated. There’s not much culturally or economically to keep people in the rural areas.
Comment by Rogue Roni Wednesday, Feb 1, 17 @ 9:55 am
I almost had to get to the pink sheets to find .There is titan wheel on the nyse in Quincy which has a Ceo that ran for President….and no profits.On the pinks there is Boss Gloves in Kewanee and Pekin Insurance. We do have one Forbes too private company DOT Foods in My Sterling which also has a politician or 2 if you count the library board…which we should.
Comment by David Wednesday, Feb 1, 17 @ 9:56 am
Also, the writer clearly has no idea how corporate jets work. I bet less than 10% of the 300 people moving to the Chicago area have ever been on the Cat corporate jet(s). Plus, I imagine only the very top Cat execs have unfettered access to the corporate jet(s). Its just not a reality for most of the 300.
Comment by Red Ranger Wednesday, Feb 1, 17 @ 9:57 am
They are hurrying to snap up those Trump condos that some residents are now vacating. Maybe they will get a little more access to the Pres that way?
Comment by Johnnie F. Wednesday, Feb 1, 17 @ 9:57 am
=== I bet less than 10% of the 300 people moving===
Crain’s…
The most frequent flier was Caterpillar Inc., whose executives logged more than 3,500 flights from 2007 through 2010, according to the FAA records. Its No. 1 destination was Peoria, the heavy equipment maker’s headquarters.
Caterpillar’s planes also flew to almost two dozen cities in Canada, Mexico and elsewhere outside the United States over that span.
http://www.chicagobusiness.com/article/20110521/NEWS07/110529979/corporate-chicagos-private-jet-setters-topped-by-caterpillar-abbott
Comment by Rich Miller Wednesday, Feb 1, 17 @ 10:03 am
It’s sad to say…
But at some point, it’s not “quaint” for a CEO and SVPs to talk to others in Fortune 100 companies and talk about Peoria.
It’s harsh, I know. It’s also brutally honest.
“There’s 4 great restaurants, 2 nice golf courses… ”
There’s just not “enough” to keep people on the “farm”.
It’s brutal for Peoria, to their ego, their national prominence as to being a global corporate home.
Comment by Oswego Willy Wednesday, Feb 1, 17 @ 10:03 am
It’s all about talent. Have to go where the talent is. Millennials want to live in big cities.
Comment by Not It Wednesday, Feb 1, 17 @ 10:05 am
Red Ranger - “Lets suppose you are not one of the 300 Cat employees that gets to use the corporate jet and you have a meeting in San Francisco.”
What part of “CAT has its own private corporate jets and hangar at the Peoria Airport” don’t people get??? The execs are not flying the corporate jet to O’Hare (or driving to O’Hare) and then going to SF. They are going directly to SF! All this guff about needing to be nearer an international hub (Chicago) has little to do with transportation needs and a lot to do with personal wants of the execs.
And for all of those who want to trash downstate and Peoria, stop. There are opportunities everywhere for learning and culture if you only look, and if you also take the time to make those changes in your community. http://www.peoria.org/
Comment by Anon221 Wednesday, Feb 1, 17 @ 10:09 am
==I grew up in rural Illinois. It sucks.==
It’s great for who it’s great for. But it needn’t be valorized over any other place to live, and we need to make sure that there’s opportunities there, too.
It hasn’t escaped my notice that the Governor has failed on both counts. He talks a blue streak about Chicago and has done nothing to generate more opportunities there. In fact, policies like closing the World Shooting Complex actively work *against* rural Illinois.
Comment by Arsenal Wednesday, Feb 1, 17 @ 10:11 am
- Anon221 -
With great respect.
Frank Sinatra was from Hoboken, NJ.
Frank Sinatra sang about New York… and Chicago.
It’s not trashing downstate or Peoria, it’s no different than Francis Albert looking across the river at NYC and realizing there’s more out there than Hoboken.
Comment by Oswego Willy Wednesday, Feb 1, 17 @ 10:12 am
–Much of Caterpillar’s relocation rationale revolves around better international transportation options in Chicago. That’s a bit of a red herring. It can take as long to drive from, say, Naperville to O’Hare International Airport as it can to fly there from Peoria.–
More like a Red Whale. 27 minutes wheels up/wheels down Peoria to O’Hare, 45 minutes gate to gate.
Any Chicago CEO would be AOK with that kind of speed to the International Terminal. I don’t think many of them live or work off Mannheim Road in Schiller Park.
Heck, Boeing is in the Loop, but they keep their corporate fleet and crews at Gary.
Just a bald lie on the way out the door, particularly nasty after they strung along the folks in Peoria for so long on that downtown HQ plan.
Comment by wordslinger Wednesday, Feb 1, 17 @ 10:13 am
It was my understanding that CAT had a travel ban as a cost savings measure in 2016. Peoria had recovered from the devastating strike in the 80’s, but moving HQ to Chicago could be worse. Is travel a valid reason or are there other reasons?
Comment by Top of the State Wednesday, Feb 1, 17 @ 10:13 am
I guess people like Chicago.
Comment by Hamlet's Ghost Wednesday, Feb 1, 17 @ 10:14 am
Loyalty to a community is a thing of the past. It’s one of several reasons that small and mid sized America is being hollowed out.
Comment by Saluki Wednesday, Feb 1, 17 @ 10:14 am
For what a CEO should be, read “Up the Organization” by Robert Townsend. CEO of Avis - “We’re Number Two, But We Try Harder”. Written in 1970, it’s easy to read, funny, and a moral common sense that is rare today.
Comment by Anonymous Wednesday, Feb 1, 17 @ 10:22 am
A nice big slap in the face to BVR. How you like that turnaround?
Comment by Boone's is back Wednesday, Feb 1, 17 @ 10:25 am
OW- Thank you, and I do realize that. But it doesn’t help to keep using the language of “there’s nothing there of value”, and in effect dismissing entire areas of the State (in this case). I have nearly always driven multiples of ten miles to and from my jobs over the years, as well as sometimes hundreds of miles per day after that for my work day. I’ve seen a lot of this state that many gladly scoff at or totally dismiss. The old “corn and beans and beans and corn flatland” theme. But it’s so much more than that. And too many we don’t take the time to realize the rich history, both natural and cultural, this state has. And, because of that, we forget and ignore and that can lead to turning our backs on people and places. It’s a big picture rant on my part, but it does have both intended and unintended consequences for the future of our state. We tend not to value what we fail to see value in.
Comment by Anon221 Wednesday, Feb 1, 17 @ 10:27 am
For the record, here is what CAT had promised the folks in Peoria. For some reason, they haven’t scrubbed it yet from their website.
http://www.caterpillar.com/en/news/caterpillarNews/careers/caterpillar-reaffirms-its-commitment-to-illinois-and-peoria-as-companys-global-headquarters.html
Comment by wordslinger Wednesday, Feb 1, 17 @ 10:35 am
So much for the phrase ” If it plays in Peoria, it will play anywhere. “.
Comment by pool boy Wednesday, Feb 1, 17 @ 10:38 am
The more I read on this, the more disgusting it becomes. CAT should be ashamed of themselves, but I doubt that is an emotion they are capable of.
Comment by Saluki Wednesday, Feb 1, 17 @ 10:40 am
wordslinger- In the words of Ray Stevens, “But it was too late!”. CAT scrubbed the page.
Comment by Anon221 Wednesday, Feb 1, 17 @ 10:41 am
Wordslinger at 10:35.
That was fast. It’s gone!
Comment by Yossarian Wednesday, Feb 1, 17 @ 10:48 am
===And too many we don’t take the time to realize the rich history, both natural and cultural, this state has. And, because of that, we forget and ignore and that can lead to turning our backs on people and places. It’s a big picture rant on my part, but it does have both intended and unintended consequences for the future of our state. We tend not to value what we fail to see value in.
So how do you market that? Many of us grew up downstate and many of us aren’t happy to see what’s happening. But how do you keep business in an area that is harder to recruit for and doesn’t have the same amenities. Saying it has some amenities is true. No argument. However, it’s not just downstate Illinois, it’s happening across the country.
Comment by ArchPundit Wednesday, Feb 1, 17 @ 10:53 am
Curious, I’m still getting it. Here’s a cut-and-paste.
CAREERS NEWS
CATERPILLAR REAFFIRMS ITS COMMITMENT TO ILLINOIS AND PEORIA AS COMPANY’S GLOBAL HEADQUARTERS
After a multiyear study focused on modernizing its global headquarters, Caterpillar Inc. today reaffirmed it will remain in Peoria, Illinois, and revealed a design that will eventually span 31 acres on the city’s riverfront. The key elements of the campus are:
A three-tower building located in the heart of a six-block campus, which includes innovative work spaces and amenities designed to retain and attract the finest talent in the world.
A commitment to invest and act as a catalyst in Peoria, helping revitalize the downtown and the region as a vibrant destination. While Caterpillar is truly a worldwide company with facilities that span the globe, Peoria remains its headquarters.
“Caterpillar’s roots in the Peoria area run deep, and this year we celebrate 90 years as a company – a perfect time to share our plans of where we plan to be anchored as we continue to build, develop and power the world,” said Caterpillar Chairman and CEO Doug Oberhelman. “This campus represents an investment in both our people and community, with such features as collaborative work areas, improved technology, a more energy-efficient design, green space and an expanded showcase of our historical equipment, along with food and retail shops – an inviting destination not only for employees, but also for customers, dealers and suppliers from around the world.”
This is a multiyear project beginning with minor site preparation this year, but construction will not begin in 2015. Work continues with the city of Peoria – a key partner throughout the study – on a redevelopment agreement and initiatives like campus design and downtown streetscaping.
“While we are moving forward, we’ll manage our costs very carefully in a tough global environment,” Oberhelman added. “We recognize that building a global headquarters is a long-term, strategic investment aimed at improving our competitiveness. This new campus will position us for decades to come, serve as an engaging, more productive environment for our current workforce and improve our ability to recruit the best and brightest employees, who are hands down our most valuable asset. We also shouldn’t underestimate the potential of this project to serve as a springboard for regional economic development and look forward to continuing our strong partnerships with our key area stakeholders.”
The six-block campus includes the following:
The headquarters building, consisting of three office towers with parking structures below, will have sustainable design features and is sized for approximately 3,200 people, which represents a consolidation of employees who are currently located in downtown Peoria today. The towers will be connected by a three-story horizontal office space spanning two city blocks, easily identified by the iconic Cat® D11 Track-type Tractor high drive design.
An energy center utilizing Cat products and solutions that will sustainably support the electrical, heating and cooling demands of the campus.
Green space, walking and biking paths, food and retail options and employee amenities including fitness and childcare services.
A historic equipment display across the street from the Caterpillar Visitors Center, which opened in 2012, rounds out the campus.
Illinois Governor Bruce Rauner joined Oberhelman for the announcement to tout Illinois’ responsibility to businesses who call the state home. Illinois remains Caterpillar’s largest concentration of employees and facilities anywhere in the world, with about 22,600 employees and two dozen facilities throughout the state.
“This is outstanding news for Peoria, Central Illinois and the entire state of Illinois,” said Governor Rauner. “Caterpillar has been a tremendous Illinois employer for 90 years. This is the kind of project we want to see – businesses making investments to engage, attract and retain the brightest and most innovative talent. Today’s announcement reaffirms its commitment to our great state. We as a state government need to renew our commitment to job creators in Illinois. As Caterpillar and other companies prepare themselves to compete and grow in the 21st century, Illinois needs to make sure it is a help and not a hindrance to their efforts.”
Peoria Mayor Jim Ardis was also part of the announcement, pledging his support to a company that has employed generations of families in Central Illinois.
“We are thrilled Caterpillar has called Peoria its global headquarters for decades and will for decades more,” said Peoria Mayor Jim Ardis. “Caterpillar has been and continues to be an important key to our community’s growth and stability. This new global headquarters is a major investment in growing the region’s economic development.”
A display, containing a scale model and renderings of the campus, is available for viewing in the lobby of the Caterpillar Visitors Center.
Experience the New Headquarters: A Caterpillar Community
Experience the New Headquarters: A Caterpillar Community
Aerial view of the Headquarters Building Campus
View from the West of the Headquarters Building
View from the East of the Headquarters Building Campus
Main entrance of the Headquarters Building
Community space
Outdoor workspace
Retail opportunities
Employee amenities: child care and fitness centers
Historical equipment display
http://www.caterpillar.com/en/news/caterpillarNews/careers/caterpillar-reaffirms-its-commitment-to-illinois-and-peoria-as-companys-global-headquarters.html
Comment by wordslinger Wednesday, Feb 1, 17 @ 10:55 am
===take one of the 2 flights a day from Peoria to O’Hare. It is a total day killer. These are important considerations to people that fly a lot.===
I’m pretty sure there are far more than 2 shuttle flights a day to O’Hare from Peoria. But what do I know? I just grew up there.
Comment by Graduated College Student Wednesday, Feb 1, 17 @ 10:55 am
As a semi-road warrior (I only fly about once a month as opposed to a real warrior), the claims that the ease of travel out of O’Hare is a red-herring because its only 27 minutes from wheels up to wheels down from Peoria to O’Hare misses a few important points. First of all, looking at Kayak there are only seven (really expensive) nonstop flights a day from Peoria to O’Hare and back again. I would therefore have to coordinate my flight out of Peoria properly to get to O’Hare on time to catch the flight to where I really want to go, and that may result in me cooling my heels at O’Hare for quite a while because I had to catch a much earlier flight to get there in time for my connection. Secondly, O’Hare gives me more regular options to lots of different places, which gives me more “day of” flexibility. For example, there are hourly (cheap) flights from O’Hare to D.C. and back again run by both United and American. I miss a flight, or finish a meeting early, I can easily catch a different flight to or back from my final destination from the major cities. If I have to worry about a connecting flight, then the value of this flexibility diminishes. Finally, anytime you add a moving a part (i.e. a stopover), you are just asking for trouble. If bad weather hits Peoria, or somewhere else my Peoria airplane is coming in from, I’m screwed. I’ve seen folks I’ve helped coordinate flights for from smaller cities that have had to go through a hub. They sometimes end up with over 24 hours of airport fun.
This may still be a red herring for other reasons (e.g. it’s really because the CEO wants to live in the Chicago area). I’ll defer to others on that. But don’t discount the travel amenities. It’s part of the reason my organization is based in Chicago instead of other, much cheaper places.
Comment by Wally Wednesday, Feb 1, 17 @ 10:58 am
Cat might also figure it will be easier for their customers to fly in to discuss potential purchases of Cat products.
Comment by DuPage Wednesday, Feb 1, 17 @ 11:02 am
Also, Millenials prefer to live where they can afford to live or find work, rather than big cities per se.
Probably a bigger blow to attracting them to Peoria for Cat is that half of the top hits on Google for “Mayor of Peoria” reference the time he sent the local police to raid the residence of a person who had a twitter parody account.
Comment by Graduated College Student Wednesday, Feb 1, 17 @ 11:03 am
DuPage is on to something.
Comment by From the 'Dale to HP Wednesday, Feb 1, 17 @ 11:16 am
ArchPundit- “So how do you market that?”
That can be the (fill in the blank) dollar question and challenge through the ages. Emigration and migration will always be a part of the human experience, but sometimes staying in place can create new opportunities. Even Chicago didn’t grow from a swamp to a world-class city overnight.
From the CAT news release posted by wordslinger: “A commitment to invest and act as a catalyst in Peoria, helping revitalize the downtown and the region as a vibrant destination.”
It’s nearly always going to be easier to pick up and move, than to stay and invest. Time will tell how CAT furthers investments in the Peoria area, but hopefully other companies, large and small, will see the value of this historic river town. Just one thing that happening on the music scene, for instance, is happening at State and Water downtown…
http://www.wtvp.org/statewater/index.asp
Comment by Anon221 Wednesday, Feb 1, 17 @ 11:20 am
Two things
1) if I was to offer everyone in Peoria a guarantee they’d have work equal to what they have there, but they had the opportunity to move to Chicago(land), how many would actually stay in Peoria?
2) if Peoria wants Cat execs to stay, just have Jim Ardis stick the cops on them
Comment by Precinct Captain Wednesday, Feb 1, 17 @ 11:44 am
The real headline should read “Cat opens satellite office in Chicago, CEO to be based there”
Comment by siriusly Wednesday, Feb 1, 17 @ 11:45 am
I would not discount the O’Hare factor. Chicago has gained several international Headquarters over the past several years. Geeting good connecting flights from Peoria to Chicago is also not as easy as it is to write, there are timing and connecting factors and not all the top management have access to the private jet.
Could there be other factors at play? yes.
Is O’Hare the only reason for the move? Probably not.
Could better access that saves lay-over time be a big part of the decision? yes.
Comment by Ahoy! Wednesday, Feb 1, 17 @ 12:18 pm
Which end of the flush would you rather be on after they reversed the flow of the Chicago River?
Comment by Stones Wednesday, Feb 1, 17 @ 12:37 pm
It works both ways. International customers and vendors flying in to meet with CAT don’t want to make a connection to a small regional airport. They want to stay in a large destination city that is easy to navigate.
Comment by Fairness and Fairness Only Wednesday, Feb 1, 17 @ 12:56 pm
–International customers and vendors flying in to meet with CAT don’t want to make a connection to a small regional airport.–
Yet CAT did not make that point in any coverage that I’ve seen. Did you see it somewhere?
Comment by wordslinger Wednesday, Feb 1, 17 @ 1:01 pm
@Wordslinger, I did not see that point explicitly made in any communications. It’s my assumption. I don’t know that CAT would want to attempt to write that into any press release, along with other reasons. Like anything else, I don’t think the decision to move the CEO and others was based on one reason only. It’s hard to argue against the cultural, educational, social and recreational opportunities offered in the Chicago area. I’m sure that is part of it, too.
Comment by Fairness and Fairness Only Wednesday, Feb 1, 17 @ 1:08 pm
@Wordslinger, and from a personal standpoint, I also choose the path with the least connections and most amenities when traveling, if possible.
Comment by Fairness and Fairness Only Wednesday, Feb 1, 17 @ 1:09 pm
FAFO, CAT has been an international concern for some time.
If you read the press release from them I posted, they said that they decided on building a new HQ in downtown Peoria after years of study.
I imagine in that study they discovered there weren’t direct flights to Asia at the Peoria airport.
That only happened after the new guy became CEO.
Comment by wordslinger Wednesday, Feb 1, 17 @ 1:20 pm
May the Cat executives would prefer to live in a town where the local mayor doesn’t order a police raid on a stoner who makes fun of the mayor on Twitter! Just sayin’
Comment by Concerned Wednesday, Feb 1, 17 @ 1:50 pm
Actually, Kuala Lumpur is an amazing city. I have been there man, many times!
Comment by Formerpol Wednesday, Feb 1, 17 @ 2:11 pm
** if I was to offer everyone in Peoria a guarantee they’d have work equal to what they have there, but they had the opportunity to move to Chicago(land), how many would actually stay in Peoria? **
Most. Just as many city dwellers do not understand why anyone would want to live in a small city or rural area, most rural residents have no interest in living in a big city.
Comment by CornCob Wednesday, Feb 1, 17 @ 2:32 pm
== International customers and vendors flying in to meet with CAT don’t want to make a connection to a small regional airport. They want to stay in a large destination city that is easy to navigate.==
I don’t doubt that they would prefer to stay in Chicago, but I don’t think that’s possible. The people purchasing from CAT aren’t going to come here until a deal is in the works. At that point, buyers are still going to need to come to Peoria since that’s where the actual product is being made and they want to see the operation. Vendors will want to see the plant to make sure their products will be compatible. They aren’t going to fly all the way here just to see the business office (vendors would, but they’ll go wherever they need to in order to make the sale). Otherwise, they’re going to want the CAT people to come to them. Since the manufacturing operations aren’t going anywhere, they would still need to come to Peoria.
Comment by Katiedid Wednesday, Feb 1, 17 @ 2:40 pm
It is not just the CEO, it is the whole Executive team.
And it isn’t just the whole executive team, it is your financial consultants, advertising consultants, suppliers, etc.
And it isn’t just your consultants, it is your customers.
Heck, even the governor wanted to send his kid to school in Chicago - Winnetka would not do.
We are surprised there are other executives who feel the same way?
Comment by Anonymous Lee Wednesday, Feb 1, 17 @ 2:41 pm
In the Chicagoland area we are seeing more companies relocating from the suburbs to downtown Chicago. Sometimes its a satellite office other times its the entire organization like United Airlines or McDonalds. The same reasons that these companies give for moving into the city could be the reasons that prompt Cat to relocate HQ staff. Companies want to locate in areas where they think they can draw the best talent. That’s not a slam of Peoria anymore than it is of Elk Grove Village or Oakbrook.
Comment by Pundent Wednesday, Feb 1, 17 @ 4:01 pm
How much did thier plan for Peoria cost? May due to declining revenues they changed course.
https://www.google.com/search?q=cat+revenues&safe=active&source=lnms&tbm=isch&sa=X
Comment by activist Wednesday, Feb 1, 17 @ 5:03 pm
–Heck, even the governor wanted to send his kid to school in Chicago - Winnetka would not do.–
New Trier wouldn’t do.
$250K took care of that of that potential nightmare.
Give that a think, from the “crumbling prisons” governor with the $250K ghost “education secretary.”
That guy relates, to the Illinois citizens sending their kids to public schools?
What am I, a schmuck on wheels?
Comment by wordslinger Wednesday, Feb 1, 17 @ 5:08 pm
The only people the CEO had to convince were the other members of the board. Shrewd move. If board meetings were held in Peoria and board members from all over had to get to Peoria vs. Chicago each month… probably didn’t take much convincing, maybe some Hamilton tix.
Comment by Justaguy02 Wednesday, Feb 1, 17 @ 6:36 pm
–The only people the CEO had to convince were the other members of the board. Shrewd move. If board meetings were held in Peoria and board members from all over had to get to Peoria vs. Chicago each month… probably didn’t take much convincing, maybe some Hamilton tix.–
Yeah, well, CAT has been in Peoria since 1910, Einstein. I imagine board members for more than 100 years have known that.
Why you felt you needed to share your ignorant, flippant babbling on an existential issue to those in Peoria past, present and future is beyond me.
Seriously, what did you think you were bringing to the table?
Comment by wordslinger Wednesday, Feb 1, 17 @ 6:46 pm
Peoria is catatonic over this
Comment by Rabid Thursday, Feb 2, 17 @ 3:35 am
The smell of Illinois river in summer, big headed carp jumping, adm stench,a whiff of the sewer plant downtown has it all going for it with a view east Peoria
Comment by Rabid Thursday, Feb 2, 17 @ 3:46 am