MADISON – Wisconsin’s economic development board approved the key terms of a contract Wednesday implementing a $3 billion incentive package for a Foxconn Technology Group plant in the state, including a personal guarantee from the company’s leader to protect state taxpayers.
The deal calls for Foxconn Chairman and CEO Terry Gou to personally guarantee one-fourth of any potential payback if the company fails to meet investment and employment benchmarks.
Gov. Scott Walker and Foxconn officials planned to sign the contract Friday in Racine. The deal ties hundreds of millions in tax credits to the number of jobs the Taiwanese electronics giant creates at the facility each year. It also allows the state to recoup the money if the company fails to meet the benchmarks, key provisions sought by critics of the subsidy.