Looking like it wont be all sunshine and roses for a while here. ConAgra HQd in Omaha for nearly 100 years has been doing very poorly for a while now. Lately new investors have come in pushing for massive changes, a new CEO, both sitting on the board members living in Omaha have stepped down and today the new CEO made veiled comments that jobs would be moving to Chicago and it really sounds like the HQ is going away. There have already been reports that Conagra has secured space in The Merchandise Mart. He said the company would still have a presence in Omaha, but sounds like upwards of 1200 jobs are in danger for Omaha.
The downward spiral began when they bought a private label brand company a few years back. The deal was a complete tank for the company and they are already trying to spin that off for 50% of what they paid for it. There was so much hope that the deal would lead to hundreds of jobs moving from STL to Omaha. Turns out it probably caused the loss of a Fortune 500 HQ.
There was a scare that they would leave for Tennessee in the late 80s. The state ended up giving a lot of tax breaks to keep them in town b/c that was on the heels of Enron leaving for Houston and taking 1000 jobs with them.
Whatever ends up happening Conagra will forever have a legacy on the city. Along with the tax breaks given out 25 years ago they were allowed to create a suburban campus for their HQ downtown. They tore down 24 buildings that the CEO at the time described as "some big ugly, red brick buildings. At the time is was the nations largest historic district to be demolished.
The campus today consists of 5 buildings around the lake.
This could really go down as an example for anything from city planning to corporate welfare to historic preservation. Was all of that worth 25 more years of jobs? I have heard valid arguments from both sides, but it should serve as a reminder that decisions we make about our cities today have ramifications for decades which is why we need to try and make the very best decisions we can.
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