CINCINNATI, July 27, 2020 /PRNewswire/ -- The Kroger Family
of Companies (NYSE: KR) today announced the Ohio Tax Credit
Authority has approved a 75%, 15-year data center sales tax
exemption for all technology equipment purchased for Kroger's two
data centers and a supporting technology facility respectively
located in Blue Ash and
To qualify for a 75%,15-year data center tax exemption,
companies must invest at least $100
million in capital investments at the project site over
three consecutive calendar years and pay annual compensation of
$1.5 million. The tax exemption
covers equipment purchased for qualifying data center projects from
Ohio sales tax.
"Kroger continues to invest in technology and digital
capabilities to advance our seamless ecosystem for our customers
that combines the best of the physical store experience with the
digital experience," said Yael Cosset, Kroger's chief technology
and digital officer. "We thank JobsOhio, Ohio Development Services
Agency, REDI Cincinnati and the cities of Blue Ash and Hamilton for their support as this tax
exemption will allow Kroger to continue making meaningful
technology and digital investments that will benefit local
customers and those who shop at our stores across the country."
Kroger has already made significant investments in the data
centers and technology facility, where a large percentage of its
technology and digital associates are based, including efforts that
support the modernization of the company's technology platform and
seamless ecosystem. In addition to modernizing systems, the tax
exemption will support continued technology and digital investments
including future equipment needs, software and development work,
and enhancements to the customer and associate experience.
"As consumer preferences evolve, Kroger is making impactful
investments in technology to ensure its customers' expectations are
met and exceeded for years to come," said J.P. Nauseef, JobsOhio
president and CEO. "Investing in Ohio is investing in success, and these new
data centers in Blue Ash and
Hamilton position Kroger for the
digital growth needed to support its customers throughout
the United States."
"Online grocery is expected to grow by 40% in 2020 alone, and
Kroger is primed to benefit from that growth by investing in its
digital future," said Kimm
Lauterbach, president and CEO of REDI Cincinnati. "We're
proud to partner with Kroger as it expands its digital capabilities
to create a world-class experience for its customers."
"Kroger is the largest employer in the City of Blue Ash and an important business
partner in our community," said Neil
Hensley, City of Blue Ash
economic development director. "We are excited about this
major new investment, which helps further establish Blue Ash as an important technology hub in
Greater Cincinnati. We are
grateful for Kroger's continuing confidence in our city and look
forward to strengthening our partnership with the company."
"Kroger continues to be a leader in providing for the essential
needs of their customers and Hamilton is proud that their investments
involve the strengthening of information infrastructure assets
within our community," said Jody
Gunderson, City of Hamilton
director of economic development.
Data and personalization are core aspects of Kroger's business,
from carrying the most relevant products to personalizing the
digital shopping experience to powering alternative profit
businesses. With insightful, comprehensive data, Kroger also
continues to improve how it operates in every aspect of the
"We know our customers value convenience and personalization and
providing customers with the ability to have anything, anywhere,
anytime from Kroger is what sets us apart," continued Cosset. "This
has never been more important than in our current environment,
enabling our customers to shop in the way they prefer."
Kroger's investments in its ecommerce channels have allowed the
company to accelerate its digital offerings during the COVID-19
pandemic. Kroger offers a no-contact delivery option, low-contact
pickup service and ship-to-home orders. Kroger has also expanded
contact-free payment solutions like Scan, Bag, Go and Kroger Pay.
In March, Kroger formed employment partnerships with local,
regional and national businesses to create a shared-resource model
that temporarily flexes employees to Kroger roles, ensuring the
food supply chain continues without disruption. Partners included
Frisch's, Marriott International, McLane Foodservice, Shamrock
Foods, Sodexo, SodexoMAGIC, Sysco, Thunderdome Restaurant Group, US
Foods, Waffle House and more. Locally, Kroger has continued to
partner with JobsOhio to support Ohioans impacted by the
pandemic, including those from the hardest-hit sectors like
restaurants, hotels and food service distributors.
Kroger has published Sharing What We've Learned: A Blueprint
for Businesses that offers actionable recommendations and
learnings the company has applied to safeguard its associates,
customers and supply chain since the start of the pandemic. The
resource is available to download at KrogerBlueprint.com.
About The Kroger Co.
At The Kroger Co.
(NYSE: KR), we are Fresh for Everyone™ and dedicated to our
Purpose: To Feed the Human Spirit®. We are, across our family
of companies, nearly half a million associates who serve over 11
million customers daily through a seamless shopping experience
under a variety of banner names. We are committed to creating
#ZeroHungerZeroWaste communities by 2025. To learn more about us,
visit our newsroom and investor relations site.
JobsOhio is a private nonprofit
economic development corporation designed to drive job creation and
new capital investment in Ohio
through business attraction, retention and expansion. The
organization also works to seed talent production in its targeted
industries and to attract talent to Ohio through Find Your Ohio.
JobsOhio works with six regional partners across
Ohio: Dayton Development Coalition, Ohio
Columbus, REDI Cincinnati, Regional
Growth Partnership and Team NEO. Learn
more atwww.jobsohio.com. Follow us
on LinkedIn, Twitter and Facebook.
About REDI Cincinnati
The Regional Economic
Development Initiative (REDI) Cincinnati is the first point-of-contact for
companies locating or growing in the 16-county region at the heart
of southwest Ohio, northern
Kentucky, and southeast
Indiana. REDI Cincinnati is
supported by top business leaders and community partners and
staffed by a team of economic development experts who are uniting
the Cincinnati region to compete
globally. The future is bright, and we're building it, right now.
Join us at REDICincinnati.com.
About Blue Ash,
Twenty minutes north of Cincinnati, Blue
Ash has the best of both worlds – the feel of a close-knit
community with big city access. Its top-ranked schools, superior
parks and recreation, outstanding cultural and entertainment events
and a thriving business community, making Blue Ash the ideal place to live, work and
visit. For more Blue Ash news
and information, visit www.blueash.com.
Located on the Great Miami Riverway in the heart
of the Cincinnati-Dayton metroplex, Hamilton is a historically-significant city
with approximately 63,000 residents. Home to Miami University Hamilton and the County Seat of
Butler County, Hamilton is the area center for government,
finance and industry. Known for its unparalleled art, cultural
& recreational activities, Hamilton is continually expanding its quality
of life offerings. An award winning community, Hamilton was the 2010 & 2015 recipient of
the Berkeley Springs International Water Tasting "Best Water in the
World" award, as well as the recipient of the prestigious 2010
Public Gas System Achievement Award. For more information, please
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SOURCE The Kroger Co.