FTZ LETTER TO COUNTY CONAIR EXTENSION 2018.PDF

PHONE: 602-230-0600
FAX: 602-212-1787
WITHEY MORRIS 2525 E. Arizona Biltmore Circle, Suite A-212, Phoenix, AZ 85016
ATTORNEYS AT LAW
April 3, 2018
Shelby L. Scharbach,
Assistant County Manager and Chief Financial Officer
Maricopa County
301 W Jefferson St. Tenth Floor
Phoenix, AZ 85003
Re: Conair Corporation / Request to Expand Foreign Trade Subzone No. 75A
10691 & 10669 W. Vista Avenue, Glendale, AZ 85307
Dear Shelby:
We represent Conair Corporation regarding its property located at 10691 & 10669 W.
Vista Avenue in Glendale, AZ (the "Property"). Conair is one of the largest and most diversified
consumer products companies in the world. They are a global company that manufactures,
distributes and sells professional salon products, personal care products, consumer and
commercial kitchen appliances, and cookware under more than twenty-five brand names in
over one-hundred and twenty countries around the world. Conair is a significant contributor to
the region's economy and specializes in the manufacture and distribution of consumer
products. They are a major employer in Glendale and a Fortune 200 company that supports
other economic development in the County.
Since 1992, Conair has operated a distribution center in the Glen Harbor Business Park
in Glendale, Arizona under Foreign Trade Subzone status. In 2009, the ,Foreign Trade Zone
Board approved an application to modify the boundaries of the Subzone to incorporate
additional distribution buildings. In 2017, the Foreign Trade Subzone status was extended to
cover an additional 17 acres. This new application simply requests that the Foreign Trade
Zone acres be expanded by approximately 3 acres.
If you recall, Conair expanded their existing distribution facilities in the Glen Harbor
Business Park by constructing a new building with more than 815,000 square feet which
opened last year. That expansion resulted in a capital investment of $51 million in land,
building and equipment, plus 300 new jobs with an annual payroll of $9.6 million, or an
estimated average salary of $31,973. Through the multiplier effect, approximately 169
additional jobs (including supply chain jobs plus jobs related to employee spending) and $7.5
million in annual payroll are supported at other local businesses in Maricopa County. The
existing Conair Foreign Trade Zone area covers approximately 117 acres.

April 3, 2018
Page 2
The good news is Conair plans to expand onto 3.18 acres of vacant land which is
adjacent to its existing facilities. The expansion area will occur on land that has been vacant
for many years and is the ideal use given its size and proximity to Coriair's existing facilities.
This area should have been included with the FTZ expansion in 2017 but unforeseen
items delayed this small area till present day. The purpose of the expansion is to allow for
more storage capacity. The storage area is a FTZ requirement where distributors can drop
freight used in the manufacturing process under the control and authority of the FTZ boundary.
This helps expedite manufacturing processes and avoids prohibitive off-site storage of
freighted goods and wares. This minimal request is necessary for the entire Conair campus to
operate in a cohesive, reasonable fashion.
This minimal request is necessary for the entire Conair campus to operate in a
cohesive, reasonable fashion. For this purpose, this application includes the requisite
materials, narrative, exhibits, and letters as required by the Maricopa County. We respectfully
request the Maricopa County Board of Supervisors recommend no objection of the subzone
expansion for Foreign Trade Subzone 75A as described in this submittal.
Very truly yours,
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04/03/18