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Medical device maker to invest $18 million in new Florida plant

By: Jeremy Carroll

November 25, 2013

Medical device manufacturer Covidien plans to open a new production facility in Hillsborough County, Fla., state officials announced.

The company plans to invest $18 million in the site, and create 165 jobs with the project. The company is in temporary space and will move into a 62,200-square-foot facility in mid-2014, Gov. Rick Scott's office said. Based in Dublin, and with a U.S. headquarters in Mansfield, Mass., Covidien has more than 38,000 employees in more than 70 countries.

Covidien manufacturers a number of items, including medical devices and medical supplies. The company did not announce what it plans to manufacture at the site.

Scott pointed to Florida's elimination of sales tax on manufacturing equipment as a potential key in driving the facility opening to the sunshine state.

"This announcement is great news and we will continue working hard to provide more jobs and opportunities for Florida families," he said in a statement.

Phil Devlin, vice president and general manager of Covidien, said they are excited about the new facility in Hillsborough County, home to Tampa Bay.

"We specifically selected Hillsborough County for several reasons, including its talented workforce and the Tampa Bay region's business climate, economy and quality of life," Devlin said in a statement. "Our new facility will not only provide jobs for the local community — it will support Florida's growing life science industry as well."

Covidien, a publicly held company, recently reported fourth-quarter and fiscal year 2013 results. The company reported net sales of $10.24 billion in fiscal year 2013, 4 percent higher than the $9.85 billion it reported in 2012.

Covidien reported medical device sales of $2.13 billion in the fourth quarter of 2013, up 3 percent over the same period last year. That jump was attributed to new products and increased volume of existing products, the company said. For the entire year, sales of medical devices climbed 5 percent to $8.49 billion in 2013.