Obama Speaks at Thompson Creek Window Company Today (Updated 3:30 p.m. EST)January 7th, 2011 by DWM Magazine
President Obama spoke at Thompson Creek Window Co. in Landover, Md., today and pointed out that the window tax credit led to a 55-percent boost in sales at Thompson Creek.
“Rick [Wuest, the owner of Thompson Creek] was telling me that when that tax credit got into place, the marketing arm of Thompson Creek got busy,” said Obama. “And that’s the right—that was exactly what we intended. That’s exactly what we wanted to see, is [companies] explaining to the American people that ‘you can save money on your energy bill, this is a smart thing to do, take advantage of it.’”
Obama also outlined a new tax break that will allow all businesses with capital needs to take advantage of this temporary expensing provision, “because we expect it to lower the average cost of investment by more than 75 percent for companies like Thompson Creek,” he said.
The President pointed out that Wuest started in the family business when he was just 13.
“Three decades later, Thompson Creek has expanded. It’s already outgrown this new 80,000-square-foot facility that it moved into just three years ago,” Obama said.
He added that companies like Thompson Creek are what have guided his administration for the past two years.
“Government can’t guarantee Thompson Creek or any business will be successful, but government can knock down barriers like a lack of affordable credit or high costs for investment or high costs for hiring — we can do something about that. Government can remove obstacles in your path,” said Obama.
He said that’s why his Administration has attempted to cut taxes for small businesses over the last two years.
“For example, with a tax break for hiring unemployed workers, Thompson Creek was able to grow its workforce from 200 employees to nearly 300 employees in just one year,” said Obama.
The President said incentives like these are helping companies across America and he reported on the job numbers released that morning. The economy added more than 100,000 jobs last month, and the unemployment rate fell sharply.
“Now, we know these numbers can bounce around from month to month. But the trend is clear. We saw 12 straight months of private sector job growth. That’s the first time that’s been true since 2006. The economy added 1.3 million jobs last year. And each quarter was stronger than the previous quarter, which means that the pace of hiring is beginning to pick up. We’re also seeing more optimistic economic forecasts for the year ahead, in part due to the package of tax cuts I signed last month, including a payroll tax cut for workers and a series of tax cuts to encourage investment and innovation and hiring.
And I fought for that package because, even though our economy is recovering, we’ve still got a lot to do. This was a brutal recession that we went through, the worst in our lifetimes. It left a lot of destruction in its wake. More than 8 million jobs were lost. So even though we’ve created 1.3 million jobs and we saved a whole lot of jobs, you’ve still got a whole bunch of folks who are out there looking, still struggling. We’ve got a big hole that we’re digging ourselves out of.”
During the speech Obama announced that he has appointed Gene Sperling as director of the National Economic Council, Jason Furman as principal deputy at the National Economic Council, Heather Higginbottom as deputy director of the Office of Management and Budget, and Katharine Abraham to the Council of Economic Advisers.
“Now, part of our mission—part of this team’s mission—in the months ahead will be to maximize the steps we’ve taken to spur the economy. And one of the most important is allowing businesses to immediately deduct the entire cost of certain investments like the new equipment that I was taking a look at. This is a policy I fought for over the past two years. We were able to pass it finally as part of the tax cut compromise. It is going to make a real difference for our economy,” said Obama.
“So, talking to Rick, I know Thompson Creek is planning to take full advantage of this tax break. And that’s going to help Thompson Creek renovate, expand and add another hundred new employees right here,” he said. “So you’ve got companies like this all over the country. And the Treasury Department estimates that overall this will accelerate $150 billion in tax cuts for 2 million businesses over the next two years.”
Obama said he hopes other will follow suit.
“So I want to urge all businesses with capital needs to take advantage of this temporary expensing provision, because we expect it to lower the average cost of investment by more than 75 percent for companies like Thompson Creek,” he said. “It is a powerful new incentive for businesses. It is a great opportunity for companies to grow and add jobs. Now is the time to act … Companies who are listening out there: If you are planning or thinking about making investments sometime in the future, make those investments now and you’re going to save money. And that will help us grow the economy. It will help you grow your business.”