Ciara Conway (Waterford, Labour)
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10. To ask the Minister for Jobs, Enterprise and Innovation the set up and financial supports provided to a company (details supplied) in County Waterford to locate in Waterford city; if the company was placed under obligation to stay in Waterford for a set period of time; if he is satisfied that the company fulfilled all the terms and conditions of its contract, before making the decision to leave; if the company will be subjected to any penalties as a result of failing to adhere to any of the aforementioned; and if he will make a statement on the matter. [5859/15]

Richard Bruton (Dublin North Central, Fine Gael)
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I am very disappointed that this company, which was established in Waterford only a few months ago, is now closing.

IDA Ireland approved a grant assistance package for the company. However as no grants were paid, there is no liability attaching to the agreement with the IDA. In all instances where financial assistance is approved by the IDA for a company, the Agency and the client enter into a legally binding contract, the terms of which must remain confidential. This company are not in breach of the terms of that contract. However it is not feasible to specify minimum operational periods, given the competitive market for Foreign Investment projects.

The company had planned to increase employment to 30 staff in their new International Operations Centre over the next two to three years, and at the time of the closure announcement last month staff numbers had reached just nine.

Unfortunately for the Irish operation, a recent change of strategic policy by the company, involving a restructuring of its worldwide operations, resulted in a decision that its European facilities would be consolidated in Amsterdam, where the company has a major Centre of Excellence. Consequently a decision was made to close the Waterford operation by mid- year.

I would like to emphasise that the vast majority of Foreign Direct Investment projects secured by IDA Ireland remain here and, indeed, thrive in Ireland. Waterford is home to several major corporations which have embedded themselves in the local and national economy, with solid employment growth since their establishment. However, the strategic policy of multinationals sometimes means that decisions are made which involve a closure here, and unfortunately this has been the case with this company.