A $9.6 million incentive package to move Aetna's headquarters from CT to New York City has been revoked after CVS acquired the company.
CVS Health Corp. has chose to keep Aetna Inc.in Hartford, Conn., reversing the insurer's plan announced a year ago to move its corporate headquarters to New York City.
Carolyn Castel, who is the vice president for corporate communications for CVS Health, said CVS officials met with the mayor of Hartford on Thursday and they chose to not move Aetna's operations from Connecticut's capital city.
The statement came the day after CVS officials met with Hartford Mayor Luke Bronin and Gov. Dannel P. Malloy, both Democrats, and days after New York City halted a $9.6 million incentive package to lure Aetna. CVS Health has an incredible track record of corporate stewardship, and we welcome their leadership, and commitment to naming Hartford a center of excellence for the insurance business. "We have no plans to relocate Aetna's operations from Hartford".
Malloy took Friday's announcement by CVS as confirmation that CT is a "tremendous place to do business" with talented workers and a good quality of life.
That's when pharmacy giant CVS purchased Aetna, raising questions about Aetna's future location plans. Empire State Development, New York state's economic development arm, also had offered the insurer $24 million in performance-based tax credits to open the office in the city.
Aetna had said it planned to move over 200 senior executives to New York City in order to tap into a larger tech talent pool. CVS will maintain its corporate headquarters in Rhode Island. "I fully commend CVS for making the decision to keep Aetna in the great city of Hartford", Rep. John B. Larson (CT-01) said in a statement on Friday.
The co-chairmen of a state commission that's recommending ways to improve Connecticut's economic stability and growth acknowledged the news of Aetna staying in Hartford was good for the state but warned that big problems remain. "Let's hope that CT can capitalize and begin to attract and retain businesses in the state".