NYC withdraws $9.6 million incentive for Aetna to move - WFSB 3 Connecticut

NYC withdraws $9.6 million incentive for Aetna to move

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(WFSB file) (WFSB file)
NEW YORK CITY (WFSB) -

There are reports that Hartford-based Aetna may not be moving its headquarters to New York City after all.

On Wednesday, New York Mayor Bill de Blasio’s administration canceled the $9.6 million incentive package it offered Aetna to relocate its headquarters to the city.

A spokesperson said they are unable to move forward with the money earmarked for Aetna, but would not elaborate on why.

Last summer, it was reported that Aetna would invest $84 million for new headquarters in the city's meatpacking district, near Chelsea market and companies like Google and Apple.

At the time, Aetna said it planned to move approximately 250 employees to Manhattan, but things changed toward the end of last year.

That's when pharmacy giant CVS purchased Aetna, raising questions about Aetna’s future location plans.

On Wednesday, an Aetna spokesperson would not confirm they are no longer relocating to New York City, saying “All Aetna locations will be evaluated as part of the integration planning process. We have nothing additional to share at this time."

"While we don't have all the information regarding the reasons for, and implications of, the cancellation of New York's financial incentives, it is not unusual for a company to reconsider such a move during a merger of this magnitude. Aetna's current home in Hartford is a great location with incredible access to a talented and skilled workforce. The administration has been in contact with CVS leadership to reiterate this point as well as the many other competitive advantages our capital city and state have to offer," said the state's Department of Economic and Community Development Catherine Smith.

In a statement, Hartford Mayor Luke Bronin said “It's too early to say what this means for Hartford, but I’ve stayed in communication with both Aetna and CVS, and I’ll continue to work with them and to advocate for Hartford’s interests as their merger moves forward.”

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