Home Depot Announces $57M Investment For Gulf Coas
Atlanta, GA, May 4, 2006--Following the most devastating hurricane season in American history, The Home Depot, announced today that it is investing $57 million to support rebuilding efforts throughout the Gulf region.
Combining capital construction with philanthropic support, this investment will create jobs, drive economic activity, and support local community efforts to rebuild homes and offer hope for the future.
The bulk of the new $57 million commitment will support capital projects in the region. The company will spend more than $13 million to re-open two New Orleans-area stores, in Chalmette and along I-10 in New Orleans, that were completely destroyed. An additional $43 million will support the opening of new The Home Depot stores, including a recently announced site in downtown New Orleans near the Superdome, a new site in East Slidell, LA, and other sites along the Gulf Coast.
The Home Depot is also expanding its philanthropic commitment to the region by donating an additional $750,000 in funding to support the following community rebuilding efforts:
- Affordable housing development and construction of a new athletic field house in Pass Christian, Miss.
- Materials and product for home repairs and supplies for housing volunteers in Biloxi, Miss.
- Construction of 20 playgrounds over two years throughout the Gulf region with its national nonprofit partner KaBOOM!, including 10 builds in five days in August 2006 to commemorate the one-year anniversary of Hurricane Katrina.
With these new commitments, The Home Depot adds to earlier investments in the region of more than $10 million in philanthropic support and more than $7 million in capital funding. In total, the company will have invested more than $75 million dollars into the Gulf community and anticipates significant future investments in the region as it scales its business to respond to community rebuilding needs.
"The Home Depot has been working to help support and rebuild communities in hurricane-prone areas for more than 20 years," said Bob Nardelli, chairman, president & CEO of The Home Depot. "The 2005 hurricane season had a devastating impact on millions of people and hundreds of communities. We have created a model for responding to community needs following a disaster--one that is holistic, community-driven and sustainable over time. As a business with the resources and know-how to support these efforts, we have a responsibility to help."
The Home Depot has previously committed $7.1 million in capital construction to re-open existing stores and to establish new temporary locations in Gretna, La., and Pass Christian, Miss. The additional $56.3 million commitment described above will increase the company's business investment in the Gulf region to $63.4 million.
The 2005 hurricanes impacted close to 80 Home Depot stores, some of which experienced significant damage. Two stores - I-10 and Chalmette - were completely destroyed and were temporarily re-opened in modified tent formats outside the previous Home Depot locations. Re-opening these stores in full The Home Depot layouts will enable the company to meet the extraordinary needs of homeowners for building materials, tarps, appliances, generators, roofing, flooring and other products as they continue repairing and rebuilding their homes.
As a result of The Home Depot's commitment to sustaining its business operations and responding to community needs in the region, the company has created 1,240 net new jobs as stores re-opened and increased operations to respond to brisk customer demand in the region. The company also offered transfers to other The Home Depot stores for nearly 600 associates who had worked and lived in the Gulf region but relocated following the storm. Additionally, the company projects an additional 230 new full- and part-time associates will be hired in the region over the next 90 days.
