Ireland Welcomes Covidien From Bermuda

by Jason Gorringe, Tax-News.com, London

22 July 2010

Irish Prime Minister, Brian Cowen on July 20 welcomed the opening of Covidien’s operations at the European Services Centre in Dublin. The company announced its intention in 2009 to relocate to Ireland from Bermuda.

Covidien, a healthcare device and supply company, having already had substantial operations in Ireland, announced that it would close its operations in Bermuda explaining that Ireland was better suited to provide a “stable economic, legal and regulatory environment.”

In a move that is unlikely to reduce Covidien’s tax bill, Covidien explained that despite having partly operated from Bermuda for thirty years, Ireland offered a "long history of international investment and a good network of tax treaties with the US, European Union and other countries”, all crucial, it said, for its ongoing operations in the US and in Europe.

Welcoming the official opening of Covidien’s new operations, Cowen said: "Covidien's Centre is an impressive operation and its establishment here is a vote of confidence in Ireland as a key location to carry out international services. Having a company of this calibre establish its European Services Centre in Ireland, is very significant and very welcome.”

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