< PreviousAn FDI Expert’s Take “Several factors come into play when international companies deliberately decide to invest in Kentucky,” said Jonathan Samford, president and CEO of the Global Business Alliance (GBA), which tracks and advocates for foreign direct investment in the U.S. “Access to top-tier academic institutions, a skilled workforce and a transparent regulatory environment make the Bluegrass State an attractive destination.” GBA estimates the number of Kentuckians employed by international companies to be about 150,000. “Kentuckians employed by international companies are making things right here at home, with an astounding 63% of these workers being in the manufacturing sector,” Samford noted. “In fact, Kentucky is second in the nation for the largest concentration of manufacturing jobs supported by global investment. “Over the last 10 years,” he added, “the number of jobs supported by global investment has increased by a whopping 58%, while the commonwealth’s overall private sector employment rose 12%. International companies setting up shop in Kentucky come from America’s friends and allies, like Japan, Germany and Canada. Companies such as Toyota continue to invest and create jobs in the state. I don’t see Kentucky forgetting its secret recipe anytime soon.” KENTUCKY ECONOMIC DEVELOPMENT GUIDE 59 The taste of Kentucky is winning over the world. by Gary Daughters BOOM TIMES Bourb BOURBON A s sure as it is to evoke a distinct sense of romance, bourbon is a drink for the seasons. Especially so in Kentucky, which enjoys all four. ink winter nights by the fi re. Spring at the races. Summertime, when the living is easy, fi ltering into an autumn that glows like a favored bottle. Pour yourself a taste and let the feeling seep in. A state that can spot a winner, Kentucky is fi nding new ways to cozy up to bourbon — its signature creation — as a coveted asset that is uniquely its own. e wild success of the Kentucky Bourbon Trail, now in its th year, is a testament to the the state’s increasing popularity as a global tourist destination. “Bourbon is an incredible product that is in demand throughout the world,” said Gov. Andy Beshear. “And people love the Bourbon Trail.” With its roots in the s, the Kentucky Distillers Association is one of the nation’s oldest trade organizations. Its creation of the the Bourbon Trail, a roadmap to Kentucky’s most renowned and bucolic distilleries, has been a stroke of genius. Having steadily expanded to include more than destinations, the Trail attracts in the neighborhood of million guests each year. Included among them are well-heeled international travelers known to extend business stays for the bourbon experience. KDA is expanding its global outreach. Photo courtesy of KDA60 KENTUCKY ECONOMIC DEVELOPMENT GUIDE “There’s a tremendous enthusiasm for bourbon in the European Union countries, Canada, Japan and other parts of Asia,” said Jack Mazurak, KDA’s director of governmental and regulatory affairs. “And while we’re more than happy to supply them with bourbon, there’s a growing segment that wants to move beyond that and is willing to take the time and spend the money to come visit our distilleries.” It’s a phenomenon that dovetails nicely with the state’s New Kentucky Home campaign, Mazurak said.. “There’s a long history of people coming to Kentucky and falling in love with it,” he noted. “You only need to give them a good reason to visit, and that’s what the Bourbon Trail is. Once people experience Kentucky, a lot of them want to stay.” Breaking Down the Boom Through its advocacy, KDA has helped create space for the long-running “bourbon boom,” perhaps best measured by the surge of private investment to meet growing worldwide demand. From 2009 to 2024, according to KDA, the number of Kentucky distilleries multiplied by five. As of early 2025, state-licensed distilleries numbered 119, owned by 96 companies across dozens of Kentucky counties. Direct employment in the sector approaches 25,000. Annual economic impact is more than $9 billion. “Over the last two decades,” trumpets KDA’s 2024 economic impact report, “every important economic measure of the distilling industry has risen to unprecedented levels — facilities, production volume, inventory, employment, payroll, investment, visitation and taxes generated.” A $250 million investment by Atlanta- based Staghorn was one of Kentucky’s biggest of 2024. Staghorn’s Garrard “ Over the last two decades, every important economic measure of the distilling industry has risen to unprecedented levels ” — KDA’s 2024 economic impact report The chart-topping country music group Little Big Town performs on The Amp at Log Still in New Haven in Nelson County, Kentucky. Photo courtesy of KDAKENTUCKY ECONOMIC DEVELOPMENT GUIDE 61 County Distilling Company is geared toward producing up to , barrels of bourbon a year. It’s bringing new jobs to Garrard County, which was legally “dry” until a referendum. (Perhaps not coincidentally, Garrard was home to Carrie Nation, the face of the national temperance movement that led to Prohibition in . Her childhood cottage is recreated on distillery grounds.) Among other new investments, Eastern Light Distilling is bringing contract bourbon to Morehead, a university town of , east of Lexington. e $ million project will create full-time jobs on a -acre campus that’s to include a distillery, rickhouse, bottling facility and event space. Further cementing bourbon’s momentum, other recent investments include Jackson Purchase Distillery in Fulton County ($ million/ jobs); Henderson County Distilling Co. ($ million/ jobs); Maker’s Mark in Loretto ($ million/ jobs); and Owensboro’s Green River Distilling Co. ($ million/ jobs). The demand for bourbon is peaking all over the world. Photo courtesy of KDA62 KENTUCKY ECONOMIC DEVELOPMENT GUIDE A Tradition’s New Horizons In Kentucky, bourbon has advanced beyond merely a source of imbibement into a catalyst for tailored hospitality. Log Still Distillery, a 360-degree bourbon oasis in historic Nelson County, could be considered Exhibit A. Since opening in 2020 on 350 acres of former moonshining property, Log Still has evolved into an “all-encompassing immersive experience,” said proprietor Wally Dant, a legacy distiller. Now a full-service resort, Log Still has come to include not just a premium distillery and assorted tasting rooms but high-end lodging, farm-to-table restaurant, fishing pond, hiking trails and sleek conference center. Log Still’s outdoor “Amp” holds up to 2,300 concertgoers and has featured such musical luminaries as Dwight Yoakam, Marty Stuart and his Fabulous Superlatives, Elle King, Brothers Osborne and Martina McBride. Distilleries are bringing in coveted chefs. The Kitchen Table restaurant at the iconic James B. Beam Distilling Company in Clermont opened in 2022 as part of a major campus expansion. Chef Brian Landry leans on local ingredients for his Kentucky Burgoo, a luscious stew of pork, beef, chicken and vegetables. Projected to open in 2025 in downtown Louisville, Green River Distilling’s latest satellite tasting room is to feature a premium lounge and performance space, plus a hidden entrance that leads, conspiratorially, to a dimly lit speakeasy. Green River is owned by the venerable Bardstown Bourbon Company, which runs a popular tasting room and retail shop just steps away on Louisville’s “Whiskey Row.” “Everything from restaurants to vintage bars, concert stages and event venues,” said KDA’s Mazurak, “is creating new lines of businesses for our distilleries. And for our guests, they’re providing more options to experience not just Kentucky bourbon, but the amazing beauty of our commonwealth.” The Kentucky Bourbon Trail is an important part of a booming tourism economy in Kentucky. Photo by Charity Hedges courtesy of Kentucky Cabinet for Economic DevelopmentBB eing recognized as an industry leader has the power to beget success in other sectors. Kentucky has long been known as a logistics stronghold, leading America as No. in the nation for air cargo by weight. is renown has primed the state as an attractive location for expanding aerospace companies, inciting an infl ux of businesses to grow their operations in the state. Since , companies affi liated with the aerospace industry have invested more than $. billion in Kentucky-based projects and announced over , new jobs. With more than aerospace businesses, including Lockheed Martin, GE Aviation and Raytheon, located in the state, this sector exported nearly $ billion in parts and goods in . is number is anticipated to continue to surge, as multiple major projects are currently underway and expected to come online in . L Aviation At the tail end of , L Aviation, a comprehensive avionics design, consulting, manufacturing and engineering company, announced its fi rst Kentucky location with a new facility in Boone County. To facilitate growth and meet demand, the company is investing $ . million to locate in an existing offi ce and production facility as well as a hangar at Cincinnati/Northern Kentucky International Airport (CVG). L Aviation plans for the two facilities to be fully operational by the end of , creating new jobs in the area. New aerospace projects are taking Kentucky to new heights. by LINDSAY LOPP KENTUCKY ECONOMIC DEVELOPMENT GUIDE 63 AEROSPACE Flying High Lockheed Martin, GE Aviation and Raytheon are among the more than 100 aerospace companies with locations in Kentucky. Image courtesy of Lockheed MartinBoasting 1,100 acres dedicated to air cargo, CVG is the sixth largest cargo airport in North America and the 12th largest in the world. It serves as the home of Amazon’s primary U.S. Air Hub and DHL’s Global Super Hub for the Americas — along with a significant presence from FedEx and other logistics providers. In the December press release, BE- NKY Growth Partnership CEO Lee Crume noted that aviation maintenance and aerospace are two strong industry sectors in Northern Kentucky due to the growth of cargo and passenger operations at CVG: “We actively collaborate with the CVG team to bring maintenance and repair operations, manufacturing and aviation support projects to the Cincinnati region. With CVG’s successful expansion of passenger and cargo service, there is tremendous opportunity to bring new companies and high-potential careers to Northern Kentucky.” New companies aren’t the only ones expanding at CVG. Last October, DHL broke ground on a new $292 million facility at the airport. The project, which has increased in scope since it was originally announced in July 2023 as a $192 million investment, includes the construction of a 305,000-sq-ft aviation maintenance facility and expanded aircraft apron at the company’s Global Hub. DHL, already one of the largest employers in Northern Kentucky, expects to create 300 additional jobs once the project is completed. 64 KENTUCKY ECONOMIC DEVELOPMENT GUIDE GE Aerospace welcomes a tour at a plant in Madisonville, Kentucky. Photo courtesy of Kentucky Cabinet for Economic DevelopmentKENTUCKY ECONOMIC DEVELOPMENT GUIDE 65 Nitto Gov. Andy Beshear kicked off the new year by announcing that yet another multi-million-dollar aerospace project is coming to Kentucky. On January 9, it was revealed that Nitto, a global technology developer and provider of products and services for automotive, electronics, aerospace and other industries, will be opening a new facility in Frankfort and creating 220 full-time jobs, representing the largest job creation announcement in Franklin County since 2010. The company has selected a site at Franklin County’s Industrial Park 3, which is expected to come online in spring 2025. This new location is anticipated to provide Nitto with additional manufacturing space as well as a better location to assist in delivering products to their customer base. “Nitto is excited to put down roots in the capital city and to welcome our team to the area in 2025,” said Yukihiro Horikawa, president of Nitto Inc. “The access to our customers is unparallelled in the Bluegrass region. We are enthusiastic about the community and excited to invest in Frankfort.” “The economic momentum Kentucky is seeing is a direct result of tremendous growth among our largest and most vital industries, and manufacturing, automotive and aerospace are at the center of that growth,” said Gov. Beshear. “We continue to see quality companies like Nitto expanding to meet growing customer demand, and that is a recipe for long-term success for our economy.” “ The access to our customers is unparallelled in the Bluegrass region. ” — Yukihiro Horikawa, President, Nitto Inc.66 KENTUCKY ECONOMIC DEVELOPMENT GUIDE T he COVID- pandemic was a wake-up call for health care across the nation, highlighting the need for stronger, more accessible medical services, especially in rural areas. In Kentucky, leaders have leaped into action, implementing solutions to expand health care access and ensure that every resident, no matter where they live, receives quality care. Governor Andy Beshear has signed measures to expand access to health care, including initiatives to increase funding for hospitals that meet federal quality measures. In , he announced that Kentucky hospitals would receive an additional $ million to $ billion annually to help advance the quality of care for Medicaid members and provide a stable base for hospitals overcoming the fi nancial challenges of the pandemic. One notable initiative that has emerged is the Kentucky Rural Hospital Loan Program, a $ million revolving loan fund that off ers low-interest loans to hospitals in counties with populations under , . e funds administered through this program and the projects they support will directly impact . million Kentuckians living in rural areas. ese loans, ranging from $ , to $ million at a % fi xed interest rate, enable rural hospitals to maintain and upgrade their facilities, retain and grow their workforce, and provide health care services not currently available in their areas. Going and Growing Since the program’s inception in , loans have been awarded to nine hospitals throughout rural Kentucky, including three in . Last year, Livingston Hospital was by LINDSAY LOPP Recent investments are expanding access to care in the commonwealth. EQUITABLE HEALTH CARE IN EVERY COMMUNITY HEALTH CARE Through the combined eff orts of Kentucky’s government leaders and local hospitals, the state's health care network is growing stronger than ever. Photo courtesy of Norton HealthcareKENTUCKY ECONOMIC DEVELOPMENT GUIDE 67 awarded its first $1 million loan from the program. With this financing, it plans to construct a new physical and occupational therapy facility, a project expected to total approximately $1.8 million. Baptist Health Deaconess Madisonville and Trigg County Hospital received their second Kentucky Rural Hospital loans in 2024, both totaling $1 million. Baptist Health is using this round of funding for building improvements, which include replacing a deaerator tank and electric boiler. Trigg County plans to use its loan to purchase an MRI machine. Matt Jordan, a program specialist at the Kentucky Cabinet for Economic Development and the program manager on all three projects, said, “We’re trying to get these communities access to funding that they really need to keep these hospitals going and growing. By establishing this program, we’re allowing these hospitals to remain open, providing funding for them to hopefully get, whether it’s equipment or new services that they don’t currently have, the community access.” Norton Healthcare is Here to Help Alongside the efforts of Kentucky leadership, Louisville’s second-largest employer, Norton Healthcare, is ensuring that residents in the Bluegrass region don’t have to look far for high-quality health care. Russell Cox, Norton Healthcare’s president and CEO, believes that improving health care outcomes begins with access. Therefore his tenure has been defined by a dedication to expanding the organization’s outreach. In addition to running nine hospitals, the non-profit has grown from 200 access points to 400 throughout Kentucky and Southern Indiana. This growth allowed the company to increase its workforce as well, jumping from 14,000 employees to approximately 23,000. “We know there are disparities in our community based on lack of access,” said Cox. “So, if you can build relationships with people closer to home, remove the barriers by which they may decide not to use you, we think they will come. We will build a relationship. We will establish trust, and those outcomes will improve.” The organization’s brand-new Norton West Louisville Hospital is a shining example of this mission implemented. Created in partnership with Goodwill Industries of Kentucky, this new hospital is the first built in West Louisville in more than 150 years. Rather than build a hospital like the other eight in its network, Norton Healthcare chose to take a nuanced approach to the design and construction process. “When we decided to build Norton West Louisville Hospital, we could have built a hospital like we’ve built many times, but we determined that the right thing to do was listen to the people who were going to be using the facility, ask them what they wanted to see, ask them what barriers they thought they were experiencing,” explains Cox. Based on community feedback, Norton Healthcare added a centralized check-in area, community room, outdoor green space and a food pantry to the plans for the new facility. The campus additionally features a 24/7 emergency department, inpatient treatment, operating rooms, laboratory services, imaging services “ We definitely have the environment and the atmosphere in our community that can take this agenda on. ” — Russell Cox, President and CEO of Norton HealthcareNext >