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Geox to Open $21 Million Shoe Factory in Southern Serbia

Geox SpA (GEO), an Italian shoemaker and retailer, will open a factory in Serbia with an annual capacity to produce 1.25 million pairs of shoes.

The 15.8 million-euro ($20.5 million) plant in the southern city of Vranje will employ 1,250 and receive government aid for creating jobs, the office of Finance and Economy Minister Mladjan Dinkic said today in an e-mailed statement.

Geox founder and Chairman Mario Moretti Polegato signed an agreement with Serbian officials in Vranje today, including a government pledge to provide 9,000 euros for each new job. Production is expected to begin in 2014, said Aleksandar Miloradovic, a spokesman for the Serbia Investment and Export Promotion Agency, in a telephone interview today.

To contact the reporter on this story: Misha Savic in Belgrade at msavic2@bloomberg.net

To contact the editor responsible for this story: James M. Gomez at jagomez@bloomberg.net

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