After days of hostilities, Nike and Arizona have agreed upon a détente.
The athletic wear giant announced on Thursday that it is moving forward with its plan to open a Nike Air Manufacturing Innovation facility in Goodyear, Arizona, just a week after the state's governor said the company was not welcome.
"We welcome Nike to our state," Gov. Doug Ducey said in an about-face tweet on Thursday.
The feud began after reports emerged that Nike ($NKE) pulled a special edition of its Air Max sneakers on the advice of Colin Kaepernick, the former NFL quarterback-turned-activist, who objected to the shoe's use of the original Betsy Ross flag on its heel.
Kaepernick reportedly voiced his concern that the flag ー which was approved by the Continental Congress in 1777 and features 13 stars in a circle to represent the first 13 American colonies ー is offensive due to its connection to an era of slavery and its recent use by anti-government nationalist groups.
Upset with Nike's decision to pull the shoe, Ducey, a Republican tweeted last week, "We don't need to suck up to companies that consciously denigrate our nation's history." He ordered Arizona's Commerce Authority to withdraw all financial incentive dollars provided to Nike.
Just two days later, the governor faced criticism of his own for attending a July 4th event in Nike shoes.
With the announcement that Nike's plans are back on, the Arizona Commerce Authority announced that that it is "pleased Nike will locate its new manufacturing facility in Goodyear."
The announcement was "good news for Arizona and for Goodyear," Ducey added.
"Nike joins a growing list of Fortune 500 companies who proudly call Goodyear, Arizona home," Tammy Vo, Goodyear's digital communications director, said in a statement to Cheddar. "We are excited to partner with them to bring high-quality jobs, breakthrough technology, and advanced manufacturing to our community.""
The Nike facility is an investment of roughly $184 million and is expected to create over 500 full-time jobs.
"The expansion of Air MI in Arizona helps us keep pace with the growing demand for Nike Air and also greatly increases the size of our U.S. manufacturing footprint," Eric Sprunk, Nike's chief operating officer, said in a statement. "We want to thank the State and City of Goodyear for their partnership as we continue to accelerate our growth."
