Report: GE picks Boston for new HQ

A formal announcement of the move is expected Thursday, the Globe reported citing an unnamed official.

The move follows a spat between the maker of locomotives, jet engines and advanced medical devices over tax policy in Connecticut that prompted GE Chairman and CEO Jeffrey Immelt to look for a new base of operations.

Georgia was in the race before being informed in November that it was no longer being considered. Though the company has operations in many states, and the headquarters of two divisions in Georgia, much of GE's core is in the Northeast where many observers expected GE to stay.

But a move to a state often called “Taxachusetts” might be a surprise to some.

Despite Massachusetts high-tax reputation, the commonwealth also enjoys fame as an education powerhouse. The Bay State’s unemployment rate alsois nearly a full percentage point better than Georgia’s.

Boston also is a technology hub of New England with the Massachusetts Institute of Technology and a vibrant medical community and world-class hospitals.

Though recruiters for Georgia and metro Atlanta made GE one of their top economic development priorities, state officials began to quietly hint in the weeks before Atlanta was eliminated that convincing GE to leave the Connecticut and buck GE’s more than century-old northeastern roots was a daunting challenge.

Still, though state and local recruiters were disappointed in being eliminated, the state remains hopeful that getting in front of GE executives and visiting officers from other Connecticut Fortune 500 companies upset about their state’s tax changes could lead to other jobs deals.

GE has significant ties in Georgia, including more than 5,000 workers in several divisions. GE Energy Management and GE Power Generation Services are based in Georgia. John Rice, a vice chairman and chief of global operations, has a residence in Buckhead.