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New Mexico Governor Tries to Lure Nike After Arizona Dispute Over American Flag Sneakers

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New Mexico Governor Michelle Lujan Grisham has reached out to Nike to "explore whether there's a potential fit" after Arizona Governor Doug Ducey threatened to pull funding amid a flap about an American flag-themed shoe.

Lujan Grisham spokesman Tripp Stelnicki says the Democratic governor contacted Nike because she wants the jobs in New Mexico that would go to a planned $185 million factory in Goodyear, Arizona.

It's not clear whether the move by Governor Ducey would derail Nike's plans for the Arizona factory…but the Mayor of Goodyear where the plant would be located…says the city plans to continue to work with Nike—despite Ducey’s complaints. According to media reports, the city agreed to waive nearly $1 million in permit fees and would reimburse Nike another $1 million for the jobs created.

In a tweet this week, Ducey called Nike's decision a "shameful retreat," saying "American businesses should be proud of our country's history, not abandoning it."

Ducey, has ordered the Arizona Commerce Authority to withdraw all financial incentive funds the state was providing for the company to locate the west valley.

The Wall Street Journal reported Nike pulled the colonial-era American flag shoe after former NFL quarterback Colin Kaepernick complained that it is reminiscent of slavery during America’s early years.

Stelnicki says New Mexico in recent months has attracted employers like Netflix and NBC Universal. He says Nike would find a friendly business climate in the state.

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