Capital One hiring 500 in Delaware, getting millions in incentives

Capital One Financial Corp. has committed to expanding its Delaware work force by 500 jobs, state officials said Monday morning.

In June, Capital One announced its plans to acquire Delaware-based ING Direct USA for $9 billion. In August, it said it would acquire HSBC’s domestic credit-card business for $2.6 billion. HSBC’s domestic card business also employs Delawareans.

The 500 jobs announced Monday would be in addition to all of the ING and HSBC employees that would become Capital One employees after the acquisitions.

As part of the expansion agreement, Capital One will receive a Delaware Strategic Fund Job Creation Incentive of $5.6 million and a Capital Improvements and Equipment Cash Incentive equal to 3 percent of the total capital expenditures the bank makes for its new Wilmington facility, up to a maximum rebate of $1.5 million. The funding is contingent on approval by the Delaware Council on Development Finance. Under the agreement, the 500 new jobs must be in place by December 2013.

A Capital One spokesman said the jobs will entail a wide variety of functions including retail banking, information technology, human resources and risk management. Two separate sources familiar with the situation said the jobs will pay an average of at least $135,000.

McLean, Va.-based Capital One (NYSE:COF) is parent to Capital One NA and Capital One Bank (USA) NA. It had $126.1 billion in deposits and $199.8 billion in total assets as of June 30. Capital One NA has about 1,000 branch locations primarily in New York, New Jersey, Texas, Louisiana, Maryland, Virginia, and the District of Columbia.