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Dell (Nasdaq:DELL) Again Delays Closing of Winston-Salem Plant


Thursday, March 18th, 2010

For the third time Dell (Nasdaq:DELL) has delayed closing the assembly plant of the company in Winston-Salem, now pushing the date back to October 29.

Originally scheduled to close in the early part of 2010, demand for the specific desktop computers assembled at the plant have kept the company from closing it prematurely.

Even with the good news for the approximate 400 employees still working at the plant, the company has no plans to change their mind on ultimately closing the facility once demand drops again. With the Christmas season around the corner at that time, it'll be interesting to see if they gain a fourth reprieve until the season is over.

"Our current plan is to close the plant at the end of October," said Dell spokesman David Frink. "However, we are going to continue to evaluate and if business needs dictate, we may decided to keep it in operation beyond October."

Even though Dell could have kept incentive money it received for keeping the plant open for five years, they've already returned it to local and state governments, and said even if there were to be further extensions which would qualify them to keep some of the funds, they have no intentions of attempting to recover any of the funds they legally could get if they chose to.



Article by Gary B

The views expressed are the subjective opinion of the article's author and not of FinancialAdvisory.com



Tags: assembly plant , dell computer , desktop computers