IBM TO SELL ENDICOTT CAMPUS
ENDICOTT, N.Y. -- IBM Corp. is selling its sprawling complex in this upstate New York village where the company was founded early last century, but all 4,000 jobs will be retained, the governor said Monday.
Two thousand jobs will remain with IBM, which will lease space at the 4.1 million square foot complex for 10 years. The others will work for Endicott Interconnect Technologies Inc., doing the same work they do now, IBM spokesman Todd Martin said.
IBM will become a customer of their products -- complex circuits and chip carriers or packages.
The sale will not affect the flow of IBM components to other plants. "We volume commitments to tis new comany where ... they'll contiue to supply us with any (of theses)technologies," IBM spokesman Michael Loughran said today.
The deal was announced Monday morning by Gov. George Pataki.
Endicott Interconnect, a new company, will invest $100 million, Pataki said. The purchase price wasn't disclosed.
The buyers include James Matthews, the owner of electronics businesses, as well as the Maines family, operators of a food-service company.
The Endicott operation was one of the original installations of IBM's corporate predecessor, the Computing-Tabulating-Recording Co., founded by Thomas Watson Sr. in 1911.
About 800 jobs have been cut at the site since late last year. Under the deal, IBM will lease portions of the building for a decade.
Shares of IBM were down $4.40, or 6.1 percent, to close at $67.60 in trading Monday on the New York Stock Exchange. In trading 10 minutes after the market had opened this morning, though, the price had rebounded $1.30 to $68.90.
The local investor group, Endicott Interconnect Technologies, is buying the dozens of buildings on the upstate campus.