IBM moving Minnesota production work to Mexico, NY


IBM Corp. says it will shift the bulk of its manufacturing operations at its Rochester facility south of the border, the Post Bulletin reports.

Scott Cook, a company spokesman for the global computer giant, confirmed production of its Power Systems, PureSystems and PureFlex Systems will be moved to Guadalajara, Mexico. Refurbishing of used IBM machines will be moved to New York state.

Cook told KTTC the decisions are based on creating the "best possible infrastructure" for the company.

He would not confirm how many workers will be cut in Rochester, but sources estimate the move will cost the southeast Minnesota area hundreds of jobs.

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The changes will begin later this year and are expected to be complete by mid-2014.

"It'll be a sea-change in terms of Rochester, relative to what we're known about and that's been IBM and Mayo," state Sen. Dave Senjem, R-Rochester, told Minnesota Public Radio. "To see it waning away so to speak is relatively and frankly an emotional experience. We never thought we'd see this day come and apparently it has, and that's again terribly unfortunate."

KAAL says some manufacturing will stay in Rochester, including the final assembly of Blue Gene supercomputers.

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