Alcatel Selling Richardson Plant
AP Online, 06/25/2001 14:06
RICHARDSON, Texas (AP) - French telecommunications-equipment maker Alcatel has agreed to sell its Richardson manufacturing plant to Sanmina Corp., an electronics components manufacturer.
Financial terms weren't disclosed.
Alcatel, which has its U.S. headquarters in Plano, another Dallas suburb, said in February it planned to sell the manufacturing operation, which makes products for fiber-optic communications networks.
About 450 people work at the 320,000-square-foot facility. The companies did not explain how the sale would affect employees.
Alcatel said selling the manufacturing plant will improve its cash flow and help it focus on introducing new products.
Alcatel has been a customer of San Jose, Calif.-based Sanmina for more than 15 years, and Sanmina officials said they hoped the deal would lead to an expanded relationship between the companies.
Sanmina makes electronic components, including circuit boards, under contract to telecommunications manufacturers. Nortel Networks, the Canadian equipment maker with U.S. headquarters in Richardson, is a major customer.
In afternoon trading Monday, Alcatel's U.S. shares fell 30 cents to $20.74 on the New York Stock Exchange; Sanmina shares fell 35 cents to $21.61 on the Nasdaq Stock Market. |
