Statement from the Tánaiste and Minister for Enterprise, Trade and Employment, Ms. Mary Coughlan, T.D., regarding Dell Inc

The Tánaiste and Minister for Enterprise, Trade and Employment, Ms. Mary Coughlan, T.D., today (Sunday, 21 December 2008) confirmed that she, together with the Minister for Defence, Mr. Willie O’Dea, T.D., met with Mr.Michael Dell, Chairman and CEO of Dell Inc. in Austin, Texas last Monday. Mr. Dell was accompanied by a number of his senior managers and the Tánaiste and the Minister for Defence were accompanied by the Secretary General of the Department of Enterprise, Trade and Employment, Mr. Sean Gorman, and by the Chief Executive of IDA Ireland, Mr. Barry O’Leary.

The purpose of the meeting was to seek an update on implementation of Dell’s new corporate strategy which aims to achieve $3 billion in annualised cost savings by the end of their 2011 financial year and in particular the company’s plans for the future of their operations in Limerick.

The company confirmed to the Tánaiste and Minister for Defence that it was pushing ahead with its cost saving plan.  Weakening demand and associated cost pressures continue to put pressure on the company to implement its new strategy.

Dell is continuing its internal consideration of exactly what its new strategy means for its operations in Limerick. The company has undertaken to communicate the details both to staff and to the Government as soon as it is in a position to do so.

The Tánaiste and the Minister for Defence communicated to Mr. Michael Dell the significant benefits that the Limerick operation brings to the company, the city and the region.  They undertook on behalf of the Government to provide whatever assistance they could to Dell with a view to retaining a significant Dell presence in Limerick and maximising its future presence there.

For its part the company expressed its wish to continue to work with the IDA and the Government and agreed to revert to the Tánaiste as soon as it had finalised its detailed plans for the Limerick operations.

ENDS/ETE1993

21 December 2008