MPC faces continued uncertainty
By Dave Dreeszen ddreeszen@siouxcityjournal.com | Posted: Saturday, November 01, 2008
NORTH SIOUX CITY -- Questions about the future of MPC Corp. continued to swirl Friday as the financially strapped computer maker prepared for an all-employee meeting in North Sioux City.
According to a worker who asked to remain anonymous, local managers did not specify what would be discussed at the meeting, set to begin at 4 p.m. Monday.
There were unconfirmed reports the Nampa, Idaho-based company, which acquired Gateway's professional division last year, is bracing for more bad news.
MPC spokesman Michael Boss could not be reached for comment Friday. In an e-mail to the Journal a day earlier, he acknowledged the company faces difficult challenges.
"I think that it's very safe to say that until MPC puts its financial house in order ... there is no real job security for anyone,'' Boss wrote. "I would include myself in that camp, by the way.''
The latest uncertainty comes two weeks after MPC cut about 100 jobs, or more than a quarter of the workforce, at its North Sioux City facility Friday, as well as another 200 positions at its Idaho facilities. The layoffs reduced total employment in North Sioux City to less than 300.
NYSE Alternext US, formerly the American Stock Exchange, this week moved to delist MPC's stock, which had fallen steadily to 4 cents per share. According to an exchange spokesman, trading was halted pending the release of unspecified news from the company.
In its latest quarterly report, for the period ending June 30, MPC, which sells computers exclusively to the business, education and government sectors, reported a net loss of $12.5 million. That marked an improvement on a loss of $25 million for the same quarter a year ago.
According to a worker who asked to remain anonymous, local managers did not specify what would be discussed at the meeting, set to begin at 4 p.m. Monday.
There were unconfirmed reports the Nampa, Idaho-based company, which acquired Gateway's professional division last year, is bracing for more bad news.
MPC spokesman Michael Boss could not be reached for comment Friday. In an e-mail to the Journal a day earlier, he acknowledged the company faces difficult challenges.
"I think that it's very safe to say that until MPC puts its financial house in order ... there is no real job security for anyone,'' Boss wrote. "I would include myself in that camp, by the way.''
The latest uncertainty comes two weeks after MPC cut about 100 jobs, or more than a quarter of the workforce, at its North Sioux City facility Friday, as well as another 200 positions at its Idaho facilities. The layoffs reduced total employment in North Sioux City to less than 300.
NYSE Alternext US, formerly the American Stock Exchange, this week moved to delist MPC's stock, which had fallen steadily to 4 cents per share. According to an exchange spokesman, trading was halted pending the release of unspecified news from the company.
In its latest quarterly report, for the period ending June 30, MPC, which sells computers exclusively to the business, education and government sectors, reported a net loss of $12.5 million. That marked an improvement on a loss of $25 million for the same quarter a year ago.
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Alicia wrote on Nov 9, 2008 1:52 PM:
IT people that are thinking about relocating, maybe you could help bring something positive into your area. Did you know that within a 100 mile radius of where you live you have the potential to become the number ONE producer of wind energy in the United States? Put your computer heads together and make a job for yourself. The area has a lot of potential if only you can realize how to use the resources that you have. "
more news wrote on Nov 3, 2008 5:35 PM:
Who cares anymore wrote on Nov 1, 2008 12:07 PM:
I know Iowa doesn't want to push for South Dakota to get the jobs, but filling the old Gateway building in North Sioux City definitely benefits both Sioux City and Iowa. Get your heads out of your butts, city and state leaders.
Also, crack down on the unethical practices of MPC. Make them pay for what they did! "