The buyer, Endicott Interconnect Technologies Inc., is a partnership of area investors principally backed by Maines Paper and Food Service owners David and Bill Maines, and James Matthews of the MATCO Electronics Group. Neither the full sale price nor details of IBM's 10-year lease at the Endicott facility have been released.
Though IBM is selling the Broome County facility where the company was founded in 1906, the computer giant's employees will continue to occupy the entire complex. While roughly 800 employees have been let go from the Endicott operation over the last year, 2,000 remaining employees will continue with IBM, while the rest will reportedly work for Endicott Interconnect.
EIT was formed to acquire and operate IBM's Interconnect Products operations in Endicott. The business unit manufactures circuit boards and chip carriers for IBM and external customers.
"The IBM history, tradition, quality of employees and products and a proven track record in the computer industry provide a solid foundation to grow and expand the existing Microelectronics business," says Bill Maines. "This new structure will allow us to be extremely competitive and responsive within the rapidly changing microelectronics industry."
The new owner will be eligible to apply for state funding through a number of incentive programs. A $4-million capital grant is available through Empire State Development Corp. to aid in the acquisition of the Endicott Campus. An additional $1 million grant is offered through the Governor's Office for Small Cities. And because most of the site is located in an Empire Zone, the company will be eligible for a variety of tax benefits.
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