PC demand keeps Dell open longer

Posted March 18, 2010 6:45 p.m. EDT

— Dell Inc. announced at the end of last year it is closing its North Carolina computer manufacturing plant, putting more than 900 people out of work.

The Winston Salem Journal reports the company will keep its Forsyth County plant open until the end of October, because of increasing demand for desktop computers.

It's the third time Dell has extended its deadline for closing the plant.

The company had planned to shut down in January, putting more than 900 people out of work. It then extended the deadline to April, then July.

About 500 workers are still at the plant.

The plant opened in 2005. Dell was promised more than $300 million in state and local incentives to open the plant manufacturing desktop computers.

In exchange, the Texas-based company was required to invest $100 million, create 1,700 jobs by September 2010 and maintain those jobs for 10 more years. If those terms weren't met, the company would forfeit the incentive package.

Dell said it would comply with the terms of the incentive agreement.

In November, city and county officials are gave Dell a discount for repaying more than $26 million in local incentives early.