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HP workstations go West

Hewlett-Packard plans to cut 100 jobs from its workstation division as it moves operations to another state.

Hewlett-Packard (HWP) today said it plans to cut 100 jobs from its workstation division as it moves operations to another state.

The workstation division, which currently operates in Chelmsford, Massachusetts, will relocate to Fort Collins, Colorado. Hewlett-Packard said the jobs to be cut will be in the service support area.

Meanwhile, 100 employees in the marketing and administrative office will be offered jobs at the new location.

Hewlett-Packard also plans to outsource more of the manufacturing and assembly work of some of its workstation business.

Under the move, the company will be able to consolidate its workstation operations with its graphics software and hardware operations in Fort Collins, said William Russell, general manager of the technical computing business unit.

The move follows the company's announcement Monday that profits for the fourth quarter fell four percent compared with last year, despite higher sales and orders.

Hewlett-Packard reported net profits of $648 million, or 62 cents a share, down from $678 million or 64 cents a share a year ago. Sales rose 12 percent to $10.1 billion from $9 billion for the year-ago period.