Gateway to enhance production capacity

Gateway plans to open a new manufacturing facility to meet growing customer demand in the business, education and government sectors.

The new plant for assembling configure-to-order desktops, notebooks and servers will be either a company-owned facility or a joint venture, Irvine, Calif.-based Gateway said on Tuesday. The company is already holding discussions with potential partners. Besides producing the computers, the facility will also provide custom imaging services and government compliance certification, the PC maker said.

The location for the plant, which will initially employ 300 staff when it opens in 2006, will be decided by the fourth quarter of 2005, Gateway said.

Gateway recently reported a quarter of net profit after a series of 13 quarters of losses.

In a separate announcement Tuesday, Gateway said it had named John Goldsberry, former chief financial officer of eMachines, as its new CFO. Gateway bought eMachines last year. He replaces outgoing CFO Rod Sherwood, who is retiring.