Sun Microsystems laying off about 250 in Colorado

The Associated Press
Friday November 02, 2001

BROOMFIELD, Colo. — Sun Microsystems Inc. will lay off about 250 people in Colorado as it cuts its global work force because of the soured economy. 

Almost all the cuts will be at Sun’s business park in Broomfield, Sun spokesman Prentiss Donohue said. The Palo Alto, Calif.-based company is cutting about 3,900 of its 43,000 employees overall. 

Donohue said the actual number layoffs in Colorado won’t be known until next week, but about 235 will come at the Broomfield office.  

Affected employees began receiving notices Tuesday, he said. 

Scores of technology firms in Colorado and across the United States have laid off employees in response to the economic downturn. The Sept. 11 attacks further hurt demand. 

Unlike many other firms, Sun refrained from layoffs until later in the year. But demand for its servers, storage and software programs declined through 2001. 

In mid-October, Sun reported a loss of $180 million on revenue of $2.86 billion, down sharply from net income of $510 million on revenue of $5.05 billion for the same quarter last year. 

Sun’s stock was trading at $10.64 on Thursday, up 49 cents, or 4.83 percent.