Turns out that Lexmark International Inc was not in a fully competitive state when IBM Corp sold it off – but IBM is picking up the tab for a voluntary redundancy programme at its former printer and keyboards division. Lexmark dresses up the cut-back by saying that improved manufacturing efficiencies have made it possible: it is looking for up to 175 employees at its Boulder, Colorado and Lexington, Kentucky plants to leave by year-end, saying they will get special payments of up to $2,500 to be funded by IBM.Lexmark says that this year it has increased its US salesforce by over 100 people selling directly to large accounts, and has hired about 150 engineers, programmers and other professionals. In its first 16 months of separate existence it has reduced its debt to about $800m from an original $1,200m due tostrong cash flow, the company said.
