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April 25, 1994

INTEL BLAMES HIGH CALIFORNIA TAXES FOR ARIZONA PLANT DECISION

By CBR Staff Writer

Blaming the high taxes in California, Intel Corp has chosen Chandler, Arizona for its next big chip plant, a $1,300m giant that will not be ready to start fabrication – of P6 or P7 microprocessors, until 1997. The work will create about 3,000 construction jobs and the plant will eventually employ 2,000 people. It will process 8 wafers to 0.25 micron design rules. Intel already employs about 4,300 people in its plants, worldwide purchasing, and assembly and test in Chandler. Intel said building in California (Folsom was reportedly a contender) would have added $80m to the cost of the Albuquerque, New Mexico plant opened last year. Aloha, Oregon was also considered.

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