Comments by Minister Micheál Martin at the Official Opening of Dell’s EMEA Business Campus

Comments by Micheál Martin, T.D. Minister for Enterprise Trade and Employment, at the Official Opening of Dell’s EMEA Business Campus, at Cherrywood, Co Dublin on Thursday, 1^st June 2006

Thank you for inviting me here today for the official opening of your new facility here in Cherrywood which is not just a relocation from Bray but is also part of an expansion which will see some 420 new jobs created. I understand the majority of these are in fact in place and ultimately there will be 1,650 employed here. I very much welcome this continued investment and commitment by Dell to Ireland. You are the 2^nd largest ICT employer in Ireland with over 4,300 currently employed between here and Limerick. Dell’s imporance to the Irish economy is evidenced by the company’s contribution of at least 5.5 per cent of Irish exports, 2 per cent of GDP and over 4 per cent of all expenditure in the Irish economy. In the financial year ended 30th January 2004, Dell paid €160m in salaries in Ireland. For the financial year ended 30^th January 2005, Dell paid €55m in Corporation Tax.

In the global context, Dell Inc., Texas, is the world’s fastest growing company (Fortune 500), the world’s Number One manufacturer of computers and during 2005 was the Number One supplier of personal computer systems worldwide. The company employs 65,000 people globally and has sales offices in 170 countries. The company currently has an 18% market share of the worldwide PC market. Dell provides products to 90% of the Fortune 500.

For the year ended 3^rd February 2006, Dell recorded a 14% increase of net revenues to US$56 billion, net income of US$4 billion, total cash and investments of US$12 billion. During this time an extra 10,000 people were hired. EMEA revenue during this period was up 19%, generating $12.9bn in revenue (23% of total revenues). During this period Dell announced new facilities in El Salvador, Japan, China and the Philippines – including ten customer contact centres in the US, a Dell Design Centre in Singapore and a Dell Enterprise Command Centre in Malaysia. Dell also doubled manufacturing capacity in China (fourth largest market) and shipments increased 37% during this period.

Dell’s objective is to be an $80 billion company in the next three years and Dell expects 55% of growth to come from international markets with Europe representing a strong growth market for Dell. The company is also investing in high growth countries like China, India, Brazil and Malaysia. Industry analysts continue to report favourably on the ability of the company to achieve this $80bn goal.

Set against that background, Dell’s continued and growing confidence in Ireland is even more significant as it is now very much a flagship for other potential investors in Ireland.

Ireland continues to punch above its weight when it comes to attracting foreign direct investment. The recently published IDA annual report for 2005 points to very encouraging results and, clearly indicates that Ireland remains an important location for investors and for expansion by many businesses already located here who have developed beyond their original mandate to become key players in their company’s global chain.

I am particularly pleased at the quality of these investments in 2005 and their regional spread. I am also very encouraged to see that of the €1.035 billion invested in 121 projects, €275 million of this has been invested in 50 R&D projects. The calibre and quality of the jobs being created is also critical with over half of all jobs created requiring third level qualifications and almost 40% of all new jobs in IDA-backed projects now earning in excess of €37,000 per annum.

We will continue to position ourselves as a knowledge-based, technologically sophisticated economy, trading globally.

Today’s announcement is a sign of continued investment and commitment by Dell in Ireland and further underpins the strategicially important role Dells’ Irish operations play within the global group. It is also significant as it further demonstrates the opportunities available for one of the world’s leading companies to develop their existing Irish operations across all areas of business activity. Dell has a long and distinguished track record at bringing benefits to local communities further illustrated by today’s donation to The Children’s Sunshine Home.

Finally, congratulations on this major development and continued success.

ENDS/ETE1580