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HUGHES CONSOLIDATES INDUSTRIAL PRODUCTS AND MICROELOECTRONIC SYSTEMS DIVISIONS

 HUGHES CONSOLIDATES INDUSTRIAL PRODUCTS
 AND MICROELOECTRONIC SYSTEMS DIVISIONS
 TORRANCE, Calif., Feb. 12 /PRNewswire/ -- As part of overall company cost-cutting efforts, two operating divisions of Hughes Aircraft Co.'s Industrial Electronics Group are being consolidated into one division.
 The operations are the company's microelectronic systems division in Rancho Santa Margarita, Calif., and the industrial products division in Carlsbad, Calif. The combined organization will be located in the present Carlsbad facilities. The move is expected to be completed by mid-year.
 The two divisions have a combined employment of some 950 people. Specifics of staffing the new organization have not been determined, company officials said, but task teams are currently being formed to address that issue.
 John Kolostyak, manager of the industrial products division, and Robert G. Phelps, microelectronic systems division manager, will serve as manager and assistant manager, respectively, of the new organization.
 In announcing the organizational change, Jeffrey E. Grant, Hughes vice president and president of the Industrial Electronics Group, cited continuing efforts at Hughes to adjust to the downturn in the company's core businesses.
 "The new organization is designed to optimize facilities and reduce present overcapacity," Grant said. "Combining staffs and other resources will eliminate duplication of support functions, thus reducing fixed costs. We expect the new division to be more streamlined, flexible and customer-focused, and therefore better able to take advantage of new business opportunities."
 The Hughes microelectronic systems division designs and manufactures high-reliability communications equipment, including shipboard switching systems and aircraft intercom systems, as well as security systems and consumer audio equipment. The industrial products division supplies high-technology products to industry, government and other Hughes operations, including precision welding and soldering equipment used in microelectronics manufacturing and testing.
 -0- 2/12/92
 /CONTACT: Bill Herrman of Hughes, 310-568-6307/ CO: Hughes Aircraft Co. ST: California IN: ARO SU:


KJ-CH -- LA014 -- 9294 02/12/92 13:50 EST
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Publication:PR Newswire
Date:Feb 12, 1992
Words:308
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