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IBM ANNOUNCES RESTRUCTURING OF PERSONAL SYSTEMS

 IBM ANNOUNCES RESTRUCTURING OF PERSONAL SYSTEMS
 ARMONK, N.Y., Dec. 5 /PRNewswire/ -- IBM Vice President James A.


Cannavino today announced a restructuring of the Personal Systems line of business. It will allow IBM's personal computer business to operate with the focus and flexibility of a separate business entity within the IBM Corporation (NYSE: IBM). These changes will result in faster, more effective responses to conditions in the PC and workstation marketplace.
 As part of the changes, a new worldwide PC management team has been formed, PC development has been restructured and worldwide manufacturing for PCs and workstations has been assumed by Personal Systems.
 "These changes will allow us to anticipate changing market conditions faster and more quickly make the necessary business commitments to lead the marketplace," said Cannavino, IBM vice president and general manager, Personal Systems.
 Highlights of today's announcement are:
 -- Worldwide PC Management Strengthened. A single PC marketing executive was named in each of IBM's five geographic units. These executives are now responsible for business results within their geographies and are members of a newly formed PC executive board that will manage worldwide PC business results, including profit, asset management, returns, unit and revenue growth and cash from operations. The executive board, chaired by Cannavino, now also has worldwide responsibility for product pricing.
 -- PC Development Restructured. A new worldwide development organization -- Entry Systems Technology -- was formed to increase efficiency in developing future subsystems and technologies. IBM Vice President Nobuo Mii, who was IBM Japan vice president and general manager of Asia Pacific Technical Operations (APTO) in Tokyo, has been named general manager of the new group. Entry Systems Division (ESD), headed by IBM Vice President Robert J. Corrigan and based in Somers, N.Y., will now focus on near-term systems development activities to ensure a continuous flow of PC products to the marketplace around the world.
 -- Worldwide Manufacturing Efficiencies. ESD now has worldwide manufacturing and supply optimization responsibility for both PCs and workstations.
 Entry Systems Technology
 The new group, headquartered in Somers, N.Y., will develop and acquire strategic subsystems and technologies focused on a two- to five-year period for PCs and workstations. It is designed to increase development efficiency, accelerate time-to-market and expand the sale of IBM technologies and subsystems to other companies.
 The new organization includes subsystems and systems development and site support groups transferred from ESD. Also, it will provide development guidance to subsystems and systems development groups from APTO in Japan and engineering software from PS Programming.
 It will also draw on the research and technology resources of the IBM Corporation and provide Personal Systems product groups with a menu of key leading-edge technologies and subsystems, such as communications, storage, Micro Channel/bus interconnect, graphics, image and multimedia subsystems. Boca Raton, Fla., will serve as the group's main development site.
 IBM PC and workstation products are manufactured worldwide in Raleigh, N.C.; Austin, Texas; Greenock, Scotland; Guadalajara, Mexico; Wangaratta, Australia; Fujisawa, Japan; and Santa Palomba, Italy.
 -0- 12/5/91
 /CONTACT: Paul T. Bergevin, 914-765-6565 (today), or Tara Sexton, 914-642-4662 (after today), both of IBM/
 (IBM) CO: International Business Machines Corporation ST: New York, Florida IN: CPR SU: RCN


GK -- NY016 -- 9535 12/05/91 09:34 EST
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Date:Dec 5, 1991
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