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Acer Cuts 100 Jobs From South Dakota Gateway Plant

Computer maker earlier said no Gateway employees would lose their jobs as a part of the acquisition, but the latest job cuts push the number of layoffs past 300.

NORTH SIOUX CITY, S.D. (AP) -- Another 100 employees of the former Gateway computer plant in North Sioux City are losing their jobs.

Gateway was acquired in October by Acer.

A company spokeswoman says it will focus on its indirect sales model and transition Gateway's direct sales into that system.

Acer says over the next two months it will close its direct sales call center and eliminate some of the related support functions, many of which are based in North Sioux City.

The company says it will keep customer service, engineering and administrative positions in South Dakota.

Acer earlier said no Gateway employees would lose their jobs as a part of the acquisition, but Tuesday's announcement was at least the third notification of layoffs that now top 300.

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