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IBM Contract Manufacturer Closing Plant

Celestica, a contract manufacturer for IBM, Hewlett-Packard and Microsoft, will close a circuit-board assembly plant in Arden Hills, Minn. later this year.

ARDEN HILLS, Minn. (AP) -- A contract manufacturer based in Toronto will close a circuit-board assembly plant in Arden Hills later this year.

The move means Celestica Inc. will eliminate 590 jobs in Arden Hills.

Spokeswoman Adrienne Vaughn said the shutdown will happen by the end of November.

Celestica's customers include Hewlett-Packard, IBM and Microsoft. Vaughn said the plant also had contracts with aerospace, industrial and medical manufacturing companies.

She said the shutdown is due to a decrease in demand and services.

Employees will be offered severance packages and outplacement counseling.