Require higher capital investment

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Star manufacturing PCB's in house, setting a new building near the company headquarters. This option gives a full control of the quality and delivery but require a higher capital investment. The construction of a new building with 30,000 square feet were expected to cost 3.5M, without a probable tax reduction from this project, and would be ready for manufacturing equipment by April 2004. But the complete transition is expected by 2005 and the production will beging in 2006.

Reference no: EM133294472

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