News
Pelco to abandon access control

Pelco President and CEO Dean Meyer said in a statement thatt “As the general economic
outlook continues to worsen and as forecasts call for a prolonged
challenge throughout 2009, we as a company are forced to continually
adapt to market demands. In response, we have initiated the necessary
planning to exit the electronic access control (EAC) business with our
Intelli-M product line. This decision requires that we explore the
options to sell or spin-off the Intelli-M EAC business, as well as to
close the EAC business in its entirety.”

Management further noted that these options are being explored, and
that regardless, the company will be closing the Pelco Indianapolis
facility which primarily houses the resources for its access control
development along with elements of general product support and training.

Meyer added that, “As we have indicated on numerous occasions, we are
forced to monitor the market and be prepared to make difficult
decisions swiftly in response to whatever challenges we are presented.
This is another such decision but one that is necessary for us to
maintain focus on efforts that are expected to best help Pelco weather
the storm.”

According to management, employees impacted by this decision have been
informed, and those placed on layoff status will be offered severance,
outplacement and counseling services. Likewise, Pelco will provide
additional information to its customers on future plans for product
support, warranty, repairs, etc., within the next 30 days.

“I would like to thank all of the employees in Indianapolis as well as
those throughout the company who have supported our Intelli-M EAC
business over this past year. Even though excellent progress has been
made in the product offering and toward future releases, we must
consider the realistic timing of future sales growth and the associated
support costs between now and then. I ask for your support and
understanding with this difficult decision,” said Meyer.