Oct. 30, 2001 -- Citing the uncertain economic climate, Commtel will put off the construction of a planned Internet data center in Portland, Maine and reduce its staff.
The initial construction schedule called for the facility to be completed in the first quarter of 2002. Commtel said the decision was made to conserve cash and "ensure Commtel's long-term financial position." The company is continuing discussions with various capital sources, today's decision was
"Recent events coupled with a faltering economy have forced us to slow continued investment until industry and economic conditions stabilize,'' said Scott Roberts, President and Chief Operating Officer at Commtel. "I am personally saddened by the fact that, at this time, we cannot continue with our initial timeline.
The company did not say how many employes would be laid off as a result of the project's postponement.
"We have assembled one of the most professional, highly skilled teams that I have ever had the privilege to work with and I am sorry that we are not able to keep the team together for the immediate future,'' said Roberts.
Commtel, with facilities in Portland and Winthrop, Maine, is a regional provider of colocation and hosting services.