PC manufacturer shuts down outlets

By PETER GRIFFIN it writer

Computer assembler Macrocom closed the doors of its outlets in Auckland and Christchurch yesterday.

The liquidator called in to manage Macrocom's assets said the company, which supplied computers, software and internet access to home and business users, had grown too fast without a corresponding level of investment since opening its doors in 1999.

Keith Palmer, of McCallum Petterson, said it was too early to tell what the future held for Macrocom's 22 employees and their retail outlets. He did not know if Macrocom had outstanding creditors.

"We've only been in here 24 hours. The shops are shut at the moment. We're stock-taking, both figuratively and literally.

"One thing that will continue to be provided uninterrupted is Macrocom's internet service."

Macrocom customers who had left their PCs at the company's workshops were advised to contact their local store.

The firm's demise comes as the latest figures from research analysts International Data Corporation (IDC) show locally assembled PCs are claiming a bigger chunk of the market. Locally manufactured PCs accounted for 35 per cent in the fourth quarter last year, up 30.2 per cent on the previous three months.

Mr Palmer said Macrocom had grown quickly since it began trading nearly two years ago, but a lack of operating capital had been the company's downfall.

Macrocom managing director and major shareholder Alex Al-Azzawi could not be contacted last night.