Fidelity Revisits its Expansion Plan in North Carolina
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Thursday, February 19, 2009

Fidelity Revisits its Expansion Plan in North Carolina

Fidelity is re-thinking the need for a new building at its Research Triangle Park campus in view of the recession and the prior expansion the firm has made in the area, The News & Observer reports. It's also uncertain whether the Boston Behemoth will hit its goal of creating 2,000 jobs locally by the end of the year.

In 2006, Fidelity announced an expansion in the area (see The MFWire, 08/03/06). Since then, it has added 1,400 jobs in RTP.

"We are in the early part of 2009 right now," Fidelity spokeswoman Anne Crowley told the pub. "So really it is premature for me to speculate where we will be at the end of 2009 ... I think everyone understands the economy has had an impact worldwide on every industry."

When Fidelity made its announcement in 2006, it planned to put up another building in RTP.

"We are just stepping back and taking a look at our long-term needs ... in light of the fact that circumstances have changed," Crowley said.

Fidelity bought 269 acres in RTP in 2006, then purchased a 155,000-square-foot data center at a second RTP site in 2007.

"We can certainly accommodate our needs with the existing space we have and the data center we've acquired," Crowley said.

She added that Fidelity is "very committed to North Carolina."

Like its peers in the asset management industry, Fidelity has cut staff amid the market downturn and a weak economy. It started a two-part layoff in the fall of last year, and implemented the second round earlier this month. The cuts affected roughly 7 percent of the its workforce of 44,000. It was not clear how many where affected in North Carolina.

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