Virginia Businesses in the News


Cutbacks and Closings

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For the Record is compiled from company releases, business journals and newspaper reports from around the state. If you have an item for these listings: • Mail it to: For the Record Virginia Business Magazine P.O. Box 85333 Richmond, VA 23293 • E-mail it to ForTheRecord@va-business.com • Fax it to (804) 649-6311

Capital One Financial Corp., a McLean-based financial services company, closed its call center in Irving, Texas and laid off 220 workers. Most of the work done there will be transferred to Richmond where about 130 jobs will be added. The layoffs are part of a move announced in July to eliminate 1,380 jobs. (Richmond Times Dispatch)

Circuit City, a consumer electronics retailer headquartered in Richmond, closed four its eight consignment shops that offered services to process online auctions on eBay for customers. The trial program will continue at four locations in Pittsburgh, the closing of four consignment shops in Atlanta was done so in an effort to control costs. (Richmond Times-Dispatch)

Freddie Mac, a government-sponsored financier of mortgages based in McLean, closed its Securities and Trading Group, which was responsible for accounting irregularities that led to several top executives leaving the company and $125 million in fines from federal regulators. Market-making operations within the division were closed and other responsibilities for mortgages and investments were moved to different units. (The Associated Press)

Honeywell International Inc., a New Jersey-based manufacturer, proposed cutting 300 of the 660 jobs at its Richmond plant. The company seeks to shut down the fiber conversion and spinning operations, which depend on older, less efficient equipment than that employed at other Honeywell plants. Honeywell opened discussion with union representations over the plan, which targets closing operations in December. (Richmond Times-Dispatch)

MCI, an Ashburn telecommunications company, plans to close its Newport News telemarketing call center and lay off 500 workers in November. The move is part of the company’s effort to cut costs by 15 to 20 percent. (The Virginian-Pilot)