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Dell Reorganizes Into Three Global Units

Dell Inc. (Nasdaq: DELL), which has seen PC sales slow in the economic downturn, announced on Wednesday a massive reorganization that establishes three separate global units for selling to businesses and government agencies.

In addition, the world's second-largest computer maker said Mike Cannon, president of global operations, would retire effective Jan. 31; and Mark Jarvis, chief marketing officer, would leave during the current fiscal quarter. However, Cannon and Jarvis would continue to be involved with the company as consultants.

The reorganization, announced about a month after Dell reported a drop in revenue and profits as a result of slowing sales for servers and PCs, changes the company's approach in selling to businesses and government from a regional to a global strategy. Dell this year adopted a global approach in its consumer business, led by Ron Garriques.

The latest move establishes three worldwide business units, one targeting large companies; another focused on the public sector, which includes government and education; and the third on small and medium-sized businesses.

"We have laid the foundation for the transition from a global business that's run regionally to businesses that are really globally organized," Michael Dell, chairman, chief executive, and founder of the company, said in a statement.

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