Apple Computer officials have again denied reports that the company is planning a complete pull-out from Cork.

There was increasing speculation yesterday the $10 billion deal signed with the Korean company, LG Electronics, would lead to Apple's worldwide production being off loaded to various sectors of the Korean company's global operations.

When contacted by The Irish Times last night, a spokeswoman in the company's headquarters in Cupertino, California, said she was aware of speculation that the company was pulling out, but refused to comment on whether it was true or not.

However, IDA sources said that they believed that Apple planned to retain its Cork plant in the medium term, pointing out that any further significant job losses from its permanent staff would trigger significant grant repayments.

Changes in the production process at the plant may have created the fresh bout of speculation, with sources suggesting that the G3 products being made there may now be produced on a made-to-order basis, to minimise the build up of stocks of both materials and finished product at the plant.

The Cork-based company has laid off more than 450 people. The layoffs will be staggered until April.

While the company continues to remain tight-lipped about its eventual plans, yesterday Cork TDs were briefed by Apple officials who said was planning to invest $1 million in the G3 production line at the plant.

The company has already refused to give any guarantees on the long-term future of its Hollyhill plant.