APPLIED MATERIALS COMPLETES ACQUISITION OF REMAINING INTEREST
in Flat Panel Display Venture
Business Editors/High-Tech Writers
SANTA CLARA, Calif.--(BUSINESS WIRE)--Nov. 2, 1999--Applied
Materials, Inc. today announced that it has completed its purchase of
Komatsu Ltd.'s 50 percent share in Applied Komatsu Technology, Inc., a
leading supplier of CVD (chemical vapor deposition) systems used to
produce Flat Panel Displays (FPDs). Applied Materials' FPD equipment
business will be conducted under the name AKT, an Applied Materials
company, and will continue to focus on supplying CVD systems for the
FPD market.
Under the terms of the transaction, Applied Materials paid $87
million in cash for the remaining 50 percent of the outstanding shares
of AKT not currently owned by Applied Materials. The acquisition will
be accounted for as a purchase business combination.
As originally announced on September 28, 1999, the acquisition by
Applied Materials of Komatsu's interest in AKT will not have a
material effect on Applied Materials' balance sheet or ongoing net
income for the fiscal year 1999. Non-recurring items, including
in-process research & development expense, resulting from this
transaction will not have an adverse effect on Applied Materials' net
income for the fourth fiscal quarter of 1999. Applied Materials
expects to announce its earnings for the fiscal year ended October 31,
1999 on November 17, 1999.
This press release contains certain forward-looking statements
that are subject to known and unknown risks and uncertainties that
could cause actual results to differ materially from those expressed
or implied by such statements. Such risks and uncertainties include,
but are not limited to: the ability of Applied Materials to
effectively integrate the operations of AKT, and the ability of
Applied Materials and AKT to leverage capabilities and capitalize on
their strengths to better serve customers. Applied Materials assumes
no obligation to update the information in this press release.
Applied Materials, Inc. is a Fortune 500 global growth company
and the world's largest supplier of wafer fabrication systems and
services to the global semiconductor industry. Applied Materials is
traded on the Nasdaq National Market System under the symbol "AMAT."
Applied Materials' web site is www.appliedmaterials.com. |
