Both ANAD and ERICY reported results on 7/21. At the time, ERICY reported problems from a fire this way:
"A key component supplier was unable to fulfil commitments to supply critical components. A fire damaged a factory and
severely reduced the supplier's capacity, negatively affecting Ericsson's sales and income. The impact on income before taxes
from this event in the first half of the year is approximately SEK -1b. and for the full year the corresponding impact is estimated
to be SEK -3 to -4b. Overall, the impact of component shortages will be SEK -1.5b in the first half and SEK -2.5 to -3.5b in
the second half of this year."
biz.yahoo.com
(The fire occurred at PHG's Albuquerque facility in mid-March, shutting it down for about six weeks.)
ANAD also reported on 7/21, saying in part:
"We believe that our number one customer's first half inventory corrections of GSM phones and issues related to component
shortages will result in a mix shift of our product revenues in the second half. The expansion of broadband sales is expected to
offset the shift in revenue and earnings."
biz.yahoo.com
CNET, reporting 7/21 on ERICY's second quarter, said that PHG did not reveal extent of it's problems until July 18:
"Ericsson, based here[Stockholm], suffered from a shortage of parts from Philips Electronics, its main
supplier, analysts said. Philips said Tuesday [7/18]a fire at an Albuquerque, N.M., semiconductor
plant halted production for six weeks in the second quarter, hurting its own phone production
and supplies to others.
news.cnet.com
People can draw their own conclusions, but this information has been available publicly now for almost two months. M2 |
