SST Announces Revised Second Quarter 2001 Outlook
Business Editors
SUNNYVALE, Calif.--(BUSINESS WIRE)--June 13, 2001--SST (Silicon
Storage Technology, Inc.) (NASDAQ: SSTI) announced today that revenue
and earnings per share for the second quarter of 2001 will be lower
than previously expected due to the excess inventory with its
customers and a continuing slowdown in new orders. Consequently, SST
expects that second quarter revenue will be approximately $60 million
to $68 million, resulting in earnings per share of between $0.00 and
$0.03.
In reaction to sluggish sales during the second quarter, SST is
working with its worldwide foundry partners to drastically reduce the
wafer-start rate. In the mean time, SST is continuing its strong focus
on the development of new products, securing wafer foundry capacity
with deep sub-micron geometries, and developing relationships to
expand its licensing business. The company also said that, based on
recent discussions with its major customers, it is encouraged to learn
that inventory levels at its customers in the personal computer and
digital consumer segments have been greatly reduced.
"In spite of the continuation of a very difficult economic
environment, we are confident of our long-term ability to grow market
share through ongoing expansion of our superior SuperFlash product
families and the ever-growing number of licensees who use the embedded
SuperFlash technology for a broad range of emerging applications,"
said Bing Yeh, president and CEO.
Securities and Exchange Commission's Regulation Fair Disclosure
In adhering to the Securities and Exchange Commission's newly
adopted Regulation Fair Disclosure, SST will provide its investors and
analysts with information and some forward-looking guidance each
quarter in its earnings news releases and in its conference call. SST
will not provide any further guidance or updates on its performance
during the quarter unless it does so in a news release, conference
call or SEC filing in compliance with Regulation Fair Disclosure.
About SuperFlash Technology
SST's SuperFlash technology is a NOR type, split-gate cell
architecture which uses a reliable thick-oxide process with fewer
manufacturing steps resulting in a low-cost, nonvolatile memory
solution with excellent data retention and higher reliability. The
split-gate NOR SuperFlash architecture facilitates a simple and
flexible design suitable for high performance, high reliability, small
or medium sector size, in- or off-system programming and a variety of
densities, all in a single CMOS-compatible technology. |
