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Technology Stocks : Spansion Inc.
CY 23.820.0%Apr 16 5:00 PM EST
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To: KeithDust2000 who wrote (3169)1/25/2008 5:41:34 PM
From: KeithDust2000   of 4590
 
Interesting quote from CC:

Now the implications of that, transitions of factories, is that in transitions we used the foundry to cover our needs. In fact, in the second half of ‘07 compared with fab 25, we used an equivalent of half of fab 25 in foundry at the 90 nanometer. Now, because of the productivity gain -- higher yield, higher throughput, more die -- we are now in a position to cut that expense very quickly. We are looking right now at a cost avoidance of about $50 million a quarter or more by switching to our internal asset that is essentially going to be even more productive. This is going to be pivotal for margin expansion going forward.
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