DOW JONES 90-DAY NEWS/RETRIEVAL Int'l News & Research Services
Story Date : 98/06/11
2 06/11 T LSI Logic/Asia -2: Weak Yen Has Neutral Effect On Japan Rev
By David P. Hamilton
TOKYO (Dow Jones)--LSI Logic Corp. (LSI) of the U.S. continues to experience
'rapid' revenue growth in Asia outside Japan despite the region's economic
crisis, according to Chairman, President and Chief Executive Wilfred Corrigan,
although he admitted that the downturn has slowed LSI Logic's momentum.
'From a business perspective, we're still experiencing rapid growth in
non-Japan Asia,' Corrigan told Dow Jones Newswires. 'The crisis hasn't affected
our growth, although it has slowed its rate.'
Corrigan said that LSI Logic expects its revenue from Asia outside Japan to
double in the current fiscal year, but said that barring the regional financial
crisis that erupted in July last year, it might have tripled or more.
Still, he said LSI Logic is benefiting from strong demand for a new family of
standard-design chips for consumer-electronics devices ranging from digital
videodisk players to digital still cameras.
In Japan, Corrigan said that the company hasn't been seriously affected by
the nation's economic downturn, adding that unit sales of its mostly
custom-made chips have largely met internal forecasts. In revenue terms,
however, the weakening yen has cut LSI Logic's dollar earnings from Japan, he
said.
LSI Logic, however, adds that because the weak yen also cuts its production
costs in Japan, the effect of the weak yen is mostly revenue-neutral.
(END) DOW JONES NEWS 06-11-98
10:37 PM
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