Komatsu agrees and then some:
A service of Semiconductor Business News, CMP Media Inc.
Story posted at 6:15 p.m. EDT/3:15 p.m. PDT, 9/10/98
Komatsu lays off 120, suspends some operations at wafer fab
HILLSBORO, Ore. -- Komatsu Silicon America, a subsidiary of Komatsu
Electronic Metals Co. Ltd., of Japan, announced today that it will suspend
second-phase operations at its silicon wafer plant here because of the difficult
business conditions in the semiconductor industry.
KSA president and CEO John Matlock said the move will necessitate the layoff
of approximately 120 of the company's 220 Hillsboro employees.
KSA recently completed a $400 million manufacturing complex in Hillsboro to
produce 200-mm silicon wafers. The first phase, epitaxial processing, will
continue to run. Phase two, consisting of crystal-production and polished-wafer
operations, will be suspended immediately, said Matlock.
The announcement means effectively eliminating all jobs in the two operations.
Matlock said the shutdown is expected to remain in effect for about two years.
In a related move, Komatsu Silicon USA, a silicon sales company now based in
San Jose, will be merged into Komatsu Silicon America. About 10 jobs in
marketing and customer service will be relocated to Hillsboro.
"Komatsu remains deeply committed to the semiconductor industry, our
marketing position in the U.S., and our partnership with the local community,"
said Matlock. "Our decision has nothing to do with company performance and is
based solely on broader market issues."
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