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Technology Stocks : Micron Only Forum -- Ignore unavailable to you. Want to Upgrade?

To: Rob S. who wrote (52176)	2/22/2001 8:06:42 AM
From: DJBEINO	Read Replies (2) \| Respond to of 53903

Micron again delays opening of fab in Utah By Jack Robertson EBN (02/21/01 20:00 p.m. PST) Micron Technology Inc. has halted plans to equip a 300-mm wafer pilot line at its Lehi, Utah, fab, which was to have begun this quarter, and will "wait on market conditions" before deciding when to go ahead, a spokeswoman said late Wednesday. She said the current slowdown in the chip market caused Micron to hold back on equipping a pilot line at the first of several fab shells at the Utah complex. When the memory market improves, " it would then be prudent to start installing production systems for a 300-mm pilot line," she said. Micron had told investment analysts earlier this month that it was starting to equip at least two different 300-mm pilot lines. That work has been largely put on hold, although a few preliiminary preparation tasks will be completed, the spokeswoman said. Micron completed the Lehi fab shells several years ago, but they were mothballed during a downturn in the DRAM market. The spokeswoman said since the shells already exist, once Micron starts installing production gear, the fabs can be brought into proudction much faster than competitors who must build complete new fabs from the ground up. Micron is only the latest in a bevy of chip makers slowing down fab expansion, joining Samsung Electronics, Hyundai, Motorola, NEC Corp., among others. Micron's change in plans became known when Daw Technologies, Inc. put out an announcement that "work on a major semiconductor facility located in Utah on which the company was awarded a subcontract to furnish and install the Cleanroom System has been suspended. The company was notified in a letter dated February 21, 2001 from the general contractor that the completion date for the project has been delayed by approximately eighteen months, necessitating the termination of all subcontracts. The total amount of the Company's subcontract on the facility was estimated to be approximately$15 million." The Micron spokeswoman said 18 months may prove to be too long an estimate for resumption of the project, and that the end of this year may be more realistic. siliconstrategies.com