Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Gottfried who wrote (66239)	9/25/2002 12:53:50 AM
From: StanX Long	Respond to of 70976

Chartered Semiconductor defends timing of profit warning Wednesday September 25, 2:52 AM sg.news.yahoo.com SINGAPORE (Reuters) - Singapore-based Chartered Semiconductor Manufacturing on Tuesday defended the timing of its latest profit warning following recent criticisms by investors and a sharp fall in its share price. The world's third largest microchip contract maker issued a widely expected warning on September 16 that due to flagging customer demand it would miss its target to double fourth-quarter revenues from the first quarter. The warning came a mere two weeks after the firm announced a massive US$633 million eight-for-10 rights issue at S$1.00 each, sparking the flak over the timing of its warning. Chartered said in a statement to the Singapore Exchange that in the run-up to September 2 when it announced the rights issue plan and the mid-quarter update for the third quarter, customer demand "still more than supported the 4Q02 revenue target". But in the week prior to September 16, when the company filed its rights issue prospectus, a number of customers lowered their demand, prompting it to issue a profit warning. "The company would like to point out that at every critical milestone, proper due diligence and assessment was completed and the appropriate public disclosures were made," Chartered said. Chartered shares closed below the rights price at S$0.98 on Tuesday, falling four percent on the day and throwing doubt on whether the issue would be fully subscribed.