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Technology Stocks : Applied Materials No-Politics Thread (AMAT) -- Ignore unavailable to you. Want to Upgrade?

To: Proud_Infidel who wrote (3736)	10/24/2002 8:59:23 PM
From: Proud_Infidel	Respond to of 25522

Chartered cuts 300 jobs, sees weak Q3 and Q4 Semiconductor Business News (10/24/02 07:47 p.m. EST) SINGAPORE--Amid a poor showing in its quarterly results, Chartered Semiconductor Manufacturing Pte. Ltd. today announced it is reducing its worldwide workforce by approximately 300 people, or about 7% of its total employment. Approximately 275 employees, or 60% of the affected jobs, are based in Chartered's Singapore fabs. The balance of the affected employees are primarily operations, support and administrative staff, whose positions are being consolidated or eliminated. The troubled Singaporean foundry provider expects to incur a one-time charge of approximately $5 million dollars in the fourth quarter associated with the workforce reduction. Annual savings in payroll and benefits is expected to be approximately $8 million. "This is an unfortunate, but necessary and prudent business decision," said Chia Song Hwee, president and CEO of Chartered, in a statement. "From a business perspective, this re-sizing was carefully implemented and will not affect our ability to serve our customers. We will be consolidating jobs in a manner to gain efficiencies to help Chartered's competitiveness." Today, Chartered also reported sales of $129.5 million in third quarter of 2002, up 1.6% compared to second quarter 2002, primarily due to strength in the communications segment. Compared to third quarter 2001, net revenues were up 63.4% from $79.2 million. It also reported a loss of $89.4 million, compared to net loss of $118.3 million in the year-ago quarter. Capacity utilization declined to 39% in third quarter 2002, from 42% in second quarter 2002, due to decreased shipments and an increase in capacity. The capacity level in third quarter 2002 increased approximately 2% from second quarter 2002. In the year-ago quarter, capacity utilization was 22%. Shipments in third quarter 2002 were down 5.7%, compared the second quarter 2002, primarily due to lower shipments in the computer and memory segments, partially offset by increased shipments in the communications segment. And it goes from bad to worse for the company. "The near-term outlook for the semiconductor industry has weakened since mid-September and the recovery has been delayed," said George Thomas, vice president & CFO of Chartered, in a statement. "Chartered's outlook for the fourth quarter 2002 is considerably weaker than projections earlier in the year, driven by both a general delay in the semiconductor market recovery and by a significant decline in our computer segment revenues, where we believe some customers are working through excess inventory which will probably take a couple of quarters to correct. Our communications, consumer and memory segments are expected to be flat to down slightly in the fourth quarter," he said. The company expects its Q4 sales to be down approximately 20% sequentially, but up approximately 37% year-over-year, with a gross loss of $54-to-56 million. Overall fab utilization will fall to the mid-30% range in the quarter.

To: Proud_Infidel who wrote (3736)	10/24/2002 9:17:14 PM
From: Sarmad Y. Hermiz	Read Replies (1) \| Respond to of 25522

>> 300mm provides 2.4 times the capacity Where do you get 2.4? 2.25. << I've read that there is a bit less waste in cutting larger wafers. Maybe that explains the diff between 2.25 and 2.4 ????