To: nycnpbbkr who wrote (16330 ) 4/4/1998 12:32:00 AM From: FJB Read Replies (1) | Respond to
NYCNPBBKR, Rumor has it that Cymer is going to beat earnings estimates this report but will warn on the next 2 quarter's earnings. At the recent ISF conference that SEMI hosted in Monterey, California, most experts agreed that these and other economic factors would affect demand levels, slowing capacity purchases and delaying construction of new factories for semiconductor production. anticipated result was a slowdown in the growth of the overall equipment industry. Although this impact will be lesser on today's most advanced equipment like deep-UV equipment and lasers, it will still have an impact. Like the rest of the industry, these issues cloud our visibility. What is clear is that it will likely have a near-term impact on demand for deep-UV lithography tools that rely on Cymer's advanced laser system. Already, many of the worlds leading lithography suppliers, all of which are Cymer's customers, indicate that earlier forecasts are now under revision. This is due to these changing market conditions, as well as shifts in market share among those suppliers of lithography tools themselves. As a result, we anticipate a reduction in our revenues by 10 to 15 percent in the first quarter compared to fourth quarter levels. We plan to closely monitor the situation going forward, consulting with customers to ensure their inventory levels of lasers are in line with the current demand scenario.
