10 maj: Danske/CEO: Et stort udestående med Moody's
10 maj: Mindre lokalbanker øjner bedre tider
10-05-2012 15:57:00

Applied Materials To Restructure Solar Business, Record Charges

By Shara Tibken

Of DOW JONES NEWSWIRES

NEW YORK -(Dow Jones)- Applied Materials Inc. (AMAT) said it plans to restructure its solar business to better cope with challenging conditions in that industry.

Applied Materials--the largest provider of machines used in making semiconductors, solar panels and displays--said it will record restructuring charges of $70 million to $100 million, or 4 cents to 6 cents a share, over the next 12 to 18 months, starting in the fiscal third quarter ending in July.

The charge includes severance costs for about 250 employee positions, inventory charges, fixed asset impairment charges, and costs for lease terminations. Applied Materials said the inventory charges of up to $15 million, or 1 cent a share, will be included in both its adjusted and unadjusted earnings. Applied Materials also expects as much as $55 million in cash expenditures under its plan.

Shares, down 26% over the past 12 months, rose 1% to $11.19 in recent trading.

The Santa Clara, Calif., company, best known for its semiconductor manufacturing equipment business, regularly experiences sharp boom-and-bust cycles triggered by fluctuations in supplies of chip and demand for them. The company has broadened its business to include tools used in making solar panels and displays used in computers and TVs. But supply gluts for manufacturers in those businesses have slowed plans to boost production capacity in the past year and have hurt Applied Materials' results.

The company in February reported a 77% decline in profit for the first fiscal quarter on revenue that slid 19%. The numbers were better than Applied Materials predicted, and it provided an upbeat forecast for the fiscal second quarter. However, it later forecast weaker-than-expected guidance for the fiscal year, which it blamed on its solar and display businesses.

Applied Materials in March said it would cut additional costs from its solar operations to counteract the weakness. The company at the time said it planned to lower its fiscal 2013 solar breakeven level, or the amount of revenue needed to be profitable, to $500 million from $800 million.

The company on Thursday said its restructuring steps will help it meet the breakeven point.

As part of the restructuring plan unveiled Thursday, Applied Materials said it will relocate manufacturing operations for is precision wafering system solar business to Asia from Cheseaux, Switzerland. PWS business operations and customer support functions will be relocated primarily to Treviso, Italy, and Xi'an, China--locations of other Applied Materials operations. PWS' headquarters and new product development will remain in Switzerland.

The company said the plan also includes "significant" reductions in development activities for the light-emitting diode equipment market.

-By Shara Tibken, Dow Jones Newswires; 212-416-2189; shara.tibken@dowjones.com

(END) Dow Jones Newswires

May 10, 2012 09:57 ET (13:57 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.

Opret kommentar

Relateret debat

  • 1 uge
  • 1 måned
  • 1 År
03 jul
OMXC20
  Der har på det seneste været noget debat om DCF-analyser og andre måder at forsøge at finde en fai..
34
01 jul
OMXC20
Der har været en del kritik og undren over mine indlæg - især om Jobindex. Her er forklaringen på, h..
20
02 jul
CBRAIN
Til alle de, der er blevet støt over at jeg ændrede syn på cBrain for et lille års tid siden er her ..
16
04 jul
JOBNDX
Endnu et langt indlæg og endnu en ny tråd. Men alligevel ingen svar på det væsentlige. Skal vi så ge..
14
01 jul
OMXC20
Nej, børns loyalitet over for deres forældre svigter aldrig. Men hvis du har tjent lidt penge, så an..
13
30 jun
EXQ
Exiqon har idag lanceret deres Cloud Platform XploreRNA som kan ses via følgende link:   https://xpl..
13
03 jul
 
Dette er ikke en hype af nedenstående selskaber, men en tak til en mand, der for mig at se har en go..
12
30 jun
SAS-DKK
Ryanair bedriver landsskadelig virksomhed i Danmark. De bør smides ud.                       Desværr..
11
05 jul
OMXC20
JA sigerne stemmer først når de får fri fra arbejde 
10
04 jul
JOBNDX
Jeg er nu glad for den energi Bryan bruger her, og ser det ikke som nedrakning.   Bryan stiller nogl..
10

Aktier/tendens: Store kursfald i vente fra start

06-07-2015 08:22:48
Mandag står i kursfaldenes tegn fra morgenstunden. Det sker i kølvandet af den græske afvisning af de krav, som de internationale investorer har stillet landet ..

Polaris/Partner: Rigtig god nyhed for Mols-Liniens fremtid

03-07-2015 16:23:03
Ligesom dens færger pendler frem og tilbage mellem Odden og Ebeltoft/Aarhus, er det også gået frem og tilbage for selve rederiet Mols-Linien. Men det er slut nu..

Vestas-rival napper havvindmøllekontrakt på 400 megewatt

03-07-2015 14:27:13
Franske Alstom har landet en ordre om at levere turbiner til vindmølleparken Merkur Offshore, der er en 400 megawatt vindmølleprojekt i de tyske farvande. Det s..

Mest læste nyheder

  • 24 timer
  • 48 timer
  • 1 uge
1
Aktier/Nordea: Ser indeksfald på 4-5 pct. efter græsk nej
2
Aktier/tendens: Store kursfald i vente fra start
3
Grækenlands finansminister siger op - NY
4
Kinesiske myndigheder prøver at stoppe kursfald med nye tiltag
5
Grækenland: Nej-siden triumferer

Køb- og salgsanbefalinger

  • Trend
  • Pengemaskinen

Copyright Euroinvestor A/S 2015  Disclaimer Privatlivspolitik
Aktieinformation leveres af Interactive Data.
Data er forsinket 15-20 minutter iht. de enkelte børsers regler om videredistribution.
 
6. juli 2015 09:25:21
(UTC+01:00) Brussels, Copenhagen, Madrid, Paris
Version: LiveBranchBuild_20150702.1 - EUROWEB7 - 2015-07-06 09:25:21 - 2015-07-06 09:25:21 - 1 - Website: OKAY

Når du besøger Euroinvestor.dk accepterer du, at der anvendes cookies, som vi og vores samarbejdspartnere benytter til funktionalitet, statistik og markedsføring. Læs mere om cookies på Euroinvestor.dk her

x