CS2 Cuts Workforce by 25%, Capacity by 29% Brussels, Belgium-Ailing packaging foundry CS2 has cut its workforce about 25 percent, from 201 to 150, and shrunk its capacity by 29 percent. The publicly-owned company (Nasdaq Europe: CSCS) requested "creditor protection" on a voluntary basis-akin to a Chapter 11 bankruptcy-in December, citing "serious cash flow problems." Total claims against the company, according to CS2 documents posted on the company's website, amount to 28,750,541 Euro (about U.S. $24,725,465). Major creditors are CS2 investors GIMV, IT Partners and Fortis Private Equity. Earlier this year, industry veteran Steve Lerner, CS2's founder/CEO was replaced by Yves De Poorter, who was brought in as a "crisis manager," and is independent from the shareholders. A few months ago, CS2 said it was looking for a "strategic partner," but reported in mid-June that it has been unsuccessful, thus far, in finding one. Further discussions with potential partners are ongoing, De Poorter told Chip Scale Review. A debt restructuring plan, proposed by the company at an "extraordinary general meeting in June, has been accepted by shareholders, according to De Poorter. The meeting was held prior to presentation of CS2's restructuring plan to the Commercial Court of Brussels, scheduled for June 20. The plan calls for CS2 to offer creditors whose claims total less than $2,500 (about U.S. $2,129), 60 percent of the money, payable on September 30. Larger creditors will be asked to convert their claims into capital stock or agree to accept 12.5 percent of the amount owed, payable on December 20, and another 12.5 percent payable on June 20, 2002, without interest. [cs2.be] Credence Systems Acquires ATE Vendor IMS for $170 M
Fremont, Calif.-ATE vendor Credence Systems (Nasdaq:CMOS) has acquired Integrated Measurement Systems (Nasdaq:IMSC) of Beaverton, Oregon, for $170 million in stock. With the acquisition, Keith Barnes, former chaiman and CEO of IMS will become president of the new Credence subsidiary and executive vice president of Credence. Unlike Credence, IMS makes and markets engineering validation systems used to verify and characterize complex ICs. The company also sells a line of software products known as "Virtual Test" that enable IC test development and simulation prior to first-silicon. Dr. Graham Siddall, Credence president and CEO said, "By combining our expertise in low-cost, high-volume production test with IMS' validation test systems and EDA technology, weÉare offering customers a complete and compelling front- to backend test solution." [credence.com]
Schweiter Technologies Becomes Majority Owner of Ismeca La Chaux-de Fonds, Switzerland-Schweiter Technologies has purchased an additional 17.2 percent of Ismeca Holding S.A. to become the majority owner with a 53.8 percent interest. The increase is the result of the contracts signed by Ismeca shareholders who elected to sell their shares early. The decision for Schweiter Tech-nologies to increase its stake in the test handler company was based on Ismeca's business success, according to Schweiter. At press time, Ismeca said it expected to report record earnings for 2000, with a further earnings increase this year. [ismeca.com] Cookson Exec de Villemejane Appointed Speedline President Franklin, Mass.-Pierre de Villemejane has been named president of Speedline Technologies Inc., succeeding Richard Berger. De Villemejane joins Speedline from Cookson Electronics, Speedline's parent company, where he was senior vice president of strategic management and marketing. [speedlinetechnologies.com] Fujitsu Microelectronics Intros Lead-Free Packaging Options San Jose-Fujitsu Microelectronics (FMI) has introduced lead-free BGAs and QFPs, the first products in the company's program to supply only lead-free components and packages. In November 1999, FMI announced plans for a staged reduction of lead in its products. The company will make its entire product line lead-free by December 2002. [fmi.fujitsu.com] AIT Completes MDT Acquisition Pleasanton, Calif.-Advanced Inter-connect Technologies has completed its acquisition of Multitech Design & Test Inc. (MDT), Sunnyvale, Calif., and its affiliate Semiconductor Services LLC, Austin, Texas. MDT and Semiconductor Services are independent test labs. The acquisition added about 200 employees to AIT's workforce, which now totals over 6,000. [aitna.com] Optical Subsystems Will Be $13.8 Billion Market San Mateo, Calif.-Research firm ElectroniCast forecasts the global consumption value of internal optical interconnect subsystems to grow from $427.6 million last year to $13.8 billion in 2010. The value of the subsystems includes the optical interconnect components, materials, design and tooling costs, assembly and test labor costs, general sales and administration costs and profit, according to the forecaster. Factors driving the accelerating demand for optical interconnects include:
The forecast is contained in "The Internal Optical Interconnect Components & Subsytems Market & Technology Forecast." [electronicast.com] Industry Analysts Predict 15.8-17% Decline in ICs In separate reports, two industry forecast firms have predicted that worldwide semiconductor revenues this year will fall between 15.8 and 17 percent over 2000. Cahners In-Stat, Scottsdale, Ariz., looks for a 15.8 percent decline from last year's $204.4 billion to $170 billion this year. In-Stat says the semiconductor industry has responded to the current slowdown by cutting capital spending more abruptly than ever before. "This has minimized overcapacity, and is expected to result in a recovery that will be nearly as fast as the decline." Gartner Group's Dataquest, San Jose, predicts a 17 percent fall to $188 billion this year, compared to its 2000 estimate of $226 billion. "In 2001, all products types are seeing a serious decline in revenue, with the DRAM- and Flash-heavy memory category dropping 26 percent. In 2002, memory is expected to grow at roughly 26 percent, but this will not return the revenue to its $68 billion high of last year," according to Tom Starnes, chief analyst for Dataquest's Worldwide Semiconductor Group.[gartner.com][instat.com]
Tessera Sells Flex Circuit Manufacturing Line to Sunright in Move to Become IP Provider San Jose-CSP innovator Tessera has sold its flex circuit manufacturing operations to Sunright in a move to streamline its business operations and focus on intellectual property. In its announcement, Tessera said Sunright is buying the assets related to Tessera's single- and double-metal flex circuit manufacturing operations. The new business will be called Flex2Chip Inc. Tessera will collaborate with Flex2Chip Inc. in a joint venture, according to the companies. Sunright is also acquiring some Tessera personnel and a license for Tessera's flex circuit substrate technology. "The sale of the substrate manufacturing operations frees up valuable resources that will allow Tessera to better focus on its IP business model and more aggressively grow its services business," Dr. Bruce McWilliams, Tessera president/CEO said in a news release. In response to a question from Chip Scale Review, the company maintains it still has 89 employees worldwide. "The Sunright sale only involved a very small number of personnel associated with the two-metal tape line (14 people)," according to a spokesperson. Tessera also said the sale will not impact either its planned IPO-the company filed papers with the SEC last year-nor its litigation against both Sharp and Texas Instruments for patent infringement. Amkor and Shinko Sign Cross-Licensing Pact Chandler, Ariz.-Amkor Technologies and Shinko Electric Industries Co., Tokyo, Japan, have agreed to join forces on product development and cross-license existing assembly and packaging patents. [amkor.com] MCT Wins Handler Order Worth $5.4 Million St. Paul, Minn.-Micro Component Technology Inc. says it has received an order for $5.4 million from an existing customer for multiple Tapestry strip test handlers and Smart Solutions modules. [mct.com] |
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