News Article
Intersil restructures
The company plans to cut approximately 140 jobs and hopes to reduce overall annual operating costs.
Intersil Corporation, a company that designs and manufactures of high performance analogue semiconductors, announced that due to current economic conditions, it is taking steps to improve its competitive position, including a 9% reduction of its global workforce.
“Unfortunately, we are entering a period of significant uncertainty and we feel the prudent approach is to respond quickly” said Dave Bell, Intersil’s president and CEO. “We are taking action to lower our current and future operating expenses in order to align our cost structure with the current business conditions, and maintain our competitive position during this economic downturn.”
Including the previously announced consolidation of the company’s Palm Bay, Florida fabrication facilities, which will conclude during the first half of 2009, Intersil expects to reduce its global workforce by approximately 140 employees and reduce its overall annual operating costs by approximately $12 million to $14 million. Severance pay and career transition services will be offered to all affected employees.
The Company expects to record one time pre tax charges of approximately $20 million to $23 million, or $0.11 to $0.12 per share, after tax, during the fourth quarter for costs associated with the actions announced, including estimated impairment charges and other related costs.
“We believe we are taking the necessary steps to not only respond to the current economic conditions, but also to better prepare Intersil for sustained long term success,” said Dave Bell.
“Unfortunately, we are entering a period of significant uncertainty and we feel the prudent approach is to respond quickly” said Dave Bell, Intersil’s president and CEO. “We are taking action to lower our current and future operating expenses in order to align our cost structure with the current business conditions, and maintain our competitive position during this economic downturn.”
Including the previously announced consolidation of the company’s Palm Bay, Florida fabrication facilities, which will conclude during the first half of 2009, Intersil expects to reduce its global workforce by approximately 140 employees and reduce its overall annual operating costs by approximately $12 million to $14 million. Severance pay and career transition services will be offered to all affected employees.
The Company expects to record one time pre tax charges of approximately $20 million to $23 million, or $0.11 to $0.12 per share, after tax, during the fourth quarter for costs associated with the actions announced, including estimated impairment charges and other related costs.
“We believe we are taking the necessary steps to not only respond to the current economic conditions, but also to better prepare Intersil for sustained long term success,” said Dave Bell.
