Elmos Semiconductor SE

Regulatory Filings • Oct 29, 2001

News Details

Ad-hoc | 29 October 2001 20:52

ELMOS Semiconductor AG english

ELMOS: Cost Reduction Program – Introduction of Short-Time Work Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– ELMOS: Cost Reduction Program – Introduction of Short-Time Work Following the announcement of the reduced sales and earnings figures for the actual year and the years after on September 28th, 2001, ELMOS Semiconductor AG implements a set of decisions to reduce costs. Beginning on November 1st the production area of ELMOS will introduce short-time work (25% reduction), which will adjust the production capacity to the actual market-driven utilization. This action, at the moment limited to 6 months, will affect about 250 employees. As reported, missing turnover from the telecom business and the delayed ramp-up of new products in the core business automotive are the reasons for the actual decrease of sales. Nevertheless, the company assumes, that there will be a stabilization of the ASIC-business in the second half of the year 2002. In parallel, all divisions of the company will implement a cost cutting program. Actions of restructuring will be taken to increase the efficiency and to further reduce costs. Expenditures for future-relevant product- and technology- developments will remain on a high level. The total cost reduction package should bring the company savings of about 5% of sales in the year to come and will therefore secure employment long-term. The board of management of ELMOS will use the actual weakness of the worldwide markets to prepare the company for the next growth cycle in the best way. At the same time, ELMOS is using its excellent position in the customer- and application-specific semiconductor business to secure the long-term growth by a huge number of new projects. Contact: ELMOS Semiconductor AG; Heinrich-Hertz-Str. 1; D-44227 Dortmund; Germany Phone: +49 – 231-7549-0; Fax: +49 – 231-7549-548 ; invest@elmos.de; http://www.elmos.de end of ad-hoc-announcement (c)DGAP 29.10.2001 ——————————————————————————– WKN: 567710; Index: Listed: Neuer Markt in Frankfurt; Freiverkehr in Berlin, Bremen, Düsseldorf, Hamburg, Hannover, München, Stuttgart 292052 Okt 01