Tags: Applied-Materials | chip | computer | layoff

Applied Materials to Cut Up to 1,300 Jobs, or 9% of Staff

Wednesday, 03 Oct 2012 05:09 PM

Applied Materials Inc., the largest producer of chipmaking equipment, said it plans to eliminate 900 to 1,300 jobs, or 6 percent to 9 percent of its worldwide workforce.

The staff reduction, which will result in pretax costs of $180 million to $230 million, will come through a voluntary retirement program and other actions, the Santa Clara, California-based company said in a statement Wednesday. The restructuring is expected to save $140 million to $190 million a year, Applied Materials said.

Applied Materials’ customers, such as Intel Corp., are struggling with slowing orders for personal-computer components, reducing their appetite for spending on increasing output. Investors and analysts track Applied Materials’ earnings as a gauge of optimism about future growth in the electronics industry.

Applied Materials shares were little changed at $11.16 at the close in New York. They have gained 4.2 percent this year. In aftermarket trading, the shares were down 1.4% at $11 each.

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Applied Materials Inc., the largest producer of chipmaking equipment, said it plans to eliminate 900 to 1,300 jobs, or 6 percent to 9 percent of its worldwide workforce.
Applied-Materials,chip,computer,layoff
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2012-09-03
Wednesday, 03 Oct 2012 05:09 PM
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