|
Applied Materials to cut 1,700
|
 |
December 12, 2001: 5:01 p.m. ET
Semiconductor maker plans more layoffs to cope with slump.
|
NEW YORK (CNN/Money) - Applied Materials Inc., the largest maker of equipment used in the production of microchips, said Wednesday it would cut another 1,700 jobs in response to a continuing downturn in the semiconductor industry.
The latest cuts, equal to about 10 percent of its work force, come after the company announced 2,000 job cuts in September.
"Unfortunately, the continuing downturn requires us to make some tough decisions to align our operations with current levels of demand for semiconductor equipment," Chairman James Morgan said in a statement.
About 450 workers at the company's Silicon Valley office and 600 at the Austin location will be affected.
Applied Materials (AMAT: up $0.93 to $44.87, Research, Estimates) officials said they would offer some employees an unpaid leave of absence which allows them to remain eligible for certain employee benefits, according to a statement.
Affected employees will be notified beginning Thursday, the statement said.
Check chip stocks here
The company will record a restructuring charge for the first fiscal quarter, ending January 27, 2002. 
|
|
|
|
|
|
|
