National Semiconductor Reorganizes Into Four Groups
SANTA CLARA, Calif. (AP) _ National Semiconductor Corp. announced late Thursday a restructuring of its core businesses, just a week after it reported dismal earnings for its fiscal fourth quarter.
The Santa Clara, Calif.-based chipmaker said it would reduce its divisions from seven to four, now including analog, logic and memory products, communications and consumer, and personal systems. It also announced executives to head the divisions.
``With this new organization in place, I believe we will be poised to start our march to the top of this industry,″ chief executive officer Brian Halla said in a statement.
Last week, National said decreased sales and costs associated with recent layoffs drove its fiscal fourth-quarter profit down 88 percent.
The company earned $9.1 million, or 7 cents per share, in the quarter that ended May 29. It earned $81.2 million, or 62 cents per share, during the same quarter last year. Sales were $612.4 million, down from $669.8 million a year ago.
The results included a one time pre-tax charge of $19.3 million, or 10 cents per share, for severance packages on layoffs intended to cut costs in the long term.
National blamed a continuing inventory correction in the personal computer market for lower revenues. Overall orders remain approximately 40 percent below last year.
On Thursday, the company also announced some management changes. Robert Penn was named senior vice president, analog group; Doug McBurnie senior vice president, communications and consumer group; Mike Bereziuk senior vice president, personal systems group.
Executive Vice President Kirk Pond will head the logic and memory group.
Halla also announced the company will centralize its manufacturing operations in a central technology and manufacturing group, and is seeking an executive to head it.
The company could not be reached for comment late Thursday.
One of the pioneering chipmakers in Silicon Valley, National last month named Brian L. Halla as chief executive officer and chairman. He replaced Gilbert F. Amelio, who became CEO and chairman of Apple Computer Inc. in February.
National Semiconductor is headquartered in Santa Clara, California, and has 20,000 employees worldwide.