National Semiconductor Revises Forecasted Results, Announces Reduction Program
National Semiconductor Corp. (Santa Clara, CA) reported that it will cut 1,100 jobs and revised its forecasted results for this quarter. The company announced that it now expects its results to be between the break-even point and a loss of $0.04 per share. Its revenue will be in the range of $390.0 million to $400.0 million.
In an effort to cut costs, the company is eliminating 10 percent of its workforce. National Semiconductor reports that it expects to save between $70 million and $80 million each year as a result of the layoffs. The revised earnings forecasts do not include charges of $25 million to $30 million related to the job cuts or $10 million to $12 million for investment write-downs.
“This was a tough action for us to take, especially because it impacts many people who have served National well," said Brian Halla, the company's chairman, president and CEO. “However, given the continuing weakness in the marketplace, it is necessary to conform our resources to the market in order to maximize National's opportunity for long term success."