LONDON The costs of an investigation into executive compensation and internal controls at programmable logic company Lattice Semiconductor Corp. were partly responsible for the company reporting a net loss of $8.2 million on revenue of $52.4 million in the second quarter.
The net loss included a $4.0 million charge for legal expenses related to an internal investigation and litigation and a $4.1 million charge for amortization of intangible assets, Lattice (Hillsboro, Oregon) said.
Cyrus Tsui, the company’s chairman and chief executive officer and Rodney Sloss, vice president of finance, are on paid leave of absence while a committee examines issues primarily associated with executive compensation and the company's internal controls (see June 14 story).
Despite the legal expenses and the amortization of intangible assets Lattice was able to trim its losses from $10.9 million in the first quarter of 2005 and $16.0 million in the second quarter of 2004.
The second quarter’s revenue was up 2 percent from the first quarter's revenue of $51.3 million and down 14 percent from the $60.9 million reported in the second quarter of 2004, the company reported. Lattice said it expected revenue to be grow between 0 percent and 3 percent in the third quarter.