SAN JOSE, Calif. Amid an effort to cut costs -- including headcount reductions -- Micron Technology Inc. posted a third-quarter loss of $225 million, or minus $0.29 per diluted share, on net sales of $1.3 billion.
This compares to a loss of $52 million, or minus $0.07 a share, on sales of $1.4 billion in the previous quarter. In the like period a year ago, Micron (Boise, Ida.) posted a profit of $88 million, or $0.12 per share, on sales of $1.3 billion.
The company's net loss in the third quarter of fiscal 2007 was largely the result of severe price declines across most memory products. Recent growth in industry supply resulted in price declines in the third quarter of approximately 35 percent for DRAM and 30 percent for NAND flash products as compared to the second quarter.
As a result of the poor results, the company said it ''is pursuing a number of initiatives to drive greater cost efficiencies and revenue growth across its operations.''
Micron did not elaborate on the details, but executives said there would be some layoffs. 'Tthese initiatives include developing production cost efficiencies closer in location to Micron's global customers, evaluating functions more efficiently performed through partnerships or other outside relationships and reducing the company's overhead costs to meet or exceed industry benchmarks.''
Steve Appleton, chairman and chief executive, also announced today that Mark Durcan, chief operating officer, has been appointed President and COO.