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European specialist foundry posts profit

7/23/2012 09:59 AM EDT
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goafrit
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re: European specialist foundry posts profit
goafrit   7/23/2012 10:43:45 AM
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LFoundry GmbH, a specialist foundry that announced it was closing its wafer fab in Landshut, Germany in 2011, has made a return to profitability during the second quarter of 2012. That is a very fast time to turn things around. It is possible they got a non-compete contract to keep them going. And then they made this profit.

Peter Clarke
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re: European specialist foundry posts profit
Peter Clarke   7/23/2012 2:00:42 PM
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I think the issue was that legacy fabs that become foundries....tend to get given supply contracts from the original fab owner. As those contracts wind down over two or three years, if the foundry cannot replace with other customers then the outcome is inevitable. It looks like Rousset has work and so the closure of Landshut has helped restore profitability.

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