LONDON – Struggling European chip company STMicroelectronics NV has set Monday Dec. 10 as the date for the announcement of a strategic plan for the company.
The company said the management of ST would conduct a conference call on Dec. 10 at 9:00 am Central European Time (3:00 am U.S. Eastern Time) to discuss the strategic plan, followed by a question and answer session.
The announcement of a renewed plan for the company has been much anticipated since September 2012 when the company announced it was planning production stoppages at wafers fabs in Crolles, France and Catania, Italy, amid reports that CEO Carlo Bozotti would soon announce a reorganization of the company.
The company's problems stem from the digital side of the business where its joint venture ownership of ST-Ericsson has weighed heavily on financial results for the last two years.
Over the last three months ST has denied that there are plans to break the company up but many observers are looking for radical moves to address losses at the company.
STMicroelectronics lost nearly $500 million in its third fiscal quarter due to sluggish overall demand and a write-down on its troubled ST-Ericsson wireless business. It was the company's fourth straight quarterly loss.