Friday, January 16, 2009

Cymer Lays Off 100, Makes Across The Board Pay Cuts

San Diego-based Cymer, a developer of light sources used for semiconductor manufacturing, said late Thursday that the firm has laid off 100 people, or 10 percent of its personnel. The firm said that the move was because business conditions in the firm's industry have "further deteriorated" and demand has dropped for its products. Cymer announced the move in conjunction with reduced earnings estimates for Q4 2008. Cymer said it now expects its fourth quarter revenue to be approximately $100M, down from a range of $100M to $106M. Among other cost cutting actions, the firm said it will implement a 10 percent reduction in employee base pay, suspend its 401(k) matching program, suspend annual increases and bonuses, and make "significant reduction" in its non-essential operation and capital expenditures.