Tundra Semiconductor Corporation (TSX:TUN), a leader in System Interconnect, announced that the Company is implementing a plan to control costs and continue to align the global organization more closely with the Company’s long-term growth strategy.
“This initiative is part of the ongoing transformation of Tundra’s business that the new leadership team has undertaken over the last 6 months. We are rebalancing our resources and expenses to enable success of our long-term growth strategy. These actions, while difficult, are essential to Tundra becoming more efficient operationally, for both the short and long term,” said Daniel Hoste, President and Chief Executive Officer, Tundra Semiconductor.
A total of 20 positions were impacted by the announcement and several vacant positions will not be filled. This represents a combined total of approximately 7% of the Company’s global workforce. Research and Development and General and Administrative organizations were primarily impacted by this initiative. Restructuring charges of approximately $1.6 million will be recorded in the first quarter of fiscal 2008. Cost savings expected as a result of this activity are approximately $2.0 million in fiscal year 2008. The effect on fiscal 2008 first quarter financial results will be reflected in the guidance which the Company will provide on June 7th in its fiscal 2007 fourth quarter earnings announcement.
Tundra Semiconductor Corporation (TSX:TUN) supplies the world’s leading communications, computing and storage companies with smart System Interconnect products, intellectual property (IP) and design services backed by world-class customer service and technical support. Tundra’s track record of product leadership includes over a decade of bridges and switches enabling key industry standards: RapidIO(R), PCI, PCI-X, PCI Express(R), PowerPC(R), VME, HyperTransport(TM), Interlaken, and SPI4.2. Tundra’s products deliver high functional quality and simplified board design and layout, with specific focus on system level signal integrity. Tundra’s design services division, Silicon Logic Engineering, Inc., offers industry-leading ASIC and FPGA design services, semiconductor intellectual property and product development consulting. Tundra’s smart technology connects critical components in high performance embedded systems around the world.
TUNDRA and the Tundra logo are registered marks of Tundra Semiconductor Corporation in Canada, the European Union and the People’s Republic of China (registration is pending in the United States). Design.Connect.Go. is a trademark of Tundra Semiconductor Corporation.