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NORTH BILLERICA, MA – BTU International reported fourth-quarter net sales slipped 19.6% from last year to $14.7 million. The net loss for the period ended Dec. 31 was $2.2 million, versus net income of $600,000 in the fourth quarter 2007.

For the year, net sales rose 13.4% to $72.3 million, but the company took a net loss of $1.1 million, reversing a net profit of $1.9 million in 2007. Cash flow from operations was $2.4 million, and at year-end, the cash balance was $27.5 million.

The company's alternative energy unit's fourth-quarter revenues were up 20% sequentially and almost 70% for the year. The group makes up 28% of BTU's overall systems business. Electronics assembly equipment fell 45% sequentially.

In a press release, chairman and CEO Paul J. van der Wansem said BTU expects the first half to be "very challenging" for its electronics assembly business. "This business, which is driven to a large degree by consumer spending, could be down by over 50% in 2009, impacting our top line and bottom line performance with losses expected in the first two quarters.

“We are encouraged by the initial reception of the upcoming new solar product introductions and the continuing growth of our solar business, and we are optimistic about achieving increased revenues during the year. As our alternative energy business grows to become the major part of our business, we expect to become profitable in the second half.”

TAIPEI – Compal Electronics today said second-quarter notebook shipments would rise 15% sequentially.

Compal, the world's second-largest contract assembler of laptops, said global notebook shipments would total 145 million units this year. That figure includes low-price netbooks, the company said. Compal expects to ship 32 to 35 million units, good for a 22 to 24% share.

CORK, IRELAND – Sanmina-SCI is cutting about 150 contract workers from its site in Fermoy, according to reports.

The workers were informed yesterday morning. Full-time staff may also face cuts, the report said.

SPOKANE VALLEY, WA – A General Dynamics subsidiary here will close in June, with 300 employees laid off.

Itronix, which builds rugged laptops and other mobile devices, will outsource production to US-based contract assemblers, a General Dynamics spokeswoman told Circuits Assembly. The company is currently reviewing potential suppliers, spokeswoman Fran Jacques added.

The company told workers the layoffs would start April 24, and final operations at the site would wind down in June. A source at the company said 60 positions would be given the option to relocate and 20 more would be offered telecommuting jobs.

While production will be performed by outside assemblers, engineering design will be moved to Sunrise, FL, Jacques said. "Itronix is still in the rugged computer business," she said.

ARLINGTON, VA – Consumer confidence in the overall economy was virtually unchanged in February, according to figures released by the Consumer Electronics Association and CNET. Despite positive growth in certain categories, such as digital displays, the CEA-CNET Indexes also show that consumer expectations about technology spending continue to fall.

The CEA-CNET Index of Consumer Expectations (ICE) reached 166.4 in February, relatively unchanged from January, when the index measured 166.6. The index is down over 12 points from this time last year.

“We are now 14 months into the recession, and consumers remain anxious about the future,” said Shawn DuBravac, CEA’s economist and director of research.

“Unemployment continues to rise and the two key sources of financial wealth – real estate and stocks – remain muted.”

Consumer confidence in CE and technology dropped nearly 9 points in February 2009 to 68.4, the lowest level since the CEA-CNET Indexes were initiated in January of 2007. The 8.9-point drop was the third largest single-month decline for the CEA-CNET Index of Consumer Technology Expectations (ICTE). The ICTE, which measures consumers’ confidence in consumer electronics and technology, is down over 21 points from this same time last year.

“Consumers continue to delay discretionary purchases, and we are in the midst of one of the worst drops in consumer spending in the last 40 years,” said DuBravac. “The drop in February is not completely surprising considering the decent strength in consumer spending on technology in January. While consumer spending is down across the board, we are still seeing positive growth in several product categories such as digital displays, accessories and video games.”

The CEA-CNET Indexes are comprised of the ICE and the ICTE, both of which are updated on a monthly basis through consumer surveys.

ARLINGTON, VA – The Consumer Electronics Association this week applauded President Barack Obama for his focus on reducing the federal deficit as a critical component to addressing the fiscal problems facing the country. CEA believes the ballooning deficit is a principal impediment to long-term economic growth, the trade group said.

CEA is urging the federal government to reduce the deficit by committing to the follow actions:

End corporate bailouts, including the Troubled Asset Relief Program, that artificially prop up industries, and end “Buy American” and other bailout provisions that reward backward protectionist policies that will hurt America’s ability to compete in the global economy.

Oppose the Employee Free Choice Act, or “card check,” and other anti-business measures that hurt American employers and infringe on the rights of workers.

Pass pending free trade agreements, particularly those with Colombia, Panama and South Korea, to boost U.S. exports and let American companies fairly compete with their international trading partners.

Support the free and open market and promote technology innovation by U.S. companies. When aided by trade, the technology industry will help mend the global economy and drive the creation of new jobs.