Circuits Assembly Online Magazine - Features

FRAMINGHAM, MA — The electronic manufacturing services industry contracted 11% in 2009, less than expected due to a resurgence of consumer spending late in the year. According to a new forecast from International Data Corp., the industry will enjoy a compound annual growth rate of 8% for the 2010-2014 forecast period. But the recovery is still on shaky ground, with periods of weakness expected into 2011.

STOCKHOLM -- EMS firm Note Ab reported first-quarter sales from continuing operations fell 3% to SEK 273.5 million($37.9 million) as the company continues to struggle from the economic downturn.

The net loss was SEK 55.1 million, down from a loss of SEK 11.1 million a year ago.

Including the electronics manufacturing firm's discontinued telecom operations, sales fell 17%.

The operating loss increased to SEK 52.5 million, from a loss of 8.6 million last year, including structural and other nonrecurring costs of SEK 44 million. The operating margin was -19.2%, down from -2.6%.

During the quarter, Note began to shutter production at its plants in Skänninge, Sweden, and Tauragé, Lithuania, and took restructuring costs of SEK 40 million. The closures should save the firm SEK 50 million.

Also, new contracts were signed with Axell Wireless and Hernis.

Ed.: 1 SEK = 0.138551 US$

SAN JOSE, CA -- Sanmina-SCI reported second-quarter revenue of $1.53 billion, up 27.8% from a year ago.

VELLINGE, SWEDEN -- Top 40 EMS firm PartnerTech reported first-quarter net sales of SEK 557.4 million ($77.2 million), down 6.2% from a year ago.

SAN JOSE -- Sanmina-SCI has signed a definitive agreement to acquire fellow EMS firm BreconRidge in a deal valued at $53 million, including equity and the assumption of certain liabilities. The acquisition would extend the top tier EMS firm's reach into RF and optoelectronic manufacturing.

BANNOCKBURN, IL – March North American PWB shipments were up 17.7% year-over-year, while orders rose 36.8% compared to 2009.

Year to date, shipments were up 8.3%, and orders were up 29.9%, said IPC today. Sequentially, March shipments increased 23.8%, and orders rose 31.6%.

The book-to-bill ratio increased to 1.09. A ratio of more than 1.0 suggests current demand is ahead of supply, which is a positive indicator for sales growth over the next two to three months.

For the month, rigid shipments were up 19.6 %, while orders increased 38.4% year-over-year.

Year to date, rigid shipments were up 9.2%, and orders grew 31.9% compared the same period last year. Sequentially, rigid shipments increased 23.5 % and orders rose 28.2%. The rigid book-to-bill ratio grew to 1.10.

Flex circuit shipments in March were down 1.3%, but orders were up 18.9% year-over-year.

Year to date, flex shipments were down 2.4%, and orders were up 7.1%. Sequentially, flex shipments went up 27.3%, while orders grew 98.8%. The flex book-to-bill ratio improved to 0.98.

Rigid PWBs represent an estimated 90% of the current North American industry. In March, 85% of total shipments reported were domestically produced. Domestic production accounted for 85% rigid PWB and 80% of flex circuit shipments.