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MACAO – Deswell Industries reported fiscal fourth-quarter net sales of $16.7 million, down 39.1% year-over-year.

Net sales dropped 41% to $7.5 million in the company’s electronic and metallic segment.

Gross profit in the electronic and metallic segment decreased to 1.2% of net sales for the quarter, compared to 12.4% of net sales for the year-ago quarter. The drop is attributed to an increase in raw material costs as a percentage of sales due to higher provisions for obsolete inventory, and in labor costs and factory overhead as a percentage of sales during the quarter.

The company reported a net loss of $900,000 for the fourth quarter compared to net income of $600,000 for the same period in 2009.

Net sales for the year were $81.6 million, down 38% compared to fiscal 2009.

The firm reported net income of $1.5 million for the year ended Mar. 31, up 25% year-over-year.

NEWARK, NY – IEC Electronics Corp. has received an order from one of its military and defense customers valued at more than $6.1 million, the firm says.

Deliveries will commence Dec. 1 and will be completed by December 2012.

The firm will be “the exclusive turnkey supplier for an important satellite communications modem used by the US Department of Defense,” said Jeffrey T. Schlarbaum, executive vice president and president of IEC Contract Manufacturing.

MOR, HUNGARY -- Flextronics plans to lay off 360 employees from its manufacturing plant here, local media are reporting.

ST. PETERSBURG, FL -- Jabil Circuit last night reported fiscal third-quarter revenues of $3.46 billion, up 32% from a year ago.

PLANO, TX – Rapid Tooling Inc. has relocated to a 14,310 sq. ft. manufacturing facility here.

The facility has more than 9,000 sq. ft. of manufacturing space.

Rapid Tooling provides wafer tooling and process tooling for components in JEDEC trays, router fixtures, solder pallets and SMT pallets, as well as press/fit tooling and placement equipment tooling. The company also provides numerous services for electronics and semiconductor packaging.

BANNOCKBURN, IL -- Some 29 representatives of US-based companies converged on Washington earlier this month, intent on explaining the circuit board fabrication and assembly industry to their legislators.

FUKUOKA, JAPAN – The World Semiconductor Trade Statistics forecasts the semiconductor market to grow 28.6% to $291 billion in 2010.

In 2009, the semiconductor industry was affected by the global economic crisis, down 9% to $226.3 billion. In 2010, the industry is recovering with revived enterprise and consumer spending, WSTS says.

The latest forecast is a more optimistic outlook for the year, with an increase of $44 billion over the fall forecast.

The industry is now expected to top $320.2 billion in 2012, with a three-year compound annual growth rate of 12.3% from 2009 to 2012.

CHESTNUT HILL, MA -- Already battered by the recession, manufacturers are concerned a wave of retirements across their industry will saddle them with a shortage of qualified job applicants, huge training costs for new workers and the challenge of transferring job knowledge from one generation of workers to the next.

TAIPEI -- Compal Electronics will raise wages at its plants in China as it tries to fend off inflation and a shortage of workers, the company says.

SHENZHEN -- Foxconn Technology Group, which only last week said it would substantially raise wages of its workers here, reportedly will relocate much of its manufacturing to other sites in China.

SAN JOSE – The Semiconductor Industry Association submitted a report to the US Department of Commerce outlining actions required to meet the goal of doubling semiconductor exports to $76 billion by 2014.

MILPITAS, CA – Thirty engineers and photovoltaic manufacturing professionals met June 10 at Flextronics Inc.’s campus in Milpitas, CA, to discuss the formation of a new professional association to advance the photovoltaic engineering and related manufacturing professions. The proposed association would address research, education, industry standards, and training.

Participants were welcomed by Flextronics vice president Dr. Dongkai Shangguan, who discussed the solar industry and stressed the need to lower the cost per watt.

Organizer Matt Holzmann, president of Christopher Associates, presented an overview of how an association would benefit the industry and the participants. He proposed a member-driven model dedicated to engineering, management and other professionals.

There was widespread agreement that such an association would have significant benefits both to the participants and the industry at large. Committees are now being formed to execute key functions in establishing a legal entity and its functions.

“This was a great first step,” Holzmann said. “We must now focus on defining the scope and activities of the organization. Member involvement is critical to achieving success.”

Contact Holzmann (matt.holzmann@christopherweb.com), Jasbir Bath (Jasbir@christopherweb.com) or Dennis Willie (dennis.willie@flextronics.com) for additional information.