EL SEGUNDO, CA -- Although the outlook for the overall mobile handset market continues to dim, smartphones remain a bright spot with global unit growth as high as 11.1% in 2009, iSuppli Corp. predicts.

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HARTLEPOOL, UK – Electronic manufacturing services company Stadium Group reported 2008 revenues rose 17% to £47.6 million and pretax profits were up 5% to £2.78 million, aided by the acquisition of Zirkon Ltd. Operating profits from Stadium Electronics and its subsidiary Stadium Power were above 25%.  

Net cash flow was down 15% to £4.12 million for the year.

Chief executive Nigel Rogers said customer demand and visibility have been weak as 2009 gets underway. "We have experienced weakening of customer demand in the opening few weeks of 2009, and these conditions are expected to prevail in the short term. The full extent of the global downturn and its impact on manufacturers worldwide is as yet unclear. “

On Oct. 31, the Stadium acquired EMS provider Zirkon, and said today the integration of its operations “is progressing very well.”

1 GBP (£)= 1.41297 US$

 

 

JACKSON, MI -- Sparton Corp. will close its Jackson, MI, manufacturing operations by than June 30, hoping a reduction in excess capacity will help restore the EMS company to profitability. The move will put 206 employees out of work.

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KUALA LUMPUR -- Flextronics International will close its factory in Shah Alam, putting nearly 1,400 employees out of work, Reuters reported today.

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BANGKOK -- Top electronics manufacturing services company Hana Microelectronics’s 2008 sales were flat year-over-year at $452 million. Operating profits were also flat, at $55.5 million. Net profits fell 22% in Thai currency.

The 2007 figures, however, included the sale of a large subsidiary. Hana gained Bt504.6 million from the sale of Advance Interconnec Technology in September 2007.

Hana is the world’s 33d largest EMS firm, according to Circuits Assembly’s rankings. Its microelectronics unit's sales were up 1% for the year, despite a 13% drop year-over-year in the fourth quarter.

The company's sales and operating profits were down 3% and 4%, respectively, in Thai bahts, but adjusted for US currency changes, were essentially flat.

In a press release, Hana said, "The drop in demand experienced in the fourth quarter has continued and worsened in the first quarter and we anticipate it to continue into the second quarter. As a result we anticipate the possibility of an operating loss for the first half of the 2009. We have undertaken appropriate measures in headcount reduction (approximately 12%), short working week, payroll cuts for management and cancellation of certain bonus schemes. These will be reviewed in light of the on going economic situation."

1 THB (Bt) = 0.0277045 US$

OXFORD, CT – Mirtec Corp. has purchased a 5,000 sq. ft. facility to accommodate its North American sales and service division.
 
The Oxford, CT, facility will be equipped with demonstration and training facilities for the company’s AOI product line.
 
“This expansion is in direct response to growing demand for our products and services, resulting in a significant increase in market share throughout North America,” said Brian D’Amico, president of Mirtec's North American subsidiary.
 
Last year, Mirtec’s parent company in Korea acquired a 35,000 sq. ft. manufacturing facility in Seoul. 
 

TEMPE, AZ -- The US manufacturing sector contracted in February for the 13th consecutive month, according to the latest survey of the nation's executives.

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TAIPEI -- Hon Hai (Foxconn) and IBM reportedly are set to sign a pact to codevelop environment-friendly products.

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HELSINKI -- Months after watching Apple steal its thunder in the 3G market, Nokia is readying to return the favor.

Nokia CEO Olli-Pekka Kallasvuo said the world's largest cellphone maker plans to enter the laptop market to capitalize on trends toward cellphone and PC convergence.

According to a report last week by Citigroup, Nokia's first computer will launch in the first half of 2010. The PC, either a netbook or a PC tablet, will probably feature an Intel Atom microprocessor and Linux operating system, Citigroup said. The analyst believes Nokia will outsource production to Compal Electronics or Hon Hai (Foxconn).

Netbooks -- low-cost, stripped-down PCs with minimal software and processing power -- are the fastest-growing segment of the PC market, according to several research firms.

BINGHAMTON, NY – A Universal Instruments spokesperson is disputing a published report in an online newsletter claiming the company has been sold and is being liquidated.

The March 3 edition of CircuitNet claimed, “It appears that Francisco Partners has sold the company to Patriarch Partners LLC, a private equity investment firm.” The story further asserted that Patriarch “is currently managing the day-to-day activities within the company and plans to sell off assets.”

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CHICAGO – IT, including hardware, is one of the big beneficiaries of the US economic stimulus plan, says TFI Quarterly Forum’s chief economist, Matt Chanoff. But, as big as it is, it’s too small to make up directly for the shortfall driven by the global recession, he adds.
 
More than $65 billion of the plan goes directly into high-tech spending. The top winners are medical infomatics ($22.7 billion); green tech support ($17.3 billion); smart grid power grid development ($11 billion); broadband and video conferencing ($7.5 billion), and automotive green tech ($4 billion).
 
Approximately one-third of this spending will go directly to hardware, meaning the US government will inject about $22 billion in spending over two years into an industry with $2.2 trillion in annual worldwide revenue, according to Chanoff. In other words, the US government package should directly add about 0.5% to industry revenue, he says. 
 
"Success from the stimulus package requires clarity on what is available and how we can quickly leverage this injection of funds for the benefit of our industry,” said Kathleen Geraghty, TFI Quarterly Forum president.