ELK GROVE VILLAGE, IL -- SigmaTron International today reported revenues fell 32% from a year ago to $26.3 million for its fiscal 2010 first quarter.

For the quarter ended July 31, the electronics manufacturing services provider swung to a net loss of $402,475, down from $579,324 last year.

During the quarter, the firm continued layoffs at its Tijuana and Hayward, CA, facilities, and took charges of $133,000. It also put workers on part-time schedules at three sites.

During the quarter, the firm landed two new "significant" customers. It said its entire loss occurred in May, while June and July had stronger revenues and were modestly profitable. Quoting activity "has never been higher," the firm said.

The company is in negotiations to extend its loan facilities past this fall. President and chief executive Gary R. Fairhead said, "We are currently continuing discussions with our bank to extend our credit arrangement beyond September 2010. At this time, it is possible that the company would not be in compliance with an existing financial covenant for the quarter ended Oct. 31, 2009.

"We hope to see increased revenue begin in the second quarter and build in the third quarter, but are cognizant that demand remains volatile and unpredictable and we will continue to plan for the downside and hope for the upside."

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