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News

DEARBORN, MI – The Society of Manufacturing Engineers and its Electronics Manufacturing Tech Group named Professor R. Wayne Johnson winner of its 2007 Total Excellence in Electronics Manufacturing Award. The annual award recognizes extraordinary dedication and innovation in setting new or higher levels of achievement in electronics manufacturing. Johnson is a professor of electrical engineering at Auburn University and director of the Laboratory for Electronics Assembly and Packaging (LEAP). At Auburn, he has established teaching and research laboratories for advanced packaging and electronics manufacturing. His research efforts are focused on the materials, processing, and reliability aspects of electronics manufacturing. Current projects include lead-free electronics assembly, mixed lead-free and Sn/Pb electronics assembly, wafer-level packaging, flip-chip assembly, assembly of ultra thin Si die, and electronics packaging for extreme environments. He has published 52 journal papers, 135 conference papers, six book chapters and co-edited one book on electronics packaging and electronics manufacturing. Johnson holds one U.S. patent.

SAN FRANCISCO – The nation’s CIOs expect IT budgets to grow 5.1% during the next 12 months, down from 5.8% in December. The weaker results reflect increased caution across most product categories, although a rebound in large enterprise spending is expected, says Deutsche Bank Equity Research. DB’s March poll revealed a slow start to 2007, although results for very large (>5,000 employees) and small firms (101-500) strengthened in March, with CIOs expecting growth of 7% and 10%, respectively, in the next 12 months (vs. 3% and 7% in December).

COLORADO SPRINGS – IC Interconnect, a wafer bumping company, was named sole North American representative for Jiangyin Changdian Advanced Packaging, a provider of bumping technologies. The agreement establishes ICI/jcap International, the marketing, sales, engineering and customer support arm of JCAP in North America. Under the agreement IC Interconnect can install and operate its electroless nickel UBM process at a plant in China.

HIALEAH, FL -- Simclar Inc. reported fourth-quarter net income rose 394% to $949,000 on an 83.5% hike in sales to $33.2 million. The figures include the consolidated operations of Simclar and its subsidiaries, including acquisitions made during the year.

For the year ended Dec. 31, Simclar had net income of $2.9 million compared to $947,000 in 2005. Sales rose 90% to $116 million.

In a statement, chairman Sam Russell said growth has come from new and existing customers looking to consolidate their business with suppliers.

MINNEAPOLIS -- HEI Inc. today announced lower second-quarter results for the period ended March 3.

The designer and manufacturers of medical equipment systems and devices said net sales fell 10% to $10.6 million compared to the prior year. Gross profit fell by about half, to $893,000.

Net sales at the company's flexible substrate business were lower on an order drop from a primary customer looking to cut inventories. RFID orders slowed as well.

LOS ALTOS, CA – Changes in corporate PC purchasing is slowing market growth, according to a new report. Electronics equipment sales will fall this year but will recover in 2008, says Ed Henderson of Henderson Ventures in his latest newsletter. “Corporations no longer feel compelled to upgrade their systems every three years because hardware and software advances don’t offer the productivity improvements that previous upgrades have given,” Henderson wrote. The U.S. has been particularly hard hit: PC unit shipments grew 1% last year. Worldwide, shipments grew 9.9% in 2006. However, forecasts call for a slowdown to 7.1% this year before recovering to 10.2% in 2008, Henderson said. Demand from emerging markets for low-cost cellphones boosted shipments to 993 million in 2006, up from 430 million in 2002. Unit growth is predicted to dip to 13.1% this year and 10.3% in 2008, Henderson predicts. Global equipment values will fall to 6.9% in 2007 from 9% last year on slower unit growth for certain key products. Henderson predicts a rebound to 8.1% in 2008.

SANTA FE, NM -- Compass Components will purchase Sparton Technology's Deming, NM, wire harness plant and certain inventory and equipment, and will begin to rehire laid off employees, according to Rick Homans, Cabinet Secretary for the New Mexico Economic Development Department. No financial terms were disclosed.

Compass, which makes cable, harness and electromechanical assemblies, began operations at the facility yesterday. The sale of the building should be finalized by June 29.

On Jan. 8, Sparton announced it would close the plant and lay off its 76 employees. Compass will initially hire up to 12 employees, and officials say they would like to ramp to 75 or more employees in one to two years.

TOKYO -- Is Sanyo Electric Co. gearing up to sell its cellphone and digital camera businesses?

The Japanese electronics giant already outsourced its TV and home appliances businesses, part of a strategy to focus on energy and green businesses, and it taking bids on its chip division.

As Seiichiro Sano takes over as company president today, shareholders are telling the company to outsource or spin off its mobile phones and digital cameras units, too.

CLINTON, NY - Indium Corp. announced today a surcharge on its Ag- and Sn-containing solder pastes, effective immediately. Since January, tin has increased to $6.25/lb. from $3.36/lb. and silver has increased to $203/lb. from $133/lb. The metal cost for Pb-Free SAC 387 solder alloy rose from approximately $8.27/lb. to $13.68/lb., a 65% increase. Metal costs have been increasing steadily the past year; elevated prices are expected to prevail for the remainder of 2007. The surcharge will be eliminated when prices return to January 2006 levels.

SAN JOSE – February worldwide sales of semiconductors fell 6.5% from January to $20.09 billion, SIA reported today. February sales increased 4.2% from $19.28 billion February 2006. “While seasonality clearly contributed to the decline, declining unit shipments and lower average selling prices in several key market segments were a factor,” said SIA president George Scalise. “Unit sales of microprocessors were up almost 8% while ASPs declined 15%, and NAND flash units grew by over 40% while experiencing a nearly 50% drop in ASPs. PCs and consumer products now account for approximately 60% of semiconductor sales,” he said. Overall capacity utilization fell to 86.8% in the fourth quarter from 88.9% in the third quarter. Most of the decline was in foundry utilization, which fell to 80.9% in the fourth quarter from 91.5%. The lower capacity utilization reflected reduced inventories within the supply chain, a move expected to bring production in line with GDP performance in key world markets.

JERSEY CITY, NJ – Cookson Electronics has announced a surcharge on Alpha brand Sn-bearing solder pastes, effective 30 days from customer notification. A global shortfall in tin supplies versus forecasted consumption has pushed prices to 19-year highs. Tin prices have increased from a range of $6,000 to $9,000/metric ton during 2006 to more than $14,000/metric ton this quarter. Cookson said it would eliminate the surcharges when prices return to mid-2006 levels.

BANNOCKBURN, IL - The revision of a standard on halogenated flame-retardant use is ready for industry comment. IPC invites all interested parties to submit comments on the final draft of IPC-WP/TR-584A, “Halogenated Flame Retardants in Printed Circuit Boards and Assemblies (Correcting the Misunderstandings on ‘Halogen-Free’).” A PDF is available; contact Tom Newton at TomNewton@ipc.org. The comment period closes April 30.