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JUAREX, Mexico, Dec. 20 -- Electronics manufacturing services firm Elcoteq Network Corp. will buy consumer electronics giant Thomson's Juarez operations and take over its manufacturing in a deal worth over $1 billion.

Under the deal, expected to close Dec. 31, Elcoteq will acquire Thomson's manufacturing operation here, the companies annnounced today. Elcoteq is paying $33 million for the plant, which makes set-top boxes.

Elcoteq also signed a deal to build set-top box products for Thomson in Juarez. Thomson reportedly owns a 30% share of the global set-top box market.

Elcoteq expects the deal to boost the company's sales by approximately $300 million during 2005 and by $800 million to $1 billion during 2005 to 2007.

The acquisition of the Juarez plant will double Elcoteq's manufacturing capacity in Mexico. The Juarez personnel will be retained. Currently, the plant employs 2,000 workers.

In a statement Finland-based Elcoteq said the acquisition is part of a larger plan to balance its global footprint. The company earlier announced announced an expansion into Brazil.

"The Americas is the fastest growing geographical region within Elcoteq, and the addition of Thomson as a significant new customer both accelerates this growth and diversifies and expands the product and service portfolio within Elcoteq Americas," said Doug Brenner, president of Elcoteq's U.S. subsidiary.

ST. PETERSBURG, FL, Dec. 21 -- Global electronics service provider Jabil Circuit will add new plants in India and China, the company confirmed today.

The company announced plans for a 175,000 sq. ft. facility in Ranjangaon, India, its second in that nation. The plant is expected to be fully operational by mid-2005, and will perform assembly, enclosure integration, distribution and repair services and design.

"Planning this second facility in India underscores our commitment to this growing marketplace and the manufacturing needs of both global and indigenous electronic companies in India," said Bill Muir, regional president of Asia. "We see a growing need for full turnkey solutions to serve the India marketplace and our Ranjangaon facility will allow us to offer the full complement of services in close proximity to our end-customers."

Jabil also plans a groundbreaking for a fourth plant in Wuxi, China, next Monday. The 515,000 sq. ft. plant is planned to be fully operational in next fall.

Jabil currently operates 40 facilities worldwide.

MILPITAS, CA, Dec. 21 -- Solectron Corp. today reported sales of $2.7 billion for its fiscal first quarter, flat with 2004 and down from $3 billion sequentially. GAAP income from continuing operations were $47 million for the quarter ended Nov. 30, versus a GAAP loss of $52 million last year. The Q1 2005 results don't include a $2 million restructuring charge.

The drop in revenues was due to weakness in consumer demand for set-top boxes and 3-G wireless handsets, and lagging semiconductor equipment orders, Solectron said. Sales of networking gear also fell.

Earnings met the company's previous guidance.

The firm guided for sales of $2.65 billion to $2.8 billion for the February quarter. "Looking forward, we expect revenue growth in the second half of the year, driven by the expected ramp of recent wins and improved demand," said Mike Cannon, president and chief executive.

Gross margins improved 40 basis points sequentially and operating expenses were cut to $96 million. Cash flow from operations was $190 million. Inventory was reduced $52 million. Inventory turns were 7.1.

SAN JOSE, Dec. 22 -- Third quarter EDA revenues fell 2% from last year to $953 million, according to the latest statistics from the Electronic Design Automation Consortium.

License and maintenance revenue, the largest revenue category, declined 3%. North America les the way down, with all major categories off vs. last year.

"Despite a weak third quarter, the EDA market has shown a 3% growth rate on a year-to-date basis," said Wally Rhines, EDAC chairman.

The largest tool category, computer-aided engineering, was flat with sales of $453 million. IC physical design and verification revenue was down 9% to $272 million.

Revenue for PCB and MCM layout tools totaled $81 million in Q3, down 1%. Services revenue was $66 million, up 5%.

Semiconductor intellectual property revenue rose 8%, to $81 million.

North American revenues fell 9% to $472 million. Europe's revenues rose 4% to $192 million, as did Japan's ($183 million). Double-digit growth continued in the rest of the world, which showed total revenues of $107 million, up 11%.

Employment rose 4%, to 20,500 professionals, the third straight quarter of new highs in employment.

CHINO, CA, Dec. 22 -- Desco Industries will acquire the assets of Static Prevention Inc., a supplier of ESD products. Financial terms were not disclosed.

Under the terms of the agreement, Desco will acquire patents, designs, inventory, tools and equipment and company brand names. Anaheim, CA- based SPI does business under the name SPI Westek.

In a press statement Wayne Hunter, president of Desco, commented that the acquisition of SPI would enhance Desco's range of ESD solutions.

Tom Seratti, president of SPI Westek, will join Desco.

ROSSLYN, VA, Dec. 22 -- The National Electrical Manufacturers Assn. will sponsor a trade mission to India in February as its members seek to crack the world's second largest population and fastest growing economy.

The mission is aimed at business executives seeking to develop familiarity with the Indian electroindustry supply base and market, acquire firsthand knowledge of emerging business practices and establish contact with key business and government officials.

NEMA is arranging meetings with the U.S. Commerce Department officials, the Indian Ministry of Commerce and Industry and other local officials. The trade group will also attend various engineering conferences and manufacturing sites.

Commitments are due Jan. 10; www.nema.org/media/pr/upload/india-commitment.pdf.