manufacturing joint venture in Japan; LSI to accelerate sub-micron
capacity to meet customer demand
MILPITAS, Calif.--(BUSINESS WIRE)--Jan. 26, 1995--LSI Logic
Corp., in a move designed to accelerate the expansion of sub-micron
manufacturing capacity to meet increased customer demand, Thursday
announced it has acquired the shares it doesn't already own from
Kawasaki Steel Corp. in a manufacturing joint venture in Japan.
LSI Logic expects the buyout will have no meaningful impact on
1995 earnings expectations by securities analysts.
LSI Logic had been a 55% shareholder of Nihon Semiconductor Inc.
(NSI), a manufacturing joint venture first announced in 1985 by LSI
Logic and Kawasaki Steel. The joint venture managed and operated
two high-volume manufacturing facilities in Tsukuba, Japan. Both
semiconductor factories now will be under the sole ownership of LSI
"Strong demand over the past several quarters for our
semiconductor products based upon our leading-edge 0.5 micron and
0.6 micron process technologies had prompted us to want to
accelerate our manufacturing capacity timetable, which this buyout
will allow us to do at NSI," said Wilfred J. Corrigan, chairman
and chief executive of LSI Logic.
In commenting on the relationship with Kawasaki Steel, Corrigan
said, "Kawasaki Steel and LSI Logic continue to enjoy an excellent
relationship." He added, "The joint venture served the dual needs
of both companies for many years, and now both companies agree that
it is in their best interests to pursue their own independent
LSI Logic Corp. (NYSE:LSI) is a Fortune 500 supplier of
high-performance semiconductors, with operations worldwide. The
company enables customers to build complete systems on a single chip
with its CoreWare methodology, thereby increasing performance,
lowering system costs and accelerating time to market. LSI Logic
develops customized products in partnership with leading customers,
and operates leading-edge, high-volume manufacturing facilities to
produce sub-micron chips. LSI Logic is headquartered at 1551
McCarthy Blvd, Milpitas, Calif. 95035, 408/433-8000.
Note to Editors: The company today filed an 8-K document in
relation to this Kawasaki Steel transaction with the Securities and
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