IQE Regulatory News (IQE)

13 Dec 2007 07:01

IQE PLC13 December 2007 13 December 2007 IQE plc ('IQE' or the 'Group') Successful Customer and Capacity Qualifications IQE plc (AIM:IQE) the leading supplier of advanced wafer products and servicesto the global semiconductor industry, announces the successful qualification ofproducts and tools with various customers across the Group. These qualificationsachieve several of the critical operational milestones set for 2007 and securethe foundations for significant added production capacity in 2008. During the year, the Group has successfully transferred key advanced HBTtechnology for high performance Power Amplifier applications from its New Jerseyplant into its UK facility, to establish strategically important dual sitemanufacturing for customers. Although taking longer than expected due tocapacity constraints at customer fabs, IQE has successfully completed keycustomer product qualifications, allowing significant wafer capacity in the UKto be brought into full production during the remainder of 2007, throughout 2008and beyond. In addition, new capacity installed in the New Jersey facility has successfullyqualified for BiFET production and is now ramping into full production. The new facility acquired in Singapore in August 2007 is now fully operationaland the first tool has been successfully installed. Over the coming months, allof the tools at the existing Singapore plant will be moved to the new facilityduring their routine annual maintenance, thereby having a minimal impact onproduction output. The move has progressed well and is expected to be fullycomplete by Q3, 2008, to the original schedule. Commenting, Dr Drew Nelson, IQE CEO said: "These successful qualifications of products and tools will immediately provideincreased production output to support the growing wafer needs of our customers,particularly in the wireless business where demand continues to be very strong.Further, as additional tools become qualified over the coming months, ourcapacity will continue to increase during 2008, exploiting our operationalgearing and enhancing IQE's position as the leading global supplier of advancedcompound semiconductor wafers." In a separate technical press release, IQE has today announced the publicationof results from a joint programme between IQE and Intel Corporationdemonstrating the breakthrough integration of high performance compoundsemiconductor devices on silicon substrates for next generation high-speed,ultra-low power digital logic applications (see www.iqep.com/news for furtherdetails). IQE expects to provide a trading update early in the New Year. Contacts: IQE plc (+44 (0)29 2083 9400) Drew Nelson Phil Rasmussen Chris Meadows College Hill (+44 (0)20 7457 2020) Adrian Duffield / Ben Way Noble & Company Limited (+ 44 (0)20 7763 2200) John Llewellyn-Lloyd / Sam Reynolds NOTE TO EDITORS IQE is the leading global supplier of advanced semiconductor wafers withproducts that cover a diverse range of applications, supported by an innovativeoutsourced foundry services portfolio that allows the Group to provide a 'onestop shop' for the wafer needs of the world's leading semiconductormanufacturers. IQE uses advanced crystal growth technology (epitaxy) to manufacture and supplybespoke semiconductor wafers ('epi-wafers') to the major chip manufacturingcompanies, who then use these wafers to make the chips which form the keycomponents of virtually all high technology systems. IQE is unique in being ableto supply wafers using all of the leading crystal growth technology platforms. IQE's products are found in many leading-edge consumer, communication, computingand industrial applications, including a complete range of wafer products forthe wireless industry, such as mobile handsets and wireless infrastructure,Wi-Fi, WiMAX, base stations, GPS, and satellite communications; opticalcommunications, optical storage (CD, DVD), laser optical mouse, laser printers &photocopiers, thermal imagers, leading-edge medical products, barcode, highefficiency LEDs and a variety of advanced silicon based systems. The manufacturers of these chips are increasingly seeking to outsource waferproduction to specialist foundries such as IQE in order to reduce overall wafercosts and accelerate time to market. IQE also provides bespoke R&D services to deliver customised materials forspecific applications and offers specialist technical staff to manufacture tospecification either at its own facilities or on the customer's own sites. TheGroup is also able to leverage its global purchasing volumes to reduce the costof raw materials. In this way IQE's outsourced services, provide compellingbenefits in terms of flexibility and predictability of cost, therebysignificantly reducing operating risk. IQE operates six manufacturing facilities located in Cardiff (two) and MiltonKeynes in the UK; in Bethlehem, Pennsylvania and Somerset, New Jersey in theUSA; and Singapore. The Group also has 11 sales offices located in majoreconomic centres worldwide. This information is provided by RNS The company news service from the London Stock Exchange