Toshiba to Shutter Memory Chip Lines in Japan, Reduce 150mm and Smaller Chip Production Capacity
June 14, 2009
Japanese NAND flash memory chip manufacturer
Toshiba plans to shutter four existing chip production lines in Japan and
reduce production capacity of 150mm and smaller chips by 30% in the current
fiscal year ending March 31, 2010, Reuters reported on June 12, 2009. It is reported
that two lines in Toshiba's Kitakyushu plant and two lines in Himeji will be
scrapped, while the production capacity of 150mm chips at the company's Iwate
unit will be halved. Restructuring costs to arise from the shutdown of
production lines are estimated at around 30 billion Yen (US$304.9 million; US$1=98.4
Yen). Toshiba expects to reduce the fixed costs of its chip business by about
100 billion Yen (US$1.0 billion) in fiscal 2009 by means of said restructuring
measures.