Sep 2 2007
EMCORE Corporation, a leading provider of compound semiconductor-based components and subsystems for the broadband, fiber optic, satellite and terrestrial solar power markets, today announced the consolidation of its North American fiber optics engineering and design centers into its three main operating sites.
EMCORE's engineering facilities in Virginia, Illinois, and Northern California will be consolidated into three larger primary sites in Albuquerque, New Mexico; Alhambra, California and Warminster, Pennsylvania. The consolidation of these engineering sites will allow EMCORE to leverage resources within engineering, new product introduction, and customer service.
"EMCORE has acquired several technology companies over the past few years. Each has contributed to the success of EMCORE's broadband and fiber optics businesses through the addition of new technologies, products, and customer portfolios. Consolidation of these design centers into three core sites will provide greater synergy across product lines, better leverage of engineering resources, shorter time to market, and increased customer support," said Hong Hou, President and Chief Operating Officer. "EMCORE will reduce operating costs by eliminating duplicate resources and infrastructures."
By consolidating facilities, EMCORE expects to realize annual cost savings of approximately $7.0 million. Production, product support, and key design personnel will be relocating to the main operating sites. Restructuring charges associated with the closure of facilities, relocation, and other costs are expected to total approximately $2.0 million.
The design center in Virginia was closed in June 2007, and design centers in Illinois and Northern California will be closed by September 2007.