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[January 2002]
CoorsTek Updates Q4 2001 Expectations
CoorsTek Inc (Golden, CO, USA) has updated its previously issued guidance for the fourth quarter of 2001. Specifically, the company is projecting revenue of US$70 million to US$72 million versus US$76 million and a gross manufacturing loss of US$11 million to US$13 million. Factors contributing to this loss include decreased gross margins because of underabsorption of fixed costs related to the lower sales volume and a significant reduction in inventory of more than US$20 million for the quarter. CoorsTek is projecting an approximate 15% sequential decrease in selling, general and administrative expenses, which is better than had been expected.Early in the 2001 fourth quarter, CoorsTek estimated that it would record an approximate US$10 million write-off to cover its optimisation efforts during the quarter. The individual charges are approximately US$1 million related to a nearly 20% reduction in workforce, approximately US$7 million for obsolete inventory and the write-off of excess equipment, and approximately US$1.5 million for facility closures.
CoorsTek designs and manufactures components, integrated assemblies and automated systems for the semiconductor capital equipment market and other high technology applications. Using technical ceramics, precision-machined metals, high performance plastics and high purity quartz, the company's engineered solutions enable its customers' products to overcome technological barriers and improve performance.
ENDS