View:
Download DOC
Download PDF
Download XLS
form8k-feb09.htm
 
 


 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K
 
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

February 23, 2009
Date of Report (date of earliest event reported)

MICRON TECHNOLOGY, INC.
(Exact name of registrant as specified in its charter)

Delaware
  
1-10658
  
75-1618004
(State or other jurisdiction of incorporation)
  
(Commission File Number)
  
(I.R.S. Employer Identification No.)

 
8000 South Federal Way
  
 
Boise, Idaho  83716-9632
  
 
(Address of principal executive offices)
  

 
(208) 368-4000
  
 
(Registrant’s telephone number, including area code)
  

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4c))
 

 
 
 
 


Item 2.05.
Costs Associated with Exit or Disposal Activities.
 
On February 23, 2009, the Company announced that it will phase out 200mm wafer manufacturing operations at its Boise, Idaho, facility.  This action will reduce employment at the Company’s Idaho sites by approximately 500 employees in the near term and by as many as 2,000 positions by the end of the Company’s fiscal year.

In connection with these activities, the Company will incur cash restructuring charges of approximately $50 million, comprised primarily of severance and other employee related costs.  The Company expects to generate a gross annualized operating cash benefit of $150 million in connection with the phase out of its 200mm wafer manufacturing operations in Boise.  The net operating cash flow effect is expected to be neutral for fiscal 2009.

The full text of the press release issued in connection with the Company’s announcement is attached as Exhibit 99.1 to this Current Report on Form 8-K.
 
 
This Current Report on Form 8-K contains forward-looking statements regarding future employment levels restructuring charges, operating cash benefit and operating cash.  Actual events or results may differ materially from those contained in the forward-looking statements.  Please refer to the documents the Company files on a consolidated basis from time to time with the Securities and Exchange Commission, specifically the Company's most recent Form 10-K and Form 10-Q.  These documents contain and identify important factors that could cause the actual results for the Company on a consolidated basis to differ materially from those contained in our forward-looking statements (see Certain Factors).  Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements.  We are under no duty to update any of the forward-looking statements after the date of this report to conform to actual results.
 

Item 9.01.
Financial Statements and Exhibits.
   
 
(d)  Exhibits.
   
 
The following exhibits are filed herewith:

 
Exhibit No.
  
Description
99.1
  
Press Release issued on  February 23, 2009
     
     
     




 
2
 

SIGNATURE
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 

   
MICRON TECHNOLOGY, INC.
       
       
Date:
February 23, 2009
By:
/s/ Ronald C. Foster
   
Name:
Ronald C. Foster
   
Title:
Chief Financial Officer and
Vice President of Finance


 
3
 


INDEX TO EXHIBITS FILED WITH
THE CURRENT REPORT ON FORM 8-K DATED FEBRUARY 23, 2009


Exhibit
  
Description
99.1
  
Press Release issued on  February 23, 2009
     
     
 
 

 
4


exhibit99-1.htm

EXHIBIT 99.1
 

 
FOR IMMEDIATE RELEASE

Contacts:
Kipp A. Bedard
Daniel Francisco
 
Investor Relations
Media Relations
 
kbedard@micron.com
dfrancisco@micron.com
 
(208) 368-4465
(208) 368-5584

MICRON TECHNOLOGY RESPONDS TO CONTINUED DECREASES IN DEMAND

BOISE, Idaho, Feb. 23, 2009 – Deteriorating economic conditions and decreased demand for 200 millimeter (mm) specialty DRAM products have created additional challenges for Micron Technology, Inc.’s Boise manufacturing operations. As a result, Micron announced today that it will phase out 200mm wafer manufacturing operations at the company’s Boise facility. This action will reduce employment at Micron’s Idaho sites by approximately 500 employees in the near term and as many as 2,000 positions by the end of the company’s fiscal year. The company has sufficient manufacturing capacity remaining and does not expect any disruption in product supply required for customer needs.
 
“We remained hopeful that the demand for these products would stabilize in the marketplace and start to improve as we moved into the spring. Unfortunately, a better environment has not materialized, and we are at a point where we wanted to let our employees and the community know in advance what will occur later this summer,” said Steve Appleton, Micron Chairman and CEO.
 
The company will continue to operate its 300mm research and development fabrication facility at the Boise site and perform a variety of other activities, including reticle manufacturing, product design and support, quality assurance, systems integration and related manufacturing, corporate and general services. These workforce changes were not anticipated or included in Micron’s earlier 15 percent global workforce reduction announcement last October. Following these changes, Micron will employ more than 5,000 in the state.
 
Cash restructuring charges will be approximately $50 million, which will generate a gross annualized operating cash benefit of $150 million. The net operating cash flow effect will be neutral for fiscal year 2009.
 
Micron is committed to assisting employees affected by the workforce reductions and is providing severance and outplacement services.
 
About Micron
 
Micron Technology, Inc., is one of the world's leading providers of advanced semiconductor solutions. Through its worldwide operations, Micron manufactures and markets DRAM, NAND flash memory, CMOS image sensors, other semiconductor components, and memory modules for use in leading-edge computing, consumer, networking, and mobile products. Micron's common stock is traded on the New York Stock Exchange (NYSE) under the MU symbol. To learn more about Micron Technology, Inc., visit www.micron.com.
###
Micron and the Micron orbit logo are trademarks of Micron Technology, Inc. All other trademarks are the property of their respective owners.

This press release contains forward-looking statements regarding reductions in DRAM production levels, the number of employees affected by the restructuring of the Company’s memory operations, cash restructuring charges and other related expenses and the cash operating margin benefit. Actual events or results may differ materially from those contained in the forward-looking statements. Please refer to the documents the Company files on a consolidated basis from time to time with the Securities and Exchange Commission, specifically the Company's most recent Form 10-K and Form 10-Q. These documents contain and identify important factors that could cause the actual results for the Company on a consolidated basis to differ materially from those contained in our forward-looking statements (see Certain Factors). Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. We are under no duty to update any of the forward-looking statements after the date of this report to conform to actual results.