Friday, December 9, 2011

SMIC reaches settlement with Elpida

SHANGHAI, CHINA: Semiconductor Manufacturing International Corp. (SMIC) announced that on 8 December, 2011 it entered into an agreement with Elpida Memory Inc. to settle all pending arbitration claims and counterclaims relating to the parties' Amended and Restated 200mm Wafer Products Business Agreement dated 30 August, 2007.

Under the terms of the Settlement Agreement, the company will pay Elpida $21 million. The company had previously taken a reserve of approximately $10 million, and with this settlement will incur further expense of approximately $11 million. The company confirms that it does not consider that the Settlement Agreement will have any material adverse effect on the financial position of the company and its subsidiaries as a whole.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.