Texas Instruments,famous for its scientific calculators globally,is shutting down semiconductor manufacturing plant in Houston and Japan to cut costs,thus eliminating over 500 jobs.
Chipmaker Texas Instruments (TI) posted a 68 per cent drop in quarterly profits as the semiconductor industry continues to suffer in the economic downturn.
The company released its fourth quarter 2011 financials yesterday with revenue of USD 3.42 billion,down three per cent from a year ago.
While revenue was fairly steady,the firm’s profits fell off a cliff with the company making USD 292 million,a 68 per cent decline from the same period in 2010.
The Houston plant office which is in the city of Stafford near here,will be a huge blow to the community.
The 45-year-old Stafford plant has 1,000 employees,500 of whom will be relocated to another facility.
The company also said it would close a similar plant in Japan. The company,said the cutbacks will save Texas Instruments about USD 100 million annually.