Lam Research to Fire 700, Restructure

Lam Research Corp. said it will fire 14% of its workers and take a charge of up to $85 million to restructure because of weak orders from Asia for its semiconductor-making equipment. Demand for chip-making equipment in Asia has suffered because of an economic crisis there and because prices for memory chips have plunged, Lam said. “A weak order outlook over the next several quarters has made this difficult decision necessary,” Lam Chief Executive James Bagley said in a statement. The move puts Fremont-based Lam on a list with other technology companies including software maker Oracle Corp. and chip-making equipment company Kulicke & Soffa Industries Inc. that have seen sales suffer in Asia because of the economic meltdown in the region. Lam said it will close some operations and will fire 700 workers at locations around the world. It will take a charge of $80 million to $85 million in the fiscal third quarter ending in March. Lam disclosed the charge and firings after the market closed. Trading was halted on Nasdaq.