As well as revising their profit forecast today for the current financial year (see Nikon Cut Sales and Profit Forecasts), Nikon have also today announced a scaling back of their investment plans, by postponing construction of a new building for the production of IC Steppers and Scanners.
Nikon Corporation to postpone construction of one New Building for Production of IC Steppers and Scanners
Revision of Capital Investment for Capacity Expansion of ArF immersion Scanners
February 5, 2009
Nikon Corporation (Michio Kariya, President) have reviewed its investment plan announced in August 2008 to enhance production capacity of its ArF immersion scanners. Following this review, revision of investment amount and timing has been decided.
Since our announcement, the SPE market conditions have shown significant change due to sharp decline of demand for IC device and lithography tools resulting from global economy slowdown triggered by financial crisis. Judging that this stagnant environment will continue for a certain period, we have revised our capacity enhancement plan to build two new buildings and postpone construction of one building at our subsidiary, Tochigi Nikon Precision Co., Ltd. until market recovery is prospected.
There is no change for our plan to build a new building at our Kumagaya Plant while introduction of some production equipment will be reviewed in consideration of the market environment.
Following these changes, total investment for ArF immersion scanners capacity expansion, which has been estimated to amount to approximately 35 billion yen over 3 years beginning this fiscal year, will decrease to approximately 20 billion yen.
We will inform outcome of postponed construction of a new building upon decision made through our close observation on the market situations.