Micron Technology, Inc. (NASDAQ:MU) all set to slash 1,500 workers after Elpida take over


Dallas, Texas 08/15/2013 (Financialstrend) –  Micron Technology, Inc. (NASDAQ:MU) has decided to slash around 5% of its worldwide personnel following a major business purchase.

As per company representatives, the said reduction in jobs are designed with the aim to optimize its personnel and are not straightly associated to its takeover of the Japanese company, Elpida.

But, Dave Petso with Petso Financial Consultants in Boise stated that the buyout likely prompted the handout of pink slips. Petso said that the letters providing details about the cuts have been circularized companywide together with severance package offers.

“It seems to be pretty grave here,” Petso stated, delineating the figure of layoffs in the greater Boise region.

Micron Technology, Inc.’s representative Dan Fransisco stated that the job slashes would have an effect on less than 5% of the firm’s 30,000 member worldwide personnel through the fiscal year 2014.

That’s around 1,500 people.

Dan said that the cuts are approaching in the form of personnel attrition, voluntary division, and decrease, and were declared internally on August 7.

“Micron is in the throes of incessantly evaluating its operations to make sure that resources are competently and successfully aligned,” Fransisco said.

The company sealed the contract with Elpida on July 31, but had been making discussions to acquire the firm for several years.

Analysts think that the purchase will make the company, the second biggest DRAM manufacturer in the globe.

Micron’s Company Declaration

Given the cutthroat and varying nature of the memory business, Micron Technology, Inc. (NASDAQ:MU) is constantly evaluating its operations to make sure resources are competently and successfully aligned. As such, the company declared internally August 7 a proposal of restructuring to further optimize its worldwide staff. This action will lead to a diminution of less than 5% of the firm’s worldwide personnel through the end of fiscal year 2014.

Company Witnesses Unusually Large Options Volume

The scrip of the company was the goal of some strange options trading action on Tuesday. Shareholders got hold of 174,597 call options on the scrip.

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