Fairchild Semiconductor shutting two of its six Fabs

To reduce to the cost-burden from close-to-idle or less producing fabs, Fairchild Semiconductor has decided to close its wafer fabrication plant in Mountaintop, PA, U.S. one of its wafer fabs in Bucheon, South Korea.

Any load of these fabs will be moved to other fabrication facilities of Fairchild Semiconductor. The South Korea site will close its four-inch line and transfer associated manufacturing to its five and six-inch wafer fabs.

"Sizing our manufacturing footprint and keeping our cost structure competitive are requirements for the long term health of our company and drive this production consolidation," said Mark Thompson, president, chairman and CEO. "These actions reduce the number of wafer fabs in the company from six to four, and the number of front end manufacturing sites from four to three. We are committed to staying cost competitive in these hard economic times, and these changes will simplify operations, improve productivity and reduce costs."

The consolidation and closing of the both the facilities is expected to be completed by June, 2010.