Kla-Tencor Announces Corporate Restructuring

KLA-Tencor Corporation announced a restructuring plan to address the downturn in the semiconductor industry. As part of the plan, the company has reduced its global workforce by about 220 people or 5%.

The company will incur a non-recurring restructuring charge consisting primarily of costs associated with the consolidation of the company's facilities, a write-down of assets associated with affected programs, and employee severance and related benefits associated with the company's reduction in force. The company expects the restructuring plan and related cost estimates to be completed by the end of the second fiscal quarter and the charge will result in a net loss for the second fiscal quarter.