Computer Firms Tell of Shutdowns

Two computer manufacturers reported that they will shut down all production for at least a week during the third quarter due to the prolonged slump in semiconductor sales.

National Semiconductor said Friday that it will stop production for at least five days during this quarter in both the United States and Europe.

The temporary shutdowns are to continue each quarter until business picks up.

The company also said it does not expect a significant improvement in sales levels this calendar year.

Apollo Computers of Chelmsford, Mass., said it will start cost-reduction programs, including an unpaid six-day leave for most employees during the quarter.

The company said that, during the layoff, its U.S. sales employees will continue to work at a 7.5% reduction in pay.