Microsemi / SANTA ANA

Nature of business: makes semiconductors, microelectronic assemblies, transistors and diodes.

Total employees: 1,500 In Orange County: 420 Stock listing in The Times: On NASDAQ as “MicSem” Ticker symbol: “MSCC” Friday’s stock close: $3.50 One-week change: Up $0.44

Analyst review: “Microsemi is surviving defense budget cutbacks by focusing on its commercial contracts. It is a leading supplier to the telecommunications, space satellite, pacemaker and automobile industries. As a part of a major restructuring effort, Microsemi recently sold two subsidiaries which were operating at a loss. It seems to have survived the period last March when its stock fell drastically. We are reasonably confident that the pressures caused by the tumble are over. Its recent quarter was not sensational nor explosive, but I predict that its end of year report will show good results in a difficult economic time.

- Alex J. Miselson, analyst

A.T. Brod & Co., New York

* SALES VS. PROFITS Chart amount in millions

Fiscal year ending Sept. 30 Sept. 29 Sept. 27 2 qtrs. 2 qtrs. 1990 1991 1992 1992 1993 Revenue $88.9 $82.7 $88.7 $40.0 $62.5 Profit (loss) ($-11.5) $2.9 $1.8 $.889 $.402

Corporate outlook: “Our focus recently has been to solve our cash-flow problems. We accomplished this by reducing staff and inventory and establishing a six-month salary reduction plan. We are working to apply our talent and resources to commercial industries. However, military and space contracts will still account for the largest share of our business.” --Philip Frey, Jr., CEO

* RETURN ON INVESTMENT: 3-YEAR SUMMARY AND YEAR-TO-DATE:

Fiscal year ending Sept. 27 Sept. 27 Sept. 27 2 qtrs. 1990 1991 1992 1992 52-week high $2.75 $2.75 $3.38 $2.75 52-week low $1.00 $0.69 $1.13 $0.69 Book value per share $1.28 $1.60 $1.84 $1.69 Price per share $1.38 $1.81 $2.50 $2.00 Net earnings (loss) per share N/A $.38 $.24 $0.12 Price-to-earnings ratio N/A 4:1 10:1 8:1 Avg. return on investor equity N/A 24% 13% 14%

Fiscal year ending 2 qtrs. 1993 52-week high $3.00 52-week low $1.00 Book value per share $1.73 Price per share $2.38 Net earnings (loss) per share $0.05 Price-to-earnings ratio 23:1 Avg. return on investor equity 6%

For more information call or write, 2830 S. Fairview St., Santa Ana, Calif. 92704 (714) 979-8220 Source: Microsemi; Bloomberg Business News. Researched by JANICE L. JONES/ Los Angeles Times