Dense-Pac Microsystems Inc. said Thursday that it expects to take a “significant” write-down in the fourth quarter ending Feb. 28 for older technology and partially to pay for severance packages.
William Stowell, Dense-Pac’s chief financial officer, said the severance packages include a payout over the coming year to former chief executive officer James G. Turner, who resigned last month. They also include final payments for 25 employees in a special, bonus-based compensation program that the company has discontinued.
Stowell said no layoffs are planned. Since the first of the year, about 15 workers have been added, bringing the total work force to about 100, he said.
For the fourth quarter ended last Feb. 29, Dense-Pac reported net income of $432,000, or 3 cents a share, on sales of $4.8 million. The company designs and makes computer chip stacking devices.