Cypress to Close 2 Plants, Cut 100 Jobs

Cypress Semiconductor Corp. said it will close two plants and cut 100 jobs in an effort to improve profit in the face of weak semiconductor prices. The San Jose-based chip maker said it expects to report a first-quarter loss of 6 cents to 8 cents a diluted share, before an $85.5-million charge for restructuring costs. Analysts had expected Cypress to earn a penny a share, according to IBES International Inc. Cypress is one of many semiconductor companies, including Intel Corp. and Micron Technology Inc., struggling to keep profits up in the face of falling chip prices. Cypress shares fell 19 cents to close at $8.69 on the NYSE. Cypress said it will shut a chip-wafer plant in Minnesota and a testing plant in Thailand. It will shift production to another plant in Minnesota and will shift its Thai production to a plant in Manila. It also will stop some production at a Texas wafer-fabrication plant.