Boston, MA 10/31/2013 (wallstreetpr) – ON Semiconductor Corp (NASDAQ:ONNN), a company that designs, markets and manufactures a portfolio of semiconductor components that is needed in the electronic products and systems, has announced something recently. Through the voluntary retirement plans, the company is planning to lay off its employees. In the restructuring activity, the company is planning to lay off around 870 jobs at its Sanyo plant. The company is expected to reduce the costs by doing this and save around $36-$45 million in the initial year.
The company also stated that after the completion of the activity, it would close down its Sanyo plant located in Japan. This action will further led to a loss of 170 full-time and 40 contract jobs. The company is trying to turn around its acquisition by doing this. They had acquired this acquisition for $500 million in January 2011. In addition to this, in August, the company has cancelled the bonuses of its senior executives.
While the agreement will be modified and restated, the company has entered into an agreement with the group of lenders. The company entered into this agreement in December 2011, according to which, the company will borrow nearly $800 million in revolving loans systems. Money may be borrowed by the company on some bps above base rate or on Libor that will be based on the leveraged ratio of the company. Under the new facility, the company is availing $120 million out of the $800 million. As of now, it will be using this fund for general corporate purposes.
For the development of star tracker image sensors, the company receive title III. This company has entered into a joint venture with SRI International Bal Aerospace & Technologies Corporation because the main objective of the project is to raise the availability of visible imagers.