SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) August 21, 1996
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KULICKE AND SOFFA INDUSTRIES, INC.
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(Exact name of registrant as specified in its charter)
PENNSYLVANIA 0-121 23-1498399
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(State or other jurisdic- (Commission (IRS Employer
tion of incorporation) File Number) Identification
No.)
2101 Blair Mill Road, Willow Grove, PA 19090
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (215) 784-6000
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<PAGE>
Item 5. OTHER EVENTS.
a.) On August 21, 1996, Kulicke and Soffa Industries, Inc.
announced certain resizing actions taken to reduce world wide
operating costs, as disclosed in its press release attached
hereto as Exhibit 99.
b.) Exhibits:
Exhibit 99 - Kulicke and Soffa Industries, Inc.
Press Release dated August 21, 1996.
SIGNATURE
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Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.
KULICKE AND SOFFA INDUSTRIES, INC.
Date: August 22, 1996 By: /s/ Clifford G. Sprague
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Clifford G. Sprague,
Senior Vice President
and Chief Financial Officer
N E W S For Immediate Release Exhibit 99
Company Contact:
Jim Chiafery
215-784-6436
Kulicke & Soffa Announces Resizing Actions
Willow Grove, PA, August 21, 1996 - Kulicke & Soffa Industries,
Inc. (NASDAQ: KLIC) today announced the taking of certain resizing
actions and their estimated impact on its fourth fiscal quarter,
which ends September 30, 1996.
"In response to current industry conditions, the Company has
decided to resize its operations to meet anticipated demand in the
near term," said C. Scott Kulicke, chairman and chief executive
officer of K&S. "We have reduced ongoing expenses by an annualized
$30,000,000 relative to our third quarter run rate. Our actions
included staff reductions and delays in certain R&D projects and
product launches. We have also cut management compensation for
fiscal year 1997, delayed wage increases until we return to
profitability, and have reduced capital spending plans.
"In connection with this resizing, the Company currently estimates
that in the September quarter we will incur an incremental expense
of approximately $8,000,000 primarily related to severance for laid
off employees, inventory write-downs and asset write-offs.
"We continue to believe that the fundamental factors affecting
demand for semiconductors, and consequently semiconductor assembly
equipment, remain favorable over the longer term. Price reductions
in integrated circuits should ultimately lead to increased demand
for semiconductor devices and create a need for more assembly
capacity than exists today. Our plan is to operate at reduced
capacity in the short term while positioning ourselves to benefit
when the industry returns to historic growth rates."
Certain matters discussed in this news release are forward-looking
statements that are subject to risks and uncertainties that could
cause actual results to materially differ, either better or worse,
from those projected. Such risks and uncertainties include, but
are not limited to, the following: the upward and downward
volatility in the demand for semiconductors and for the Company"s
products and services; the risk of continued push-outs of delivery
dates for equipment orders; the risk of order cancellations; and
the risk of delays in introducing new products and services.
Further discussions of risk factors are also available in the
Company"s most recent SEC filings.
Kulicke & Soffa is the world's largest supplier of semiconductor
assembly equipment. The Company serves the integrated circuit (IC)
assembly market with a product line that includes wire bonding, die
bonding and wafer dicing equipment, as well as expendable tools and
materials, and has sales and service facilities worldwide.
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