Circuits Assembly Online Magazine - Current

News

EL SEGUNDO, CA — Seagate Technology in the first quarter bolstered its lead in the hard disk drive market amid stronger-than-expected demand throughout the industry, according to iSuppli Corp.

“Global HDD shipments amounted to 101.7 million units in the first quarter of 2006, up 16.5% from 87.3 million units during the same period of 2005. iSuppli had predicted growth of 15.4 percent,” said Krishna Chander, senior storage analyst for iSuppli.

“Shipments declined by 1.7% compared to 103.4 million units in the fourth quarter of 2005. However, HDD sales typically decrease sequentially in the first quarter following the peak holiday period during the fourth quarter. The stronger-than-expected HDD sales in the first quarter were driven by demand from the mobile-PC and consumer-electronics markets."

BRUSSELS -- The EU is soliciting comments on its New Approach Consultation paper, which covers CE mark requirements, among other things.

The U.S. Department of Commerce plans on submitting comments and encourages affected companies to do the same, said Bob Straetz of the Commerce Department's Office of the European Union. "Anyone who has to meet CE mark requirements on a regular basis might be interested in seeing this report. The last five pages of the 51-page document discuss possible revisions to the CE mark program. "

Comments are due July 26.

ATLANTA – Siemens Electronics Assembly Systems has inked a deal under which Northtouch/Comtree will represent Siemens in Canada, effective immediately.

In a press statement, David Intson, Siemens Canada sales manager for the Electronics Assembly Systems division, said, “This new relationship will provide Siemens with enhanced customer access to the Canadian electronics industry. While Northtouch/Comtree have been highly successful for many years in providing advanced SMT assembly solutions to the Canadian market; Siemens has been very successful in penetrating new accounts with leading edge SMT placement solutions for NPI, high-mix and high-volume applications. The joining of these organizations will result in enhanced customer focus and continued growth of SMT placement solutions for the Canadian market.”

Siemens Energy and Automation Inc. represents Siemens Automation and Drives (A&D) in the U.S. Its parent company, Siemens AG, is one of the largest global electronics and engineering companies with reported worldwide sales of $96 billion in fiscal 2005. Siemens has sales of $18.8 billion and employs approximately 70,000 people in the U.S.

ATLANTA – Siemens Automation and Drives has acquired 3D AOI maker Opto-Control Elektronik Prufsysteme GmbH, effective July 5.

Opto-Control’s inspection systems are fully automated and use 3-D sensor to detect solder or placement defects. The newly expanded Siplace portfolio combines these AOI systems from Opto-Control with Siemens SMT placement machines, enabling customers to better implement the high process reliability requirements of electronics manufacturing, the company said.

The Opto-Control business will be integrated into the Optical Solutions (OI) unit of Siemens’ Electronics Assembly Systems division. Siemens said it wants to significantly expand its system with fully automated 3-D inspection systems in the future.

SALT LAKE CITY -- EMS provider CirTran Corp. today said it projects reporting a 30% increase in sales for its second quarter of fiscal 2006.

Iehab J. Hawatmeh, CirTran's founder, president and CEO, said that the company is projecting sales of approximately $2.2 million for the period ended June 30, up from $1.7 million for the first quarter.

ELK GROVE VILLAGE, IL -- Electronics manufacturing services firm SigmaTron International reported revenues for its 2006 fiscal year ended April 30 increased 32.3% to $124.8 million. Net income fell 60% to $1.9 million for the year.

Fourth quarter revenues increased 52% to $34.5 million.

President and chief executive Gary R. Fairhead said, "Although we remained profitable in fiscal 2006, we were disappointed that our profits this year declined in comparison to the prior three-years' results. While the acquisition of Able Electronics in July of 2005 negatively impacted our fiscal 2006 results, we believe Able will strengthen our long-term position by diversifying our customer base, growing our international footprint and improving our operations."

During fiscal 2006, sales increased in industrial electronics, life sciences, semiconductor and appliances, primarily due to sales to new customers as a result of the Able acquisition. The increase in sales was partially offset by price reductions, and the company expects pricing pressures will continue in fiscal 2007. Sales in the gaming industry decreased during the year mainly due to the sale of the company's Las Vegas operation, in May 2005.

Selling and administrative expenses for the periods ended April 30, 2006 and 2005 were $10.9 million and $10.1 million, respectively. In fiscal 2006, selling and administrative expenses represented 8.8% of net sales compared to 10.7% of net sales in fiscal 2005.

Each of the company's operations is now certified to produce RoHS-compliant assemblies.

Fairhead said revenue grew at its Elk Grove Village site, and the company will study possible expansion of its Acuna, Mexico, location (already the firm's largest). The firm's Tijuana, Mexico, location was not profitable in fiscal 2006, but SigmaTron has added staff, increased operational space and is in the process of relocating several customers to that facility.