Business Context and Reporting Period
Company: TTM Technologies, Inc.
Filing Type: Form 8-K Current Report
Date of Report: September 1, 2009
Event: Announcement of facility closures and restructuring plan due to weak demand in North America.
Key Financial Metrics
The filing does not provide standard financial metrics such as revenue, profit, cash flow, margins, debt, or liquidity for the period. The primary financial disclosure relates to restructuring costs.
- Estimated Restructuring Costs: Between $11 million and $14 million.
- Cost Components: Separation costs, asset impairment, and disposal costs.
- Timing of Recognition: Primarily in the third quarter of 2009.
Material Changes
TTM Technologies announced the closure of its Hayward, California, and Los Angeles, California facilities. This action results in the layoff of approximately 335 employees. The company plans to transfer production capabilities as follows:
- Printed Circuit Board (PCB) Production: Transferred from Los Angeles to sites in California, Utah, and Wisconsin.
- Backplane Assembly Services: Transferred from Hayward to plants in Shanghai, China, and Stafford Springs, Connecticut.
- Asset Disposition: The company intends to sell some property, plant, and equipment in addition to transferring assets.
Guidance, Outlook, and Risks
Management Commentary: The restructuring is driven by continued weak demand in the North American market. The company intends to offer separation and other benefits to affected employees.
Risks and Contingencies: The filing highlights the financial impact of the restructuring, with costs expected to be recorded in Q3 2009. No specific forward-looking revenue guidance or updated outlook was provided in this text.
Investor Verification Checklist
- Verify the final amount of restructuring charges recorded in the Q3 2009 financial statements against the $11 million to $14 million estimate.
- Confirm the timeline for the transfer of PCB and backplane assembly operations to the new locations.
- Review the impact of the 335 layoffs on the company's overall workforce and operational capacity.
- Assess the proceeds from the sale of property, plant, and equipment mentioned in the plan.