SOURCE: Pericom Semiconductor Corporation

Pericom Semiconductor Corporation

April 09, 2010 06:30 ET

Pericom Semiconductor Opens New Timing Products Facility in Shandong Province, China

Key Government Officials and Supply Partners From Around the World Join in the Grand Opening of the New 'State of the Art' Factory

JINAN, CHINA--(Marketwire - April 9, 2010) -  Pericom Semiconductor Corporation (NASDAQ: PSEM), a worldwide preferred supplier of products for timing, signal conditioning and connectivity, today held the grand opening ceremony and campus tour for its new crystal factory for their Frequency Control Products (FCP) -- PSE Technology (Shandong) Corporation located in the hi-tech zone of Jinan, Shandong, China.

Alex Hui, CEO of Pericom Semiconductor Corporation, and Shujong Cheng, president of SaRonix-eCera Corporation and PSE Technology (Shandong) Corporation, presided over the ceremonies and were joined by other Pericom executives. Many honored Chinese government officials were in attendance, including leaders from Shandong province, as well as executives from Chinese government committees. Pericom's valued partners and suppliers from US, Japan, Taiwan, and Hong Kong were among the 200 guests to join the celebrations.

"The opening of our PSE factory in Shandong Province, China is a great achievement for Pericom, and in a strategic location that is close to our supply partners. It allows us to stay ahead of our competitors and bring our products to market faster," said Hui, "In addition, this factory further reinforces our leading position in a fast-growth frequency control product (FCP) market, which is driven by the rapid adoption of serial high-speed protocols requiring more advanced low-jitter timing solutions, like our FCP product families."

The overall crystal and oscillator market is growing from $2.8 billion in 2009 (USD) to $3.1 billion (USD) in 2010 (CY2009-CY2010 Crystal & Oscillator Report from CS&A, LLC). A particularly fast growth segment is driven by the more complex timing requirements of serial high speed protocols such as PCI Express 2.0 (5Gb/s) and 3.0 (8Gb/s), USB3 (5Gb/s), SATA3 and SAS2 (6Gb/s), and others requiring a more precise low-jitter timing source. Pericom offers advanced timing solutions for all these protocols.

The new factory represents a total investment that will reach $30 Million (USD) and 2 years of construction to completion. Built from the ground up as a state-of-the-art production facility, the PSE factory and employee campus will be able to support Pericom and SaRonix-eCera for crystal and crystal oscillator production and reinforce their service level in the Asian market, in particular the China market. Pericom's Taiwan SaRonix-eCera factory is currently among the top 3 crystal suppliers in Taiwan. The new Shandong facility will significantly increase Pericom's total production capacity. This will offer increased flexibility in production planning and will reduce shipping lead-time for improved service to Pericom customers. Pericom's vertical integration with SaRonix-eCera uniquely provides total timing solutions based on both quartz and silicon, resulting in optimal cost and performance for the customer.

"China manufacturing provides Pericom with many competitive advantages, such as being close to existing and potential customers as well as direct access to the Chinese market. At the same time, it eliminates the need to import materials from other countries," said Cheng. "The opportunity to operate locally gives us a solid base for growth in the China market and the greater Asian market. The size and scale of the new factory operation demonstrates our commitment to our customers on FCP production both now and in the future."

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About Pericom
Pericom Semiconductor Corporation (NASDAQ: PSEM) enables serial connectivity with complete solutions for computing, communications and consumer market segments. Pericom's integrated circuits and SaRonix-eCera frequency control products provide the connectivity, timing and conditioning of high-speed signals required by today's electronic applications. Company headquarters are in San Jose, Calif., with design centers, sales and support offices globally.

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