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FEI Adopts Group Structure to Facilitate Further Growth
* Reuters is not responsible for the content in this press release.
http://pdf.reuters.com/htmlnews/8knews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20130114:nGNXUWYPGa
HILLSBORO, Ore., Jan. 14, 2013 (GLOBE NEWSWIRE) -- FEI Company (Nasdaq:FEIC) announced today that
it is reorganizing the company into a group structure to enable it to efficiently execute its
growth strategy. The company will be organized into two groups: an Industry Group, focused on
customers making economic decisions to purchase and utilize FEI solutions that improve yield,
reduce cost or speed time to market resulting in improved profitability; and a Science Group,
focused on customers using FEI solutions to advance research and discovery.
In conjunction with the organization change, Executive Vice President Benjamin Loh has been
promoted to chief operating officer of the company. Vice President Rudy Kellner has been named to
head the Industry Group and Vice President Paul Scagnetti will lead the Science Group. Both report
to Mr. Loh.
"As we approach a billion dollars in revenue, FEI has put strong leadership in front of our
customers with common needs to drive our continued profitable growth," commented Don Kania,
president and CEO of FEI. "This structure will also provide the framework to efficiently integrate
acquisitions into FEI."
Mr. Loh joined FEI in 2007 as executive vice president of Global Sales and Service and his role
expanded to Global Business Operations in 2011. In addition to his current responsibilities, he
adds manufacturing and research & development in his new role. Prior to joining FEI, he was most
recently executive vice president of Global Field Operations with Veeco Instruments Inc., which he
had joined in 2005 as senior vice president, Asia Pacific. Before that, he was with Unaxis
Corporation, including serving as president of Unaxis Shanghai and senior vice president, Asia. He
holds an Electronics Engineering diploma from Singapore Polytechnic and an Electronics Engineering
degree from Tohoku University in Japan.
Mr. Kellner joined FEI in 2003 and was named vice president and general manager of the Electronics
business unit in 2009. Prior to FEI, he was with Electro Scientific Industries. He holds a BS in
Computer Science and an MBA from Rensselaer Polytechnic Institute.
Dr. Scagnetti joined FEI in 2001 and was named vice president and general manager of the Natural
Resources business unit in 2007. Before FEI, he was with Intel Corporation in marketing and
general management roles within the New Business Investments Group and in process development
engineering. He holds an MBA from the University of Oregon and a PhD in mechanical engineering
from the Massachusetts Institute of Technology.
The Science Group includes the Materials Science and Life Sciences business units. In the first
nine months of 2012, those businesses represented approximately 48% of FEI's revenue. The Industry
Group includes the Electronics and Natural Resources businesses. In the first nine months of 2012,
those businesses represented approximately 52% of company revenue. Both of the new Groups include
the revenue and costs associated with service provided to their customers. In accordance with SEC
guidelines, FEI plans to report its segment information for the fourth quarter and full year of
2012 in line with its prior segment reporting. Beginning with the first quarter of 2013, it will
report segments based on the new management structure.
The company also expects to incur additional restructuring charges in the fourth quarter of 2012,
primarily related to the reorganization. With its third quarter earnings release on October 30,
the company had forecast restructuring expense of approximately $2 million for the fourth quarter.
That expense is now forecast to be $2.9 million.
Safe Harbor Statement
This news release contains forward-looking statements that include statements regarding future
growth, organizational changes, improved ability to integrate future acquisitions, planned segment
reporting and restructuring charges. Factors that could affect these forward-looking statements
include, but are not limited to: potential disruption in the company's focus, activities and
ability to execute due to organizational change; failure of organizational changes to achieve
expected benefits; the inability of the company to make future acquisitions; unanticipated costs
related to future acquisitions; failure of the company to achieve anticipated benefits of
acquisitions, including failure to achieve financial goals and effective integration; additional
restructuring charges in the future and failure to properly estimate expected restructuring
charges and the timing of such charges; potential weakness in the global economy and their impact
on Science markets, including the impact of government austerity measures and the interruption of
growth in developing markets; and cyclical changes in industrial markets, including
semiconductors, mining and oil & gas. Please refer to FEI's Form 10-K, Forms 10-Q, Forms 8-K and
other filings with the U.S. Securities and Exchange Commission for additional information on risk
factors that could cause actual results to differ materially from the forward-looking statements.
FEI assumes no duty to update forward-looking statements.
About FEI
FEI Company (Nasdaq:FEIC) is a leading supplier of scientific instruments for nanoscale
applications and solutions in industry and science. With more than 60 years of technological
innovation and leadership, FEI has set the performance standard in transmission electron
microscopes (TEM), scanning electron microscopes (SEM) and DualBeams, which combine a SEM with a
focused ion beam (FIB). Headquartered in Hillsboro, Ore., USA, FEI has over 2,300 employees and
sales and service operations in more than 50 countries around the world. More information can be
found at: www.fei.com
http://www.globenewswire.com/newsroom/ctr?d=10018067&l=12&a=www.fei.com&u=http%3A%2F%2Fwww.fei.com%2F
.
The FEI Company logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=6379
http://www.globenewswire.com/newsroom/ctr?d=10018067&l=13&u=http%3A%2F%2Fwww.globenewswire.com%2Fnewsroom%2Fprs%2F%3Fpkgid%3D6379
CONTACT: For more information contact:
FEI Company
Fletcher Chamberlin
Treasurer & Communications Director
(503) 726-7710
fletcher.chamberlin@fei.com
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