TEL AVIV, April 1 Israeli chipmaker TowerJazz
said on Tuesday it will close its Nishiwaki, Japan
plant as it kicks-off its joint venture with Panasonic Corp
TowerJazz, which holds 51 percent of the joint
venture that was announced in December, said the closure of the
Nishiwaki plant will reduce its annual fixed costs by $130
million. It will keep on about 100 of the 800 employees at the
plant and has retained a Japanese outplacement firm to help find
employment for the remaining workers.
TowerJazz Chief Executive Russell Ellwanger said the
loss-making company is targeting achieving net profit on a GAAP
basis by the fourth quarter of 2014.
(Reporting by Tova Cohen)