TEMPE, AZ -- The US manufacturing sector contracted in February for the 13th consecutive month, according to the latest survey of the nation's executives. The PMI index was 35.8%, 20 basis points than January. A reading below 50% indicates the sector is generally contracting.
The New Orders index was 33.1%, down 10 basis points from January. An index above 48.8%, over time, is generally consistent with an increase in the Census Bureau’s series on manufacturing orders.
In a press release, Institute for Supply Management spokesperson Norbert J. Ore said, “Manufacturing continues to decline at a rapid rate in February. While production has slowed its rate of decline, employment continues to fall precipitously. Prices continue to decline, but price advantages are not sufficient to overcome manufacturers’ apparent loss of demand. Survey respondents appear generally pessimistic about recovery in 2009. Some express hope that the stimulus package will help their industry.”
He added that the "past relationship between the PMI and the overall economycorresponds to a 1.7% decline in real GDP on an annual basis.”
Among the industries reporting contraction in February were Appliances & Components and Computer & Electronic Products.
SAN JOSE, CA – Worldwide semiconductor sales plunged 28.6% year-over-year in January as consumer confidence continued to erode, the Semiconductor Industry Association reported today. Sales fell 11.9% from December, the trade group said.
BANNOCKBURN, IL – January PCB shipments fell 17% year-over-year, and bookings decreased 29.3%. The combined industry book-to-bill fell to 0.89, says IPC. For the month, rigid shipments dropped 18.9%, and bookings dipped 30.7% compared to the same month last year. The book-to-bill slipped further to 0.88.
SACRAMENTO, CA -- The state of California sent a stern message to semiconductor chip manufacturers yesterday by enacting mandatory rules controlling greenhouse gases.
The new rules would cover a reported 85 plants and require most chip makers to cut releases of sulfur hexafluoride and other fluorinated gases by more than half over the next three years. The plants are those identified as having released at least trace amounts of the gases.
While 85 companies in all are said to be affected, 57 need only comply with the reporting requirements because they amounts they release are so low. The rest -- 28 in all -- account for a reported 94% of fluorinated gas emissions. A reported 12 already comply, however, and the rest need to spend an estimated $37 million in total to bring their plants into compliance.
SYDNEY, AUSTRALIA – Altium Ltd. reported first-half sales increased 18% from last year to $27.2 million. Revenue grew 14% to $26.7 million, compared to $23.4 million last year.
WILSONVILLE, OR – Mentor Graphics Corp. reported fiscal fourth-quarter revenue dropped nearly 15% to $242.6 million, compared to $284.8 million year-over-year. System and software revenues saw a decline of $157.57 million, down from $201.14 million. Service and support revenue rose to $85.07 million, compared to $83.68 million last year.
