Atmel Announces Plan to Further Strengthen Balance Sheet; Convertible Notes to be Retired for Cash.Business Editors/High-Tech Writers SAN JOSE San Jose, city, United States San Jose (sănəzā`, săn hōzā`), city (1990 pop. 782,248), seat of Santa Clara co., W central Calif.; founded 1777, inc. 1850. , Calif.--(BUSINESS WIRE)--March 4, 2003 Atmel Corporation (Nasdaq:ATML ATML Automatic Test Markup Language ATML Automated Test Markup Language ) today announced its intention to satisfy its obligations for the zero coupon subordinated notes due April 21, 2018 with cash. Under the terms of the notes, Atmel has the option to pay for the notes with cash, Atmel common shares, or a combination of cash and shares. "We are pleased to report to you that we are strengthening our balance sheet without unduly limiting our cash flow," stated Bob Avery, Atmel's Acting Chief Financial Officer. "We have elected to redeem redeem v. to buy back, as when an owner who had mortgaged his/her real property pays off the debt. The term also refers to paying the amount due and all charges after a foreclosure (due to failure to make payments when due) has begun. these notes for cash so as to not unnecessarily dilute di·lute v. To reduce a solution or mixture in concentration, quality, strength, or purity, as by adding water. adj. Thinned or weakened by diluting. our shareholders while we have a comfortable cash position." If all outstanding notes are surrendered for purchase, the aggregate cash purchase price will be approximately $134.9 million. It is anticipated that note holders' opportunity to surrender notes for purchase will commence on March 21, 2003, and will terminate on April 21, 2003. Under the terms of the notes surrendered for purchase, Atmel is required to pay for all notes surrendered during such time period. About Atmel Founded in 1984, Atmel Corp. is headquartered in San Jose, Calif., with manufacturing facilities in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. and Europe. Atmel designs, manufactures and markets worldwide, advanced logic, mixed signal, nonvolatile memory See non-volatile memory. and RF semiconductors. Atmel is also a leading provider of system-level integration semiconductor solutions using CMOS (Complementary Metal Oxide Semiconductor) Pronounced "c-moss." The most widely used integrated circuit design. It is found in almost every electronic product from handheld devices to mainframes. , BiCMOS, SiGe, and high-voltage BCDMOS process technologies. Note to Editors: Atmel, the Atmel logo, and combinations thereof are registered trademarks of Atmel Corporation or its subsidiaries. Other terms and product names in this document may be the trademarks of others. Except for historical information contained herein, the matters set forth in this press release are forward looking statements that are subject to risks and uncertainties that could cause actual results to differ materially, including the impact of competitive products and pricing, timely design acceptance by our customers, timely introduction of new technologies, ability to ramp new products into volume, industry wide shifts in supply and demand for semiconductor products, industry and/or company overcapacity o·ver·ca·pac·i·ty n. Too great a capacity for production of commodities or delivery of services in relation to actual need: the problem of overcapacity in many large industries. , effective and cost efficient utilization of manufacturing capacity, financial stability in foreign markets, ability to integrate and manage acquisitions, and other risks detailed from time to time in the Atmel's SEC reports and filings. |
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