Cirrus Logic Announces Intent to Divest Video Product Line to Focus on Core Analog IC Business; Reconfirms Previous Financial Guidance Issued on January 26, 2005.AUSTIN, Texas -- Cirrus Logic (company) Cirrus Logic - A manufacturer of integrated circuits including the Advanced RISC Machine and display interface processors and cards for use as Windows accelerators (requiring dedicated driver software). http://cirrus.com/. Inc. (Nasdaq:CRUS crus (krus) pl. cru´ra [L.] 1. leg (1). 2. a leglike part. crus ce´rebri ) today announced its intent to divest To deprive or take away. Divest is usually used in reference to the relinquishment of authority, power, property, or title. If, for example, an individual is disinherited, he or she is divested of the right to inherit money. its digital video product line assets and focus operations around its core, high-precision analog, mixed-signal and embedded Inserted into. See embedded system. integrated circuits Integrated circuits Miniature electronic circuits produced within and upon a single semiconductor crystal, usually silicon. Integrated circuits range in complexity from simple logic circuits and amplifiers, about 1/20 in. (1. (ICs) for audio and industrial applications. This action will position the company for continued growth within its expanding analog, mixed-signal and embedded markets, where Cirrus Logic ICs maintain broader market acceptance and solid gross margins. Revenue associated with the digital video product line in the third fiscal quarter, ending Dec. 25, 2004, was $3.1 million or 7 percent of total revenue. Cirrus Logic has retained Lehman Brothers Lehman Brothers Holdings Inc. (NYSE: LEH), founded in 1850, is a diversified, global financial services firm. It is a participant in investment banking, equity and fixed income sales, research and trading, investment management, private equity, and private banking. as its exclusive financial advisor in connection with a potential transaction involving the digital video product line assets. "With more than 600 products serving greater than 3,000 end customers globally, Cirrus Logic has a strong legacy of innovation and market leadership within analog, mixed-signal and embedded applications," said David D. French, president and chief executive officer, Cirrus Logic. "I believe the actions that we are announcing today will better position us for future success and profitable growth. "It's our intention to find a suitable buyer for the video assets as soon as possible. While I am pleased with the leadership position Cirrus Logic has created in the early stages of the fast-growing market for digital video IC applications, this action will allow Cirrus Logic to achieve a more attractive business model," said French. Cirrus Logic's IC product portfolio includes: --Mixed-Signal Audio Products: High-precision analog and mixed-signal products, such as digital audio converters and digital amplifier See Class D amplifier. controllers for consumer, professional and automotive audio applications. --Industrial Products: High-precision analog and mixed-signal products such as analog-to-digital and digital-to-analog converters, and amplifiers for DC measurement, power metering, and energy exploration and monitoring applications. --Embedded Products: Integrated processor technology products such as multi-channel audio DSPs, general purpose ARM-based processors and networked audio components for consumer and industrial applications. Conference Call on April 27, 2005 Cirrus Logic will hold a conference call on April 27, 2005 at 5:00 p.m. EDT EDT abbr. Eastern Daylight Time EDT Eastern Daylight Time EDT n abbr (US) (= Eastern Daylight Time) → hora de verano de Nueva York EDT on this subject, as well as the company's fiscal fourth quarter financial results, which it expects to be within previous guidance issued on Jan. 26, 2005. Those wishing to join should dial 201-689-8044 at approximately 4:50 p.m. EDT. A replay of the call will be available starting one hour after the completion of the call, through May 11, 2005. To access the replay, dial 201-612-7415 (account #: 2445; conference #: 146363). A live and an archived webcast of the conference call will also be available via the company's Web site at www.cirrus.com. Cirrus Logic, Inc. Cirrus Logic develops high-precision, analog-rich mixed-signal integrated circuits A mixed-signal integrated circuit combines analog circuits with digital signal processing (DSP) circuits on a single semiconductor die. An integrated circuit that includes both analog and digital circuitry (but no DSP), like a 555 timer, is generally not considered a mixed-signal for a broad range of consumer and industrial markets. Building on its rich analog mixed-signal patent portfolio, Cirrus Logic delivers highly optimized products for consumer and commercial audio, automotive entertainment and industrial applications. The company operates from headquarters in Austin, Texas, with offices in Colorado, Europe, Japan and Asia. More information about Cirrus Logic is available at www.cirrus.com. Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. Statement Except for historical information contained herein, the matters set forth in this news release, including our intention to divest the digital video product line, the future growth of the digital video market and our future success and profitability growth are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. . These forward-looking statements are based on our current expectations, estimates and assumptions and are subject to certain risks and uncertainties that could cause actual results to differ materially from our current expectations, estimates and assumptions and the forward-looking statements made in this press release. These risks and uncertainties include, but are not limited to, our ability to divest our digital video product technology assets, expand our analog and mixed-signal markets and customer base, and the risk factors listed in our Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended March 27, 2004, and in other filings with the Securities and Exchange Commission. Cirrus Logic and Cirrus are trademarks of Cirrus Logic Inc. |
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