Vishay Intertechnology, Inc. - Well able for a afflicted bazaar – Vishay’s banking after-effects and business outlook

Store this angel in big sizeSelb / Malvern, PA (USA), 11 November 2008 – Vishay Intertechnology, Inc. (NYSE: VSH), one of the world’s better manufacturers of detached semiconductors and acquiescent cyberbanking components, completed the third division of 2008 with net revenues of 739 actor US dollars. Compared with the additional division of 2008, this represents a abatement of about 4 percent and, compared to the third division of 2007, advance of about 2 percent. The circumscribed gross allowance for Q3 2008 amounts to 21.6 percent, compared to 23.2 percent in Q2 2008 and 24 percent in Q3 2007. For the accepted quarter, sales are accepted to ambit amid 640 and 670 actor US dollars, with somewhat lower gross margins. Vishay attributes this to the appulse of a weaker euro.

Commenting on the accepted business climate, Dr. Gerald Paul, CEO of Vishay, stated, “Overall, the endure division for Vishay and the absolute industry has been difficult. Sales and profits accept remained lower than expected. The low adjustment assimilation in October credibility to a added bread-and-butter slowdown. Nevertheless, we accomplished 0.18 US dollars net balance per share, and 55 actor US dollars from continuing business activities, and generated a chargeless banknote breeze of 89 actor US dollars. In the meantime, the automotive industry in Europe has aswell suffered from the bread-and-butter slowdown, as accept adaptable telephones, computers and chump goods, which abide below expectations. Conversely, automated automation is almost stable, as is military/aerospace. However, orders from all-around distributors are abbreviating rapidly. Should the recession become added and longer, Vishay will crop all all-important measures to advance its chargeless banknote flow. This aswell applies to worst-case scenarios.”

Diversification in agreement of its products, geography, markets – amiable in times of crisis
From the start, Vishay has been a financially able and avant-garde company, and has accustomed itself as a abstruse and business bazaar leader. Despite sales losses, the endure quarter’s after-effects affirm the Company’s bourgeois banking policy, which allows it to abide chargeless of debt. Diversification is an important agency in this, as Dr. Paul stresses: “Our bounded administration is an asset for our all-embracing business. Proximity to our barter and area loyalty, both in the USA and Germany, play a above role. Thus, jobs are confused if necessary, but processes abide at the aforementioned location.” During economically difficult times, bazaar about-face helps backpack the Company and stands for Company security. Vishay aswell stresses that no individual OEM chump accounts for added than 5 percent of its turnover.

Its ample artefact portfolio classifies Vishay as a airy and reliable supplier: Customers have, “in the approach of their hand,” acceptance to an absolute ambit of ability electronics from a reliable and economically abiding manufacturer. On request, customized development and/or architecture can be supplied; appeal for these rose by a agency of seven from 2004 to 2008, consistent in acquirement of 800 actor US dollars.
Vishay’s all-encompassing ability as a broadliner allowances abounding barter worldwide, with the USA and Europe at the forefront, followed by Asia. The a lot of important bazaar sectors are: automated automation with 39 percent of the gross income, accretion with approx. 19 percent and automotive with approx. 16 to 20 percent.

Acquisition action of assisting specialty products
Despite the accepted downturn, Vishay has pursued a connected accretion strategy, as Dr. Felix Zandman, Executive Chairman of the Board and Chief Technical and Business Development Officer of Vishay said: “We will abide our acquisitions and drive amoebic advance by focused R&D activities.”

Capital investment in the accepted banking year is at a top level, with some 150 to 160 actor US dollars. This is an important anniversary in the achievement of Vishay’s specialty articles offering, which finds itself briefly in a difficult assisting situation. For example, the accretion of KEMET Corporation’s wet tantalum capacitor band in September apparent a added footfall in the addendum of Vishay’s specialty capacitor artefact portfolio, which is acclimated in military, aerospace and medical applications.

Dr. Gerald Paul continues: “Any takeover offers new synergies and opportunities for growth. It supports our basal assumption of accepting a “one-stop-shop,” because we action developers the widest best of detached semiconductors and acquiescent components. By creating new products, we can abode new markets and drive our vertical growth.”
All acquisitions accentuate Vishay’s abiding position as a safe and bounded supplier of high-quality products, behindhand of economically agitated times. Vishay’s allotment of new articles alien to the bazaar continues to access and its R&D affairs is on target. The Company is still committed to the development of its assembly sites in Germany. In contempo years, Vishay has invested ample sums in the development and enhancement of its German accommodation (e.g., about-face of dent assembly in Itzehoe for the accomplish of accepted 200-mm MOSFETs).

Vishay Intertechnology, Inc., a Fortune 1,000 Company listed on the NYSE (VSH), is one of the world's better manufacturers of detached semiconductors (diodes, rectifiers, transistors, and optoelectronics and called ICs) and acquiescent cyberbanking apparatus (resistors, capacitors, inductors, sensors, and transducers). These apparatus are acclimated in around all types of cyberbanking accessories and equipment, in the industrial, computing, automotive, consumer, telecommunications, military, aerospace, and medical markets. Its artefact innovations, acknowledged accretion strategy, and adeptness to accommodate "one-stop shop" account accept fabricated Vishay a all-around industry leader. Vishay can be begin on the Internet at www.vishay.com.

Editorial contact: Peter Henrici
ph: +1 (610) 407-4899
E-mail: peter.henrici@vishay.com

Worldwide readers’ contact: Vishay Intertechnology, Inc.
E-mail: info@vishay.com
Web: www.vishay.com