EMCORE Corporation Provides Update on Effect of Thailand Floods: Primary Contract Manufacturer's Site Flooded; Significant Impact to December Quarter
EMCORE Corporation (Nasdaq: EMKR) announced today that flood waters had infiltrated the offices and manufacturing floorspace of the Company's primary contract manufacturer at its campus in Thailand. Over the weekend, rising water penetrated the campus's facility, including the areas used to manufacture the Company's fiber optic products and submerging some of the Company's manufacturing and test equipment. All EMCORE employees in the area remain safe.
The Company has not yet been able to make a full assessment of the damage. The contract manufacturer believes it unlikely that production would recommence at the main facility for the remainder of the December quarter. The Company now expects that the flooding of the Thailand facilities will have significant impact on the company's operations and its ability to meet customer demand for its fiber optic products in the December quarter.
The Company's own facilities in China and the U.S. are fully operational and EMCORE has put together a cross-functional team to manage this issue and to work on ramping up capabilities to manufacture some products at our own facilities. The Company's solar division has not been affected by the floods.
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.