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Western Digital Resumes Production In Thailand

1/30/2012 12:01:00 AM Eastern

IRVINE, CALIF. — Western Digital resumed hard-diskdrive
slider production at its Thailand facility last week.

The Thai factory had been shut down since Oct.
10 when flooding caused by monsoon rains stopped
production. The company had restarted its Bang-Pa
factory in early December.

Western Digital expects its production capacity to
reach pre-flood levels by the third quarter of 2012.
The flooding has cost Western Digital about $199
million, the company reported.

As the company previously announced, the flooding
severely hampered its production. Western Digital
shipped 28.5 million hard drives during the quarter,
down from 52.2 million shipped during the same
period in 2011.

The company also reported its deal to acquire
Hitachi Global Storage should close in March. The
$4.3 billion cash and stock deal was initiated in
March 2011.

In other news, Western Digital releases its secondquarter
financial report for the period ending Dec. 30.

The company posted $2 billion in revenue, with a
net income of $145 million. This is excluding charges
and expenses related to the flooding and the Hitachi
acquisition. With those events added in, non-GAAP
net income was $358 million.

During the same period in 2011 the company generated
$2.5 billion in revenue, with a net income of
$225 million.

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