Following a streak of bad news in the semiconductor sector, Sandisk released dismal results for its fiscal year 2008: $3.35 billion – a 14 per cent decline from 2007 – and over $2 billion in loss.
For 2009, the Milpitas, Calif.-company expects further losses and reduced revenues amid demand uncertainty for its Flash memory cards and MP3 players.
Credit crunch?
While Sandisk believes to have enough liquidity in 2009, it also plans to tap the already battered equity markets this year to raise additional cash – in exchange of the company’s stocks – for its capital expenditures; at the risk however of heavily diluting existing investors.
