CHENGDU, China, June 7, 2013 /PRNewswire/ -- Texas Instruments Incorporated (TI) (NASDAQ: TXN) today outlined its long-term strategy for manufacturing facilities in Chengdu, China. Future plans include a new assembly/test operation and the expansion of its existing wafer fabrication factory. TI's investments in these operations could total up to $1.69 billion over the next 15 years and potentially include facilities, manufacturing equipment and land. The government of Chengdu has committed to provide comprehensive support of these plans. The announcement was made in conjunction with officials of the Chengdu Hi-Tech Zone today at the Fortune Global Forum in Chengdu.
"The Chengdu Hi-Tech Zone has been an excellent location for TI's manufacturing investments in China. We believe this region offers significant benefits to TI and the more than 100,000 customers we serve," said Kevin Ritchie, senior vice president of TI's Technology & Manufacturing Group.
This investment plan does not change TI's 2013 capital spending forecast. The company continues to expect its capital spending levels to remain about 4 percent of revenue until revenue exceeds $18 billion and should then range between 4 to 7 percent of revenue over the long term.
Since opening its fab in Chengdu in 2010, TI has made a significant investment in the site, as well as in the surrounding community. TI is near completion of a new classroom building at the TI Project Hope School in rural Nanbu County and has donated 30 TI Project Hope libraries as part of the China Youth Development Foundation's effort to aid schools in need of being rebuilt or modernized. TI has also donated 50 multimedia classrooms to other rural schools in Sichuan. In addition, TI and its employees donated about 3.7 million RMB (0.6M USD) to support earthquake relief to Wenchuan and Ya'an in Sichuan.
TI has served a broad array of customers in China for more than 27 years and has established 18 offices for sales and applications support, in addition to its wafer fabrication plant in Chengdu and its product distribution center in Shanghai.
TI has manufacturing operations throughout the world, including the United States, Mexico, Germany, Scotland, China, Malaysia, Japan, Taiwan and the Philippines.
Safe Harbor Statement
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995:
This release includes forward-looking statements intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by phrases such as TI or its management "expects," "estimates" or other words or phrases of similar import. Similarly, statements herein that describe TI's manufacturing strategy, potential investments and incentives, outlook, forecasts, plans, intentions or goals also are forward-looking statements. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements, including but not limited to changes in TI's manufacturing expectations and TI's ability to obtain regulatory approvals and incentives; and the other risks and important factors contained and identified in the Risk Factors discussion in Item 1A of TI's Form 10-K for the year ended December 31, 2012. The forward-looking statements included in this release are made only as of the date of this release, and TI undertakes no obligation to update the forward-looking statements to reflect subsequent events or circumstances.
About TI
Texas Instruments Incorporated (TI) is a global semiconductor design and manufacturing company that develops analog ICs and embedded processors. By employing the world's brightest minds, TI creates innovations that shape the future of technology. TI is helping more than 100,000 customers transform the future, today. Learn more at www.ti.com.
TXN-C
SOURCE Texas Instruments Incorporated