November 25, 2002 - National Semiconductor Corporation (NYSE:NSM) today began construction of its first manufacturing facility in China with groundbreaking ceremonies in Suzhou Industrial Park, the site of the company's planned state-of-the-art semiconductor assembly and test facility. The new plant will include three buildings with 51,800 square meters of total floor space (about 550,000 square feet) located about 80 kilometers (50 miles) west of Shanghai. It is expected to begin operations with about 500 employees in 2004.
"Today marks a significant milestone for National Semiconductor and for our friends and associates in China," said Brian L. Halla, Chairman, President and Chief Executive Officer of National Semiconductor. "China is continuing to grow in importance in the global electronics industry, and we intend to become the leading supplier of analog and mixed signal silicon solutions in China.
"Our strategy is to provide products that fit the needs of people in China," Halla added." We are confident that working with local partners, talented technologists and local officials here in Suzhou will enable National Semiconductor to provide world class services and technology solutions to our customers in China and other regions more efficiently than ever before."
More than 150 guests including Chinese officials and dignitaries from around the globe attended the groundbreaking ceremonies, including Suzhou Municipal Party Committee Secretary, Mr. Wang Min; Mayor of Suzhou Municipality, Mr. Yang Weize; Vice Mayor of Suzhou Municipality, Mr. Wang Jinhua; and Deputy CEO of China-Singapore Suzhou Industrial Park Development Co. Ltd., Mr. Goh Toh Sim; as well as officials of JTC International Consultants, of Suzhou, the design and construction contractor for the facility.
Suzhou Industrial Park is ideally suited for the new plant, with new highways and communication infrastructure. The Park is a joint development project shared by China and Singapore. The China-Singapore Suzhou Industrial Park Development Company , Ltd. is 65 percent owned by the Chinese consortium and 35 percent by the Singapore consortium.
The facility will include a two-story manufacturing building occupying about 38,600 square meters (about 415,000 square feet), a three-story office and administration building of about 10,200 square meters (about 110,000 square feet), and a utility building of about 3,000 square meters (about 32,000 square feet). National Semiconductor has acquired a total land plot of 146,000 square meters (36 acres), which is sufficient to provide future growth of four additional similarly sized facilities.
"National Semiconductor is dedicated to providing the best quality, delivery and service, with the most cost-effective manufacturing operations for our customers," said Kamal Aggarwal, executive vice president of the company's Central Technology and Manufacturing Group. "We are glad that with the excellent support of Suzhou Industrial Park and CSSD (China-Singapore Suzhou Industrial Park Development Co. Ltd.), we were able to close the deal and start construction in such a short time. We look forward to continuing our close working relationship with the local government and CSSD to make this Suzhou plant a world class facility."
The Asia Pacific region, including China, now represents about 45 percent of the company's total worldwide revenues. Currently, National has about 40 staff in China, based in Beijing, Shanghai, Guangzhou and Hong Kong.
About National Semiconductor
National Semiconductor is the premier analog company driving the information age. Combining real-world analog and state-of-the-art digital technology, the company is focused on the fast growing markets for wireless handsets; displays; information infrastructure, and information appliances. With headquarters in Santa Clara, California, National reported sales of $1.5 billion for its most recent fiscal year and has about 10,000 employees worldwide. Additional company and product information is available on the World Wide Web at www.national.com.
