Infineon Technologies AG / Miscellaneous
23.01.2009
Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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Qimonda commences insolvency proceedings
Neubiberg, Germany, January 23, 2009 Qimonda AG today filed for
insolvency at the Munich Local Court. Infineon Technologies AG currently
holds a 77.5 percent equity interest in Qimonda.
In December last year, Infineon, the German state of Saxony and Portugal
agreed in principle on a rescue package designed to bail out Qimonda.
According to this package, Saxony would make available 150 million euros,
Portugal 100 million euros and Infineon 75 million euros in the form of a
loan to the memory chip manufacturer.
Given the difficult overall economic situation and the further
deterioration of the DRAM business in the December quarter, the negotiating
parties have been unable to agree on how to put together a rescue package
that would work for everyone involved. All parties individual positions
are understandable from their respective standpoints, but they have
ultimately proven irreconcilable.
Following Qimondas insolvency filing, Infineon may be exposed to a number
of signifi-cant liabilities relating to the Qimonda business, including
pending antitrust and securi-ties law claims, potential claims for
repayment of governmental subsidies received, and employee-related
contingencies. We anticipate that the majority of any potential cash
obligations we may have in connection with these matters would be payable
if at all in periods after our 2009 financial year.
We intend to increase provisions in our quarterly accounts for the first
quarter of fiscal 2009 for pending antitrust and securities law claims, and
we anticipate creating additional provisions in connection with those
potential liabilities related to Qimondas business which to us seem
probable and which we can quantify at this time. We anticipate that these
reserves will be in the lower three-digit million euro range.
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Information and Explaination of the Issuer to this News:
DISCLAIMER
This release includes forward-looking statements about the future of our
business. These forward-looking statements include statements relating to
the resolution of Qimondas insolvency proceedings and the liabilities we
may face as a result of Qimondas insolvency. These forward-looking
statements are subject to a number of uncertainties, including actions by
Qimonda and its creditors and other interested parties and developments in
our own business, as well as the other factors described in the 'Risk
Factors' section of the annual report of Infineon on Form 20-F filed with
the U.S. Securities and Exchange Commission on December 29, 2008. As a
result, future developments could differ materially from those indicated in
the forward-looking statements. Infineon does not intend or assume any
obligation to update or revise these forward-looking statements in light of
developments which differ from those anticipated.
Contact:
Investor Relations, Tel.: +49 89 234-26655, Fax: +49 89 234-9552987
DGAP 23.01.2009
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Language: English
Issuer: Infineon Technologies AG
Am Campeon 1-12
85579 Neubiberg
Deutschland
Phone: +49 (0)89 234-26655
Fax: +49 (0)89 234-955 2987
E-mail: investor.relations@infineon.com
Internet: www.infineon.com
ISIN: DE0006231004
WKN: 623100
Indices: DAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Hannover, München, Hamburg, Düsseldorf, Stuttgart;
Terminbörse EUREX; Foreign Exchange(s) NYSE
End of News DGAP News-Service
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DGAP-Adhoc: Infineon Technologies AG: Qimonda commences insolvency proceedings
| Source: EQS Group AG