DALLAS, Dec. 8 /PRNewswire-FirstCall/ -- In a scheduled update to its
business outlook for the fourth quarter of 2008, Texas Instruments
Incorporated (TI) (NYSE: TXN) today lowered its expected ranges for revenue
and earnings per share (EPS).
The company currently expects its financial results to fall within the
following ranges:
-- Revenue: $2.30 - 2.50 billion, compared with the prior range of
$2.83 - 3.07 billion
-- EPS: $0.10 - 0.16, compared with the prior range of $0.30 - 0.36.
The company will hold a conference call at 4:30 p.m. Central time today to
discuss this update. This conference call will be available live at
http://www.ti.com/ir. TI's original fourth-quarter outlook was published in
the company's third-quarter 2008 earnings release on October 20, available at
http://www.ti.com/ir. TI's fourth quarter ends on December 31.
"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 "believes," "expects,"
"anticipates," "foresees," "forecasts," "estimates" or other words or phrases
of similar import. Similarly, statements herein that describe the Company's
business strategy, outlook, objectives, 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 forward-looking statements.
We urge you to carefully consider the following important factors that
could cause actual results to differ materially from the expectations of TI or
its management:
-- Market demand for semiconductors, particularly in key markets such as
communications, entertainment electronics and computing;
-- TI's ability to maintain or improve profit margins, including its
ability to utilize its manufacturing facilities at sufficient levels to
cover its fixed operating costs, in an intensely competitive and
cyclical industry;
-- TI's ability to develop, manufacture and market innovative products in
a rapidly changing technological environment;
-- TI's ability to compete in products and prices in an intensely
competitive industry;
-- TI's ability to maintain and enforce a strong intellectual property
portfolio and obtain needed licenses from third parties;
-- Expiration of license agreements between TI and its patent licensees,
and market conditions reducing royalty payments to TI;
-- Economic, social and political conditions in the countries in which TI,
its customers or its suppliers operate, including security risks,
health conditions, possible disruptions in transportation networks and
fluctuations in foreign currency exchange rates;
-- Natural events such as severe weather and earthquakes in the locations
in which TI, its customers or its suppliers operate;
-- Availability and cost of raw materials, utilities, manufacturing
equipment, third-party manufacturing services and manufacturing
technology;
-- Changes in the tax rate applicable to TI as the result of changes in
tax law, the jurisdictions in which profits are determined to be earned
and taxed, the outcome of tax audits and the ability to realize
deferred tax assets;
-- Losses or curtailments of purchases from key customers and the timing
and amount of distributor and other customer inventory adjustments;
-- Customer demand that differs from our forecasts;
-- The financial impact of inadequate or excess TI inventory that results
from demand that differs from projections;
-- TI's ability to access its bank accounts and lines of credit or
otherwise access the capital markets;
-- Product liability or warranty claims, claims based on epidemic or
delivery failure or recalls by TI customers for a product containing a
TI part;
-- TI's ability to recruit and retain skilled personnel; and
-- Timely implementation of new manufacturing technologies, installation
of manufacturing equipment and the ability to obtain needed third-party
foundry and assembly/test subcontract services.
For a more detailed discussion of these factors, see the text under the
heading "Risk Factors" in Part II, Item 1A of the Company's Form 10-Q for the
third quarter of 2008. The forward-looking statements included in this
release are made only as of the date of this release, and the Company
undertakes no obligation to update the forward-looking statements to reflect
subsequent events or circumstances.
About Texas Instruments
Texas Instruments (NYSE: TXN) helps customers solve problems and develop
new electronics that make the world smarter, healthier, safer, greener and
more fun. A global semiconductor company, TI innovates through manufacturing,
design and sales operations in more than 25 countries. For more information,
go to http://www.ti.com.
TXN-F
SOURCE Texas Instruments Incorporated
