Entegris to realign manufacturing facilities

May 9, 2001 – Chaska, MN – Entegris, Inc. is set to realign the company’s manufacturing facilities to increase the efficient and effective utilization of its manufacturing capabilities worldwide. As part of the realignment, facilities in Castle Rock, Colorado, and Munmak, Korea will be closed and production shifted worldwide to optimize global production. This will increase operational efficiencies while allowing production in closer proximity to worldwide customers. About 170 full-time positions (out of approximately 1,800 full-time employees) in the Colorado and Korea facilities will be eliminated as of June 1, 2001.

“Entegris has experienced sequential growth and more than doubled sales over the last nine quarters,” said Jim Dauwalter, president and CEO. “Currently, the microelectronics industry is going through a period of contraction. This affords us the opportunity to realign our infrastructure around manufacturing centers of competency and optimize our capabilities worldwide. We will increase the utilization of our state-of-the-art facilities in Malaysia, United States, Japan and Germany.”

“While we are on track to meet earnings expectations for our third quarter ending May 26, 2001, excluding one-time charges and costs related to the realignment of manufacturing facilities, we are positioning operations now for the next growth period in the microelectronics industry. And, we are taking the necessary steps to lower our cost base during the current slow-down in the industry,” said Dauwalter. “I expect that the increased utilization of our most efficient manufacturing facilities will positively impact our ability to ramp production during growth periods. We have a 35-year history of annual profitability, even in difficult business environments and our goal is to build on this track record.”

The company expects a charge of up to $5 million pre-tax related to the elimination of positions and closing of manufacturing facilities during the third quarter ending May 26, 2001.


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