SOURCE: Maxim Integrated Products

October 13, 2008 17:07 ET

Maxim Announces Preliminary First Quarter 2009 Results and $750 Million Share Repurchase Authorization; Aggregate Repurchase Authorization May Be Increased to $1.5 Billion

SUNNYVALE, CA--(Marketwire - October 13, 2008) - Maxim Integrated Products, Inc. (NASDAQ: MXIM) announced today that it expects to report net revenues of $500 - $502 million for its fiscal 2009 first quarter ending September 27, 2008. Based on Generally Accepted Accounting Principles (GAAP), the estimated range for earnings per share is approximately $0.19 to $0.22. These preliminary results include pre-tax expenses of approximately $35 million to $40 million in stock based compensation and approximately $30 million to $32 million in pre-tax expenses primarily related to the recently completed restatement and the ramp down of certain wafer fabrication facilities.

Maxim projects revenue in the December quarter of 2009 to range between $460 million and $490 million.

The Board of Directors of the Company has authorized the repurchase of up to $750 million of the Company's Common Stock. The Company continues to evaluate various capital structure alternatives and may increase the aggregate repurchase authorization to $1.5 billion. All repurchases remain subject to market and economic conditions. The stock repurchase authorization does not have an expiration date and the pace of repurchase activity will depend on factors such as current stock price, levels of cash generation from operations, cash requirements, and other factors. All prior Board authorizations for the repurchase of Common Stock are canceled and superseded by this most recent authorization.

Maxim will be releasing full financial results for the first quarter of fiscal year 2009 on Wednesday, October 29, 2008. The results will be released over Marketwire at approximately 1:00 PM (PDT), after the close of the market on that date and will be posted on Maxim's website at: www.maxim-ic.com/Investor

Maxim has scheduled a conference call on October 29, 2008, at 2:00 p.m. Pacific Time to discuss its financial results for the first quarter of fiscal year 2009 and business outlook. You are invited to listen to the call. To listen via telephone, dial (866) 219-5260 (toll free) or (703) 639-1117. This call will be webcast by Thomson/CCBN and can be accessed at Maxim's website at www.maxim-ic.com/Investor.

The webcast will also be distributed through the Thomson StreetEvents Network to both institutional and individual investors. Individual investors can listen to the call at www.earnings.com, Thomson/CCBN's individual investor portal, powered by StreetEvents. Institutional investors can access the call via Thomson's password-protected event management site, StreetEvents (www.streetevents.com).

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including the Company's expectation that it will report net revenues of $500 - $502 million for its fiscal 2009 first quarter ending September 27, 2008, its expectation that the estimated range for earnings per share is approximately $0.19 to $0.22, and its projection that revenue in the December quarter of 2009 to range between $460 million and $490 million. These statements involve risk and uncertainty. Actual results could differ materially from those forecasted based upon, among other things, general market and economic conditions and market developments that could adversely affect the growth of the mixed-signal analog market, product mix shifts, customer cancellations and price competition, as well as other risks described in the Company's Annual Report on Form 10-K for the fiscal year ended June 28, 2008.

All forward-looking statements included in this news release are made as of the date hereof, based on the information available to the Company as of the date hereof, and the Company assumes no obligation to update any forward-looking statement.

About Maxim

Maxim Integrated Products is a publicly traded company that designs, manufactures, and sold over $2 billion of high-performance semiconductor products in its fiscal year 2008. Maxim was founded over 25 years ago with the mission to deliver innovative analog and mixed-signal engineering solutions that add value to its customers' products. To date, Maxim has developed over 5,800 products in 28 product categories serving the Industrial, Communications, Consumer, and Computing markets. For more information, go to www.maxim-ic.com.