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Kingston wants to help DRAM sector consolidate

Posted on Saturday, February 21 2009 @ 09:13:50 CET by

Memory maker Kingston offered its help this week to consolidate the troubled DRAM chip sector:
"We want to play a helpful role," John Tu, president and co-founder of Kingston, told Reuters in an interview on the sidelines of the Mobile World Congress trade show.

He said his company will work closely with all its suppliers, including struggling Taiwan DRAM maker ProMOS Technologies, to ensure there are no disruptions in supply.

Kingston had agreed to guarantee part of a new loan to ProMOS that it needed to repay a convertible bond that came due this week. But the bank consortium that announced the new T$3 billion ($87 million) loan on Monday said Kingston did not guarantee any of the amount in the end.

"We want to preserve some good historic relationship," Tu said. "We may help (so) that consolidation does not happen too drastically."



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