Hynix chief calls for patience as Micron talks drag
Workers are restless
Park Chong-Sup, CEO of troubled Hynix Semiconductor Inc, last week warned that the company's "alliance" with Micron Technology Inc may take longer to settle than he had originally promised.
He asked staff at the heavily indebted Korean memory maker to remain patient, and not to heed "inaccurate reports" of the likely outcome of talks which are now stretching into their second month.
Park's remarks were designed to settle restive workers who have been lead to believe by Korean press reports that Hnix's "alliance" with Boise, Idaho-based Micron will be little short of a full takeover by the US company, which will promptly close large parts of Hynix's operations, sacking 1,000s of staff in the process.
However, it will be a surprise if Micron does not now acquire Hynix, even if publicly the company has hinted that that it is not interested in taking a significant equity stake in it. Without full management control, and the ability to impose deep cuts on Hynix, there is little reason for Micron to inject the $5bn that Hynix's creditors are looking for to relinquish control of the company.
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