ADC exiting optical-components business

Aug. 1, 2002
August 1, 2002--The company will be represented by Lehman Brothers, and will sell or close the product lines.

ADC (www.adc.com) announced on August 1 that it has decided to exit its optical components business. The company "will sell or close these product lines," it said in a release.

"A determination on the final disposition is expected by the end of the fiscal year ending October 31, 2002," the release continued. "ADC has retained Lehman Brothers to represent ADC in these efforts. ADC's optical components products include its complete line of passive and active optical components, including tunable and pump lasers and facilities in Canberra, Australia; Jarfalla, Sweden; and Vadnais Heights and Shakopee, Minnesota."

Exiting the optical-components business was one of several moves that ADC announced on August 1. The company also ceased development and marketing of its Avidia DSL access multiplexer (DSLAM), and said it plans additional facility closures and consolidations. ADC said it has closed 41 facilities worldwide in its current fiscal year.

Rick Roscitt, the company's chairman and chief executive officer, said the moves are "difficult for all of us, and especially difficult for those personally affected."

The August 1 moves were taken to achieve the previously stated goal of moving the company's break-even sales point toward $250 million, from $300 million, per quarter.

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