|
Varian Semiconductor heads for Switzerland |
|
|
|
Jun 22, 2007 at 12:43 PM |
 Varian Semiconductor Equipment Associates is changing its legal entity structure with a move to Switzerland that is intended to provide operational and financial services in a more tax-efficient manner to all of its international offices.
Initially, the move will mean that the company will incur U.S. tax charges of 73 percent in its fiscal third quarter ending June 29, 2007, and approximately 48 percent to 52 percent for the fiscal year ending September 28, 2007.
However, the move will mean that an effective tax rate in the low 30 percent range is possible in fiscal 2008, and possibly a lower rate in subsequent years, the company said.
The impact on earnings was eased slightly with the forecast that revenues in its fiscal third quarter will increase to between US$283 and US$289 million compared to a previous guidance of between US$271 and US$286 million in revenues.
|
News 