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National Semiconductor has set in motion a plan to reduce 150mm wafer production at its fabs in Arlington, Texas and Greenock, Scotland with an associated reduction in workforce. Approximately 200 jobs will be lost between the two manufacturing facilities with a small number of jobs affected at its 200mm facility in South Portland, Maine.

"Our future growth will be driven by higher-performance, energy-efficient analog products, more and more of which will be produced on 200mm wafer technology," said Brian L. Halla, National's Chairman and CEO. "This action today aligns our manufacturing capability with our future needs."

National Semiconductor expects to incur a charge of approximately $12 million related to severance costs with approximately $7 million related to the impairment and disposal of manufacturing equipment, and about $1 million is related to contractual and other obligations, the company said.

The company had more than 400 employees each in Arlington and Greenock and more than 500 employees in South Portland manufacturing facilities.