Tower Semiconductor Ltd, the Migdal Haemek, Israel-based semiconductor company, has blamed a 46% drop in fourth quarter revenues on plummeting prices, despite an increase in shipment volume. The company, which specializes in memory devices and CMOS image sensors, saw its net income drop from $19.1m in 1997 to a loss of $15.5m in 1998. The downward trend is expected to continue in the short term, but Tower predicts its microFLASH process, due to be introduced mid-1999, could signal the start of a financial recovery. Tower has also announced the payment of $16.275m as settlement of a shareholder class action. The company denies any wrongdoing and the amount of the settlement will be covered by insurance policies.
