Lattice Semiconductor (NASDAQ: LSCC) announced third quarter revenue is now expected to be flat to down 2% sequentially. This is a revision from previous guidance of flat to up 4% sequentially.
- Lattice’s guidance is reduced primarily because of weakness in North American distribution resale, which has not shown an expected seasonal increase thus far during the month of September.
- The reduced revenue forecast is primarily due to a greater than expected decline in mature products.
- Lattice expects new products to continue to grow strongly in the third quarter.
Lattice will record a one-time restructuring charge in the third quarter estimated at $1.4 million to $1.7 million. This charge is related to a plan to lower operating expense by reducing headcount. This action will reduce operating expenses in the range of $1.4 million to $1.6 million effective in the fourth quarter of 2007.