Press Release

February 4, 2015

Completion of the new building at the Kuwabata Plant
All precision processing tools and equipment will be housed in seismically isolated structures

DISCO Corporation (HQ: Ota-ku, Tokyo, President and COO: Kazuma Sekiya) has completed a new seismically isolated structure at the Kuwabata Plant (Hiroshima Prefecture), which is currently responsible for the manufacture of precision processing equipment and tools. The new building is connected to the existing Building A (completed in 2010) to expand the available production space and to enhance the efficiency of manufacturing.

Purpose for constructing a new building

Preemptive investment to meet future expansion in demand
The semiconductor is exhibiting an underlying growth trend led primarily by growth in smartphones, tablets, and other mobile devices. Thanks to expansions of manufacturing facilities used for semiconductors and electronic parts, DISCO set a new record for sales of both precision processing equipment and tools in the first half of 2014. For FY2014, sales are forecasted to hit an all time high level of 119.5 billion yen (as of February 2nd, 2015). As the Internet of Things continues to develop new applications globally, increasing growth for semiconductors and electronic parts is expected.
With the completion of this new building, we have increased our production capacity by 1.75 times and secured the necessary production space to meet the growth of demand in the future.

Improved BCM*1 readiness
For many years, DISCO has been working to improve BCM readiness by constructing seismically isolated structures for each plant. However, production lines for certain precision processing tools*2 were still housed in non-seismically isolated structures at the Kuwabata Plant. With the completion of this new building, all of the production for our precision processing tools and precision processing equipment is now housed in seismically isolated structures to minimize the impact of a serious earthquake and to facilitate the quick recovery of our product supply.

*1: BCMBusiness Continuity Management
*2: Precision processing toolsRegularly replaced consumables, which are used with precision processing equipment for dicing and grinding processes. As DISCO possess a large global market share (approximately 70-80%), any interruption of supply will have a significant impact on semiconductor production world wide.

Schedule

Completion of new building

January 30, 2015.

Start of production

Starting in phases beginning in February 2015.

Completion of relocation

Estimated for October 2015.

Supplementary information

Total investment

Approximately 1.1 billion yen

Eight story building

Total floor area

Approximately 66,000m²

Solar power

600kW (1,000 kW when including the existing Building A facilities)

Large clean room space(1,815m² in total, equipment adjustment and packing for shipment are done in a clean environment in response to customer requests.)

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