Exhibit 99.1
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Anne Spitza | | Ken Rizvi |
Corporate Marketing | | Investor Relations |
ON Semiconductor | | ON Semiconductor |
(602) 244-6398 | | (602) 244-3437 |
anne.spitza@onsemi.com | | ken.rizvi@onsemi.com |
ON Semiconductor Repurchases 5 Million Shares of Common Stock
PHOENIX, Ariz. – May 8, 2007 – ON Semiconductor Corporation (Nasdaq: ONNN) today announced that the company agreed to repurchase 5 million shares of its common stock. The company reached this agreement with Lehman Brothers as the underwriter of the recently announced public resale of 49.2 million shares by affiliates of TPG. ON Semiconductor will pay for these shares using cash on hand.
At the close of this transaction, which is expected to be May 11, 2007, the Company will have repurchased just over 45 million of the 50 million shares of common stock authorized by the Board of Directors in November of 2006.
“We are excited about our ability to purchase a large amount of our company’s common stock using cash on hand through this privately negotiated transaction. We believe this transaction provides an example of how the company can use free cash flow from operations for shareholder friendly actions such as stock repurchases,” said Donald Colvin, ON Semiconductor executive vice president and CFO.
About ON Semiconductor
With its global logistics network and strong portfolio of power semiconductor devices, ON Semiconductor (Nasdaq: ONNN) is a preferred supplier of power solutions to engineers, purchasing professionals, distributors and contract manufacturers in the power supply, computer, consumer, portable/wireless, automotive and industrial markets. For more information, please visit ON Semiconductor’s website athttp://www.onsemi.com.
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ON Semiconductor and the ON Semiconductor logo are registered trademarks of Semiconductor Components Industries, LLC. All other brand and product names appearing in this document are registered trademarks or trademarks of their respective holders. Although the company references its website in this news release, such information on the website is not to be incorporated herein.
This news release includes “forward-looking statements” as that term is defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements other than statements of historical fact are
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statements that could be deemed forward-looking statements and are often characterized by the use of words such as “believes,” “expects,” “estimates,” “projects,” “may,” “will,” “intends,” “plans,” or “anticipates,” or by discussions of strategy, plans or intentions. All forward-looking statements in this news release are based on management’s current expectations and estimates, and involve risks, uncertainties and other factors that could cause results to differ materially from those expressed in forward-looking statements. Among these factors are revenues and operating performance, changes in overall economic conditions, the cyclical nature of the semiconductor industry, changes in demand for our products, changes in inventories at our customers and distributors, technological and product development risks, availability of raw materials, competitors’ actions, pricing and gross margin pressures, loss of key customers, order cancellations or reduced bookings, changes in manufacturing yields, control of costs and expenses, significant litigation, risks associated with acquisitions and dispositions, risks associated with our substantial leverage and restrictive covenants in our debt agreements, risks associated with our international operations, the threat or occurrence of international armed conflict and terrorist activities both in the United States and internationally, risks and costs associated with increased and new regulation of corporate governance and disclosure standards (including pursuant to Section 404 of the Sarbanes-Oxley Act of 2002), and risks involving environmental or other governmental regulation. Additional factors that could affect the company’s future operating results are in “Item 1A Risk Factors” of our Form 10-K for the year ended December 31, 2006 and other factors are described from time to time in our SEC filings. Readers are cautioned not to place undue reliance on forward-looking statements. We assume no obligation to update such information.
