Motorola Invests US$2.1B in Scottish Factory

LONDON (04/20/2000) - In order to meet rapidly growing demand in the cellular telephone industry, Motorola Inc. has agreed to purchase a manufacturing site in Dunfermline, Scotland from Hyundai Business Group, the company announced today.

Motorola plans to invest a total of 1.3 billion pounds (US$2.1 billion) on acquiring and equipping the semiconductor manufacturing plant, the company said in a statement. Motorola declined to reveal financial details of the agreement with Hyundai, which is still subject to final approval.

Motorola, the world's second largest supplier of mobile phone handsets, behind Finland's Nokia Corp., will use the plant to produce Motorola's DigitalDNA solutions, based on 8-inch wafers and utilizing deep sub-micron technology, the company said.

The plant, which is planned to be the company's largest semiconductor facility in Europe, will employ 1,350 people within five years, Motorola said.

The 150-acre site, with a 100,000 square meter manufacturing facility, will be the forth Motorola plant in Scotland. The other three are in East Kilbride, South Queensferry and Easter Inch, employing a total of 6,500 people, Motorola said.

Motorola, in Schaumburg, Illinois, can be reached at +1-847-576-5000, or at http://www.motorola.com/.

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