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WDC » Topics » Our high-volume hard drive and media manufacturing facilities, and the manufacturing facilities of many of our suppliers, are concentrated in Asia, which subjects us to the risk of damage or loss of any of these facilities and localized risks to employeesThese excerpts taken from the WDC 10-K filed Aug 20, 2008. Our
high-volume hard drive and media manufacturing facilities, and
the manufacturing facilities of many of our suppliers, are
concentrated in Asia, which subjects us to the risk of damage or
loss of any of these facilities and localized risks to employees
in these locations.
Our high-volume hard drive and media manufacturing facilities
are in Malaysia and Thailand and the manufacturing facilities of
many of our suppliers are in Asia. A condition or event such as
political instability, civil unrest or a power outage, or a
fire, flood, earthquake or other disaster that adversely affects
any of these facilities or our ability to manufacture could
limit the total volume of hard drives we are able to manufacture
and result in a loss of sales and revenue and harm our operating
results. Similarly, a localized health risk affecting our
employees or the staff of our suppliers, such as a new pandemic
influenza in Asia, could impair the total volume of hard drives
that we are able to manufacture.
Table of Contents
Our head
manufacturing operations include a single wafer fabrication
facility in California and a single head gimbal assembly
facility in Thailand, and our media operations include four
facilities in Malaysia, which subjects us to substantial risk of
damage or loss if operations at any of these facilities are
disrupted.
As we have previously discussed in public statements, our
business plan presently contemplates that we will design and
manufacture a substantial portion of the heads and media
required for the hard drives we manufacture. We fabricate wafers
in our Fremont, California facility, and the wafers are then
sent to our Thailand facility for slider fabrication and wafer
slicing and HGA assembly and testing. Additionally, we
manufacture the majority of our media and substrates in four
facilities in Penang, Johor and Sarawak, Malaysia. A fire,
flood, earthquake or other disaster, condition or event such as
a power outage that adversely affects any of these facilities
would significantly affect supply of our heads or media, and
limit our ability to manufacture hard drives which would result
in a substantial loss of sales and revenue and a substantial
harm to our operating results.
Our high-volume hard drive and media manufacturing facilities, and the manufacturing facilities of many of our suppliers, are concentrated in Asia, which subjects us to the risk of damage or loss of any of these facilities and localized risks to employees in these locations. Our high-volume hard drive and media manufacturing facilities are in Malaysia and Thailand and the manufacturing facilities of many of our suppliers are in Asia. A condition or event such as political instability, civil unrest or a power outage, or a fire, flood, earthquake or other disaster that adversely affects any of these facilities or our ability to manufacture could limit the total volume of hard drives we are able to manufacture and result in a loss of sales and revenue and harm our operating results. Similarly, a localized health risk affecting our employees or the staff of our suppliers, such as a new pandemic influenza in Asia, could impair the total volume of hard drives that we are able to manufacture.
Table of ContentsOur head manufacturing operations include a single wafer fabrication facility in California and a single head gimbal assembly facility in Thailand, and our media operations include four facilities in Malaysia, which subjects us to substantial risk of damage or loss if operations at any of these facilities are disrupted. As we have previously discussed in public statements, our business plan presently contemplates that we will design and manufacture a substantial portion of the heads and media required for the hard drives we manufacture. We fabricate wafers in our Fremont, California facility, and the wafers are then sent to our Thailand facility for slider fabrication and wafer slicing and HGA assembly and testing. Additionally, we manufacture the majority of our media and substrates in four facilities in Penang, Johor and Sarawak, Malaysia. A fire, flood, earthquake or other disaster, condition or event such as a power outage that adversely affects any of these facilities would significantly affect supply of our heads or media, and limit our ability to manufacture hard drives which would result in a substantial loss of sales and revenue and a substantial harm to our operating results. | EXCERPTS ON THIS PAGE:
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