Mark Thompson Quotes on Product (4 Quotes)

We have filled that niche. People are very satisfied with this product.

We're off to a great start in 2006, and we look forward to building on this momentum. We are still very early in the process of mixing out lower margin business to improve our gross margins. Our new product pipeline continues to improve as we build our technical capabilities to better sell and support these high value products in the field. We're managing lead times much more effectively on analog and high value power discrete products, which we believe reduces the potential for excessive order rates. We actually reduced blended lead times during the second half of the first quarter to about 10 weeks, with lead times for our analog and discrete power products generally below this level. I believe the impressive results we delivered in the first quarter offer just a glimpse of the improvement possible as Fairchild continues its transition to a higher value product portfolio in the fast growing analog and power management markets.

We remain committed to our gross margin improvement goals that have us reaching 30 percent in 2006 and mid-30 percent in 2007. Our focus in 2006 is on improving our product mix, delivering more new leadership analog and integrated power products while reducing our exposure to lower margin standard products.

We're very pleased that Mark is joining Fairchild's management team. His strong financial acumen will significantly contribute to the execution of our strategy. We had a strong finish to 2005 and enter 2006 with great momentum, focused on improving our gross margins and increasing the mix of higher-value new products. This is an exciting time for Fairchild, and we look forward to Mark's contributions as we continue to improve the quality of our business and drive stronger financial results.