by CIO Staff

ASE Factory Ops Recovering from Fire

Jun 29, 20061 min

Advanced Semiconductor Engineering (ASE), the world’s largest chip assembly company, on Thursday said operations at a factory damaged by fire last year are recovering, and the company has finalized a payment plan with a group of insurers.

Nine insurance companies will collectively pay the chip assembler $8.1 billion new Taiwanese dollars (US$247.1 million) related to a factory blaze in May of last year.

The fire halted production at the plant amid an upswing in chip demand, doubling the pain for ASE since it lost equipment in the blaze as well as work it could have profited from. Although much of the damage from the fire has been repaired, the company is still repairing certain parts of the plant, which is located in Chungli, Taiwan.

The insurance companies have so far paid ASE NT$2.3 billion for damages related to the fire.

-Dan Nystedt, IDG News Service (Taipei Bureau)

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