In brief: Veeco, Emcore and Bookham
Veeco and Emcore
Emcore will receive less than the $15 million-$17 million earn-out payment that it had expected in the current financial quarter from Veeco Instruments.
Because of the ongoing Veeco investigation into improper accounting at the TurboDisc division it acquired from Emcore in November 2003, the financial picture at Veeco remains unclear.
The original earn-out deal stated that Emcore would receive 50% of all TurboDisc revenue that exceeded $40 million in the two years beginning January 1, 2004, with a maximum payout of $20 million.
Since revealing the problems with the TurboDisc accounts last week, Veeco has written to Emcore with a preliminary earn-out statement. The statement says that TurboDisc net sales amounted to $64.9 million in 2004, which would mean a payment of $12.5 million to Emcore.
However, Veeco also said that $6.5 million of those sales were now under review. If those sales turn out not to be included in the final net sales figure, Emcore would receive an earn-out of only $9.2 million.
Based on Veeco's 2005 outlook, Emcore does expect to receive the earn-out balance in 2006.
Bookham founder Rickman stands down
Andrew Rickman, the man who founded Bookham Technology and its chairman for the past four years, has stepped down from the company.
Bookham's business has undergone massive changes since Rickman first sought to exploit his active silicon integrated optical circuit (ASOC) technology for fiber-optic applications 17 years ago.
Rickman led the company from a room above his garage to a hugely successful IPO in 2000, but the company has since abandoned his original technology and now specializes in InP chip manufacturing and fiber-optic communication modules.
Peter Bordui succeeds Rickman as chairman of the board.
Meanwhile, Bookham's chief operating officer (COO) and president Liam Nagle has also stepped down, in order to spend more time in his native Ireland.
Current CEO Giorgio Anania takes over presidential duties, while Jim Haynes steps into the breach as the new COO.
