Silicon Valley Group Down on Outlook, Cost-Cutting

Semiconductor equipment maker Silicon Valley Group (SVGI Quote) was down 4.3% in preopen Island trading after saying third-quarter sales would be 30% to 40% lower than the previous quarter, down from the company's previous estimate of a 15% to 25% decline.

SVG also said it was cutting about 400 jobs, or 10% of its workforce and shutting operations for five days in the June quarter to cut costs. The company said customer support and critical R&D projects will not be affected by the shutdown.