Microchip Technology Inc president and chief executive Steve Sanghi arrived hot from having just bought that new chip plant, and was able to disclose that the company will begin volume production one year from now, in October 1994: Microchip bought the 170,000 square foot facility, which cost $58m to build, from Digital Equipment Corp at a purchase price of under $6m, and plans to invest another $20m for renovation and additional equipment; the plant has capacity to produce $400m of product; the firm had just reported a 250% increase in second quarter profits, and while Sanghi declined to comment on anaylsts estimates, he told the assembly that the firm has very, very strong earnings momentum.
