LEADING Canada-based communications company Zarlink Semiconductor, has reported disappointing fourth quarter and year end results.

The company, which has two sites employing 470 people at Cheney Manor, Swindon, has seen its fourth quarter revenues cut to US $52.1 million, in line with the previous quarter but lower when compared to $82.4 million for the same period last year.

Sales for the fiscal year were $222.1 million as compared to $450.2 million for fiscal 2001.

Sales continue to be affected by a prolonged slump that is widely recognised as the sharpest downturn in the history of the semiconductor industry.

After recording special charges and other non-recurring items amounting to $12.5 million, Zarlink record-ed a fourth quarter net loss of $22.3 million.

For 2002, the company recorded a net loss of $120.8 million, after recording special and non-recurring items amounting to $86.8 million. This compares with a net loss in 2001 of $270.8 million.

"The company has successfully achieved a number of important objectives in a difficult year," said Patrick J. Brockett, president and chief executive officer of Zarlink Semiconductor. "We substantially boosted new product introductions, reduced costs significantly and preserved our cash while maintaining significant investments in research and development."

"We also sold our two CMOS wafer fabs. These actions have helped us weather the protracted industry downturn and position us well for the future.