Samsung cutting memory chip production as profit slides

By KIM TONG-HYUNG
Associated Press

SEOUL, South Korea (AP) — Samsung Electronics is cutting the production of its computer memory chips in an apparent effort to reduce inventory. The South Korean technology giant disclosed the move while forecasting another quarter of sluggish profit. The company said in a regulatory filing Friday that it has been reducing production by unspecified “meaningful levels” to optimize its manufacturing operations. It added that it has sufficient supplies of chips to meet fluctuations in demand. The company estimated its operating profit was $455 million for the three months through March, which would be a 96% decline from the same period a year earlier.