Groundhog Day For FormFactor Inc.

In a report issued by Citi, FormFactor Inc. FORM pre-announced its Q3 FY10 results today. Revenues were cut to $46-$48MM vs. low-$50MM and the Streets $57MM “citing 1) timing of new product qualification; 2) share transition/loss; and, most curiously, 3) longer lead times on its new Matrix product line.” FORM knew it was walking away from most, if not all of its Samsung business, which should have been reflected in its guidance. A bigger concern has been a loss of key talent which was separately addressed today with a new stock option incentive program. FormFactor Inc. closed yesterday at $6.89