Fairchild Semiconductor International Inc., one of the oldest chip manufacturers, has announced to close some of its aging plants. The company has also stated to cut about 15% of its workforce. The closure could affect about 9,000 employees of the company.

According to the company's spokesman, Bruce Fienberg, the company has yet to decide the total number of job cuts it will make. According to company's statement, the plants in South Korea, Bucheon, Utah, and Penang will be closed.

Companies founded by former employees had eclipsed San Jose, California-based Fairchild. The company was one of the pioneers of chip manufacturing industry in the 1950s.

Robert Noyce and Gordon Moore had built Intel Corp. into the largest semiconductor maker of the world.

Mark Thompson, Fairchild chief executive officer, said, "An adaptive supply chain must be the foundation of any global manufacturer's operations in the increasingly dynamic semiconductor solutions market".

Fairchild manufactures amplifiers, power converters and switches that are used in cars. The process of closing plants will lead the company to see about US$36 million in restructuring and other costs. Apart from that the closure will result in US$25 million in non-cash charges.

After 12% decline in 2012, the company's profits were unchanged at US$1.41 billion in 2013.

The closure of plants will be implemented from the second and fourth quarters of next year. The process is estimated to bring annual savings of US$45 million to US$55 million.

According to the company, factories in Bucheon, Mountain Top, Pennsylvania, South Portland and Maine will continue to operate.

Fairchild Semiconductor International, Inc. was founded in 1957. The company is one of the oldest chip makers in the industry. It manufactures a variety of electronic components that are used in cars, appliances, smart phones and other products.