JDS Uniphase
Encyclopedia
JDS Uniphase is a company that designs and manufactures products for optical communications networks, communications test and measurement equipment, lasers, optical solutions for authentication and decorative applications, and other custom optics. It is headquartered in Milpitas, California
in the United States
. It was formerly known as JDS Uniphase, prior to a rebranding of its corporate image on September 14, 2005. The legal entity is now called JDS Uniphase Corporation, whereas elsewhere the company always refers to itself as JDSU.
and Uniphase Corporation in the U.S., and became known as JDS Uniphase subsequent to the merger. In 1981, JDS Optics was founded by Jozef Straus, Philip Garel-Jones, Gary Duck, and Bill Sinclair. The "JDS" is short for Jones, Duck and Straus/Sinclair. The company became JDS Fitel when it formed a partnership with Fitel, a fiber optic and optical connector company. Three other major fiber companies merged with JDS Uniphase during the telecom boom: Optical Coating Laboratory Inc. (OCLI) based in Santa Rosa, California, E-TEK Dynamics and SDL bought for 45 B$, both based in San Jose, California. With the changes in executive membership that came as a result of these mergers, JDS Uniphase moved its headquarters first to San Jose, California, and then in 2006 to nearby Milpitas.
s of 2:1 occurred roughly every 90 days during the last half of 1999 through early 2000, making millionaires of many employees who were stock option
holders, and further enabling JDS Uniphase to go on an acquisition and merger binge. After the telecom downturn, JDS Uniphase announced in late July 2001 the largest (up to then) write-down of goodwill. Employment soon dropped as part of the Global Realignment Program from nearly 29,000 to approximately 5,300, many of its factories and facilities were closed around the world, and the stock price dropped from $153 per share to less than $2 per share.
On September 23, 2005, JDSU announced a reverse stock split one-to-eight to one-to-ten.http://www.jdsu.com/News-and-Events/news-releases/Pages/jdsu-schedules-annual-stockholders-meeting-for-december-1-2005.aspx On December 2, 2005 JDSU stock holders authorized the reverse stock split after its 2005 annual meeting. http://www.lightreading.com/document.asp?doc_id=104344
As of April 2011, JDSU stock trades just over $20.
2. Kevin M. Lacroix. “Defense Verdict in JDSU Securities Trial,” The D&O Diary, November 27, 2007
3. Stanford Law School Securities Class Action Clearinghouse, November 2007
Milpitas, California
Milpitas is a city in Santa Clara County, California. It is a suburb of the major city of San Jose, California. It is located with San Jose to its south and Fremont to its north, at the eastern end of State Route 237 and generally between Interstates 680 and 880 which run roughly north/south...
in the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
. It was formerly known as JDS Uniphase, prior to a rebranding of its corporate image on September 14, 2005. The legal entity is now called JDS Uniphase Corporation, whereas elsewhere the company always refers to itself as JDSU.
Formation
JDSU was formed by the 1999 merger between two fiber-optic companies, JDS Fitel of CanadaCanada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...
and Uniphase Corporation in the U.S., and became known as JDS Uniphase subsequent to the merger. In 1981, JDS Optics was founded by Jozef Straus, Philip Garel-Jones, Gary Duck, and Bill Sinclair. The "JDS" is short for Jones, Duck and Straus/Sinclair. The company became JDS Fitel when it formed a partnership with Fitel, a fiber optic and optical connector company. Three other major fiber companies merged with JDS Uniphase during the telecom boom: Optical Coating Laboratory Inc. (OCLI) based in Santa Rosa, California, E-TEK Dynamics and SDL bought for 45 B$, both based in San Jose, California. With the changes in executive membership that came as a result of these mergers, JDS Uniphase moved its headquarters first to San Jose, California, and then in 2006 to nearby Milpitas.
Mergers and Acquisitions
A list of mergers and acquisitions since 2005 can be found on the JDSU public website.Stock
During the 1990's, JDS Uniphase stock was a high-flyer tech stock investor favorite. Its stock price doubled three times and three stock splitStock split
A stock split or stock divide increases the number of shares in a public company. The price is adjusted such that the before and after market capitalization of the company remains the same and dilution does not occur. Options and warrants are included....
s of 2:1 occurred roughly every 90 days during the last half of 1999 through early 2000, making millionaires of many employees who were stock option
Option (finance)
In finance, an option is a derivative financial instrument that specifies a contract between two parties for a future transaction on an asset at a reference price. The buyer of the option gains the right, but not the obligation, to engage in that transaction, while the seller incurs the...
holders, and further enabling JDS Uniphase to go on an acquisition and merger binge. After the telecom downturn, JDS Uniphase announced in late July 2001 the largest (up to then) write-down of goodwill. Employment soon dropped as part of the Global Realignment Program from nearly 29,000 to approximately 5,300, many of its factories and facilities were closed around the world, and the stock price dropped from $153 per share to less than $2 per share.
On September 23, 2005, JDSU announced a reverse stock split one-to-eight to one-to-ten.http://www.jdsu.com/News-and-Events/news-releases/Pages/jdsu-schedules-annual-stockholders-meeting-for-december-1-2005.aspx On December 2, 2005 JDSU stock holders authorized the reverse stock split after its 2005 annual meeting. http://www.lightreading.com/document.asp?doc_id=104344
As of April 2011, JDSU stock trades just over $20.
Shareholder litigation
After the 2001 crash of the telecommunications industry, the state of Connecticut filed a lawsuit against the company and four key executives, claiming that they had, and hid from company shareholders, advance knowledge of the company's impending downturn. Unlike most similar lawsuits, which are dismissed or settled before trial, Connecticut's lawsuit went to trial in October, 2007. JDSU was acquitted of all charges in November, 2007.Branding
The logo of the former JDS Uniphase was an open multi-colored box, intended to evoke a feeling of thinking "outside the box" among employees. The logo of the new re-branded JDSU represents the cycle of innovation that begins and ends with the customer.Litigation references
1. Dan Levine. "JDS Uniphase Scores a Win in Securities Case," Law.com, November 28, 20072. Kevin M. Lacroix. “Defense Verdict in JDSU Securities Trial,” The D&O Diary, November 27, 2007
3. Stanford Law School Securities Class Action Clearinghouse, November 2007
Competitors
- EXFOEXFOEXFO is a provider of test and service assurance solutions for wireless and wireline network operators and equipment manufacturers in the global telecommunications industry...
- Fluke CorporationFluke CorporationFluke Corporation, a subsidiary of the Danaher Corporation, is a manufacturer of industrial testing equipment including electronic test equipment. It was started in 1948 by John Fluke, Sr., a friend and roommate of David Packard, future co-founder of Hewlett-Packard, when both were employed at...
- AnritsuAnritsuis a Japanese corporation that is in the test and measurement market. Products include microwave, RF, and optical signal generators , spectrum analyzers, and network analyzers. It was formed with the merger of two companies, the Annaka Corporation and Kyoritsu Electric in Japan in 1931. In 1990...
- Kingfisher International Pty LtdKingfisher International Pty LtdKingfisher International Pty Ltd is an Australian company that manufactures fiber optic test and measurement equipment. First established in the founder's home in 1986, its first commercially successful product was the innovative KI020 series talk set, introduced in 1988...
External links
- JDSU
- JDSU JDS Uniphase Message Board Active community of JDSU investors and watchers.
- USA Today article about best and worst stocks of the George W. Bush presidency (JDSU last)