Applied Materials To Pay $252.5 Mln To U.S. Commerce Dept Over China Export Violations

(RTTNews) - Applied Materials, Inc. (AMAT) late Wednesday announced that it has agreed to pay $252.5 million to the U.S. Department of Commerce, after reaching a settlement agreement over violations in China exports.

Separately, Applied Materials announced that Samsung Electronics will join the new, $5 billion EPIC Center in Silicon Valley. The EPIC Center will open this year as the most advanced facility for collaborative semiconductor process technology and manufacturing equipment R&D.

The settlement with the U.S. Department of Commerce, Bureau of Industry and Security or BIS resolves BIS's allegations that certain customer shipments to China between November 2020 and July 2022 did not comply with the U.S. Export Administration Regulations, based on the company's misunderstanding of the applicability of those regulations.

In addition, the company was notified that the U.S. Department of Justice and the U.S. Securities and Exchange Commission or SEC have closed their related investigations without action.

Applied Materials said it remains fully committed to maintaining strong export-control and trade-compliance practices across its global operations.

In the overnight trading, Applied Materials shares were gaining around 1 percent after closing Wednesday's regular trading 3.3% higher at $339.88.