The ratings on MagnaChip Semiconductor Corp. reflect its exposure to the highly competitive and fragmented market for nonmemory semiconductors, its weak market positions, and its concentrated customer base. At the same time, the company's good customer relationships, modest business diversification, and lack of near-term maturities support the ratings. MagnaChip is a Korea-based designer and manufacturer of analog and mixed-signal semiconductor products. The company's operations are divided into three main business units: Display Solutions, Power Solutions, and Semiconductor Manufacturing Services. The Display Solutions segment produces flat panel display drivers for mobile phones and LCD TVs. The Power Solutions segment offers metal-oxide-semiconductor field-effect transistors (MOSFETs), analog switches, and DC-DC converters. The Semiconductor Manufacturing Services segment fabricates semiconductor wafers for third parties, based
