About Richardson Electronics

Richardson Electronics, Ltd. operates as a global manufacturer of engineered solutions, power grid and microwave tubes and related consumables; power conversion and RF and microwave components; high-value replacement parts, tubes and service training for diagnostic imaging equipment; and customized display solutions. The company serves customers in the alternative energy, healthcare, aviation, broadcast, communications, industrial, marine, medical, military, scientific and semiconductor markets. The company’s strategy is to provide specialized technical expertise and ‘engineered solutions’ based on the company’s core engineering and manufacturing capabilities. The company provides solutions and adds value through design-in support, systems integration, prototype design and manufacturing, testing, logistics and aftermarket technical service and repair through its global infrastructure. Geography The company has operations in the following major geographic regions: North America, Asia/Pacific, Europe and Latin America. Business Segments Power and Microwave Technologies (PMT) Power and Microwave Technologies combines the company’s core engineered solutions capabilities, power grid and microwave tube business with new disruptive RF, Wireless and Power technologies. As a designer, manufacturer, technology partner and authorized distributor, PMT’s strategy is to provide specialized technical expertise and engineered solutions based on the company’s core engineering and manufacturing capabilities on a global basis. The company provides solutions and adds value through design-in support, systems integration, prototype design and manufacturing, testing, logistics and aftermarket technical service and repair—all through the company’s existing global infrastructure. PMT’s focus is on products for power, RF and microwave applications for customers in 5G, aviation, broadcast, communications, industrial, marine, medical, military, scientific and semiconductor markets. PMT focuses on various applications, including broadcast transmission, CO2 laser cutting, diagnostic imaging, dielectric and induction heating, high energy transfer, high voltage switching, plasma, power conversion, radar and radiation oncology. PMT also offers its customers technical services for both microwave and industrial equipment. PMT represents leading manufacturers of electron tubes and RF, Microwave and power components used in semiconductor manufacturing equipment, RF and wireless and industrial power applications. Among the suppliers, PMT supports are Amperex, CDE, CPI, Draloric, Eimac, General Electric, Hitachi, Jennings, L3, MACOM, National, NJRC, Ohmite, Qorvo, Thales, Toshiba and Vishay. PMT’s inventory levels reflect the company’s commitment to maintain an inventory of a broad range of products for customers who are buying products for the replacement of components used in critical equipment and designing in new technologies. PMT also sells a number of products representing trailing edge technology. While the market for these trailing edge technology products is declining, PMT is increasing its market share. PMT often buys products it knows it can sell ahead of any supplier price increases and extended lead times. As manufacturers for these products exit the business, PMT has the option to purchase a substantial portion of their remaining inventory. PMT has distribution agreements with many of its suppliers; most of these agreements provide exclusive distribution rights that often include global coverage. The agreements are typically long term, and usually contain provisions permitting termination by either party if there are significant breaches that are not cured within a reasonable period. Although some of these agreements allow PMT to return inventory periodically, others do not, in which case PMT may have obsolete inventory that they cannot return to the supplier. PMT’s suppliers provide warranty coverage for the products and allow return of defective products, including those returned to PMT by its customers. In addition to third party products, the company sells proprietary products principally under certain trade names the company owns, including Amperex, Cetron and National. The company’s proprietary products include thyratrons and rectifiers, power tubes, ignitrons, magnetrons, phototubes, microwave generators, Ultracapacitor modules and liquid crystal display monitors. The materials used in the manufacturing process consist of glass bulbs and tubing, nickel, stainless steel and other metals, plastic and metal bases, ceramics and a wide variety of fabricated metal components. Green Energy Solutions (GES) Green Energy Solutions combines the company’s key technology partners and engineered solutions capabilities to design and manufacture innovative products for the fast-growing energy storage market and power management applications. As a designer, manufacturer, technology partner and authorized distributor, GES’s strategy is to provide specialized technical expertise and engineered solutions using the company’s core design engineering and manufacturing capabilities on a global basis. The company provides solutions and add value through design-in support, systems integration, prototype design and manufacturing, testing, logistics and aftermarket technical service and repair—all through the company’s existing global infrastructure. GES’s focus is on products for numerous green energy applications, such as wind, solar, hydrogen and Electric Vehicles, and other power management applications that support green solutions, such as synthetic diamond manufacturing. Canvys Canvys provides customized display solutions serving the corporate enterprise, financial, healthcare, industrial and medical original equipment manufacturers markets. The company’s engineers design, manufacture, source and support a full spectrum of solutions to match the needs of the company’s customers. The company offers long term availability and proven custom display solutions that include touch screens, protective panels, custom enclosures, All-In-One computers, specialized cabinet finishes and application specific software packages and certification services. The company partners with both private label manufacturing companies and leading branded hardware vendors to offer the highest quality display and touch solutions and customized computing platforms. The company has long-standing relationships with key component and finished goods manufacturers and several key ISO 9001 and ISO 13485 certified Asian display manufacturers that manufacture products to the company’s specifications. Supplier relationships, combined with the company’s engineering design and manufacturing capabilities and private label partnerships, allow the company to maintain a well-balanced and technologically advanced offering of customer specific display solutions. Healthcare Healthcare manufactures, repairs, refurbishes and distributes high value replacement parts and equipment for the healthcare market, including hospitals, medical centers, asset management companies, independent service organizations and multi-vendor service providers. Products include diagnostic imaging replacement parts for CT and MRI systems; replacement CT and MRI tubes; CT service training; MRI coils, cold heads and RF amplifiers; hydrogen thyratrons, klystrons, magnetrons; flat panel detector upgrades; pre-owned CT systems; and additional replacement solutions under development for the diagnostic imaging service market. Through a combination of newly developed products and partnerships, service offerings and training programs, the company can help its customers improve efficiency. Distribution The company maintains over 100,000 part numbers in its product inventory database. Customers can access the company’s products on its websites, www.rell.com, www.rellhealthcare.com, www.canvys.com, www.rellpower.com, www.relltubes.com, and www.rellaser.com, through electronic data interchange, or by telephone. Customer orders are processed by the company’s regional sales offices and supported primarily by one of the company’s distribution facilities in LaFox, Illinois; Fort Mill, South Carolina; Amsterdam, the Netherlands; Marlborough, Massachusetts; Donaueschingen, Germany; or Singapore, Singapore. The company also has satellite warehouses in Sao Paulo, Brazil; Shanghai, China; Bangkok, Thailand; and Hook, the United Kingdom. The company’s data processing network provides on-line, real-time interconnection of all sales offices and central distribution operations, 24 hours per day, seven days per week. International Sales During the year ended May 27, 2023 (fiscal 2023), the company made approximately 58% of its sales outside the United States. The company continues to pursue new international sales to further expand the company’s geographic reach. Government Regulations The company is subject to significant compliance obligations under privacy laws such as the General Data Protection Regulation in the European Union and an expanding list of comprehensive state privacy and/or cybersecurity laws in the United States. The company is also subject to various domestic and international export, trade and anti-corruption laws, such as include the Arms Export Control Act, the International Traffic in Arms Regulations (‘ITAR’), the Export Administration Regulations (‘EAR’), anti-money laundering laws and regulations and the trade and trade sanctions laws and regulations administered by the Office of the United States Trade Representative and the United States Department of the Treasury’s Office of Foreign Assets Control. History Richardson Electronics, Ltd. was founded in 1947. The company was incorporated in 1986.