Hynix believes Q4 2008 bottom of DRAM downturn-CEO

SEOUL, Jan 12 (Reuters) - Hynix Semiconductor (000660.KS), the world's No. 2 memory chip maker, said on Monday it believed the fourth quarter of 2008 was the bottom in the ongoing memory chip downturn, and that it was open to further financing. "Although we do not expect any rapid recovery, we are cautiously hopeful that the fourth quarter [of 2008] may have represented a bottom in the downturn," Hynix CEO Kim Jong-kap said during a news conference.

Hynix, which last month secured $600 million in much needed funding and is set to raise $249 million in a new share issue this month, has no immediate plans to secure further liquidity, Kim said.

"But we are open to the possibility of new fundraising, depending on the market," Kim said.

An unprecedented lengthy downturn in the market for dynamic random access memory (DRAM), used mainly in personal computers, has pummelled Hynix and its rivals such as Germany's Qimonda QI.N and Taiwan's Powerchip Semiconductor (5346.TWO), forcing them to cut back output and seek outside funding help.

Even sector leader Samsung Electronics (005930.KS) is forecast to incur losses in the past and current quarters as memory chip prices plunged below cash costs for all players.

(Reporting by Marie-France Han, editing by Keiron Henderson)

((mf.han@reuters.com; +822 3704-5667;, Reuters Messaging: mf.han.reuters.com@reuters.net)) Keywords: HYNIX CHIPS/

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