Photronics CEO Luttati resigns

Amid deep financial troubles, Photronics Inc. said CEO Michael Luttati has resigned as the company tries to reduce expenses and return to profitability.

The company makes so-called photomasks that semiconductor companies use to transfer the image of a circuit onto a wafer, a critical part of the chip-making process.

Photronics has lost $5.4 million over the first six months of its fiscal year, after making $24.5 million in profit last year. Luttati has attributed the reversal partly to the cost of investing in new facilities in Idaho, China and Taiwan.

He's being replaced by the company's chairman, Constantine Macricostas, until a permanent replacement is found. Luttati will remain as a consultant for an undisclosed period of time until the new leadership is in place.

Photronics shares rose 7 cents, or 1.1 percent, to $6.28 in after-hours trading Monday.