Like many PCB manufacturers the world over, VOGT electronic FUBA GmbH professes the importance of customer relationships, quality product, and value-added processes. So what makes this German PCB fabricator unique? In a word, unorthodoxy. By running its recycling plant at a profit, investing in automation during hard times, and establishing joint ventures in non-traditional places such as Tunisia and India, VOGT electronic FUBA has distinguished itself.

A Brief History of FUBA

In 1957, the original FUBA was founded by Hans Kolbe, who started making single-sided and double-sided PCBs in Gittelde, Germany. By 1969, the company was building multilayer, flexible and rigid-flexible PCBs. When the company restructured, Hans Kolbe & Co. created its own printed circuit division in 1972. Seventeen years later, things began to heat up. The division founded a joint-venture in India dubbed BCC FUBA India Ltd. in 1989. Just two years later, it started FUBA Printed Circuits Tunisie S.A., while also taking over the PCB plant in Dresden, Germany.

By 1995, the company gained its legal independence from the Printed Circuit Board Division, and FUBA Printed Circuits GmbH was founded. Its independence did not last long, however, as three years later, the company was acquired by VOGT electronic AG, a German-based manufacturer of cores, inductive components, assemblies and systems for world markets of the electrical engineering and electronics industry.

The printed circuit maker was renamed VOGT electronic FUBA GmbH in 2000. Today, the organization produces PCBs in two German plants---Gittelde and Dresden---with approximately 1,100 employees.

Boom and Bust

VOGT electronic FUBA's flourished during the boom times of late 1990s to 2000. The company's PCB facilities raked in 145.5 million euros from its FY 2000/2001. During the same period, its assembly facility in Osterode (Germany) made a modest 12.1 million euros, while the company earned 2.4 million euros producing 3D MIDs (Molded Interconnect Devices). In 2002, the company projected it would earn only 100 million euros, a decline in part due to general market conditions, but also attributable to the spin-off of its assembly operation in Osterode, now known as VOGT electronic Letron GmbH.

The downturn of the global telecommunication-sector and other economic factors caused VOGT electronic AG, FUBA's parent company, to lose money in 2002. The company reported a pre-tax loss of 28 million euros for the year (ended September 30) the result of ordinary business activity. Sales dropped to 548 million euros from 716 million euros a year earlier. As a result of a special shareholders meeting in December, the VOGT group cut 700 jobs in Germany including the closure of VOGT's Hoppegarten location and its assembly location in Miesau, Germany , hiring the same number in its units in Romania, Mexico, and China. But despite these sobering numbers, the Dresden PCB facility was spared of any layoffs, because according to management, it uses much of its current capacity, and remains profitable. If VOGT electronic FUBA can maintain a profitable PCB operation in this economic climate, one could argue that it has more than weathered the storm.

The Main Engines: Gittelde and Dresden

Dresden plant.

Considering the combined numbers of Dresden and Gittelde, it becomes clear that this is one of the largest PCB production centers in Europe. The company's more sophisticated Gittelde plant boasts a wide variety of production capabilities: from special double-sided PTH to HDI multilayer. It has a sprawling production area of 25,160 square meters with an impressive 355,000 square meters of capacity annually.

Gittelde plant.

With the fall of the Berlin Wall in the early 1990s, VOGT electronic FUBA took over a newly built plant in Dresden from the holding trust called "Treuhandanstalt." Andreas Ebeling, the managing director of VOGT electronic FUBA GmbH, said the Dresden acquisition "was the biggest increase in capacity FUBA has had so far." While more modest in its capabilities, Dresden's PCB plant has a production area of 13,500 square meters, with an annual capacity of 330,000 square meters of PCBs. It produces mainly double-sided and 4-layer boards.

'Our Little China'

Andreas Ebeling, managing director of VOGT electronic FUBA GmbH.

While many North American and European companies are rushing to Asia, VOGT electronic FUBA has followed a different route: Tunisia. After acquiring a minority share of the company in 1991, the company now owns a controlling stake in the joint venture located in Bizerte, approximately 60 km north of Tunis. With a production area of 4,600 square feet, the plant is capable of producing 130,000 square meters of PCB annually. Ebeling called it "our little China," and believes the company "does not intend to build a factory in China, because we already have the plant in Tunisia to serve the European market." The capacity for double-sided PCBs in Tunisia is predicted to double in the first quarter of 2003.

The facility supplies for the most part Spain, Italy, and France. Tunisia may not rival China as a low-cost manufacturing location, but wages are definitively lower than in Europe. In addition, the labor force is well educated and motivated, and the Bizerte site is only two hours away by air. Should there be a need for technology transfer, it is easy to entice German engineers to fly down, because unlike China's polluted industrial zones, Tunisia has the aura of a vacation destination.

In addition to its Dresden and Bizerte facilities, VOGT electronic FUBA has a minority interest in a joint venture in India---another developing electronics market.

Balanced Customer Base and Production Capabilities

VOGT electronic FUBA's customer base is remarkably balanced. Although the automotive industry is the company's largest market (42.5%), other industries such as communications (32.3%), industrial electronics (20.4%), which "has grown significantly," and consumer goods (3.3%) all play a role in the company's success.

As for its product mix, multilayer production is clearly VOGT electronic FUBA's mainstay, as over 50% of its PCBs are multilayer. However, 31% of the company's products are double-sided, with the remainder mostly dedicated toward the production of laminated multilayer heatsink PCBs (16.4%). But don't be deceived by the numbers. The company keeps an eye on higher margin markets, as it produces some rigid-flexible circuits, as well as HDI/SBU packages. Ebeling believes the company might push even further into these markets. "We've doubled the amount of HDI/SBU packages and rigid-flex this year," he remarked.

VOGT electronic FUBA's range of PWBs is unusual. It poses a challenge to product scheduling, product line management, customer base management, front-end engineering and archiving. With a huge array of product folders in the archive, arranged in revolving drawers, it resembles a gigantic Roladex file. Circuit board types include double-sided PTH boards, multilayers, backpanels, PWBs with integrated heat sinks, rigid-flex, HDI boards, PWBs for press-fit, controlled impedance boards, PTFE boards for HF-applications, and thick copper PWBs.

The company's involvement in HDI began in 1999 with the use of hybrid lasers. There are now three hybrid lasers alongside a brand new Hitachi hybrid laser. The HDI production is at the time being mainly for automotive boards; there are no cell phone boards. The largest end-use segments for VOGT electronic FUBA's PWBs are automotive electronics, communications, and the third and fastest growing are boards for industrial electronics (for example, machine and production control systems). Its customer base includes such household names as Flextronics, Fujitsu, Siemens, Bosch, Delphi Delco, Solectron, Celestica, Alcatel, Lucent, Marconi and others.

Automation is Key

PWB fabrication at the facilities are highly automated, to the extent that it makes good sense considering VOGT electronic FUBA's wide range of product types and lot sizes. Electrical testing is outsourced. A large number of Orbotech InSpireR in-line AOIs (as well as a few older models) are in use. There are three fully automated innerlayer lines in Gittelde, producing approximately 1 million square meters annually. Each surface preparation line feeds two automatic cut sheet laminators and two automatic exposure machines which in turn feed one DES line each. VOGT electronic FUBA engineers proved their improvizing skills when a fire, which had started in a cable plenum during an off-hour shift, destroyed most of the innerlayer facility. Without missing a beat, leadership shifted some of the production from Gittelde to Dresden, and moved etching of innerlayers to the outerlayer facilities, switching from acid etching to alkaline etching.

Automation pervades the Gittelde production floor. The company runs horizontal in-line conveyorized direct metallization, a large, automated vertical plating line, a unique jury-rigged automatic handling interface for a (otherwise known as a manual) two-drawer collimated exposure unit, automatic post-etch punch, pulse plating etc. The Gittelde facility utilizes automated multilayer presses, while the Dresden facility has good success with the ADARA (Cedal) press design that allows lamination at lower pressures, and yields more homogenous lamination temperatures and pressures.

Three-Dimensional (3D) Molded Interconnect Devices (MID)

3D MID PCBs.

When it comes to three-dimensional molded interconnect devices, Ebeling also has ambitious plans for growing this market. Using a two-shot molding (or laser) process, the PCB maker can produce partially metallized plastics for automotive devices. "There are only a few competitors worldwide who can produce MID applications with laser structuring," said a confident Ebeling.

The 3D MID-Technology is employed to form three-dimensional circuits or other metallizalized functional plastic parts, based on a process developed by Siemens. The technology involves the use of a more or less expensive injection-molding tool and is therefore best suited for large series production.

3D MID units can be found in print heads and "smart seat belts." It can provide system solutions due to the integration of housings, plug-in connectors, heat-sink functions, shielding, and, last but not least, the circuit board itself. When discussing the future of 3D MID as it relates to sensors, Ebeling was certain it would be one of the primary drivers of the MID business.

The advantages are clear. They allow for a reduced part variety, higher temperature stability, fewer assembly steps, reduced weight, as well as new ways for system solutions due to integration and complexity which finally leads to cost reduction. "In 1992, we started with production. Since then, we've made many different parts," said Ebeling. Nevertheless, he also admitted there are pitfalls to this business. To make this product, "we always need very close contact with customers. New ways in cooperation with plastic suppliers, MID manufacturers and customers are required for the success of MID applications. The customer need to be willing and able to design it with us."

Roadmapping the Future

The company is passionate about its technology roadmaps, actualizing its progress at the beginning of each fiscal year. With a two- to five-year outlook, VOGT electronic FUBA explores the latest trends that promise to be profitable. R&D is done with a very critical eye, explained Mrs. Radinger-Dombert. "We are developing what the customer needs. In the last year, for example, we invested much energy in implementing our so-called Advanced High Density (AHD) Technology, and now we are able to do two-mil lines and spaces at profitable yields and have proved that already with a customer." According to Radinger-Dombert, VOGT electronic FUBA will begin producing this in volume in 2003.

The company's technology roadmap also includes consortia work on optoelectronic boards, expansion of HDI capacity and capability, testing and introduction of high performance base materials, suitable for HF applications and "halogen-free" base material. "Halogen-free," according to European regulations, allows up to 1,000 ppm residual chloride due to processing (the company has achieved < 900 ppm), but does not allow brominated Bisphenol A.

As the industry emerges from two difficult years, VOGT electronic FUBA leadership is convinced the company is stronger. Diversification remains its key---both in product and customer mix. It will continue to push for growth in Europe, and will continue to march to its own drum.

SIDEBAR: Recycling Technology: A 'Self-Sustaining' Process

The Germans are famous for their commitment to environmental stewardship, and VOGT electronic Fuba is no exception. The company runs adjacent to its PCB manufacturing plant a recycle center for un-assembled PCBs and material scrap. The recycling facility has been operational since 1995 and is self-sustaining (i.e., it is run as a profit center and yields earnings). Indeed, earning 2.4 million euros in FY 2000/2001, it pays to recycle. Material separation makes use of the different specific gravities of the metal, glass, and resin fractions and uses no wet processes. Hammer-mills convert the scrap into homogeneous, small particles. More than 25,000 tons of laminate scrap have been recycled so far. With a recycling capacity of about 5,000 tons/year, VOGT electronic FUBA uses 10-15% of this capacity internally while the rest serves PWB fabricators and laminate manufacturers from Central and Northern Europe. Recovered copper goes back to metal smelters, and the most successful use for glass fiber and resin fractions turns out to be pallets for underground mining and storage, taking advantage of the flame retardant property of the material.

With just ten employees, the center is capable of recycling un-assembled PCBs and base material scrap (FR4, FR3, CEM1, FR2) at the rate of 5,000 tons per year.