LG Display Utilization Rate at 80% in Q4’08

LG Display (LPL), one of the world’s largest LCD supplier, announced on December 10, 2008 that the company is revising its Q4’08 outlook. For the worst. LCD panel ASPs are now expected to fall by a low 20s percent in Q4’08, that’s quite a bit more than what the company expected previously: high single digits. Unit shipments in the Q4’08 was originally expected to grow in the low- to mid-teens. Now LPL has revised that to just low single-digit growth.

LPL stated that “demand for LCD panels has sharply declined and the price of LCD panels has dropped more than expected” due to the global economic turmoil. James Jeong, CFO at LPL, revealed that the company will be running its LCD fabs at about 80% utilization rate in Q4’08. This is more bad news coming out of the LCD panel supplier market. On the flip side this means that consumers will be able to benefit from lower prices from notebook PCs, LCD monitors to LCD TVs. But who has the disposable income to purchase these cheap LCD goods?

Source: Reuters

[tags]LG Display, LPL, LCD Manufacturer, Display Manufacturer[/tags]

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