Sharp to Close Two Small/Medium LCD Lines in Japan

On December 12, 2008, Sharp announced that it will close LCD panel production lines at two of its plants that manufacture small/medium LCD panels. One will be at its plant located in the Mie prefecture while the other will be a factory in the Nara prefecture. The closures will be from January 2009. Sharp is the largest LCD manufacturer in Japan. By the end of September 2009, Sharp will completely stop panel production from these lines according to Yoshiaki Ibuchi, an Executive VP at Sharp.

Small/medium LCD panel production will be shifted to the company’s advanced Kameyama plant located in the Mie prefecture. In addition, Sharp plans to lay off 380 temporary workers at three factories. Ibuchi added that full-time employees will not be laid off. Sharp still expects to sell 11 million LCD TVs in this fiscal year ending March 31, 2009.

I thought it was large-sized (10″+) LCD goods that saw demand disappear due to the global economic turmoil. I guess demand for small/medium LCD goods such as PMPs (Portable Multimedia Players), MP3 players, smartphones, GPS devices, etc. are also collapsing.

Source: Bloomberg, Reuters

[tags]Sharp, Display Manufacturer, LCD Manufacturer[/tags]

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