Panasonic to Slash Flat Panel TV Investment by 23%
January 10, 2009
Affected by a consumer spending slowdown, Panasonic will cut its planned investment in two new Japanese plants manufacturing flat panel TVs by 23%, or about U$1.5 billion, Reuters reported on January 9. Pursuant to the plan, Panasonic will now spend 445 billion Yen (US$4.88 billion; US$1 = 90.5 Yen) on these two plants through 2012 instead of 580 billion Yen (US$6.4 billion) as originally planned, according to the same source.These two plants are located in Hyogo Prefecture, near Osaka, of which the Amagasaki plant is expected to begin PDP (Plasma Display Panel) TV production from May 2009, while the Himeji plant is slated for LCD (Liquid Crystal Display) panel production from January 2010. In addition, the company expects to exist some money-losing businesses, which have not yet been specified, according again to Reuters.