Advertisement

HindustanTimes Tue,02 Sep 2014

Panasonic to shrink TV business, exit plasma: Report

AFP  Tokyo, March 18, 2013
First Published: 10:48 IST(18/3/2013) | Last Updated: 11:48 IST(18/3/2013)
Embattled Japanese electronics giant Panasonic plans to scale down its television business and withdraw from manufacturing plasma displays, a report said today.
 


Under its mid-turn business plan to be announced on March 28, Panasonic will significantly downsize its television business over a three-year period starting next fiscal year from April, the business daily 'Nikkei' reported.
 
Panasonic intends to halt production of TV plasma panels at its main plant in Amagasaki in western Japan, around fiscal 2014, and had already written off the value of production equipment at the three buildings there by fiscal 2011, the report said.
 
'Jiji Press' reported a similar story, while a separate report by the 'Yomiuri Shimbun' said Panasonic will withdraw from the healthcare business and sell its healthcare unit as well as its buildings.
 
Like its domestic rivals, Panasonic was sideswiped by slumping sales on the back of the global slowdown and also took on huge restructuring costs, which contributed heavily to its bleeding bottom line.
 
Panasonic said last month it logged a nine-month operating profit of 121.95 billion yen (USD 1.29 billion), despite its whopping net loss, saying the positive result was due "mainly to fixed cost reductions and streamlining material costs".
 
Weak demand for flat-panel televisions, however, helped push total sales down 8.8 per cent to 5.44 trillion yen, it added.
 
In a statement, Panasonic said nothing had been decided yet, but added that discussions on the business strategy were ongoing.
Advertisement

Advertisement
more from Business

RBI asks banks to set timeline to process loans

To expedite credit decisions, the Reserve Bank of India on Monday asked banks to set a timeline for disposal of loan proposals but did not ascribe a particular timeframe for the same.
markets
Advertisement
Most Popular
Advertisement
Advertisement
Copyright © 2014 HT Media Limited. All Rights Reserved