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Monday, February 09, 2009
Pioneer My Quit Flat-panel TV Business: report

Pioneer is to quit its loss-making flat-screen television business in a sweeping overhaul of its operations, the Nikkei business daily reported on Saturday.

The company had planned to end in-house production of plasma panels by the end of March and fit TVs with Panasonic panels instead. But, faced with worsening profit margins amid the global economic downturn and a stronger yen, which hurts exports, it has decided to end TV production altogether, the Nikkei newspaper said, without naming sources.

Pioneer had been restructuring its troubled plasma television operations, shedding hundreds of jobs and shutting a domestic plant last year. Pioneer will also spin off its loss-making DVD player operations to a new company to be set up with Sharp this year, the Nikkei said.

Pioneer today has commented on the newspaper's report, saying that the it has not yet made any official announcement on its reconstructing plans. The japanese company is expected to announce changes in its business in the 12th of February.

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