Samsung & Sony announcement

10 Apr 2006 15:11

Sony Corp10 April 2006 Press Release April 10, 2006 Samsung Electronics Co., Ltd Sony Corporation Samsung and Sony Conclude Basic Agreement on Manufacturing 8th Generation TFT LCD Panels at S-LCD Joint Venture Seoul, Korea / Tokyo, Japan, April 10, 2006 - Samsung Electronics Co., LTD(hereafter "Samsung") and Sony Corporation (hereafter "Sony") today signed aLetter Of Intent (LOI) on manufacturing 8th generation amorphous TFT LCD panelsat their joint venture, S-LCD Corporation (hereafter "S-LCD"). The target is tosign a definitive agreement by the end of June, 2006. Details of the co-operation are as follows: - We plan to establish an 8th generation amorphous TFT LCD panel production line (glass panel size: approximately 2,200mm x 2,500mm) at S-LCD (Tangjeong, ChungCheongNam-Do, Korea). S-LCD is currently manufacturing 7th generation amorphous TFT LCD panels. - We plan to invest approximately $2 Billion in the 8th generation amorphous TFT LCD panel facility and actual production is targeted to start in fall 2007. (Planned production capacity: 50,000 panels per month) The demand for LCD TVs is expanding and the large-screen TV market is expectedto be especially dynamic from now on. By launching a production line for 8thgeneration amorphous TFT LCD panels, Samsung will target further businessexpansion in the LCD panel market for LCD TVs and Sony will continue toproactively focus on cost-competitive and high-quality large screen productstargeting an expansion of its LCD TV business. This information is provided by RNS The company news service from the London Stock Exchange