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Sharp Shuffles LCD Plant Production

12/15/2008 12:04:00 PM Eastern

Tokyo — Sharp said here Monday that it will reorganize LCD panel manufacturing operations at its Kameyama No. 1, Tenri and Mie plants, as it prepares to begin production at a new plant in Sakai City, Osaka Prefecture, in January.

The opening of the new plant ahead of schedule combined with weakened global demand for LCD panels will result in the loss of some 380 temporary jobs, Sharp said.

The company said it will concentrate production of large LCD panels for TVs at its Kameyama No. 2 plant, which produces 8th-generation glass substrates.

Currently, Sharp produces small- and medium-size LCD panels at three plants in Mie and at its Tenri operation. Under the plan, production of some LCD panels from those plants will be shifted to Kameyama plant No.1, which produces 6th-generation substrates that can be more efficiently produced for small- and medium-size LCD panels, the company said.

Sharp said the changes, added to output from its Sakai plant, will enable it to become a stronger competitor in large-panel LCD TV production.

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