Amsterdam, The Netherlands - Royal
Philips Electronics NV
said Monday that it has completed the transfer of
its money draining television businesses outside of North America and mainland
China into a joint venture with Hong Kong-based TPV Technology.
The new company, TP Vision, is 70 percent owned by TPV and 30
percent by Philips, and is headquartered in Amsterdam, according to the
Maarten de Vries, who was named the head of the venture, has
directed the company to become a top three player in its markets.
"TP Vision will be a strong player in the global TV market and
will ensure the continuity of the Philips TV brand in the markets," said
Philips CEO Frans van Houten in a statement announcing the transfer. "TP Vision
will leverage the strength of the Philips brand, innovation power and trade
relationships, with the additional scale and manufacturing strengths of TPV.
The TV partnership with TPV enables Philips to focus on expanding market leadership
positions across our healthcare, consumer lifestyle and lighting sectors."
Philips took a $363 million charge in the fourth quarter as part
of the separation from the television business.
TP Vision will be responsible for the design, manufacturing,
distribution, marketing and sales of Philips Television worldwide, with the
exception of mainland China, India, United States, Canada, Mexico and certain
countries in South America.
As part of the transaction, the Philips Television innovation and
manufacturing sites, commercial organizations, headquarters and employee base
of close to 3,300 will transfer to TP Vision.
In September 2008, Funai, through its P&F USA subsidiary,
licensed the rights to make and market Philips-branded TVs and video products
in the United States and Canada through 2013. The deal was expanded in 2009 to
cover North America, including Mexico, and 12 northern Latin American
Amsterdam, The Netherlands - Royal Philips Electronics NV said Monday that it has completed the transfer of its money draining television businesses outside of North America and mainland China into a joint venture with Hong Kong-based TPV Technology.