Corning: LCD Demand Crumbling; Guidance Too High

November 18, 2008 at 7:23 am PT

Things keep getting worse for Corning (GLW), as demand for large-screen LCD televisions sags in the face of a global consumer recession.

The LCD glass maker this morning said it is now withdrawing the financial guidance it provided just a few weeks ago for the fourth quarter and for 2009.

In a statement, CFO James Flaws said that “Panel makers, particularly those in Taiwan, have continued to reduce the utilization of their factories heading into the second half of this quarter in response to weakened retail demand for LCD televisions and desktop monitors.” He added that demand in the company’s wholly owned display glass business “has dropped more precipitously than we expected just a few weeks ago,” with “additional, but less severe, reductions in demand at Samsung Corning Precision Glass,” its joint venture in South Korea.

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Tagged with: Barrons, Corning, desktop monitors, display glass, Eric Savitz, frontpage, James Flaws, LCD, LCD televisions, recession, Samsung Corning Precision Glass, South Korea, Taiwan, Tech Trader Daily

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Karl Quist

The LCD panel makers’ troubles are compounded by the fact that they are losing market share to Plasma TVs these days. With 1080p Plasma TV prices now at parity with LCDs, more and more people are choosing them for their superior picture. I saw that Panasonic’s Viera TH-42PZ85U 42 inch Plasma is available for just $950 here – http://www.techdealdigger.com/.....onics/4969

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