Integration Of The Big Three Domestic Lcd Plans To Eventually Stranded – Medical Air Cushion

BOE (000725.SZ) issued a public notice that, because of “technical obstacles”, the three liquid crystal giants “can not be implemented to achieve the overall program, so far, no substantial progress in integrating three.”
This means that the relevant ministries led by the State BOE, SVA LCD with IVO Big Three thin-film transistor liquid crystal display on the conduct of (TFT-LCD) business integration program ran aground.
The integration planning related to the company include: BOE, Shanghai SVA (Group) Co., Ltd., Shanghai SVA Electron Co., Ltd., Shanghai SVA Information Industry Co., Ltd., Kunshan Economic and Technical Development Zone Assets Operation Co., Ltd., Dragon Holdings Limited .
BOE person on the “First Financial Daily” said that the program is only a temporary disruption, does not fail, and no end, now including the BOE, including the tripartite parties still actively pursuing integration. However, he did not say, so-called “technical barriers” what does it include the factors.
In 2007, the State Development Bank and the Ministry of Information Industry jointly promote, encourage BOE, SVA and IVO three panels will each of the Five plants out of line cutting, combined to form the unity of the joint venture operations, restructuring the new company, tentatively China Optoelectronic Display Corporation.
These people believe that integration of the domestic LCD business is very necessary. He pointed out that the face of increasingly competitive flat-panel TV market, domestic color TV enterprises lack of resources in the panel will be competitors strangle neck. Currently rely on a business to promote China’s LCD panel and flat panel TV’s development, it is more difficult, only a few together to complement each other, to promote the LCD panel industry. Therefore, to promote tripartite integration of the LCD panel industry in line with national development planning, also in line with the interests of enterprises.
The insider told this reporter, who led in the reorganization, the completion of restructuring of how their own interests after the distribution has always been an important factor impeding the restructuring process. It is also in a variety of factors, the overlap process described as “tortuous.”
Good integration of the tripartite development of a timetable, the June 28, 2007, BOE announcement said integration would be postponed three year in September, by the end of August 2007, BOE and SVA also announced that, TFT-LCD panel integration issues , the parties had reached a basic view, to declare the work already under way, but in late 2007, this integration is again stranded.
According to industry sources, over radio and television and the BOE’s main negotiating parties have been holding ratio, a new plant location have different views on such issues. In 2005, in order to compete for the upper LCD panel maker Corning’s site, the two sides had been intense competition, from which we can glimpse the different positions of the two sides.
The LCD market rebound in 2007, compared with an increase of this integration variables. Integrated solutions in the plan beginning, SVA, BOE and other enterprises have suffered substantial losses, which losses of 1.731 billion yuan in 2006 BOE, SVA and IVO have also been no profits.
But in 2007, LCD panel market is improving a lot of panel manufacturers in sales revenue and net profit are to achieve substantial growth, BOE has achieved annual losses, according to Display Search Data show that in 2008 LCD panel prices will continue to rise, and LCD panels were in short supply situation will continue.
When to start again on integration issues, to the press until the time of writing, the parties have said no.

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