| Hitachi, Toshiba and Matsushita Conclude Agreement for
Establishment of TV LCD Panel Joint Venture, IPS Alpha Technology|
29 October, 2004
Tokyo, October 29, 2004 --- Hitachi, Ltd. (NYSE:HIT / TSE: 6501, "Hitachi"),
Toshiba Corporation (TSE: 6502, "Toshiba"), Matsushita Electric
Industrial Co., Ltd. (NYSE: MC / TSE: 6752, "Matsushita") and
wholly owned Hitachi subsidiary Hitachi Displays, Ltd. ("Hitachi
Displays") today officially concluded a joint venture agreement to
establish a company to manufacture and sell LCD panels for flat panel
TVs. This agreement follows a basic agreement signed on August 31 this
The joint venture, to be called IPS Alpha Technology, Ltd. ("IPS
Alpha"), is scheduled to commence operations on January 1, 2005.
President of Hitachi Displays, Mr. Fumiaki Yonai, will serve concurrently
as president of IPS Alpha.
||IPS Alpha will manufacture LCD panels using Hitachi Displays'
world-leading IPS mode system technology. Close collaboration with
IPS Alpha is expected to achieve synergies in the production of finished
products at Hitachi, Toshiba and Matsushita, allowing them to achieve
LCD TVs that are even more competitive in terms of performance and
|| IPS Mode System Technology
In-Plane-Switching (IPS) mode system is a type of TFT LCD display
technology. IPS is distinguished by a wide 170-degree viewing angle,
both horizontally and vertically, along with minimal gray-scale inversion
and viewing-angle dependency, reproducing lifelike images, which is
made possible because the liquid crystal molecules can rotate while
remaining parallel to the substrate when a voltage is applied, yielding
perfect orientation of the crystals. The advanced super (AS)-IPS mode
system for use in televisions, large-screen monitors and other applications
achieves an approximate 30% improvement in the aperture ratio over
conventional IPS technology. Furthermore, AS-IPS realizes a higher
level of brightness and reproduces colors more realistically thanks
to high-purity color filters and other proprietary technologies.
Outline of IPS Alpha
||IPS Alpha Technology, Ltd.
||Commencement of operations:
||January 1, 2005
|| 60-70 billion yen
|| Hitachi Displays 30-35 billion yen (50%);
Toshiba 15 billion yen (21-25%);
Matsushita 15 billion yen (21-25%);
other companies 0-5 billion yen (0-8% projected)
||Mobara, Chiba Prefecture, Japan
||Manufacture, design, sales and related maintenance
and services of amorphous TFT LCD panels
||Approx. 110 billion yen
|| Amorphous TFT LCD panels for TVs 23-inches and above
|| Equivalent of 2.5 million 32-inch units per year (Maximum
output scheduled to be realized in second half of fiscal 2008)
(Paragraphs marked *1 and *2 and Items 4. and below in the above outline
are based on the prior news release issued on August 31, 2004, titled
"Hitachi, Toshiba and Matsushita Agree to Establish a TV LCD Panel
About Hitachi, Ltd.
Hitachi, Ltd. (TSE:6501/NYSE:HIT), headquartered in Tokyo,
Japan, is a leading global electronics company, with approximately 326,000
employees worldwide. Fiscal 2003 (ended March 31, 2004), consolidated
sales totaled 8,632.4 billion yen (U.S. $81.4 billion). The company offers
a wide range of systems, products and services in market sectors, including
information systems, electronic devices, power and industrial systems,
consumer products, materials and financial services. For more information
on Hitachi, please visit the company's Web site at http://www.hitachi.com.
About Toshiba Corporation
Toshiba Corporation channels wide-ranging capabilities in information
and communications systems, electronic components, consumer products and
power systems into development and innovation in advanced components,
products and systems, including LCDs and LCD TVs. Toshiba has 161,000
employees worldwide and annual sales of over U.S. $50 billion. Visit Toshiba's
web site at www.toshiba.co.jp/index.htm.
About Matsushita Electric Industrial Co., Ltd.
Matsushita Electric Industrial Co., Ltd., best known for its Panasonic
brand name, is a worldwide leader in the development and manufacture of
electronic products for a wide range of consumer, business, and industrial
needs. Based in Osaka, Japan, Matsushita recorded consolidated net sales
of U.S. $71.92 billion for the year ended March 31, 2004. Matsushita's
shares are listed on the Tokyo, Osaka, Nagoya, New York (NYSE:MC), Euronext
Amsterdam and Frankfurt stock exchanges. For more information on Matsushita
and its Panasonic brand, visit the Matsushita's website at http://www.panasonic.co.jp/global/top.html.
Corporate Communications Division
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