Originally Posted by mr. wally
is that the fab where the producing those 70", 80", and 90" panels?
Simple rule of thumb is Quattron is 10G and non Quattron is 8G. You will see less non-Quattron as half of the fab is being converted for Apple supply.
As per my post below from another thread, it is actually Terry Guo buying the 10G plant. I wouldn't be surprised if Apple TV turns out to be huge size. Apple had "huge size" LCD monitors.
The irony lost here is that CMI is itself in financial trouble but Guo did not bail it out with direct investment, but CMI doing rights issue instead.
Originally Posted by specuvestor
Looks like Sharp needs to be "rescued" to produce IGZO display for Apple. Does sound like Sharp will also be the one providing the Apple TV display. There goes the theory that Sharp is making tons of money from 10G making huge panels. Sharp Display Products is the 10G plant.
Hon Hai is the assembly partner of Apple in China, and the major shareholder of the largest panel maker in Taiwan- CMI
" March 27 (Bloomberg) -- Sharp Corp., which forecast a record loss this year, plans to raise 132.5 billion yen ($1.6billion) by selling new shares in itself to Foxconn Technology
Group and a stake in a display unit to Foxconn’s founder.
Foxconn, including Taipei-listed flagship Hon Hai Precision Industry Co., will buy 9.9 percent of Sharp for 66.9 billion yen, the Osaka-based company said in a statement today. Sharp
will sell shares for 550 yen, which is 11 percent more than its closing price today. Foxconn chairman Terry Gou and related investment corporations also will buy 46.5 percent of the
display unit for 66 billion yen."
" The sale of its Sharp Display Products shares will cut Sharp’s stake in the venture with Sony to 46.5 percent. Sony will keep its 7 percent holding, it said."
Originally Posted by rogo
It's an admission by Sharp that they need a capital infusion, that they have absolutely no prospects whatsoever to ever need more than half the production of Sakai
and that they are willing to do business with a Taiwanese company to achieve that.
Not sure about this. Apple was forced to ask its nemesis Microsoft to invest 10% into the company before it runs out of cash, and Microsoft pulling out Office. It speaks little of its potential, but certainly volumes on its past strategy and financial management.
PS interesting note by Barclays on 10G profitability. Not very profitable, even after the massive writedowns and reduced depreciation, but at least positive PnL:
(JPY mn) 3/2010 3/2011
Sales 86,923 266,261
Cost of goods sold 78,036 248,867
Gross profit 8,887 17,393
SG&A expense 2,130 6,119
Operating profits 6,756 11,274
Nonoperating income/expenditure -160 702
Recurring profit 6,595 11,977
Pretax profit 6,595 11,977
Taxes 4 4
Income taxes-deferred 2,684 4,875
Net profits 3,907 7,097
"we believe the sales price for Sharp’s 10G panel production plant was around book value (at around JPY66.0bn, see Figure 1), meaning there is little risk of an impairment loss (Our BPS for 13/3E is JPY593.7)" -Barclays