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BARGAIN-PRICED TV SETS EQUAL HUGE LOSSES FOR THEIR MAKERS

May 14, 2012 by · Leave a Comment 

Those bargain prices for big-screen HDTV sets may be wonderful news for worldwide consumers, but they represent devastating losses for their Japanese and Korean manufacturers. Sony and Sharp have already reported record losses primarily attributable to cutthroat competition to unload a glut of inventory of those sets, and now comes Panasonic to report its biggest annual loss ever — $9.7 billion versus a profit of $927 million a year ago. At a news conference Panasonic senior managing executive officer Takumi Kajisha vowed to “achieve a V-shaped recovery.” Investors were not so optimistic. Panasonic shares on the NYSE fell to $7.01, a 52-week low.