February 12, 2009
Pioneer to cut jobs, shed flat-screen TVs
Japanese electronics giant Pioneer said it would cut 10,000 jobs and pull out of the flat-screen television business as sales have plummeted.
Once the world leader in flat-screen television production, the company said it
has been affected significantly by dramatic changes in economic conditions since the fall of 2008.
The company said it was beset by slumping sales.
Lackluster auto demand has chipped away at its car electronics division, where revenues fell 28.4 percent in the third quarter from a year ago. Home electronics revenue fell 48.9 percent from a year ago, the company said,
largely as a result of lower sales of plasma displays, DVD drives and audio products.
Display products sales made up 39 percent of the company's home electronics revenues, a drop from 42 percent a year ago.
The company's home electronics division lost $107.2 million in the third quarter due to lower sales and a shrinking profit margin in the television business, the company said.