LG Philips LCD Q3 2006 Earnings Call Transcript (SeekingAlpha)

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2006-10-10 10:38:19.0

Tags: LG.Philips LCD Co. Ltd.

Question-and-Answer Session

Operator

(Operator Instructions)

The first question will be given my Mr. Jae Lee from Daiwa Securities. Please go ahead, sir.

Jae Lee - Daiwa Securities

I just wanted to know if you can break down the TV revenues by 40-inch segment and about 30-inch segment?

Ron Wirahadiraksa

Okay, thanks for the question. Champ.

Champ Shin

Revenue for 43 inches and above is remarkable growth in the third quarter. The percentage of revenue would be about 30% of sales, and then about 45% to 50% would be 30-something inches.

Jae Lee - Daiwa Securities

I see. Thank you. Regarding third quarter numbers, were there any inventory write-offs?

Ron Wirahadiraksa

No. As you have seen, we have substantially lowered our inventory and actually there was not a write-off, there was a write-up as a result of that. As prices have increased and also, we made efforts to keep our inventory very current, so that means the aging effect was also positive.

Jae Lee - Daiwa Securities

Great, thank you very much.

Operator

The following question will be given by Mr. C.J. Muse from Lehman Brothers. Please go ahead, sir.

C.J. Muse - Lehman Brothers

Good evening. Two quick questions. First, I was wondering if you could possibly break out the TV mix on a unit basis by size?

Ron Wirahadiraksa

Thanks for the question. Champ, you again.

Champ Shin

Let me have just a minute. I am looking for the core details in my book.

Ron Wirahadiraksa

How about your second question first?

C.J. Muse - Lehman Brothers

Sure, okay. Can you comment on whether or not the Asahi tank issue, I know it is in Taiwan, but is that impacting your ability to secure glass at all?

Ron Wirahadiraksa

No, we are not that heavily weighted in Asahi. We have made agreements, so there is no significant impact to LPL for that.

C.J. Muse - Lehman Brothers

Has that altered the conversation in terms of trying to drive down price for glass?

Ron Wirahadiraksa

We feel the glass situation is getting, for us, better and better. As you have also seen, we are slowing down capacity builds. We expect others to follow. Schott of Germany has entered. We are doing business with them already on a small scale, but it is basically good to keep the costs down. I do not think there will be any material impact to the glass price.

 

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