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Politics : Formerly About Applied Materials
AMAT 268.63-2.4%1:50 PM EST

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To: StanX Long who wrote (61881)3/11/2002 11:50:17 PM
From: StanX Long  Read Replies (1) of 70976
 
NEC to Use Taiwan Companies More to Assemble Personal Computers
By Minoru Matsutani and Yoshifumi Takemoto

quote.bloomberg.com

Tokyo, March 12 (Bloomberg) -- NEC Corp., Japan's second- largest chipmaker, will use Taiwanese companies more to assemble personal computers so it can devote resources to its software and services business, which remains profitable.

``We will ask Taiwanese companies that have factories in China to assemble 50 to 70 percent of our PCs'' by March 2003, NEC Executive Vice President Akinobu Kanasugi said in an interview, adding it has held talks with several companies. NEC now farms out less than 10 percent of its PC assembly to Taiwan.

NEC, whose shares are the third-worst performing on the Nikkei 225 stock average this year, is overhauling its PC business, turning assembly plants into customer support centers to recoup losses related to its manufacturing operations.
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