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Technology Stocks : Lucent Technologies (LU) -- Ignore unavailable to you. Want to Upgrade?

To: Jacques Tootight who wrote (1981)	4/2/1998 6:58:00 PM
From: Boplicity	Respond to of 21876

Philips/Lucent venture sees Latin revs rocketing BUENOS AIRES, April 2 (Reuters) - Philips Consumer Comunications (PCC), a joint venture between Philips Electronics (PHG.AS) and Lucent Technologies (LU - news), said its Latin America sales will rise sixfold to $300 million in 1998. PCC's President and CEO Mike McTighe said the company aims this year for revenue to grow in the region to ''somewhere around $300 million from less than $50 million'' in 1997. McTighe spoke to Reuters during a presentation in Argentina of PCC's new products. The U.S.-based firm makes analog and digital cellular phones, wireless and conventional phones, answering machines and pagers among other devices. McTighe said PCC was considering establishing a production line in South America to supply the Mercosur customs union formed by Argentina, Brazil, Paraguay and Uruguay. ''I'm working with my Philips colleagues and my Lucent colleagues on whether we should manufacture in Brazil or in Argentina to serve that trade bloc. We hope we make a decision sometime in the next three to six months,'' McTighe said. He added that Philips and Lucent already have several plants in the area and so would not need to build a factory to install the production line. PCC is owned 60 percent by Philips and 40 percent by Lucent. It currently serves Latin America from its plant in Guadalajara, Mexico, which has 8,000 employees and makes 100,000 telecommunications devices a day. McTighe said the company anticipated revenues of $50 million for this year in Argentina. Last year Argentine revenue was $15 million. Andres Carvallo, PCC President for Latin America, said the company was aiming at a 30 percent market share in each product line in the region this year, from between seven to 10 percent last year. He added PCC would be launching seven different kinds of cellular phones by the end of the year . McTighe said global PCC revenue this year was expected at just under $3.0 billion.