(The following press release from IHS Inc. was received by e-mail. The 
sender verified the statement.) 
In a First for the Industry, LCD TV Panel Shipments Dip in Q3 
El Segundo, Calif. (Oct. 4, 2013)—For the first time ever, the global market 
for liquid-crystal display television (LCD TV) panels declined in the third 
quarter of 2013 compared to the second, a worrisome development during what is 
normally a strong period of the year. 
Worldwide LCD TV panel shipments in a preliminary estimate during the third 
quarter amounted to 58.0 million units, down from 58.8 million in the second 
quarter, according to a new LCD Market Tracker report from IHS Inc. (NYSE: 
IHS), a leading global source of critical information and insight. Last year, 
third-quarter shipments totaled 60.0 million, up markedly from 54.5 million 
during the previous quarter. 
The attached figure presents the IHS estimate of the LCD-TV panel shipments in 
the third quarter. 
“LCD TV panel shipments went through a soft period in the third quarter,” said 
Ricky Park, senior manager for large-area displays at IHS. “The downshifting of 
the market comes as a surprise because the third quarter is usually a time when 
things start heating up, in preparation for the furious upcoming fourth-quarter 
selling season. However, consumers have not been buying as many new television 
sets as originally hoped, leaving TV brands with panels that they haven’t been 
able to move.” 
The stockpiles held by brands have been aggravated in particular by the large 
panel shipments made to them by LCD TV panel makers during the first half of 
the year. 
China turns off TV 
The weak third-quarter numbers will be especially hard on panel makers that 
serve Chinese TV brands. TV sales in China have been on the decline since the 
end of the second quarter, and sales are not expected to improve much despite 
the upcoming China National Day in October. Among the panel makers affected by 
this turn of events are Innolux and AUO of Taiwan, both of which suffered a 
fourth month of declining shipments during July. 
Some other panel makers, however, are having a better time. One Chinese-based 
maker, CSOT, is maintaining healthy inventory even though it has the highest 
portion of Chinese customers for TV panel shipments, thanks to an expansion in 
its client base that includes, the largest TV brand in sales, Samsung from 
South Korea. 
Overall, panel suppliers whose main customers are outside of China will also 
enjoy relatively better prospects than panel makers whose main clientele are 
the Chinese. For instance, makers like Samsung Display and Japan’s Sharp, with 
the lowest percentage of Chinese TV brands as customers, will see their share 
of the LCD TV panel market enlarge in the third quarter. 
Panel makers kept overall fab utilization rates at 83 to 84 percent in the 
third quarter, not too far off from the 80 to 83 percent level seen in the 
second quarter. Utilization rates, however, are not likely to increase moving 
forward because of uncertainty in the fourth quarter, coupled with continuing 
weak demand from the market. 
BOE stands out 
Among panel makers, Beijing-based BOE was the one to have increased shipments 
in July. Top-tier brands like Samsung and LG were among the panel buyers that 
increased their purchasing volume from BOE during the month. 
(rml) NY
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