LG plans more RI plants

LG plans more RI plants

SEOUL (AFP): South Korea's LG Electronics Co. said yesterday it would build a 150-million-dollar joint venture plant with Japan's Asahi Glass and two other Indonesian firms to produce TV tube parts in Indonesia.

The joint venture, P.T. Video Display Glass Indonesia, will be capable of churning out 10 million color picture tube funnels, the rear part of the tube, from October 1997.

Start-up capital for the project was set at US$40 million dollars, with 36 percent of the total provided by LG, 54 percent by Asahi Glass and 10 percent from two Indonesian partners, Rodamas and Subentra, a LG spokesman said.

The plant would be later supplemented with production lines for panels, the front parts of picture tubes, at a cost of another 150 million dollars, the spokesman said.

By 2000, it would be capable of producing seven million panels annually as well as the funnels for sales in Indonesian and international markets, he said.