Matsushita forms unit in RI

Matsushita forms unit in RI

TOKYO (Reuter): Matsushita Electric Industrial Co. Ltd. said
yesterday it would form a lithium battery production subsidiary
in Bekasi, Indonesia, in June to meet growing demand for the
product throughout Asia.

The new company, PT Panasonic Battery of Indonesia, will be
capitalized at US$10 million and owned 35 percent by Matsushita
and the rest by two of Matsushita's subsidiaries.

The new company plans to start in December production of coin-
type lithium batteries, which are used in a wide range of
electronic products including card-type calculators, electronic
note books and watches.

Matsushita plans to invest about $20 million and to make 50
million lithium batteries at the Indonesian unit in 1997.

Batteries produced at the new plant will be exported mainly to
Hong Kong, Taiwan, Malaysia and Singapore.

The new company will be Matsushita's second overseas
production base for lithium batteries. The first unit was formed
in the U.S. state of Georgia.