To improve its profitability, Panasonic Lighting System will be closing two LED factories separately located in Hirakata, Osaka Prefecture and Yawata, Kyoto Prefecture. The two factories LED production and 250 employees will be relocated to factories in Iga, Mie Prefecture and Tamba, Hy?go Prefecture, according to Japan’s Kyodo News.
After shutting down the Kyoto and Hirakata plants, Panasonic plans to spend 1 billion Japanese Yen (US $10 million) on Iga and Tamba factory facilities to raise LED production capacity by 30%.
The two plants have mainly been producing residential and commercial luminaires. Panasonic intends to sell the two factories following the close down.
The Japanese company is striving to improve business and is targeting a sales of above 30 billion Japanese Yen. Company restructures will cover lighting, air conditioning, and the residential solutions businesses.
Panasonic’s stock value climbed up 9.0 Japanese Yen or 0.68% to 1,342 Japanese Yen at one point during its trading period on Monday.
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