IR News

Closure of MT Picture Display (M) Sdn. Bhd.

MT Picture Display (M) Sdn. Bhd. (MTPDM) a Malaysian subsidiary of Matsushita Toshiba Picture Display Co., Ltd. (MTPD), a joint venture of Matsushita Electric Industrial Co., Ltd. and Toshiba Corporation, will discontinue operations in August 2006, and initiate liquidation procedures.

MTPDM manufactures cathode ray tubes (CRTs) for 21- to 32-inch TVs that are exported to the Japanese and North American markets. The company faces declining demand for CRTs and intensified price competition from fast growing sales of flat-panel TVs in the markets it supplies. MTPDM’s closure is part of MTPD’s continuing restructuring initiative to realize an optimized CRT manufacturing structure in Asia and China.

As a result of this closure, Toshiba will not revise either of its consolidated or non-consolidated financial forecasts (announced on April 28, 2006) for the year ending March 31, 2007.

Note:

MTPDM Company Overview

1. Basic Information (as of June 30, 2006)

   Company name	MT Picture Display (M) Sdn. Bhd
   Representative	Tetsuo Hasegawa, Managing Director
   Location of head office	Shah Alam, Selangor Darul Ehsan, Malaysia
   Date of incorporation	October 9, 1990
   Principal business	Manufacture and sales of CRTs for TVs
   Share capital	RM 1,025,000,000
   Number of employees	2,162
   Outstanding shares	1,025,000,000 shares
   Shareholder’s equity	RM 1,025,000,000
   Total assets	RM 200,428,000
   Financial closing date	March 31
   Shareholders (% ownership)	Matsushita Toshiba Picture Display Co., Ltd. 100%
   Principal customers	Group companies of MEI, Toshiba and JVC, and others
   Financial Institution	Panasonic Financial Centre (Malaysia) Sdn. Bhd.

2. Financial Results (for the most recent three fiscal years)
   
   (thousands of RM, except per share amounts, which are in RM)

   Fiscal year ended:	March 2004	March 2005	March 2006
   Sales *	743,331	1,102,884	972,959
   Income (loss) before taxes *	(38,640)	(65,583)	(114,266)
   Net income (loss) *	(38,640)	(158,365)	(969,422)
   Net income (loss) per share	(0.04)	(0.15)	(0.95)
   Cash dividends per share	---	---	---
   Shareholders’ equity per share	0.002	(0.15)	(1.10)

   (Note) * Amounts less than RM 1,000 have been omitted.
   
   
   This document is a translation of the Japanese-language original document that was submitted to the Tokyo Stock Exchange on the date at the head of this document.