Seiko Epson to transfer part of LCD business to Sony

Seiko Epson and Sony has announced the execution of an agreement to transfer to the Sony group certain assets of the small- and medium-sized TFT liquid crystal display business operated by Epson Imaging Devices Corporation in the Epson group.

OEMpson and Sony have discussed a possible agreement in the field of small- and medium-sized TFT LCDs since their March 2009 announcement. The agreement calls for certain assets of the Epson group to be transferred to the Sony group, subject to receipt of necessary government approvals.

The sales function for small- and medium-sized TFT LCD business operated by Epson Imaging will first be transferred to the Sony group within 2009. Thereafter, it is planned that certain manufacturing-related assets for such business owned by Epson Imaging will be transferred to Sony Mobile Display Corporation on April 1, 2010, from which time they will be operated by the Sony group.

There will be no payment for the transfer of such business assets. No material impact on either Epson's or Sony's financial results for the current fiscal year for the transactions is anticipated.