CORNING, N.Y.--(BUSINESS WIRE)--The greater China market represents a $2 billion opportunity for Corning Incorporated (NYSE: GLW) Eric Musser, chief executive officer of Corning Greater China region, will tell participants today at the company’s annual investor meeting in New York.
Within the past year Corning announced about $1 billion in new investments in China, including a plan to build the company’s first LCD glass melting facility and expand its light-duty substrate manufacturing operation. “Our total China sales exceeded $800 million last year. We are forecasting sales of at least $1.2 billion this year, and we could reach $2 billion in revenue by 2014,” Musser said.
China’s market trends are creating growth opportunities across Corning’s diverse businesses, he will point out. “We believe that China’s LCD TV end market represents more than 20% of the worldwide total. Consequently, LCD panel manufacturers have been investing in China-based production for the past several years. Corning is making significant investments in its LCD glass manufacturing capabilities to meet this increasing market demand.
“China became the largest consumer market for automobiles in 2009,” he will add. “Stricter emissions regulations now being implemented in China are driving increased demand for Corning’s clean-air products, and we have expanded in-country capacity to meet this growing market opportunity.”
China has been Corning’s largest market for optical fiber in recent years. Musser will explain that Corning expects China to continue making significant investments in building out the nation’s wireless, FTTH, and enterprise networks for several additional years. “We anticipate China’s fiber-to-the-home subscriber base could grow at a compound annual rate of more than 150% and optical solutions in the data center space may continue at a 20% compound growth rate, both through 2014,” he will say.
China investments in the pharmaceutical industry are creating opportunities for Corning’s laboratory products as well. Corning recently announced plans to establish a new life sciences manufacturing and distribution facility in China and to expand its consumable labware product offerings.
Additionally, the company is also engaged in discussions with a number of Chinese customers interested in Corning’s thin-film photovoltaic glass for solar-energy applications.
“Corning has invested in China for more than 25 years. We have established leadership positions in each of our major businesses. With increased investments and technology innovation across each business, we should be able to continue growing in China and meeting the needs of the world’s largest consumer market,” Musser will conclude.
Forward-Looking and Cautionary Statements
This press release contains “forward-looking statements” (within the meaning of the Private Securities Litigation Reform Act of 1995), which are based on current expectations and assumptions about Corning’s financial results and business operations, that involve substantial risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include: the effect of global political, economic and business conditions; conditions in the financial and credit markets; currency fluctuations; tax rates; product demand and industry capacity; competition; reliance on a concentrated customer base; manufacturing efficiencies; cost reductions; availability of critical components and materials; new product commercialization; pricing fluctuations and changes in the mix of sales between premium and non-premium products; new plant start-up or restructuring costs; possible disruption in commercial activities due to terrorist activity, armed conflict, political or financial instability, natural disasters, adverse weather conditions, or major health concerns; adequacy of insurance; equity company activities; acquisition and divestiture activities; the level of excess or obsolete inventory; the rate of technology change; the ability to enforce patents; product and components performance issues; retention of key personnel; stock price fluctuations; and adverse litigation or regulatory developments. These and other risk factors are detailed in Corning’s filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the day that they are made, and Corning undertakes no obligation to update them in light of new information or future events.
About Corning Incorporated
Corning Incorporated (www.corning.com) is the world leader in specialty glass and ceramics. Drawing on more than 150 years of materials science and process engineering knowledge, Corning creates and makes keystone components that enable high-technology systems for consumer electronics, mobile emissions control, telecommunications and life sciences. Our products include glass substrates for LCD televisions, computer monitors and laptops; ceramic substrates and filters for mobile emission control systems; optical fiber, cable, hardware & equipment for telecommunications networks; optical biosensors for drug discovery; and other advanced optics and specialty glass solutions for a number of industries including semiconductor, aerospace, defense, astronomy and metrology.
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