Falling demand takes toll on Nippon

Nippon Electric Glass Co, the world's third-biggest maker of glass for flat-panel televisions, headed for a three-year low in Tokyo trading on speculation demand will decline.

Nippon Electric Glass fell 11 percent to 1,117 yen as of 2:18 pm on the Tokyo Stock Exchange, set for the lowest close since July 2005. The stock was the biggest loser among 1,737 companies on the MSCI World Index.

The company's shares fell 14 percent on Sept 4 after Corning Inc, the world's biggest display-glass maker, lowered its third-quarter profit target by 12 percent, citing an industrywide inventory buildup. Taiwan-based Chi Mei Optoelectronics Corp said yesterday it will continue reducing panel output next month, joining LG Display Co, the world's second-largest maker of liquid crystal displays.