Home> Press Release> Press Release (2006)> ZEON Corporation Announces Build a New Plant in Himi City, Toyama Prefecture for Zeonor Film ® Used in Optical Applications

ZEON Corporation Announces Build a New Plant in Himi City, Toyama Prefecture for Zeonor Film® Used in Optical ApplicationsPrint Page

July 25, 2006

ZEON Corporation has announced its decision to construct a new Zeonor Film® plant for Optes Co., Ltd., its wholly owned subsidiary, in Himi City, Toyama Prefecture, in response to the rapidly expanding adoption of the new Zeonor Film® (stretched film), originally released in October 2004, in the wake of growing demand for LCD TVs, particularly those with larger displays.

The demand for large LCD TVs is expected to continue to expand at a brisk pace due to such factors as replacement TV purchases associated with the conversion to digital broadcasting. Ongoing expansion is currently underway at the existing Takaoka Plant of Optes Inc. (Takaoka City, Toyama Prefecture) to increase production capacity for optical film rolls to 40 million m2 and to 30 million m2 for the new Zeonor Film® (stretched film) by October 2006. ZEON had been considering plant construction and a new location due to the limited space at the Takaoka Plant.

The new plant will be constructed at a newly purchased site of approximately 170 thousand m2 in Himi. ZEON plans to complete the construction in September 2007 at a projected investment of about 10 billion yen for Phase I.
The site was selected from several candidates inside and outside of Toyama Prefecture, in consideration of the prefecture's enthusiastic courting and offer of substantial enterprise subsidies, good access to motorway, and proximity to the existing Takaoka Plant, enabling Optes to operate both effectively.

Capital investment for Phases II and III of the new plant is expected to be made in stages in accordance with the rise in future demand. ZEON projects production capacity for various optical films of approximately 100 million m2 per year, primarily for large LCD TVs.

Overview of the new plant

(1) Location:            Kamitako, Himi City, Toyama Prefecture
(2) Land area:           Approximately 170 thousand m2
(3) Building:            (I) Structure: Three-story steel frame construction
                  (II) Total floor area: Approximately 22 thousand m2
(4) Phase I production capacity:  Approximately 15 million m2 per year
(5) Phase I investment amount:   Approximately 10 billion yen

Supplemental Remarks

ZEON Corporation became the first company in the world to manufacture optical film using the melt extrusion process in October 2002 and began marketing Zeonor Film® as a polarizing roll film. The second phase of production capacity expansion was completed in February 2005. Zeonor Film® exhibits superior optical properties, including high transparency, low double refraction, low dispersion, and low photoelasticity. Zeonor Film® also features low moisture permeability and high heat resistance and provides excellent durability as optical film for LCDs. In addition to superior optical properties and durability, the new Zeonor Film® is characterized by high polarizing performance that is produced by stretching Zeonor Film®. Among other features, the product: (1) provides both polarizing and polarizing plate protection performance (2) supports the production of polarizing plates using roll-to-roll pasting technology and (3) contributes to improved screen stability.
The outstanding characteristics of the new Zeonor Film® reduce the number of parts and streamline the production process. In terms of quality, the product improves the durability of polarizing plates and prevents contrast deterioration caused by glow leakage from the surrounding screen area, leading to the expanding use of new Zeonor Film® for large LCD TVs.

Architectural rendering of completed plant

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Home> Press Release> Press Release (2006)> ZEON Corporation Announces Build a New Plant in Himi City, Toyama Prefecture for Zeonor Film ® Used in Optical Applications
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