Canon to delay toner cartridge plant for 2nd time
"TOKYO, April 16 (Reuters) - Canon Inc (7751.T) said on Thursday it would delay the construction of a $1 billion toner cartridge components plant in western Japan for a second time due to a prolonged downturn in sales and usage of office equipment.
Canon, which competes with Xerox Corp (XRX.N) and Ricoh Co Ltd (7752.T) in copiers and printers, said in November it was delaying the start of construction to June 2009 from December 2008 amid sluggish demand."
Monday, April 20, 2009
It's tough out there for toner: Canon to delay toner cartridge plant for 2nd time
If your recurring revenue is toner this does not bode well. Is it a prolonged downturn in office equipment or is it a smaller Canon market share? Or just a smart business decision to align capacity with product demand? In any case it's an interesting data point.
at 6:31 AM