Furukawa Electric Plans 10% Higher Capital Expenditure

Furukawa Electric announced on Tuesday the consolidated capital expenditure increases by around 10% to 49.8 billion yen for fiscal 2008 started April from fiscal 2007. The firm expands the output of major products including optical fiber cable, high voltage electric cable and electrolytic copper foil to meet strong demand. The telecommunications unit plans 6.6 billion yen of expenditure for fiscal 2008. The unit expands the output capacity at optical fiber cable making subsidiary, OFS Germany while the unit expands emitting laser for next generation network in Japan. The energy and industrial products unit plans 7.3 billion yen of expenditure for fiscal 2008. The unit launches new plant of the high voltage electric cable making subsidiary, Shenyang Furukawa Cable in the month expanding the output capacity by 30%. The metals unit plans 9.9 billion yen of expenditure for fiscal 2008. The unit expands the electrolytic copper foil output gradually in domestic sites increasing the capacity by 20% to 8.5 million square meters as of June. The electronics and automotive systems unit plans 10.9 billion yen of expenditure for fiscal 2008 when the unit starts mass production of glass substrate for hard disc in the first half. The light metals unit plans 12.8 billion yen of expenditure to consolidation of domestic production and expansion of aluminium plate for solar panel.