NEC health warning over dodgy chips

NEWS NEC operating profit for the year to March will be $1.64bn, on sales of $46bn - well below earlier estimates - as slumping chip prices and slowing PC demand continues to hit the global computer industry. The revised operating profit figure represents a 72 per cent gain on the previous year's results, due in part to restructuring charges incurred last year. Rival consumer electronics maker Matsushita has announced its net profits will be $450m - 49 per cent down on its previous estimate of $880m, as it faces slowing demand for mobile phones and PCs.