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Matsushita will stop supplying GE with color TVs.

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An official of Matsushita Electrical Industrial Co. said the company will stop shipping the color televisions to General Electric for sale in the U.S. sometime in the spring this year. Talks over renewal of the contract broke down when the two sides failed to narrow theirprice differences. America Kotobuki Electronics Industries Inc., a Matsushita subsidiary in Vancouver, Wash., that has been making TVs for GE, is adjusting production to video-tape recorders, the official added.

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