TAIPEI – Compal Electronics today lowered its annual sales guidance by 9 to 13%, citing slowing US and European demand. The company, the world's second largest contract assembler of laptops, expects to ship 28 million to 29 million units this year, down from a previous forecast of 32 million. The company also forecast third-quarter shipments would grow 15% sequentially, down from earlier guidance of 20%.

The company said, "Overall demand is a bit soft," with US demand "relatively weak" and Europe "also looking weak," Reuters reported.

The company reiterated its 2009 optimism, saying global demand for notebooks and netbooks would hit 190 million units, up 38% on higher consumer spending and PC upgrades.