LG has denied it is pulling out of the plasma television market, following reports last week from a Korean news source that the company was to stop making the flat screen products.

The reports had quoted an LG exec as suggesting that with little profit incentive, the company was to end production of plasmas, as Pioneer did recently.

LG has now released a press release saying that as a founding member of the Plasma Display Coalition, it is still committed to the business and states that plasmas are an important segment in the market.

LG expects to sell more than 3 million plasma TVs in 2009 and will focus on bigger models of 50 inches and over, including two new 60 inchers.