LGD, the leading supplier of LCD panels, appears to be having some manufacturing issues when it comes to the 9.7" LCD panels that are used in the iPad 2. After receiving several defective units, Apple has reportedly pulled them until the issue can be sorted out.
LGD fell 1 million units short of their projected estimate of panel shipments. These defective units could have a lot to do with that. It will no doubt continue affecting them until the issue is resolved.