A transflective LCD includes a LC layer sandwiched between a pair of substrates, and a pair of polarizing films. The LCD device includes a reflection area and a transmission area in each pixel, the transmission area having a reflection film. A retardation film has a first portion in the refection area between the reflection film and the LC layer, and a second portion in the transmission area between the LC layer and the rear polarizing film. The retardation film has a slow axis perpendicular to an initial orientation direction of the LC molecules upon absence of an applied voltage and perpendicular or parallel to the optical axis of the front polarizing film. The orientation of the LC molecules upon display of a dark state has a direction different between the reflection area and the transmission area.