HSINCHU, Taiwan, March 31 /Xinhua-PRNewswire-FirstCall/ -- AU Optronics Corp. ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today announced that its Board of Directors has approved the purchase of Qisda Corporation’s common shares at the amount within NT$ 2 billion through a private placement. AUO plans to acquire 90,456,800 common shares at NT$22.11 per share with total share holding reaching 9.58% stake of Qisda. Through this investment, the company expected to strengthen further strategic relationship and created a three-win strategy for AUO, Qisda and customers. Both AUO and Qisda can further foster their core competitiveness respectively and provide brand customers with better solutions in capturing emerging trends of TFT-LCD applications in consumer electronic market.
AUO stated that the recent alliances among some TFT-LCD manufactures, system integrators, together with some brands have been changing TFT-LCD supply chain. This trend will also support consumer electronic products in customization and diversification with the right time to market. To provide better service to its brand customers and take potential business opportunities at an early stage, AUO will prepare itself for the next move by building up further relations with important system integrators. Since Qisda has been a long-term strategic partner to AUO, the Board of Directors also believes the decision will support AUO’s long-standing sustainability. It is believed that the tie-up investment will help Qisda, an important customer to AUO, to scale up its business operation as well as enhance the competitiveness and operational efficiency for both entities through a stronger cooperation relationship, and to maximize mutual shareholder values."
ABOUT AU OPTRONICS
AU Optronics Corp. ("AUO") is the world largest manufacturer* of
large-size thin film transistor liquid crystal display panels ("TFT-LCD"), with approximately 20.3%* of global market share with revenues of NT$480.2 billion (US$14.81billion)* in 2007. TFT-LCD technology is currently the most widely used flat panel display technology. Targeted for 40"+ sized LCD TV panels, AUO’s new generation (7.5-generation) fabrication facility production started mass production in the fourth quarter of 2006. The Company currently operates one 7.5-generation, two 6th-generation, four 5th-generation, one 4th-generation, and four 3.5-generation TFT-LCD fabs, in addition to eight module assembly facilities and the AUO Technology Center specializes in new technology platform and new product development. AUO is one of few top-tier TFT-LCD manufacturers capable of offering a wide range of small- to large- size (1.5"-65") TFT-LCD panels, which enables it to offer a broad and diversified product portfolio.
* DisplaySearch 4Q2007 WW Large-Area TFT-LCD Shipment Report dated Jan
23, 2008. This data is used as reference only and AUO does not make
any endorsement or representation in connection therewith. 2007 year
end revenue converted by an exchange rate of NTD32.43:USD1.
Safe Harbour Notice
AU Optronics Corp. ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO), the world’s third largest manufacturer of large-size TFT-LCD panels, today announced the above news. Except for statements in respect of historical matters, the statements contained in this Release are "forward-looking statements" within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. These forward-looking statements were based on our management’s expectations, projections and beliefs at the time regarding matters including, among other things, future revenues and costs, financial performance, technology changes, capacity, utilization rates, yields, process and geographical diversification, future expansion plans and business strategy. Such forward-looking statements are subject to a number of known and unknown risks and uncertainties that can cause actual results to differ materially from those expressed or implied by such statements, including risks related to the flat panel display industry, the TFT-LCD market, acceptance and demand for our products, technological and development risks, competitive factors, and other risks described in the section entitled "Risk Factors" in our Form 20-F filed with the United States Securities and Exchange Commission on December 31, 2006.
