Lien Chang Electronic aims to be world's biggest FBT maker

Taipei, March 19, 2003 (CENS)--Lien Chang Electronic Enterprise Co., Ltd., a main local manufacturer of flyback transformers (FBTs) listed on the Taiwan Stock Exchange, expects to deliver 2,000 FBTs this year, hoping to becoming the globally largest producer.

Being an affiliate of the Teco Electric & Machinery Group, Lien Chang produces FBTs used in CRT (cathode ray tube) monitors, converters used in LCD (liquid crystal display) monitors, deflection yokes, power supplies, adapters, and inverters.

The global demand for CRT monitors is estimated to decrease by 20 million sets from 2002 to 60-70 million sets this year, Lien Chang indicated. However, the company believes its delivery volume of FBTs to rise to 20 million pieces this year due to the excellent quality of its products. The sales volume for this year is likely to make the company the largest producer of FBTs.

Lien Chang produces FBTs at its domestic factory and its factory in Dongguan of Guangdong Province, mainland China, with a total output of 1.5-1.7 million pieces a month. Viewing that many local manufacturers of LCD monitors have set up factories in the eastern region of mainland China, Lien Chnag will establish a factory of converters in Suzhou of Jiangsu Province next year. Upon operation of the new factory, the company's monthly production volume will be double the current level of 150,000-200,000 converters.

Thanks to fast growing global demand for LCD monitors and relatively high profitability of converters used in LCD monitors, Lien Chang expects its revenue and earnings per share for this year to rise from NT$1.60 billion last year to NT$1.80 billion and from NT$1.0 to NT$1.5, respectively.