DaJiYuan Global Chinese site – May 30, 2008 According to foreign report, Toppan CFI (Japan) CO., LTD plans to spend JPY28 billion dollars (about NT8 billion dollars) to extend capacity of CFI (Taiwan) to 24,000 sheets, which is 3 times of existing capacity. Once the news released and affected Sintek stock price immediately.
Toppan CFI (Japan) CO., LTD will name new Taiwan Color Filter plant “Toppan CFI”. Currently, AUO owns 49% stocks, and actively to run the company. AUO spent JPY12 billion (about NT3.4 billion dollars) to purchase AMTC 5.0G plant. Besides, CFI (Taiwan) will extend 5.0G capacity to 80,000 sheets and to mass production next year.
Indicated by Sintek, 5.0G CF has been presenting the critical condition since last year. Mainly is because many Color Filter providers continuously enlarge the productivity in 5.0G lines, or improve the manufacturing process to raise the product efficiency. Consequently, AUO attains to actively enlarge 5.0G Color Filter productivities.
Indicated by Sintek, the largest customer groups are HannStar and mainland China. CFI (Taiwan) expend the capacity will not directly effect Sintek. However; if BOE and Fuji have a joint venture together and be production next year, Sintek will be cautious about this fact.
After HannStar invested in Sintek, Sintek operated towards new directions. Last year, Sintek digested product stocks, and even approved capital reduction in the shareholders meeting on June13. In addition, Sintek plans to sell Hu Kou plant to CPT, and keep the best of Sintek. Finally, Sintek turned deficit to surplus, the EPS reached NT0.68 per share this year. The EBITA of April reached NT240 million dollars, as the legal person predict, the EBITA of 2nd quarter will reach NT750 million dollars. After sold Hu Kou plant, the revenue and profit reduced 20%. Nevertheless, the EPS still reached NT2-2.5 dollars per share. |