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AUO Announces Its Leadership in TFT-LCD New Generation Facility; Fab Implements New Green Thinking

Posted on: Monday, 15 December 2008, 02:18 CST

HSINCHU, Taiwan, Dec. 15 /PRNewswire-Asia-FirstCall/ -- AU Optronics Corp. ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today announced that it has successfully turned on Taiwan's very first 46-inch LCD TV panel, produced by the Company's 8.5th generation ("G8.5") facility at its Taichung Science Park site, marking a landmark in the history of the development of Taiwan's new-generation TFT-LCD fabrication.

"For AUO itself, the significance of Taiwan's very first 46" panel produced by G8.5 technology is its profound breakthrough in manufacturing technology by overcoming the obstacles of a super-size G8.5 mother glass substrate. This success also symbolizes a technology advancement solely accomplished by our nationals, making Taiwan's TFT-LCD industry more competitive as a whole," said Dr. LJ Chen, President and COO of AUO, who very much accredited the endeavors of AUO G8.5 TFT, color filter and module, to the project team members.

"Every panel produced by a new generation fab represents a technology breakthrough. What really makes this 46-inch panel special are: firstly, this is a panel produced by a genuine green fab, and secondly, it is produced by the world's first TFT-LCD hybrid fab," added Dr. Chen, speaking in relation to AUO's continued leadership in this new generation of manufacturing process technology in the history of Taiwan's TFT-LCD development.

Following commitments envisaged in AUO's Green Solutions revealed early this year, the company's G8.5 fab not only showcases AUO's leading manufacturing process technology, but more significantly, it was also designed and built by many new green ideas, making it a genuine green fab, as well as realizing the company's green production commitment to AUO Green Solutions.

"Concerning the future growth of TFT-LCD applications, AUO, being a global citizen and a leading TFT-LCD supplier, has every responsibility and is pledged to minimize the environmental impact caused by the manufacturing process. We are working to fully implement measures in reducing energy consumption and waste, and more importantly, lead the Industry in building a green example for TFT-LCD fabs," said Dr. Chen.

Throughout the building stage, the project team has embarked on an ambitious scheme by striving to implement innovative ideas in a bid to seek the right use of all resources, including incorporating heat recycle design to the heat processors, which enables the reuse of heat emitted during production and results in up to 40% energy- savings per piece of equipment. In addition, to realize the idea that waste can be good, the team installed a wind turbine on top of some air outlets. These turbines are capable of generating more than 100KWh of electrical power per day, resulting in a carbon emission reduction of 25 tons annually, which is equivalent to the carbon emissions produced by 50,000 standard-size vehicles.

The project team also extended green innovations to conserve water. In addition to the fab's central water recycle system; some of the manufacturing processes points are interconnected by a Water Inter-use System (WIS), which enable points to share water resources without having the need to go through the entire fab's water recycle system. This design can effectively save 335,000 tons of water, an amount equivalent to 160 standard swimming pools. Furthermore, about the size of 7 standard international football stadiums, the enormous 50,000 square meters rooftop of the G8.5 fab utilizes a rainwater harvest system with an estimated capacity of over 25,000 tons of rainwater per year, an amount equivalent to 11 standard swimming pools.

The size of AUO's G8.5 mother glass substrate is 2200mm x 2500mm and can optimally cut up to six 52-inch or 55-inch panels and eight 46-inch panels. The G8.5 line in Taichung is targeted to enter mass production in Q3 of 2009. The line has timely flexibility to meet customers' demands for 40-inch and above panel sizes and its actual ramp-up is to be determined by future market demands.

This TFT-LCD hybrid fab consists of both 8.5 and 7.5 lines and this realization of an integrated single fab can improve production flexibility by 100%, providing customers a more satisfactory tailor-made service. This integration is a leading innovative design in the Industry, which allows AUO to maintain a cautious position in terms of its capacity input while enabling timely adjustments in accordance with market demands.

"Although the light at the end of tunnel is yet to be seen, we have always believed that opportunities come to those with the best readiness," added Dr. Chen.

(*) AUO hybrid fab consists of both G8.5 (mother glass substrate 2200mm x 2500mm) and G7.5 (mother glass substrate 1950mm x 2250mm) lines. The monthly full capacity of G8.5 line is 40,000 glass substrates and of the G7.5 line is 60,000 glass substrates.

The newly released pictures can be downloaded from AUO's corporate website URL: http://auo.com/auoDEV/pressroom.php?sec=Photos&ls=en

Any use of photographs must cite the source thereof is from AU Optronics Corporation.

ABOUT AU OPTRONICS

AU Optronics Corp. (AUO) is the world's 3rd largest manufacturers* of thin film transistor liquid crystal display panels (TFT-LCD). AUO is able to provide customers a full range of panel sizes and comprehensive applications, offering TFT-LCD panels in sizes ranging from 1.5 inches to greater than 65 inches. AUO generated NT$480.2 billion (US$14.8 billion) in sales revenue in 2007 and now houses a staff of more than 40,000 employees throughout its global operations spreading across Taiwan, Mainland China, Japan, Singapore, South Korea, the U.S., and Europe. Additionally, AUO is the first pure TFT-LCD manufacturer to successfully list at the New York Stock Exchange (NYSE). For more information, please visit AUO.com.

* DisplaySearch 3Q2008 WW Large-Area TFT-LCD Shipment Report dated October 29, 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 worldwide top three 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 June 4th, 2008.

For more information, please contact: Eva Chang Corporate Communications Division AU Optronics Corp Tel: +886-3-500-8899 x6529 Fax: +886-3-577-2730 Email: eva.chang@auo.com Yawen Hsiao Corporate Communications Division AU Optronics Corp. Tel: +886-3-500-8899 x3211 Fax: +886-3-577-2730 Email: yawen.hsiao@auo.com

SOURCE AU Optronics Corp.

Source: PR Newswire

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