Haier Joins AU Optronics to Establish New Business for TFT-LCD TV Module Production

AU Optronics Corp. ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) held a meeting of the Board of Directors on April 29, 2010, at which the Board approved a proposition establishing a joint venture of TFT-LCD TV panel module production with Haier Group (Haier) in Haier Industrial Park, Qingdao, Shandong.

This is a demonstration for AUO to realize the practice of the new business model. Forming a strategic alliance with China's best value branded customer will bring a win-win result to both Haier and AUO.

The Board of Directors of AUO and that of Haier approved that the joint venture will be named "Qingdao Haier Optronics Co., Ltd" with a registered capital of US$ 7 million. Haier and AUO will own 70% and 30% of the shareholding of the joint venture company, respectively.

If the investment plan is approved by the relevant authority, the joint venture is expected to form closer ties between AUO and the Chinese local brand maker, deepening AUO's presence in northern China, in addition to the Company's existing business presences in eastern China, southern China, and western China.

Source: http://www.auo.com/

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