VANCOUVER, CANADA -- October 15, 2002 -- Nam Tai Electronics, Inc. (“Nam Tai” or the “Company”) (NASDAQ/NM Symbol: NTAI and NTAIW) announced the final completion of construction work of its new factory premises and that the newly constructed 5-storey factory premises were handed over to Nam Tai by the construction company with government approval completion certificate. The new factory premises add approximately 138,000 square feet of production facilities to Nam Tai representing an increase of approximately 28% of manufacturing capacity. Together with the existing manufacturing capacity of approximately 488,000 square feet, Nam Tai’s manufacturing capacity, all based in China, is increased to approximately 626,000 square feet.
The new factory premises have two floors of class 1,000 clean room facilities, one floor for assembling facilities, one floor for office and the ground floor for warehouse. Currently, Nam Tai has only one floor of class 10,000 clean room facilities at its existing factory premises. The new facilities will definitely further strengthen the production capability of Nam Tai to produce more high end products. The added clean room facilities will be used for Nam Tai’s new business of manufacturing of RF modules and to expand its existing business of manufacturing LCD modules.
Nam Tai is installing new production equipment into the new factory premises and estimates $20 million will be expended as capital investment within the next six months. The new production lines are expected to be operational in March 2003. Nam Tai is confident that with the new production facilities it should be able to further diversify its lines of business and to explore different business opportunities.
Nam Tai Electronics, Inc. is an electronics design and manufacturing service provider to some of the world’s leading original equipment manufacturers. Nam Tai manufactures telecommunication products, palm-sized PCs, personal digital assistants, linguistic products, calculators and various components including LCD modules and RF modules both for mobile phones, transformers and LCD panels. The Company utilizes advanced production technologies such as chip on board (COB), chip on glass (COG), chip on film (COF), surface mount technology (SMT), ball grid array (BGA), tape automated bonding (TAB), and outer lead bonding (OLB) technologies. Further information is available on Nam Tai’s web site at www.namtai.com.