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AUO's G6 LTPS TFT-LCD Fab in Kunshan Announces Its Grand Opening with Successful Mass Production

Establishing the World's Most Competitive LTPS Fab

Published date:2016-11-16

Hsinchu, Taiwan,

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AUO Corporation ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today announced the grand opening of its G6 LTPS (Low Temperature Poly-silicon) TFT-LCD Fab in Kunshan and success in entering mass production, making it the fastest LTPS fab to have achieved equipment move in, light up, and mass production, setting a new industry record(*). Since lighting up its first panel in August, AUO Kunshan fab has spent less than three months to achieve mass production, again demonstrating AUO's leading technologies, capacity for mass production, and robust execution.

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AUO Kunshan fab has the monthly capacity 25,000 glass substrates. The fab focuses on producing high-end LTPS panels with high resolution, large active display area, and slim and light features, including high-end smartphone displays, ultra high resolution notebook PC displays, and in-cell touch panels for smartphones. "The mass production of Kunshan fab will make AUO's high-end capacity deployment even more complete, providing the best support possible for customers’ market development in China," said Paul SL Peng, AUO's Chairman & Chief Executive Officer. "We will continue to present product solutions with differentiation, quality optimization and value enhancement to provide our customers with even more timely service and value, realizing mutual growth, mutual benefit and win-win with our customers and partners."

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Combining Management, Talent and Technological Strengths to Create a Globally Competitive LTPS Fab
AUO has engaged itself in the development of LTPS technology at the Kunshan fab, investing a significant amount of R&D resources in all aspects including materials, equipment and product development. The industry's most state-of-the-art devices are adopted at the Kunshan fab(*), applying high efficiency smart factory design to significantly increase production efficiency and product quality. In addition, its one-stop production strengths and professional team of talents also contribute to the creation of a globally competitive LTPS fab. "The Kunshan fab is in every way the fruit of AUO's twenty years of efforts in technological development, product design, production management, and green energy and practices. It is the LTPS fab(*) with the world's most advanced manufacturing process technnologies and production equipments," said Paul SL Peng. "We have our customers and partners to thank for their long-term support contributing to the impressive performance of Kunshan fab. Meanwhile we would like to extend gratitude especially to the Kunshan City Government for their valuable inputs and concrete assistance during the building and mass production of the Kunshan fab. We hope that, based on the solid technological capacity, AUO Kunshan fab will secure its position in the global LTPS display business and facilitate the innovative development of the optoelectronic industry in Kunshan.”

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China's First LEED Platinum-Certified TFT-LCD Fab(*), Implementing Green and Sustainable Practices
Carrying the same dedication for green energy and sustainable practices, the Kunshan fab is AUO's second, and China's first TFT-LCD fab having garnered LEED Platinum Certification from U.S. Green Building Council (USGBC) (*). The Kunshan fab has introduced various kinds of energy and water efficiency management designs as early as in the fab's planning stage. Overall, it has achieved an energy reduction of 50%, saving around 470 million kWh of electricity annually, equivalent to the electricity generated sufficient to supply around 120,000 households in Kunshan for a year. In terms of water usage efficiency, a high process water recovery rate of 90% has been reached. AUO Kunshan fab has an area of 480,000m2. Its all-round green building design has made it currently the largest LEED Platinum certified green campus for high-tech fabs(*).

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AUO Tech Forum Successfully Held to Establish Exchange Platform for the Display Industry
To celebrate AUO's 20th anniversary, the Company also selected the same day to hold the 2016 AUO Tech Forum. With "Soar to New Innovation Heights" being the theme, Michael Tsai, AUO's President & Chief Operating Officer, and representatives from the high management of AUO's Mobile Solutions Business Group introduced the Company's strategic approach, product strategies and technological development. Numerous experts from industry associations were also invited to share the industry trends, with more than 300 AUO customers and suppliers taking part in the event. In recent years, AUO has devoted itself to raising product values and led to mass produce integrated touch, ultra high resolution, curved and ultra-narrow bezel technologies, winning high praise from its customers and garnered leading positions in the global market in terms of various high-end differentiated products(*). Looking into the future, AUO will continue to enhance its technological content, invest in R&D capacity and lead innovation with value-added strategies to become the best strategic partner for its customers.

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* Based on the available market research information as of November 16, 2016.

Paul SL Peng, AUO's Chairman & Chief Executive Officer speaks at AUO Kunshan Site Opening Ceremony

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AUO announces the grand opening of its Kunshan Site with successful mass production

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Michael Tsai, AUO's President & Chief Operating Officer, delivers keynote speech at AUO Tech Forum

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AUO Kunshan Site

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