NAM TAI ELECTRONICS, INC.
REVISES GUIDENCE
The previous news release stated that there willbe a share buy back program; I didn't understand why but now we see
what is happening, the tech slow down is world wide.
Regards
Dick
VANCOUVER, CANADA March 22, 2001 -- Nam Tai Electronics, Inc. ("Nam Tai" or
the "Company") (NASDAQ/NM Symbol: NTAI and NTAIW; CBOE Symbol: QNA) today
revised its earlier guidance for revenue and earnings per share for 2001 to
$270 - $290 million from $340 - $360 million, citing general weakness in
both Japan and North America. Guidance for earnings per share in 2001 is
reduced to approximately $1.40 - $1.60 from $2.25 - $2.50.
For the first quarter 2001 results the Company forecasts that sales will be
approximately $50 million. The first quarter is traditionally the slowest
quarter resulting from both the closing of the Company's factories in China
for two weeks for the Chinese New Year holidays and the general reduction in
sales following the holiday season.
High customer inventory levels have resulted in the delay and cancellation
of orders for calculators, personal organizers, linguistic products and
rechargeable battery packs. As a result of order cancellations the Company
will write off inventory, reducing its net income.
Sales expectations remain relatively unchanged for the Company's largest and
fastest growing product line of LCD modules. The Company expects that the
LCD module product line will be the major contributor to the Company's
growth in the future. Nam Tai also reported that sales of LCD panels and
transformers, (by recently acquired JIC) are expected to be somewhat higher
than earlier forecast.
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, smart card readers and
various components including LCD modules for cellular phones, lithium ion
rechargeable battery packs, transformers and LCD panels. The Company
utilises advanced production technologies such as chip on board ("COB"),
chip on glass ("COG"), 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.
Except for the historical information, matters discussed in this press
release are forward-looking statements. For example, the Company's guidance
for 2001 sales and earnings per share are forward-looking statements the
results of which are uncertain and dependant upon many factors including the
level of overall growth in the electronics manufacturing services ("EMS")
industry, end-user demand, competitive pressures, and changes in general
economic conditions. Other factors that might cause differences include
those discussed in the Company's reports filed with the Securities and
Exchange Commission from time to time, such as the Company's Annual Report
on Form 20-F for the year ended December 31, 2000.
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Pan Pacific I.R. Ltd.
Representing Nam Tai Electronics, Inc.
c/o 1790 - 999 West Hastings Street
Vancouver BC V6C 2W2
Tel: 604-669-7800 Fax: 604-669-7816
Toll Free Tel/Fax: 1-800-661-8831
Contact: Lorne Waldman |
