Deswell Industries (DSWL) Message Board

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Technology Stocks : Deswell Industries (DSWL)

DSWL 3.695

-3.5%

3:59 PM EST

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To: Steven Yang who wrote (256)	11/19/1997 11:08:00 PM
From: Ron Bower	Read Replies (2) of 1418

Steven, I've been looking and can't find where you come up with '75% of sales in $HK'. My understanding is that the largest customer at this time is Inter-Tel - a US company (growing fast) with other sales diversified, but all based on $US. Deviations in the YUAN would have an effect, but minimal. Deswell is not a labor intensive company, relying more on high tech, high capacity machinery for production. It bothers me that they are getting into labor intensive board assembly but I believe they will make it work as it complements the other operations. They can produce a full package of plastic cases, metal stamping, circuit board production, and board assembly with profits at all stages. I think they preferred to stay out of assembly, but it was necessary for sales as many customers wanted to buy complete assemblies. Thanx, Ron

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