Announcement on behalf of Company subsidiary

SEQ_NO  1 Date of announcemen 2006/08/16 Time of announcementt  08:20:06
Subject To clarify media report of company's about to merge with Quanta Computer Inc.
Date of events 2006/08/15 To which item it meets article 2 paragraph 11
Statement
1.Name of the reporting media:Economic Daily, Commercial  Times, 
United Daily News, Apple Daily 2.Date of the report:2006/08/15 3.Content of the report:
3.1.Economic Daily:”... recently words on street says,
Hon Hai will acquire Quanta Computer Inc., Citi's Asia Pacific
Resarch Department manager, Kent W.B. Chan pointed out yesterday (8/14) in a report, What if Hon Hai Merged with Quanta ...”
3.2.Commercial Times:”... Kent W.B. Chan believes, judge from
Hon Hai's and Quanta's product lines, overlaps is not high, Post
merger complementary characteristics are high, if can be merge successfully ...”
3.3.United Daily News:”Citigroup yesterday published report,
seriously examine Hon Hai and Quanta's merger synergy, if
Quanta and Hon Hai merge ...” 3.4.Apple Daily:”Kent W.B. Chan pointed out in a report,
Hon Hai and Quanta if merge, will create an ODM/EMS
juggernaut in Asia ...” 4.Summary of the information provided by investors:NA 5.Company's explanation of the reportage or provided information:
This entire incident was purely figment of imagination of some
analyst, Company has no such merger plan, Company hereby
clarifies the rumor. 6.Countermeasures:NA 7.Any other matters that need to be
specified:NA