3/28/2005 HD Division Aluminum & Hard Disk Media. The hard disk drive is primarily used as a storage device for the computers and servers, and its market has been expanding by an explosive annual growth rate backed by the strong demand in mobile devices. The market is expected to further grow supported by the new application for the digital electronics devices. Showa Denko HD Division is engaged in R&D, manufacturing and marketing activities in hard disk media and its major raw material, aluminum substrates. We have three manufacturing sites for hard disk media, one in Ichihara, Japan and the other in Singapore and Taiwan,while another three two manufacturing sites for aluminium substrates in Oyama, Japan , and in Malaysia and in Taiwan. We have very unique organizational structure which consolidates manufacturing, R&D, quality assurance, and marketing functions into a single operation. This structure enables us to provide quicker and more comprehensive support service to our customers. Ipod (MP3 Player), 1.89" inch Hard Disk Drive Hard disk business We have developed fully automated production lines capable in producing both glass and aluminum based media for 3.5, 3.3, 2.5, 1.89 inch. Our monthly production capacity is 9.55.3 millions total, 3.23.6 millions at Ichihara, and 2.13.2 millions at Singapore and 2.7 millions in Taiwan. The hard disk is used for a variety of applications such as server, desktop and mobile computers, car navigation system, and MP3 player. We believe that the demand for hard disk would continue to grow as hard disk prevails in digital electronics devices. Our management goal is to be a world best products and service supplier with a technological and advancement. To achieve this goal, we focus on speedy and timely business development in aggressively investigating next generation and state of the art technology for highe density and product reliability and in establishing mass production technology to serve customers. Aluminum substrate business We have fully automated manufacturing lines capable for cutting, grinding, plating, and inspection for 3.5, 3.3, and 2.5 inch substrates. Our total production capacity is 5.93.4 millions per month, 1.41.7 million comes from Oyama, 2.22 millions from Malaysia, 2 millions in Taiwan. We manufacture 3.5 inch substrate in Malaysia and Taiwan which is our most popular product now, while 3.3 and 2.5 inch substrates for server and digital electronics devices are produced at Oyama facility. In addition to the sales to Showa Denko affiliates, we aggressively develop our customer relationship with our high standard technology and service. [Products] Hard disk business: Hard Disk Media (Aluminum/Glass) Size : 1.89", 2.5", 3.3", 3.5" and 5.25" (available in various thickness) Aluminum substrate business: Ni-P Aluminum Substrate Size : 2.5", 2.75", 3.3" and 3.5" (available in various thickness)