Lucent Technologies Invests US$40 Million in Manufacturing Facilities in Thailand

Bangkok--Jun 9--NetTech Lucent Technologies (NYSE: LU) Thailand recently announced that it is expanding its Lucent Technologies Network (Thailand) Ltd (NetTech) factory in Bangpakong (southeast of Bangkok) to include a fiber optic cable plant. A budget of up to US$10 million (baht 370 million) has been earmarked for the project. Meanwhile, Lucent is in the midst of building a new wing at its Microelectronics factory in Navanakorn Industrial Estate, Pathumthani (north of Bangkok). Construction, facilities and machinery costs will total US$30 million (baht 1.1 billion). As a further strong showing of commitment to Thailand, Lucent, through its Lucent Technologies Foundation, has granted over US$600,000 (baht 23 million) over three years to provide scholarships for 250 students and teachers in Thailand for them to continue their education during the present economic crisis. “Optical fiber cables are critical to the communications industry today as these help service providers and enterprises set up broadband and wideband networks,” said John E. Conrad, president, Global Service Provider Business (GSP), Lucent Technologies Thailand. “By manufacturing these cables in Thailand, we are able to help regional and worldwide communications providers speedily evolve their networks with fiber cabling to meet the soaring demand for high-speed data, advanced voice and video services.” With the expected completion of the new fiber optic plant in December this year, new jobs will be created at the NetTech plant. Fiber optic cables, which are made of hair-thin glass, are the most efficient transport vehicles for optical networking systems, which use pulses of light to carry voice, data and video through communications networks. Khun Somkuan Musig-In, managing director of NetTech, said: The finished products will be sold locally and exported to other countries.” NetTech is a joint venture with a Charoen Pokphand Group affiliate and was established in 1991. It currently manufactures, markets and sells outside plant and premise distribution products for telecommunications and private network customers in Thailand and the region. Lucent, whose Microelectronics business is growing faster than the market, is investing an additional US$30 million for the extension of, and installation of machinery to its Microelectronics facility in Navanakorn Industrial Estate. This will result in adding another 130,000 square feet of space to the current facility, bringing the entire facility to about 330,000 square feet. “According to Dataquest, Lucent’s Microelectronics group is the world’s fastest-growing top-20 semiconductor business. The report cites Lucent’s growth at 15.9% in 1998 and this is especially significant as the overall industry declined by 8.4%,” said Sumrian Suthivong, president, Lucent Technologies Microelectronics (Thailand). “Today’s US$30 million extension announcement reflects the phenomenal growth Lucent is experiencing and Lucent’s long term commitment to Thailand, our customers and business partners.” Lucent Technologies Microelectronics (Thai) Ltd. manufactures integrated circuits for applications in the telecommunications and computing industries. It is one of the pioneering electronics plants in Thailand that has received the ISO 9002, ISO 14001 and BS8800 certifications, making it a “green”, eco-friendly and highly safe facility. In addition to the investments, Lucent believes in being a good corporate citizen. The Lucent Technologies Foundation, the philanthropic arm of Lucent, will donate US$200,000 each year over the next three years to create scholarships for 250 students and teachers in Thailand so that they can continue their education despite the economic slowdown. “This grant is significant as it is the first ever Lucent Technologies Foundation grant that’s given outside the United States,” said Chatchai Bunnag, chief operating officer, GSP, Lucent Technologies Thailand. The Lucent Technologies Foundation scholarships will be awarded to 100 primary school students, 100 secondary school students and 50 university students. “Thousands of bright students have been leaving their schools because they could not afford their tuition fees,” said Chatchai. “Lucent is committed to Thailand and wants to nurture these talented students so they can contribute their expertise to Thailand in the years ahead.” Other philanthropy projects that Lucent is actively involved in include: * A plan to award teachers to develop their training skills in order that they become better mentors for students in Thai schools. * This year, Lucent will announce the two scholarship recipients of its Global Science Scholars programme. This scholarship programme is a talent competition that focuses on supporting bright students around the world, who are interested in careers in science and technology. Thailand gets two of the five scholarships that’s given to the Asia Pacific region. * Building bus shelters, a park and a multi-purpose room for the Saipanya Rangsit school at Navanakorn. * Financial contributions to the Rajaburi school project and an orphanage in Kloeng Toey. In confirming Lucent’s commitments to both business and community, Stephen S. Caldwell, vice president of Lucent’s Global Service Provider Business (ASEAN), said: “Today, Lucent’s extensive investments demonstrate our long term commitment to Thailand and the region, to its people and its future. We will continue to expand our role in the societies we operate in and improve our ability to meet our customers’ needs. Currently, governments and companies understand that they need to continue investing in critical infrastructure, such as telecommunications, to ensure that they are on the growth curve once the economy is back on track.” Lucent Technologies has a significant presence in Thailand, including manufacturing, sales and service. The company’s Asia Pacific regional headquarters is in Hong Kong and its worldwide headquarters is in Murray Hill, New Jersey, USA. Lucent Technologies designs, builds and delivers a wide range of public and private networks, communications systems and software, data networking systems, business telephone systems and microelectronic components. Bell Laboratories is the research and development arm of the company. The company’s web site is http://www.lucent.com. For more information : Pongprach Surojnametakul, Presko Shandwick Thailand, tel. 66-2 257-0300 (Office) [email protected] End.

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