05.18.2001
Macronix invested company goes under, financial impact minimal

• Macronix's (2337 'Wang Hong') invested company Quality Testing System (QTS, unlisted), a local test equipment manufacturer, recently filed for bankruptcy. Macronix has 15% direct and 8% indirect holdings in QTS through subsidiary Ceasar Technology (unlisted).

• VB Primasia Opinion: The company uses the cost method in QTS accounting and has written off 80% of its book value in 4Q00. Macronix carries a current balance of NT$23m in the investment, to be written off in the current quarter. Thus, the financial impact of QTS' going under would appear to be minimal.

LindaLiu@Primasia.com +886-[0]2-2547-8867