06.20.2001
Lelon sees strong gains amid weak cycle

• Development: Lelon Electronics (5435 'Li Long') posted 21% increase YoY of pre-tax earnings in May, and 89% YoY increase in pre-tax earnings for first 5 months of 2001.

• Analysis: Increasing outsource orders from Japan resulted in significant performance and surprise stock dividend of NT$3.50 for this year.

• Primasia View: We believe that the demand for passive components will arise from PDA and Notebook PC in 2H01, which may boost the company's revenue.

JesseLin@Primasia.com +886-[0]2-2547-8871