07.03.2001
ECB issue finalized

• Development: Accton announced the issuance of a zero coupon, US$60m ECB (European Convertible Bond). The conversion price is NT$40.60.

• Analysis: Originally, the company had been approved to issue US$90m ECBs, however, we believe the smaller than expected issue was due to an unfavorable convertible price and adequate capital on the balance sheet.

• Primasia View: Accton will save roughly NT$140-150m per annum in interest expenses from the issue.

BennyLO@Primasia.com +886-[0]2-2547-8869