Panel maker AU Optronics (AUO) hopes the National Development Fund of Taiwan’s Executive Yuan can assist AUO in future funding ventures amid increasing competition in the panel market, according to company chairman Lee Kuen-yao.
Speaking at a recent conference with members of the National Development Planning committee, Lee proposed to the organization that it consider funding AUO for projects such as investing in a 8.5G line, which AUO recently constructed in China, but has yet to begin production due to financial circumstances.
The chairman emphasized that the company’s financial situation continues to improve, following approximately two consecutive years of debts, and that AUO’s plea has nothing to do with the company’s need to repay debts in 2014, which reportedly have reached billions of Taiwan dollars.
Taiwan-based panel makers have faced challenges in recent years amid increasing panel production in China largely as a result of increased government funding as well as improved high-end technology from Japan- and Korea-based makers.
Depreciation and amortization expenses at AUO are expected to reach NT$64 billion (over US$2.16 billion) in 2013 followed by NT$59 billion in 2014.