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TOKYO, April 12, 2006 _Ube Industries, Ltd. today announced
that it had begun the ninth expansion of its production
facilities for polyimide film, which it sells under the
brand name Upilex® The latest expansion is driven by surging
demand for polyimide film used in thin panel televisions
including LCD and plasma televisions. The expansion will
take place at the Ube Chemical Factory in Yamaguchi Prefecture,
and is expected to go online in October 2007. Once completed,
the latest expansion will increase Ube's production capacity
for Upilex® by 20%. The company will also
implement changes to increase and strengthen its production
of the monomer raw material used for polyimide film.
Polyimide film offers excellent heat resistance and is
used in circuit boards for electronic and information
devices. The company expects future demand for polyimide
film to grow by more than 15%, driven by the increasing
sophistication of mobile phones, PCs and digital appliances
and the growth of these markets.
Upilex® polyimide film offers excellent dimensional stability
and is considered the industry standard for tape automated
bonding (TAB), a method for mounting ICs. Upilex® holds
a dominant market share in the TAB segment, whose major
applications are for use in LCDs and plasma displays.
Upilex® is also highly sought after in the chip-on-film
(COF) segment, as the method gains ground for use in large
LCDs whose trend is toward higher resolution panels. Ube
Industries is currently in the midst of construction for
its eighth expansion of production facilities for polyimide
film, which is scheduled to go online in September 2006.
The company expects that the current rapid growth of the
LCD and plasma display markets will continue, with demand
growing significantly moving forward. Ube Industries will
actively expand and strengthen its Upilex® production capacity
to ensure a stable supply.
The company is also forecasting a significant increase
in demand for polyimide film as a base film for flexible
dual-layer copper clad laminates (CCL). This segment is
being driven by the increasing sophistication of portable
devices including mobile phones and digital appliances,
and the growth of these markets.
In the flexible printed circuit (FPC) market, the trend
toward multi-layer and modular products is expected to
fuel greater demand for Upilex®, which has outstanding
dimensional stability and ideal elasticity.
Based on these market conditions, Ube Industries has
already taken steps to examine the expansion of production
facilities for polyimide film beyond a tenth round of
expansion. Expansion of production facilities for monomer
raw materials is also being considered. Moving forward,
the company will make every effort to ensure a stable
supply of Upilex®, while strengthening and expanding the
foundation of its polyimide film business as a critical
business segment.

For inquiries please contact:
Ube Industries, Ltd.
Investor Relations & Public Relations Dept.
Corporate Planning & Administration Office
Seavance North Building, 1-2-1 Shibaura, Minato-ku, Tokyo 105-8449
Phone : +81(3)5419-6110
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