Ube Industries,Ltd. (President: Kazumasa Tsunemi) and Matsushita Electric Works Ltd. (President: Koichi Hatanaka) have reached a contract agreement under which Ube will license to Matsushita Electric Works production technology* for the manufacture of two-layered flexible copper-clad laminates (CCL). Capital investment, manufacture and sales will be conducted by both companies. Together they will incrementally expand their capacity to supply two-layered flexible CCL, aiming to reach 3.3 million m2 by the second half of 2005.
Ube Industries regards high-performance materials, including polyimide, as a core business. The company is concentrating management resources in this area, and taking proactive steps to expand this business as a whole; two-layer flexible CCL (product name: Upicel N) is a key part of that business expansion. Wholly owned subsidiary Ube Nitto Kasei (President: Shin¥'ichiro Yamamoto) has already completed two rounds of investment in production facilities at its Gifu plant, and a third round is now under way, due for completion in mid-2005. In our judgment, our own increased production and the alliance with Matsushita Electric Works were necessary steps, to enhance the market presence of Upicel products in the rapidly expanding market, and to accelerate the growth of the Upicel family (two-sided CCL based on Ube Industries polyimide film), and so we reached the decision to license the technology externally. We expect that the granting of this technology license will also contribute to increased sales of polyimide film for use in two-layer flexible CCL.