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SDK and Singapore’s National Institute to Jointly Develop HD Media

April 23, 2004

Showa Denko K.K. (SDK) has concluded a master R&D agreement with Data Storage Institute (DSI) of Singapore to jointly develop advanced technologies for the next-generation hard disk media. DSI is a national research institute under Singapore’s Agency for Science, Technology and Research, focusing on development of advanced technologies for magnetic, optical and network storage.

Under the three-year agreement, SDK and its subsidiary Showa Denko HD Singapore Pte. Ltd. (SHDS) will work closely with DSI to develop new technologies required for HD media that will be placed on the market in the coming three to five years. The joint R&D work will also help train researchers and engineers who will support the future growth of SHDS.

DSI established its media R&D program in 1998 to support the growing hard disk media industry in Singapore. The core capabilities developed were advanced magnetic thin film technology for both longitudinal and perpendicular media. DSI and SDK earlier jointly worked on process development R&D and will further cooperate closely under the master agreement to create high-value technologies for mutual interest.

SDK now has the capability to supply 8.3 million hard disks a month, the largest in the world as an independent vendor. Furthermore, SDK is the only independent vendor in the world that can provide both glass- and aluminum-substrate hard disks in commercial quantities. At SHDS, capacity was expanded by one million disks a month at the end of last year to meet growing demand for hard disks for use in PCs, car navigation systems and MP3 players. SHDS’s current capacity (3.1 million disks a month) is being fully utilized, producing 3.0- and 3.5-inch aluminum-substrate hard disks and 2.5-inch glass-substrate hard disks.