REACTION TO DISCONTINUATION GERMAN ACTIVITIES BENQ

09/28/2006

Today BenQ, a worldwide player in mobile phones, announced the discontinuation of the funding of its German mobile phone subsidiary to stem unsustainable losses. This German subsidiary, BenQ Mobile GmbH & Co OHG, is considering filing for insolvency protection.

BenQ Mobile is an important client for ICT, even though this has been diminishing over 2006. BenQ Mobile’s share in ICT’s revenues is currently around 5%, while this amounted to over 10% during the first half of 2006. This decrease is due to acquisitions and the reduction of BenQ Mobile’s activities. For 2006, ICT expects a negative impact on its results from the discontinuation of these activities, because of a temporary deterioration of the capacity utilisation as well as the likelihood that outstanding debtors cannot be paid. It is too early now to make a concrete statement about the extent of this impact. ICT expects the influence of the discontinuation to be limited to the year 2006.