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SMT & Inspection | December 19, 2005

M2 Expands in Asia with New Factory

Swedish equipment manufacturer M2 Engineering AB is establishing a purpose built production facility in Thailand.
M2 Engineering is a leading worldwide manufacturer of optical disc production systems and equipment. Swedish optical disc replication and mastering equipment manufacturer M2 Engineering AB has announced plans to substantially increase its business activities in the Southeast Asian region. The main part of this expansion will involve the establishment of a purpose-built production facility in Thailand. This facility will be located in the duty-free industrial zone in Amata Nakorn, near Chon Buri, southeast of Bangkok. The location has been specifically chosen for its excellent infrastructure and close proximity to the soon to be opened Suvarnabhumi airport, which is expected to become Southeast Asia's new aviation hub. M2 has a well-established history in Thailand and a substantial number of qualified engineers and administrators are already employed at the existing M2 Bangkok office. These in-house resources will ensure that the production of replication lines and mastering systems can be rapidly started up at the new facility after the scheduled opening in late spring 2006. The facility will become ISO 9000 certified, which will ensure that the equipment produced there will meet the most stringent quality standards. The factory will initially employ around 50 people, and will fulfill a good part of M2's production requirement.

Carl Langenskiold, President and CEO of M2 Engineering, explains the reasoning behind this
move: “The optical media industry has now become very mature and we recognize that, as an
equipment supplier, we also need to adapt to the economic reality of a highly competitive
market. Disc producers are demanding that the cost of equipment be reduced to match their
investment capabilities.

“The establishment of this facility in Thailand will enable us to produce our machines in a more
cost effective manner without any compromises on quality. This bold step by M2 will reinforce
our market position, and underlines our commitment to the optical media industry.”

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