VANCOUVER, CANADA -- August 14, 2002 -- Nam Tai Electronics, Inc. (“Nam Tai” or the “Company”) (NASDAQ/NM Symbol: NTAI and NTAIW) announced that the High Court of Justice in the British Virgin Islands awarded Nam Tai general damages of $34 million resulting from a 1993 injunction obtained by Tele-Art Inc. (also incorporated in British Virgin Islands) ( Symbol: TLAFF.PK) which delayed the Company’s 1993 rights offering. This award of damages follows the September 1999 decision of the court to dismiss a claim filed by Tele-Art Inc., a shareholder of Nam Tai, in relation to the Company’s 1993 rights offering, with costs being awarded in favour of Nam Tai.
“We were pleased that the court has dismissed Tele-Art’s claim which we always maintained was without merit and awarded $34 million in damages in favour of Nam Tai” commented, Mr. Murakami, Nam Tai’s Chairman. “Although it is doubtful that Nam Tai can recover the full $34 million judgment, as Tele-Art Inc. is in liquidation, the award vindicates Nam Tai and sends a clear message that Tele-Art’s claim had no basis and was intended to cause harm to the Company’s reputation. This fair judgment also greatly amplifies our confidence and respect in the legal system of British Virgin Islands.”
Nam Tai Electronics, Inc. is an electronics design and manufacturing service provider to some of the world’s leading original equipment manufacturers. Nam Tai manufactures telecommunication products, palm-sized PCs, personal digital assistants, linguistic products, calculators and various components including LCD modules for cellular phones, transformers and LCD panels. The Company utilises advanced production technologies such as chip on board (COB), chip on glass (COG), chip on film (COF), surface mount technology (SMT), ball grid array (BGA), tape automated bonding (TAB), and outer lead bonding (OLB) technologies. Further information is available on Nam Tai’s web site at www.namtai.com.