Following the announcement made in Yokohama, Japan last October on "Green SELECT", dedicated to the building of an environmentally friendly low-carbon society, AUO Corporation ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today made a declaration of carbon footprint reduction, aiming at a 30% decrease in its carbon footprint level in 2009 by 2012. AUO was among the first in the world to implement carbon footprint assessment of electronic products during their life cycles. The calculation of carbon emission encompassed every step -- raw material, product manufacturing, distribution, consumer use, and disposal & recycling. In the future, with the help of the carbon footprint indicator, consumers will have an even better knowledge of the possible environmental impact of the electronic products they use. AUO hopes to set the trend for the industry to cut down on carbon emission and adopt the green choice leading to a low-carbon society and lifestyle.

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Carbon footprints, in the form of carbon dioxide, are generated when individuals, households or companies are involved in daily activities and manufacturing of products. Accordingly, a product's carbon footprint refers to the total amount of carbon dioxide emission during its life cycle, including the stages of raw material, product manufacturing (or service provision), distribution, consumer use, and disposal & recycling. By tracing the carbon footprints of LCD TVs, AUO verified that in the life cycle of an electronic product, energy consumption on the consumer's side took up around 60% of total carbon emission, raw material about 28%, and product manufacturing 12%, among which energy consumption on the consumer's side produced the most carbon dioxide. The findings inspired AUO to adopt innovative energy andmaterial-saving concepts in the very early stage of R&D. By lowering energy consumption on the consumer's side at the product design stage, the amount of carbon emission could be reduced substantially, leaving lighter carbon footprints.

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To achieve this end, AUO initiated the "green audit" program and monitored all facets including product design, raw material, product manufacturing, distribution, consumer use and disposal & recycling to reduce product carbon footprints. In September 2009, an AUO-made 32" LCD TV was certified by SGS as the first LCD TV set worldwide to gain PAS 2050:2008 Carbon Footprint Verification. Among all the recognized products around the globe, the making of this LCD TV was viewed as the most delicate and complicated. Its supply chain was comprised of more than 500 vendors. Through continuous supplier training sessions, AUO initiated the carbon footprint management program and developed its own e-system to collect vendors' carbon footprint data. The initiative significantly increased efficiency in carbon footprint management and became one of the best case studies available.

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"The formula for a low-carbon society consists of green technology and a new lifestyle. Aside from individual efforts, we, as an enterprise, could greatly lessen the impact of carbon emission on the environment by means of green technology. We want to advocate the concept of carbon footprint reduction, telling the consumers that when they choose eco products, carbon emission could be greatly reduced, saving a healthier environment for the generations to come," said Dr. L.J. Chen, President and CEO of AUO. "Ever since the official announcement of Green Solutions Initiative in 2008, AUO has vowed to 'think further and work faster'. In the same spirit, we expect ourselves to 'persevere longer' to maintain our green competitive edge," he added.

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Through its highly innovative R&D capabilities, execution and a well-developed supply chain management system, AUO actively develops low-carbon products to reduce carbon footprints. Its aim to reduce 30% of its carbon emissions by 2012 will help generate an all-new low-carbon digital lifestyle for consumers. Meanwhile, AUO will remain dedicated to advocating corporate social responsibility and working continuously toward the development of a sustainable society to ensure maximum benefits for clients and consumers.