AXT, Inc. Receives Multi-Million Dollar Order for Green and Cyan LED Products
SOURCE: AXT, Inc.
FREMONT, Calif. AXT, Inc. (Nasdaq: AXTI), a leading manufacturer of compound semiconductor substrates and opto-electronic devices, today announced that it has received its first major order for its recently announced cyan and green light-emitting diode (LED) products. The contract is a multi-million dollar agreement to provide green and cyan LEDs over a six-month period with the option for a continuation of the contract.
Green and cyan LEDs are commonly used in cellular handset backlighting, full color indoor/outdoor displays, traffic signals, automotive instrumentation, the development of white lighting, as well as many consumer applications. AXT acquired the core technology for LED development through its Lyte Optronics acquisition in May 1999. The company began shipping green LEDs in limited quantities in April 2000.
``Currently, very few companies can offer high brightness cyan and green LEDs because of the significantly greater technical challenges involved in producing these devices over other types of LEDs, said Morris Young, president and CEO. ``We are very pleased with the quality of our green and cyan LED products and with the reception that they have received in the marketplace. Our blue, green and cyan LED products have opened new opportunities for AXT and our goal is to continue to build our production volume over the coming quarters, he said.
AXT reported in August that it has completed the initial phase of construction of its new 27,000 square foot LED manufacturing facility in El Monte, Calif. The company also reported that it has ordered several new MOCVD reactors for the facility and that it expects the new reactors to be in full production during the second quarter of 2001.
About AXT, Inc.
AXT designs, develops, manufactures and markets high-performance substrates for the communications industry. AXT is also a producer of light-emitting diodes (LEDs) for the display and lighting industries and vertical cavity surface emitting laser diodes (VCSELs) for the fiber optics industry. AXT s proprietary Vertical Gradient Freeze (VGF) crystal growth technology produces low-defect, semi-insulating and semi-conducting gallium arsenide, indium phosphide and germanium substrates. AXT has also introduced gallium nitride substrates for manufacturing blue LEDs. For more information, see AXT s website at www.axt.com. AXT can also be reached at 4281 Technology Drive, Fremont, California 94538 or call 510-683-5900. AXT is traded on the Nasdaq National Market under the symbol AXTI.
Safe Harbor Statement
This press release contains forward-looking statements regarding AXT s first major order for green LED products, the reception of AXT s LED products in the marketplace, potential new opportunities for the company s products, the company s goals to grow market share in the optoelectronic device market, the current market conditions in the communications and opto-electronic device industries and the future financial performance of AXT. Forward-looking statements address matters that are subject to a number of risks and uncertainties. In addition to the general risks associated with the development of complex technology and the risks associated with the company s acquisition and the integration of Lyte Optronics, Inc., future results of AXT will depend on a variety of factors, including, among others, the timing of significant orders, unexpected cancellations or returns by customers, the ability of AXT to bring new products to market, the timing of new product releases and product announcements by AXT s competitors and other competitive factors. Reference is made to AXT s filings with the Securities and Exchange Commission, including AXT s Form 10-K for the year ended December 31, 1999 and AXT s Form S-3, for further discussion of risks and uncertainties regarding the company s business.
Web site: http://www.axt.com
