Hsinchu, Taiwan,

AUO Corporation ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today announced preliminary consolidated net sales of NT$15,954 million and unconsolidated net sales of NT$15,953 million for the month of June 2005.

Preliminary shipments of large-size panels^(a) for applications such as desktop monitor, notebook PC, LCD TV, and other applications totaled 2.37 million, similar to that of May. Shipments of small- and medium-size panels decreased by 7.3% M-o-M to total 3.68 million due to product mix change.

Contributed by the smooth ramp-up of AUO’s Gen. 6 production facility (Fab L10), LCD TV panel shipment in June 2005 exceeded 300,000 units, of which over 75,000 panels shipped are 32-inch.

Preliminary shipments of large-size panels for the second quarter reached 7.04 million, a 16.6% increase compared to that of the first quarter 2005. Shipments for small- and medium-sized panels posted a 36.9% growth Q-o-Q to reach 11.83 million in the second quarter 2005. Unit sales for both large-size and small- and medium-size panels exceeded the second quarter guidance that was provided on April 26, 2005, primarily contributed by the new capacity from AUO’s Gen. 6 fab that is in smooth ramp-up progress.

Unaudited consolidated revenues for the month of June 2005 increased by 3.7% M-o-M, while unconsolidated net sales rose 3.7% sequentially. On a year-over-year basis, June 2005 consolidated revenues increased by 0.5%, while unconsolidated net sales rose 0.6%.

For the three months ended June 30, 2005, unaudited consolidated and unconsolidated revenues totaled NT$46,247 million and NT$46,214 million, representing 19.1% and 19.1% Q-o-Q growth, respectively.

(a) Large size refers to panels that are 10 inches and above in diagonal measurement while small & medium size
refers to those below 10 inches

Sales Report：

(Unit：NT$ million)