Rick Chen This is Me

 Web References

1. 1. CMPnetAsia

   www.cmpnetasia.com/ViewArt.cfm - [Cached]

   Published on: 4/25/2003   Last Visited: 4/25/2003

   Compal president Rick Chen said the impact of Severe Acute Respiratory Syndrome (SARS) has turned out to be bigger than expected and could disrupt production in mainland China, where Compal makes the majority of its products.
   
   "It seems that the SARS problem can't be resolved within the next six months," Chen told analysts at a meeting in Taipei, where the company is based.
   ...
   Chen said Compal was making contingency plans of its own initiative, and that neither Dell nor HP, two of its biggest customers, have asked it to consider moving production out of China.
   ...
   Chen did not identify which EMS providers Compal was considering as alternatives, but some analysts said that likely candidates would be Solectron Corp. of the United States, Flextronics International Ltd., which has its headquarters in Singapore, and Finland's Elcoteq Network Corp.
   
   Although the spread of SARS in mainland China has not yet disrupted Compal's production, the company is already feeling the effects of the disease on consumer confidence, which has forced its wireless handset unit, Compal Communications, to slash shipment forecasts. Compal Communications has cut its 2003 shipment target to 4 million units, down from the 6 million to 7 million projected earlier this year, Chen said.
   
   The disease has also affected Compal's policies on business travel. The company has banned its employees from traveling to Hong Kong and southeastern China, and may also ban travel to Beijing in the future, Chen said. He added that Compal's employees within China are urged to avoid the urban centers where the disease is most likely to spread, and must obtain the company's permission for any travel to Shanghai.