WCA July 2007

Industry News

Nexans opens new plant in China Nexans, France, held a grand opening ceremony on 22 nd March to mark the official start of production in Nanning, Guangxi Province, China. The new plant, Nexans’ third wholly- owned facility in the country, produces telecommunication and signalling cables for the railway infrastructure market, and represents a major step in improving Nexans’ geographic cov- erage of China. Initially Nexans Nanning will mainly manufacture copper telecom cables used in switching, transmission and DSL access for fixed and mobile networks, including multi-pair cables for both indoor and outdoor telecom applications. To take advantage of the rapid expansion of conventional tracks and high speed lines in China’s rail network, the new plant will also start offering railway signalling cables (station range access cables, signalling and control cables, axle counter and balise cables). At the opening, Mr Michel Lemaire, executive vice president Asia-Pacific Area, said: “We see huge growth in telecom and data cable production as well as system applications in China. The annual report of Xinhua Metal Products Co, Ltd, China, issued on 28 th March, stated that the company’s total production was 177,400 tons, an increase of 26.52% compared to last year. Consolidated sales revenue was 1,005 million RMB, an increase of 21.55%, while net profit increased 69.73% to 53.673 million RMB. An announcement about important related party transactions was issued on 2 nd April, specifically a non-open issuing of new stock – not more than 1,310 million shares. The main share holder, Xinyu Iron and Steel, will buy at least 70% of the new shares, which are not transferable in 36 months with its main assets. The other parties will pay an amount not more than two billion RMB. Their shares will be not transferable in 12 months.

The opening ceremony of the Nexans Nanning plant ▲

wholly-owned China producing telecom, LAN and special industrial cables, a logistics centre and three sales offices in Shanghai, Beijing and Hong Kong. Nexans – France Fax : +33 15669 8484 Email : nexans.web@nexans.com Website : www.nexans.com Indonesia’s commitment over global tin supply Following discussions with tin industry body ITRI, Indonesia’s Minister of Energy and Resources, Professor Purnomo Yusgiantoro, stated that Indonesia will make every effort to maintain tin supplies to the global market. Indonesian production has sharply reduced since last October by official efforts to regulate small-scale mining and independent smelter operations. ITRI estimates that its refined tin production this year will amount to 90,000 tons, down from more than 125,000 tons in 2006. plants in

“That’s the reason why the Group has not hesitated to invest in order to have local large-capacity production plants in the most strategic locations. “The setting up of a new factory in Nanning fits into this business logic.” Nexans entered the Chinese market in the mid-1980s, and has three be less than average stock price (code 600782 on the Shanghai Stock Exchange) of 20 days before announcement – not less than 5.373 RMB per share. The final price will be decided based on market situation and negotiating with the underwriter. The cash will be used for five projects, such as investment in manufacturing of wire and cable, including low relaxation pre- stressing steel strand, galvanising wire for pre-stressing, special conductor and oil-tempered spring wire, and the first phase of a 1,580mm sheet steel project, from agglomeration to hot and cold rolling mill. Xinhua Metal Products Co, Ltd – China Fax : +86 790 6460 999 Email : info@xinhuametal.com Website : www.xinhuametal.com

70% rise in profits from Xinhua Metal

ITRI Ltd – UK Fax : +44 1727 871 341

Email : info@tintechnology.com Website : www.tintechnology.com View online at www.read-wca.com

The par value of the new shares will be one RMB and the price will not

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Wire & Cable ASIA – July/August 2007