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TAIPEI -- Asustek yesterday issued a statement denying any talks regarding a stock swap sale of its PC manufacturing arm.

Speculation in recent days centered on Foxconn as a potential buyer for Pegatron, Asustek's contract manufacturing division.

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DRESDEN, GERMANY -- Plastic Logic has begun volume production of displays at its new, state-of-the-art plastic electronics manufacturing facility here.

The fully automated and integrated facility will begin building the company's forthcoming electronic reading product, scheduled to come to market in early 2009.

Plastic Logic holds patents on plastic electronics technology said to cover the manufacture of high-resolution transistor arrays on flexible plastic substrates at low temperatures. The process is said to be simpler than conventional glass silicon processes, and produces active matrix displays that are thinner, lighter and more robust than glass.
LOS ALAMITOS, CA -- Practical Components, a leading supplier of dummy components, has been notified that its supplier of dummy flip chips will not be taking any orders after Sept. 26.

Components affected by this are FA10, PB18 and PB08 series and all flip chip type components in both SnPb and Pb-free versions.

BANGALORE-- Flextronics' design services unit is drawing interest from Tech Mahindra Ltd. and Tata Consultancy Services Ltd., according to a report today in the Economic Times.

Flextronics previously announced plans to sell the Bangalore-based group, which employs 250 workers.

Neither party would comment on the report. 
TAIPEI -- Foxconn Technology will relocate certain PC production to Hungary from the Czech Republic, a Hungarian business paper reported this week.

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TAIPEIFoxconn Electronics is said to be considering acquiring the operations of Pegatron Technology in an all-stock exchange, the Economic Daily News reported this week.
 
The companies are rivals in the PC assembly market.
 
Pegatron was formed earlier this year by Asustek, which moved to split itself into three operations. Pegatron builds PC-related gear; the other two companies – Unihan Technology and Asus – handle enclosures, non-PC contract manufacturing, and branded notebooks and smartphones.
 
Foxconn declined comment, the paper said. However, "several first-tier OEMs have been in negotiations" with Asustek to acquire Pegatron, the paper said.

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