25 September 2002 Displays and the electronics that drive them. Page 1 Densitron Technologies plc 2002 Half Year Presentation by... Cliff Hardcastle, OBE - Chairman. Rob Smith - Finance Director.

25 September 2002 Displays and the electronics that drive them. Page 2 Operational Highlights A tough economic climate –Difficult trading in first half. –Signs of recovery – strong order intake. –Gross Margins improved. –Continued strong performance by Vbest & Hitech. Actions taken –Acquisition of Ferrograph. –Restructuring of computer business.

25 September 2002 Displays and the electronics that drive them. Page 3 Financial Highlights £ Millions6 Months to 30/6/ Months to 30/6/2001 Turnover Operating (Loss) / profit(3.3)0.7 (Loss) / Profit before taxation(3.5)0.5 EPS pre exceptional items(4.66)p(0.11)p EPS post exceptional items(13.2)p(0.11)p Gearing16%1% Order Book as at 30 th June

25 September 2002 Displays and the electronics that drive them. Page 4 Profit and Loss account comparative £ Thousands6 months to 30/6/ month to 30/6/2001 Turnover12,02615,068 Cost of Sales(7,010)(9,270) Gross Profit5,0165,798 Operating Expenses(5,844)(5,303) Exceptional Items(2,749)- Group Operating (Loss) / Profit(3,577)495 Group Operating (Loss) / Profit pre exceptional items (828)495 Share of Associates Operating Profit Total Operating (Loss) / Profit(3,253)720 Net Interest Payable(250)(195) (Loss) / Profit before tax(3,503)525

25 September 2002 Displays and the electronics that drive them. Page 5 Exceptional Items AssetBasis of Impairment£000s Retail Cassius computer stock and development Expected lower selling price for retail version. 1,075 Computer business restructuring Redundancy and other termination costs 98 Internet businessesRevised asset value based on proposed sale of majority interest. 586 Densitron Software LtdDiscontinued 3 rd party trading.229 Rapidot LtdDiscontinued activity.157 Densitron Australia pty LtdProposed reorganisation.174 Post retirement benefitsRecognition of benefits per FRS Total exceptional items2,749

25 September 2002 Displays and the electronics that drive them. Page 6 Sales and Orders - trend by quarter

25 September 2002 Displays and the electronics that drive them. Page 7 Sales - Geographic

25 September 2002 Displays and the electronics that drive them. Page 8 Sales – Class of business

25 September 2002 Displays and the electronics that drive them. Page 9 Profit trend

25 September 2002 Displays and the electronics that drive them. Page 10 Balance Sheet £ Thousands As at 30/6/2002 As at 30/6/2001 As at 31/12/2001 Fixed Assets18,81920,11320,281 Current Assets14,46318,93615,829 Creditors due < 1 year(12,129)(11,457)(10,423) Net Current Assets2,3347,4795,406 Assets less current liabilities21,15327,59225,687 Creditors due > 1 year(949)(736)(598) Net Assets20,20426,85625,089

25 September 2002 Displays and the electronics that drive them. Page 11 Cash Flow £ Thousands6 months 30/6/02 6 months 30/6/01 Year to 31/12/01 Operating Profit / (Loss) pre exceptional (828) Cash element of exceptional items(98)-- Net Changes in Working Capital(907)(1,065)1,162 Net non cash movements ,152 Returns on investments(1,021)(374)(1,108) Taxation Paid(88)(545)(1,035) Capital expenditure(427)(750)(1,197) Rights Issue-19,01118,831 Acquisitions & disposals(125)(12,238)(12,345) Equity dividends paid(148)(305)(364) Change in net debt(3,022)4,5635,056

25 September 2002 Displays and the electronics that drive them. Page 12 Financial Outlook MARKET CONDITIONS REMAIN UNCERTAIN BASIS FOR GROWTH –Full year benefit of Ferrograph acquisition. –Large computer orders booked (Aruze) deliverable in –Series of good European display orders deliverable in –Full year benefit of restructuring in computer business.

25 September 2002 Displays and the electronics that drive them. Page 13 Vbest Update – New Factory

25 September 2002 Displays and the electronics that drive them. Page 14 Vbest Update – Trading Performance £ thousands 6 months to 30/6/2002 (unaudited) 6 months to 31/12/2001 (audited) 6 months to 30/6/2001 (unaudited) Sales9,35410,2089,189 Margin2,7552,7022,033 Margin %29%26%22% Pre tax Profit1,4381,4531,042

25 September 2002 Displays and the electronics that drive them. Page 15 Vbest Update – Flotation Road Map Intention to list on Taiwan Stock Exchange (TSE). Mandatory 12 month “Counselling” period. –Process started June Listing criteria for TSE. –Minimum 5 years incorporation. –Paid-in capital > NT$600 million for last 2 years. –Profitability various tests. –Registered shareholders > 1,000. –Two year restricted period for shareholders with > 10% - this limits the amount that Densitron can sell. Current view is listing early 2004.

25 September 2002 Displays and the electronics that drive them. Page 16 Ferrograph Acquisition Public Information Displays business. Based in Newcastle. Acquired April –Asset acquisition from Receiver for £250k. Orders received by 30 th June £1,169k. Sales made by 30 th June £239k. Continue to build up business. Good synergistic fit to existing business. –Selling and distribution integration underway. –Many supply side opportunities to be harvested.

25 September 2002 Displays and the electronics that drive them. Page 17 Ferrograph - products

25 September 2002 Displays and the electronics that drive them. Page 18 Summary Tough trading conditions - US and European markets very slow. Improved order intake. Vbest on track. Continued strong performance at Hitech. Ferrograph added. Balance sheet review and financial restructuring completed. Group positioned well to exploit economic recovery.

25 September 2002 Displays and the electronics that drive them. Page 19 Contacts Cliff Hardcastle Chairman Densitron Technologies plc Rob Smith Finance Director Densitron Technologies plc Takki Sulaiman Hansard Communications