FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934

July 22, 2004

Commission File Number 001-31335

AU Optronics Corp.
(Translation of registrant's name into English)

No. 1 Li-Hsin Road 2
Hsinchu Science Park
Hsinchu, Taiwan
(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F  X   Form 40-F ___

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
____

Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
____

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Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant's "home country"), or under the rules of the home country exchange on which the registrant's securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant's security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.

Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes ___ No   X  

If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-
Not applicable

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INDEX TO EXHIBITS

Item
1.	Investor Conference Materials entitled, “AU Optronics Corp. First Half 2004 Results”, dated July 22, 2004.
2.	First Half 2004 Condensed Financial Statements of AU Optronics Corp.
3.	Press release entitled, “AU Optronics Reports Unaudited First Half 2004 Results”, dated July 22, 2004.

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Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	AU Optronics Corp.
Date: July 22, 2004	By:	/s/ Max Weishun Cheng
		Name:	Max Weishun Cheng
		Title:	Chief Financial Officer

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Item 1

AU Optronics Corp. First Half 2004 Results Investor Conference
July 22, 2004

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AGENDA
Welcome and Introduction
1H 2004 Financial Results
Remarks
Q&A

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Safe Harbor Notice The statements included in this presentation that are not historical in nature are "forward-looking statements" within the meaning of Section 27A of the United States Securities Act of 1933 and Section 21E of the United States Securities Exchange Act of 1934. These forward-looking statements, which may include statements regarding AU Optronics' future results of operations, financial condition or business prospects, are subject to significant risks and uncertainties and are based on AU Optronics' current expectations. Actual results may differ materially from those expressed or implied in these forward-looking statements for a variety of reasons, including, among other things: the cyclical nature of our industry; our dependence on introducing new products on a timely basis; our dependence on growth in the demand for our products; our ability to compete effectively; our ability to successfully expand our capacity; our dependence on key personnel; general economic and political conditions, including those related to the TFT-LCD industry; possible disruptions in commercial activities caused by natural and human-induced disasters, including terrorist activity and armed conflict; and fluctuations in foreign currency exchange rates. In addition, financial information contained here within is presented in conformity with accounting principles generally accepted in the Republic of China ("ROC GAAP"). Readers should be cautioned that these accounting principles differ in many material respects from accounting principles generally accepted in the United States of America ("US GAAP"). Our release of financial forecasts and forward-looking statements at any particular time does not create any duty of disclosure beyond that which is imposed by law, and we expressly disclaim any obligation to publicly update or revise any forecasts or forward-looking statements, whether as a result of new information, future events or otherwise. Additional information as to these and other factors that may cause actual results to differ materially from AU Optronics' forward-looking statements or some of the major differences between ROC GAAP and US GAAP can be found in AU Optronics' registration statement on Form F-3 filed with the United States Securities and Exchange Commission on June 17, 2004.

3

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1H 2004 Financial Results

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1H 2004 Consolidated Income Statement – QoQ Comparison
	Amount : NT$ Million Except Per Share Data
		2Q'04(a)						1Q'04(a)						QoQ Change %
	Net Sales	48,530			100.0	%		41,331			100.0	%		17.4	%
	Cost of Goods Sold	(31,378	)		(64.7	%)		(27,286	)		(66.0	%)		15.0	%
	Gross Profit	17,152			35.3	%		14,045			34.0	%		22.1	%
	Operating Expenses	(2,409	)		(5.0	%)		(2,311	)		(5.6	%)		4.2	%
	Operating Income	14,743			30.4	%		11,734			28.4	%		25.6	%
	Net Non-operating Income (Exp.)	(358	)		(0.7	%)		(95	)		(0.2	%)		276.8	%
	Income before Tax	14,385			29.6	%		11,639			28.2	%		23.6	%
	Income Tax Credit (Exp.)	0			0.0	%		30			0.0	%		(100.0	%)
	Net Income	14,385			29.6	%		11,669			28.2	%		23.3	%
	Basic EPS (NT$) (b)	3.08						2.51						22.7	%
	Fully Diluted EPS (NT$)	-						-						-
	Operating Income + D&A	20,925			43.1	%		17,084			41.3	%		22.5	%
	Unit Shipment (MN) (c)
	Large Size Panels	4.7						4.1						14.3	%
	Small & Medium Size Panels	7.3						5.2						41.4	%
(a)	Unaudited, prepared by AU Optronics Corp. on a consolidated basis
(b)	Total weighted average outstanding shares of 4,659 million and 4,644 million were used in Basic EPS calculation for 2Q'04 and 1Q'04
(c)	Large size refers to panels that are 10 inches and above in diagonal measurement while small & medium size refers to those below 10 inches, as defined by DisplaySearch
5

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	1H 2004 Consolidated Balance Sheet Highlights – QoQ Comparison
	Amount : NT$ Million
		2Q'04(a)					1Q'04 (a)					QoQ Change %
	Cash & ST Investment	41,518		18.6	%		22,129		12.3	%		87.6	%
	Inventory	17,779		7.9	%		12,361		6.9	%		43.8	%
	Short Term Debt (b)	6,415		2.9	%		8,654		4.8	%		(25.9	%)
	Long Term Debt	36,080		16.1	%		30,740		17.1	%		17.4	%
	Equity	128,887		57.6	%		104,105		57.8	%		23.8	%
	Total Assets	223,754		100.0	%		180,015		100.0	%		24.3	%
	Inventory Turnover (days) (c)			44					37
	Debt to Equity (Fully Diluted)			33.0	%				37.8	%
	Net Debt to Equity (Fully Diluted)			3.3	%				19.3	%
(a)	Unaudited, prepared by AU Optronics Corp. on a consolidated basis
(b)	Short term debt refers all interest bearing debt maturing within one year
(c)	Annualized, calculated by dividing the average inventory into the cost of goods sold, then dividing 365 days by the inventory turnover
6

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	1H 2004 Consolidated Cash Flow Highlights – QoQ Comparison
	Amount : NT$ Million							QoQ
		2Q'04 (a)			1Q'04 (a)			Change			1H'04
	From Operation	15,920			13,806			2,114			29,726
	Net Profit	14,385			11,669			2,716			26,054
	Depreciation & Amortization	6,182			5,350			832			11,532
	From Investment	(16,164	)		(19,323	)		3,159			(35,487	)
	Capital Expenditure	(14,637	)		(18,482	)		3,845			(33,119	)
	Long-term investment	(797	)		(480	)		(317	)		(1,277	)
	From Financing	19,121			6,895			12,226			26,016
	Repayment of Long Term Debt	(1,847	)		(1,599	)		(248	)		(3,446	)
	Long Term Debt	6,939			6,783			156			13,722
	ADR Issuance	16,020			-			16,020			16,020
(a)	Unaudited, prepared by AU Optronics Corp. on a consolidated basis
7

 

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Quarterly Consolidated Large Size Panel Shipment & Blended ASP
(a)	Unaudited, prepared by AU Optronics Corp. on a consolidated basis
(b)	Large size refers to panels that are 10 inches and above in diagonal measurement, as defined by DisplaySearch
8

 

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(a)	Unaudited, prepared by AU Optronics Corp. on a consolidated basis
(b)	Small & Medium size refers to panels that are under 10 inches in diagonal measurement, as defined by DisplaySearch
9

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Consolidated Revenue by Application
(a)	Unaudited, prepared by AU Optronics Corp. on a consolidated basis
10

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	Installed Capacity by Fab
			Substrate		12/2003		6/2004		12/2004 (F)
	FAB		Size (mm)		Capacity		Capacity		Capacity
	L3A (G3.5)		610 x 720		45,000		45,000		45,000
	L3B (G3.5)		610 x 720		5,000 LTPS		5,000 LTPS		5,000 LTPS
					25,000 a-Si		25,000 a-Si		25,000 a-Si
	L5 (G3.5)		600 x 720		60,000		60,000		60,000
	L6 (G4.0)		680 x 880		60,000		60,000		60,000
	L8A (G5.0)		1100 x 1250		50,000		50,000		50,000
	L8B (G5.0)		1100 x 1300		n.a.		60,000		70,000
	C1 (G5.0) (a)		1100 x 1300		30,000		90,000		120,000
	(a) Color filter fab
11

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Enrich Digital Lifestyle
http://www.auo.com
IR@auo.com

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Item 2

		As of June 30, 2004						As of June 30, 2003				YoY
ASSETS		USD		NTD		%		NTD		%		Change		%
Cash and Cash Equivalents		946		31,938		15.1		14,926		11.6		17,012		114.0
Short-term Investments		93		3,140		1.5		2,634		2.1		506		19.2
Notes & Accounts Receivable		783		26,447		12.4		15,455		12.0		10,992		71.1
Other.Current Financial Assets		6		212		0.1		492		0.4		(280	)	(56.9	)
Inventories		4 45		15,007		7.1		6,354		4.9		8,653		136.2
Other Current Assets		120		4,059		1.9		1,168		0.9		2,891		247.5
Total Current Assets		2,393		80,803		38.1		41,029		31.9		39,774		96.9
Long-term Investments		234		7,910		3.8		1,604		1.2		6,306		393.1
Fixed Assets		4,943		166,888		78.8		109,805		85.2		57,083		52.0
Less Accumulated Depreciation		(1,446	)	(48,838	)	(23.1	)	(31,625	)	(24.5	)	17,213	)	54.4	)
Net Fixed Assets		3,497		118,050		55.7		78,180		60.7		39,870		51.0
Other Assets		151		5,095		2.4		8,032		6.2		(2,937	)	(36.6	)
Total Assets		6,275		211,858		100.0		128,845		100.0		83,013		64.4
LIABILITIES
Accounts Payable		1,044		35,239		16.6		15,762		12.2		19,477		123.6
Current Installments of Long-term Liabilities		189		6,394		3.0		9,486		7.4		(3,092	)	(32.6	)
Other Current Liabilities		278		9,380		4.5		3,894		3.0		5,486		140.9
Total Current Liabilities		1,511		51,013		24.1		29,142		22.6		21,871		64.4
Long-term Borrowings		740		24,986		11.8		18,990		14.7		5,996		31.6
Bonds and Convertible Bonds Payable		178		6,000		2.8		1,767		1.4		4,233		239.6
Other Long-term Liabilities		28		972		0.5		134		0.1		838		625.4
Total Liabilities		2,457		82,971		39.2		50,033		38.8		32,938		65.8
SHAREHOLDERS' EQUITY
Common Stock		1,468		49,580		23.4		42,704		33.2		6,876		16.1
Capital Surplus		1,338		45,165		21.3		31,731		24.6		13,434		42.3
Retained Earnings		1,018		34,365		16.2		4,626		3.6		29,739		642.9
Cumulative Translation Adjustment		1		28		0.0		2		0.0		26		1300.0
		(7	)	(251	)	(0.1	)	(251	)	0.2		0		0.0
Total Stockholders’ Equity		3,818		128,887		60.8		78,812		61.2		50,075		63.5
Total Liabilities & Stockholders’ Equity		6,275		211,858		100.0		128,845		100.0		83,013		64.4

Note:	(1)	Unaudited, prepared by AU Optronics Corp.
	(2)	Amount in New Taiwan dollars translated into US dollars at the exchange rate of NTD 33.76 per US dollar as of June 30, 2004.

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AU OPTRONICS CORP.
UNCONSOLIDATED INCOME STATEMENT
For the Six Months Ended June 30, 2004 and 2003 and for the Three Months Ended June 30, 2004 and March 31, 2004
(Expressed in Million of New Taiwan Dollars (NTD) and US Dollars (USD)
Except for Per Share Data and Outstanding Shares)

	Year over Year Comparison										Sequential Comparison
	1H 2004										2Q 2004
	USD(1)		NTD		% of Sales		1H 2003 NTD		YoY Chg %		USD		NTD		% of Sales		1Q 2004 NTD		QoQ Chg %
Net Sales	2,603		86,880		100.0		39,191		121.7		1,448		48,344		100.0		38,536		25.5
Cost of Goods Sold	1,688		56,337		64.8		33,078		70.3		943		31,487		65.1		24,850		26.7
Gross Profit	915		30,543		35.2		6,113		399.6		505		16,857		34.9		13,686		23.2
Operating Expenses
Selling	24		816		0.9		371		119.9		9		289		0.6		527		(45.2	)
Administrative	42		1,395		1.6		1,060		31.6		24		798		1.6		597		33.7
Research and Development	64		2,129		2.5		1,335		59.5		34		1,139		2.4		990		15.1
Total Operating Expenses	130		4,340		5.0		2,766		56.9		67		2,226		4.6		2,114		5.3
Total Operating Income	785		26,203		30.2		3,347		682.9		438		14,631		30.3		11,572		26.4
Net Non-Operating Income (Expenses)	(5	)	(179	)	(0.2	)	(242	)	(26.0	)	(7	)	(246	)	(0.5	)	67		(467.2	)
Income before Income Tax	780		26,024		30.0		3,105		738.1		431		14,385		29.8		11,639		23.6
Income Tax (Expense) Benefit	1		30		0.0		0		-		(0	)	(0	)	0.0		30		(100.0	)
Net Income	781		26,054		30.0		3,105		739.1		431		14,385		29.8		11,669		23.3
Basic Earnings Per Share	0.168		5.592				0.682				0.092		3.087				2.513
Basic Earnings Per ADS (2)	1.68		55.92				6.82				0.92		30.87				25.13
Weighted Average Number of Shares Outstanding (Million)			4,659				4,553						4,659				4,644

Note:	(1)	Unaudited, prepared by AU Optronics Corp.
	(2)	New Taiwan dollars amounts translated into U.S. dollars at the weighted average rate of NT$33.3767 per US dollar for 2Q2004
	(3)	1 ADR equals 10 ordinary shares

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AU OPTRONICS CORP.
UNCONSOLIDATED STATEMENT OF CASH FLOWS
For the Six Months Ended June 30, 2004 and 2003
(Figures in Millions of New Taiwan dollars (NTD) and US dollars (USD))

		2004						2003
		USD			NTD			NTD
Cash Flows from Operating Activities:
Net Income		781			26,054			3,105
Depreciation & Amortization		329			10,797			7,103
Provision for Inventory Devaluation		1			29			142
S.T & L.T Investment Gain		(3	)		(104	)		(196	)
Changes in Working Capital & Others		(322	)		(10,754	)		(1,318	)
Net Cash Provided by Operating Activities		786			26,204			8,836
Cash Flows from Investing Activities:
Decrease (Increase) in Short-term Investments		(30	)		(1,003	)		666
Acquisition of Property, Plant and Equipment		(906	)		(30,237	)		(14,979	)
Proceeds from Disposal of Property, Plant and Equipment		3			112			311
Increase in Long-term Equity Investments		(141	)		(4,695	)		(436	)
Increase in Restricted Cash in Bank		0			0			23
Increase in Intangible Assets		(11	)		(370	)		(746	)
Decrease in Other Assets		2			59			89
Net Cash Used in Investing Activities		(1,083	)		(36,134	)		(15,072	)
Cash Flows from Financing Activities:
Increase (Decrease) in Long-term Borrowings		277			9,254			(4,399	)
Issuance of Common Stock for Cash		478
Increase in Treasury Stock		0			0			(68	)
Net Cash Provided by (Used in) Financing Activities		755			25,221			(4,467	)
Effect of Exchange Rate Change on Cash		1			23			(30	)
Net Increase (Decrease) in Cash and Cash Equivalents		459			15,314			(10,733	)
Cash and Cash Equivalents at Beginning of Period		498			16,624			25,659
Cash and Cash Equivalents at End of Period		957			31,938			14,926

Note:	(1)	Unaudited, prepared by AU Optronics Corp.
	(2)	Amount in New Taiwan dollars translated into US dollars at the exchange rate of NT$ 33.3767 per US dollar

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AU OPTRONICS CORP.
CONSOLIDATED BALANCE SHEET
As of June 30, 2004 and 2003
(Figures in Millions of New Taiwan dollars (NTD))

	As of June 30, 2004						As of June 30, 2003				YoY
ASSETS	USD		NTD		%		NTD		%		Change		%
Cash and Cash Equivalents	1,132		38,216		17.1		15.856		12.0		22,360		141	.
Short-term Investment	98		3,302		1.5		2,666		2.0		636		23.9
Notes & Accounts Receivables	783		26,431		11.8		13,661		10.4		12,770		93.5
Inventories	526		17,779		7.9		7,162		5.4		10,617		148.2
Other Current Assets	130		4,390		1.9		1,728		1.3		2,662		154	.
Total Current Assets	2,669		90,118		40.2		41,073		31.1		49,045		119	.
Long-term Investments	57		1,919		0.9		461		0.3		1,458		316.3
Fixed Assets	5,230		176,565		78.9		114,171		86.5		62,394		54.6
Less Accumulated Depreciation	(1,485	)	(50,139	)	(224	)	(31,989	)	(24 2	)	(18,150	)	56.7
Net Fixed Assets	3,745		126,426		62.5		82,182		62.3		44,244		53.8
Other Assets	157		5,291		2.4		8,240		6.3		(2,949	)	(35.8	)
Total Assets	6,628		223,754		100.0		131,956		100.0		91,798		69.6
LIABILITIES
Short-term borrowings	1		21		0.0		282		0.2		(261	)	(92.6	)
Accounts Payable	1,232		41,609		18.6		16,998		12.9		24,611		144.8
Current Installments of Long-term Liabilities	189		6,394		2.9		9,486		7.2		(3,092	)	(32.6	)
Other Current Liabilities	290		9,790		4.3		4,039		3.1		5,751		142.4
Total Current Liabilities	1,712		57,814		25.8		30,805		23.4		27,009		87.7
Long-term Borrowings	891		30,080		13.5		20,437		15.5		9,643		47.2
Bonds and Convertible Bonds Payable	178		6,000		2.7		1,767		1.3		4,233		239.6
Other Long-term Liabilities	29		973		0.4		135		0.1		838		620.7
Total Liabilities	2,810		94,867		42.4		53,144		40.3		41,723		78.5
SHAREHOLDERS' EQUITY
Common Stock	1,468		49,580		22.1		42,704		32.4		6,876		16.1
Capital Surplus	1,338		45,165		20.2		31,731		24.0		13,434		42.3
Retained Earnings	1,018		34,365		15.4		4,626		3.5		29,739		642.9
Cumulative Translation Adjustment	1		28		0.0		2		0.0		26		1,300.0
Treasury Stock	(7	)	(251	)	(0.1	)	(251	)	(0.2	)	0		0.0
Total Stockholders’ Equity	3,818		128,887		57.6		78,812		59.7		50,075		63.5
Total Liabilities & Stockholders’ Equity	6,628		223,754		100.0		131,956		100.0		91,798		69.6

Note:	(1) Unaudited, prepared by AU Optronics Corp. based on ROC GAAP
	(2) Amount in New Taiwan dollars translated into US dollars at the exchange rate of NTD 33.76 per US dollar as of June 30, 2004

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     AU OPTRONICS CORP.
CONSOLIDATED INCOME STATEMENT
For the Six Months Ended June 30, 2004 and 2003 and for the Three Months Ended June 30, 2004 and March 31, 2004
(Expressed in Millions New Taiwan Dollars (NTD) and U.S. Dollars (USD)
Except for Per Share Data and Shares Outstanding)

	Year over Year Comparison										Sequential comparison
	1H 2004 USD		1H2004 NTD		% of Sales		1H 2003 NTD		YoY Chg %		2Q 2004 USD		2Q 2004 NTD		% of Sales		1Q2004 NTD		QoQ Chg%
Net Sales	2,692		89,861		100.0		42,110		113.4		1,454		48,530		100.0		41,331		17.4
Cost of Goods Sold	1,758		58,664		65.3		35,619		64.7		940		31,378		64.7		27,286		15.0
Gross Profit	934		31,197		34.7		6,491		380.6		514		17,152		35.3		14,045		22.1
Operating Expenses
Selling	28		951		1.0		457		108.1		11		368		0.8		583		(36.9	)
Administrative	49		1,639		1.8		1,168		40.3		27		902		1.9		737		22.4
Research and Development	64		2,129		2.4		1,336		59.4		34		1,138		2.3		991		14.8
Total Operating Expenses	141		4,719		5.2		2,961		59.4		72		2,408		5.0		2,311		4.2
Total Operating Income	793		26,478		29.5		3,530		650.1		442		14,744		30.3		11,734		25.7
Net Non-Operating Expenses	(13	)	(454	)	(0.5	)	(425	)	6.8		(11	)	(359	)	(0.7	)	(95	)	277.9
Income before Income Tax	780		26,024		29.0		3,105		738.1		431		14,385		29.6		11,639		23.6
Income Tax Benefit	1		30		0.0		0		0.0		0		0		0.0		30		-
Net Income	781		26,054		29.0		3,105		739.1		431		14,385		29.6		11,669		23.3
Basic Earnings Per Share	0.168		5.592				0.682				0.092		3.087				2.513
Basic Earnings Per ADS  (3)	1.68		55.92				6.82				0.92		30.87				25.13
Weighted Average Number			4,659				4,553						4,659				4,644
of Shares Outstanding (Million)

Note:	(1) Unaudited, prepared by AU Optronics Corp. based on ROC GAAP
	(2) New Taiwan dollars amounts translated into U.S. dollars at the weighted average rate of NT$33.3767 per US dollar for 2Q2004
	(3) 1 ADR equals 10 ordinary shares

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AU OPTRONICS CORP.
CONSOLIDATED STATEMENT OF CASH FLOWS
For the Six Months Ended June 30, 2004 and 2003
(Figures in Millions of New Taiwan dollars (NTD) and U.S. dollars (USD))

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Item 3

News Release

AU Optronics Reports Unaudited First Half 2004 Results

Consolidated Revenues of NT$89,861 Million and Net Income of NT$26,054 Million Set Record Highs

AU Optronics Corp. (“AUO” or the “Company”) (TAIEX: 2409; NYSE: AUO), the world’s third largest manufacturer of large-size TFT-LCD panels, today announced its unaudited consolidated results of operations for the six months ended June 30, 2004. All financial information was prepared by the Company in accordance with generally accepted accounting principles in Taiwan (“ROC GAAP”). There are many differences between ROC GAAP and U.S. GAAP, some of which are described in the notes to the financial statements contained in the Company’s annual report on Form 20-F filed with the United States Securities and Exchange Commission on May 7, 2004. The unaudited financial information mentioned herein is not necessarily indicative of our future financial results.

Hsinchu, Taiwan, July 22, 2004 –

     AU Optronics Corp. (“AUO” or the “Company”) (TAIEX: 2409; NYSE: AUO) today held a meeting of the Board of Directors and Supervisors, at which the Board approved its unaudited financial results for the six months ended June 30, 2004.

     Unaudited consolidated net sales and net income for 1H 2004 totaled historical high of NT$89,861 million and NT$26,054 million, respectively, with Earnings per share of NT$5.59. Both consolidated net sales and net income for 2Q 2004 set the record high performance for a single quarter, net sales increased 17.4% to NT$48,530 million while net income rose 23.3% to NT$14,385 million over the previous quarter. Unconsolidated net sales for the first half and second quarter of 2004 totaled NT$86,880 million and NT$48,344 million, respectively.

     “Despite traditional slow PC season taking effect from June 2004, AUO delivered solid 2Q04 results, mainly attributed to the smooth ramp up and high yield rates achieved at AUO’s fifth generation production facilities (5G fabs), successful cost control, product mix enhancement and capacity allocation optimization. As a result, the gross profit for the second quarter 2004 increased 22.1% to NT$17,152 million, compared to NT$14,045 million in the previous quarter; gross margin improved to 35.3% in the second quarter from 34% in the first quarter of 2004. Our operating profit for the quarter totaled NT$14,743 million, with operating margin of 30.4%, as compared to 28.4% for the previous quarter, with earnings per share of NT$3.08 for the quarter” commented Mr. Max Cheng, Vice President and Chief Financial Officer.

     Dr. Hui Hsiung, Executive Vice President, noted that “AUO’s unit shipment of large size panels totaled 4.73 million, a 14.3% QoQ growth. For the first half 2004, large size panel shipment totaled 8.86 million.

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News Release

     Unit shipment for small and medium size panels in second quarter 2004 recovered from seasonal weakness, posting significant growth of 41.4% to 7.3 million from the previous quarter. Total shipment for small and medium size panels reached 12.5 million in 1H 2004.

Safe Harbour Notice

Except for statements in respect of historical matters, the statements contained in this Release are “forward-looking statements” within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. These forward-looking statements were based on our management's expectations, projections and beliefs at the time regarding matters including, among other things, future revenues and costs, financial performance, technology changes, capacity, utilization rates, yields, process and geographical diversification, future expansion plans and business strategy. Such forward looking statements are subject to a number of known and unknown risks and uncertainties that can cause actual results to differ materially from those expressed or implied by such statements, including risks related to the flat panel display industry, the TFT-LCD market, acceptance and demand for our products, technological and development risks, competitive factors, and other risks described in the section entitled "Risk Factors" in our Form F-3 filed with the United States Securities and Exchange Commission on June 17, 2004.

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FOR MORE INFORMATION

Yawen Hsiao
Corporate Communications Dept.
AU Optronics Corp.
No.1, Li-Hsin Road 2, Science-Based Industrial Park, Hsinchu City, 300, Taiwan, R.O.C.
Tel: +886-3-5632899 ext 3211      Fax: +886-3-5637608      Email: yawenhsiao@auo.com

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