Delay in Customer Mass-Production Qualification for Heat-Dissipation Substrates and Impairment of Manufacturing Equipment

「The aluminum nitride heat-dissipation substrates produced using the heat-dissipation substrate production equipment received volume-production approval for light-emitting devices, including laser diodes and LEDs. For other applications, however, delays in customers' volume-production approval caused sales to fall below expectations. Accordingly, the carrying value of the heat-dissipation substrate production equipment was reduced to its recoverable amount, and the reduction was recognized as an impairment loss under extraordinary losses.」