This market research analysis offers the reader a detailed analysis of the costs to produce capacitors by type, with emphasis upon ceramic, aluminum, tantalum and plastic film type dielectric capacitors. The study analyzes fixed and variable costs associated with the production of each different type of capacitor; including variable raw material charges, variable labor charges, variable overhead charges and fixed overhead and manufacturing costs. The study compares and contrasts each capacitor dielectric with respect to cost structure, and focuses on the unique cost relationship between variable raw material charges for each product line and their overall impact on cost of goods sold. The analysis also looks at the top 14 global manufacturers of capacitors and draws conclusions for the cost structures associated with their respective output of capacitors. The analysis also reveals best practices with respect to cost savings used by the top producers in Japan, USA, Europe, Korea and China.

TABLE OF CONTENTS

INTRODUCTION    
  
      Focus of This Specific Report    
      Research Methodology
    KEY DEFINITIONS      
      Total Cost     
      Fixed Costs      
      Variable Costs        
             Raw Material Costs    
             Variable Overhead Costs     
             Variable Labor Costs 

CHAPTER ONE   
     
EXECUTIVE SUMMARY  2010   
    CAPACITORS  COST OF GOODS SOLD  FY 2010     
      Industry Cost To Produce Comparison for Capacitors By Type  2010  
      Fixed and Variable Costs For Capacitors  All Dielectrics Combined  2010 
      Capacitor Operating Margins  FY 2010 
      Fixed and Variable Cost Analysis  2010  
      Fixed Costs  2010    
      Variable Cost Structure Related To Capacitors  2010 
      Variable Raw Material Costs  2010    
      Variable Labor, Overhead and Manufacturing Costs  2010   
    COST TO PRODUCE ANALYSIS  ELECTROSTATIC CAPACITORS  2010   
      Ceramic Capacitors  2010      
      Plastic Film Capacitors  2010    
    COST TO PRODUCE ANALYSIS  ELECTROLYTIC CAPACITORS  2010
      Aluminum Capacitors  2010                                                
      Tantalum Capacitors  2010 
      Summary and Conclusions  2010      
    A CLOSE LOOK AT THE TOP VENDORS AND THEIR COST STRUCTURE  FY 2010  
      Establishing Cost of Goods Sold For The Top Capacitor Manufacturers 
              Who To Look At And Why       
        Major and Minor Competitors In The Global Market by Capacitor Type  2010 
        Cost of Goods Sold For The Top 14 Global Capacitor Producers  2007-2010; FY 2011 Forecast
             Cost of Goods Sold Comparison By Capacitor Manufacturer  2007-2010, 2011 Forecast
    2011 CGS OUTLOOK       
    BREAKING DOWN COSTS TO PRODUCE BY CAPACITOR TYPE  2007-2010; 2011 FORECAST 
      Changes in Cost of Goods Sold As a Percentage of Revenues By Capacitor Type  2007-2010; 2011
      Forecast                                                                  
      Analysis of Changes in The Costs To Produce By Dielectric  2007-2010  

CHAPTER TWO   
                
MARKET OVERVIEW  2010         
    VALUE, VOLUME AND GLOBAL PRICING DATA FOR CAPACITORS BY TYPE
      Global Capacitor Market Forecasts  2007-2010, 2011 Forecast -FY Ending March- (In Millions of
      USD)                                             
      Global Capacitor Market Volume  2008-2010; 2011 F 
      Global Capacitor Market Revenue Forecasts By Dielectric  2009-2010 FY Ending March 
             Ceramic Capacitors  2009-2010; 2011 Outlook   
             Aluminum Electrolytic Capacitors  2009-2010; FY 2011 Outlook
             Tantalum Capacitors  2009-2010 FY; 2011 FY Outlook   
             DC Film Capacitors  2009-2010; FY 2011 Outlook
             AC Power Film Capacitors  2009-2010; FY 2011 
             Other Capacitors  2009-2010- 2011
        Top Global Capacitor Manufacturers  Changes in Revenues - 2007-2010 FY
        Top 15 Vendors of Capacitors  Change in 2008-2010 FY Revenues
        Five Year Capacitor Market Forecasts  2010-2015
             Global Capacitor Volume Shipments By Dielectric  2003-2009; 2010-2015F
        Global Capacitor Unit Shipments By Dielectric  2003-2010; 2011-2015F
             Global Capacitor Value Shipments By Dielectric  2003-2009; 2010-2015F
        Global Capacitor Value Shipments By Dielectric  2003-2010; 2011-2015F
             Average Unit Pricing For Capacitors By Dielectric  2003-2010; 2011-2015F
        Average Unit Price Erosion For Capacitors By Type  2003-2009; 2010-2015F
        Capacitor Vendors  Global Sales & Market Shares  FY 2010
             Capacitors  Overall Market Share Data  FY 2010
        Top 15 Vendors of Capacitors  Change in 2008-2010 FY Revenues
             Manufacturing Locations for The Top 18 Vendors of Passive Components  2010 
        Manufacturing Locations For Passive Components By The Top 18 Passive Component
        Manufacturers  2010      
             Passive Component Manufacturing By Country In Asia  2009  
             Passive Component Manufacturing In The Americas and Europe By Country and Vendor  2009

CHAPTER THREE       
    
CERAMIC CAPACITORS  COSTS TO PRODUCE
        Ceramic Capacitors (The Industry Workhorse)     
             Ceramic Capacitor Types              
             Ceramic Capacitor Configurations     
      Ceramic Capacitors  2009-2010; 2011 Outlook
      Ceramic Capacitor Market Shares  FY 2010 
      Ceramic Capacitors  Global Market Shares  2007-2008-2009 FY
    CERAMIC CAPACITORS  COSTS TO PRODUCE
      Cost of Goods Sold                   
      Raw Materials          
      Fixed Costs      
      Variable Overhead  
      Variable Labor           
      Variable Manufacturing Costs 
    CERAMIC CAPACITORS  RAW MATERIALS BREAKDOWN
      Ceramic Dielectric Materials
      Electrode Materials                                             
      Termination Materials          
      Assembly Materials                 
      Packaging Materials    
      Notes on Ceramic Capacitor Yield Ratios
             High Cap Ceramics  
             Low Cap Ceramics    
             Specialty Ceramics    
    BEST PRACTICES IN COST SAVINGS FOR CERAMIC CAPACITORS

CHAPTER FOUR      
                    
ALUMINUM ELECTROLYTIC CAPACITORS  COSTS TO PRODUCE   
      Aluminum Capacitor Types                    
      Aluminum Capacitor Configurations   
      Aluminum Electrolytic Capacitors  2009-2010; FY 2011 Outlook
      Aluminum Electrolytic Capacitor Market Shares
      Aluminum Electrolytic Capacitors  Global Market Shares  2009-2010 FY Ending March
    ALUMINUM ELECTROLYTIC CAPACITORS  COST TO PRODUCE 
      Aluminum Capacitors  Worldwide Revenues  FY 2010
      Aluminum Capacitors  Operating Margin  FY 2010
      Aluminum Capacitors  Cost of Sales  FY 2010
      Cost To Produce Metrics For Aluminum Electrolytic Capacitors  FY 2010
      Aluminum Capacitors  Cost of Goods Sold
             Fixed Costs                       
             Variable Costs    
             Raw Materials    
             Variable Overhead          
             Variable Labor   
             Variable "Other" Manufacturing  
        Raw Materials Cost Breakdown  FY 2010
             Anode and Cathode Foils         
             Can and Sleeve                    
             Electrolytes and Associated Chemistry         
             Rubber End Seals                         
             Separator Paper                   
             Electrode/Tab Materials                            
             Lead Wires   
             PPS/Foot Tape  
             Other Costs 
    BEST PRACTICES IN COST SAVINGS FOR ALUMINUM ELECTROLYTIC CAPACITORS

CHAPTER FIVE     
   
PLASTIC FILM CAPACITORS  COSTS TO PRODUCE 
        DC Film Capacitor Types   
        DC Film Capacitor Configurations    
        AC Film Capacitor Types                 
        AC Film Capacitor Configurations   
        DC Film Capacitors  2009-2010; FY 2011 Outlook
        AC Power Film Capacitors  2009-2010; FY 2011
        DC Film Capacitor Market Shares 
        DC Film Capacitors  Global Market Shares  2009-2010 FY Ending March   
        AC Film Capacitor Market Shares       
        AC Film Capacitors  Global Market Shares  FY 2007-2010 Estimates
        Plastic Capacitor Revenues  FY 2010 
             Operating Margins  FY 2010                                     
             Cost of Sales 
             Fixed Costs  FY 2010 
             Variable Costs   
             Raw Materials   
             Variable Overhead  
             Variable Labor     
             Other Manufacturing Costs         
        Plastic Capacitors  Fixed and Variable Costs To Produce  FY 2010
        Plastic Film Capacitors  Raw Materials              
             Metallized Film
             Packaging Materials                       
          Lead Wires/Terminal Attachments 
         Other Materials       

AC FILM CAPACITORS  COSTS TO PRODUCE   
  AC Film Capacitor Revenues
  AC Film Capacitors  Operating Margins
  AC Film Capacitors  Cost of Goods Sold
  AC Film Capacitors  Fixed Costs   
  AC Film Capacitors  Variable Costs  
  Raw Material Costs      
  Variable Overhead       
  Variable Labor    
  Other Variable Costs  

DC FILM CAPACITORS  COSTS TO PRODUCE
  DC Film Capacitor Revenues      
  DC Film Capacitors  Operating Margins 
  DC Film Capacitors  Cost of Sales     
  DC Film Capacitors  Fixed Costs 
  DC Film Capacitors  Variable Costs 
  Raw Material Costs
  Variable Overhead   
  Variable Labor    
  Other Variable Costs                
  Plastic Capacitors  Costs To Produce By Type  AC Film Versus DC Film  FY 2010
  Raw Materials Consumption By Type  AC Versus DC Film
         AC Film Capacitors                                 
         Metallized & Unmetallized Polypropylene Film          
    Cans and Casings
    Dielectric Fluids
    Separator Foils
    Separator Papers        
    Electrode & Tab Materials            
    End Seals                  
    Lead Wires and Lugs          
    Other AC Film Capacitor Materials
         DC Film Capacitors        
    Metallized PET Film and Other Films 
    Packaging/Casing              
    Epoxy Fills         
    Dielectric Wrapping Tape                   
    Lead Wires                             
    Other DC Film Capacitor Raw Materials   

    BEST PRACTICES IN COST SAVINGS FOR PLASTIC FILM CAPACITORS  

CHAPTER SIX                                                    

TANTALUM CAPACITORS  COSTS TO PRODUCE               
      Tantalum Capacitor Types   
      Tantalum Capacitor Configurations        
      Tantalum Capacitors  2009-2010 FY; 2011 FY Outlook
      Tantalum Capacitor Market Shares  FY 2010
      Global Market Shares in Tantalum Capacitors  FY 2007-FY 2010 Ending March Change in Market
      Shares                       
   
TANTALUM CAPACITORS  COSTS TO PRODUCE  
      Processing Steps  
      Raw Material Costs  Tantalum Capa
      Leadframes              
      Silver Materials
      Cathode Materials 
      Epoxy Resin            
      Other Materials       
      Tantalum Capacitors  Costs To Produce By Type
             MN02 Cathode Type                     
             Conductive Polymer Cathode Type           
             Specialty Tantalum Capacitors  Axial, Radial and Wet Slug  
    BEST PRACTICES IN COST SAVINGS FOR TANTALUM CAPACITORS

CHAPTER SEVEN 

COST OF GOODS SOLD BY CAPACITOR MANUFACTURER
AVX  COSTS TO PRODUCE               
        AVX/Kyocera Corporation (NYSE  AVX   RIC 6971 )  
        Cost of Goods Sold and Operating Margin  FY 2007-2010 
EPCOS AG  COSTS TO PRODUCE 
        EPCOS AG         
        Cost of Goods Sold and Operating Margin  FY 2007-2010 
KEMET  COSTS TO PRODUCE 
        Kemet Electronics (NYSE  KEM)    
         Cost of Goods Sold and Operating Margin  FY 2007-2010
MURATA  COSTS TO PRODUCE                                                  
        Murata Manufacturing Limited (RIC  6981)                
        Cost of Goods Sold and Operating Margin  FY 2007-2010
NEC-TOKIN  COST OF GOODS SOLD        
        NEC-Tokin Corporation (RIC  6759)    
        Cost of Goods Sold and Operating Margin  FY 2007-2010; 2011 Outlook
        Tantalum Manufacturing Plants For NEC  
NICHICON  COSTS TO PRODUCE                  
        Nichicon Corporation (RIC  6996)   
        Cost of Goods Sold and Operating Margin  FY 2007-2010  
NIPPON CHEMI-CON  COSTS OF GOODS SOLD    
        Nippon Chemi-Con Corporation (RIC 6996)   
        Cost of Goods Sold and Operating Margin  FY 2007-2010   
PANASONIC  COSTS TO PRODUCE                   
        Panasonic Electronic Devices (RIC  6752)     
        Cost of Goods Sold and Operating Margin  FY 2007-2010 
RUBYCON  COST OF GOODS SOLD   
        Rubycon Corporation (Private- All Are Estimates)     
        Cost of Goods Sold and Operating Margin  FY 2007-2010   
SEMCO  COSTS OF GOODS SOLD                             
        Samsung Electro-Mechanical (KSE  009150)         
        Cost of Goods Sold and Operating Margin  FY 2007-2010   
TAIYO YUDEN  COSTS TO PRODUCE                                       
        Taiyo Yuden Company Limited (RIC  6976)                       
        Cost of Goods Sold and Operating Margin  FY 2007-2010
TDK  COSTS TO PRODUCE   
        TDK Corporation (RIC  6762) 
        Cost of Goods Sold and Operating Margin  FY 2007-2010 
VISHAY COSTS TO PRODUCE                                                                                                                                  
        Vishay Intertechnology (NYSE VSH) 
        Cost of Goods Sold and Operating Margin  FY 2007-2010 
WALSIN  COSTS TO PRODUCE   
        Walsin Technology Corporation (2492)      
        Cost of Goods Sold and Operating Margin  FY 2007-2010 
YAGEO  COSTS TO PRODUCE               
        Yageo Corporation (TW 2327)         
        Cost of Goods Sold and Operating Margin  FY 2007-2010