Executive Letter

To Our Shareholders, Customers and Associates:

2006 Financial Performance

In 2006 we realigned our business infrastructure to reduce costs, support increased sales, maximize service levels, and to grow and strengthen customer relationships. Although we experienced challenges during 2006, we made headway on a number of fronts. As a result of our continued focus on the basic fundamentals of our business, Sanmina-SCI reported sales of $10.96 billion and non-GAAP earnings per share of $0.19 from continuing operations for the year ended September 30, 2006. Gross margins increased from 5.5% to 5.8%, a 5% improvement year over year.

Several of our strategic end markets experienced significant growth in 2006. Defense and Aerospace grew by 35.4%, Medical by 9.7%, Multimedia by 14.2%, and the Industrial, Semiconductor and Automotive business segment grew 14.0% year over year. We continued to experience weakness in the Personal and Business Computing sector which declined 19.6% mainly due to an overall weakness in demand for desktop PC’s. This decline was partially offset by increased penetration in our more profitable end markets.

During the year, Sanmina-SCI refinanced its 10.375% high yield debt due 2010 with 8.125% high yield debt due 2016. Additionally, we repaid $150 million in long term debt and extended our average debt maturities. As a result of our flexibility and operating efficiency, the Company ended the year with a strong balance sheet with cash of $492 million and liquidity of approximately $860 million.

Focus on the Fundamentals

Sanmina-SCI continues to concentrate on the basic fundamentals of the business to improve the ability to leverage our core strengths, boost operational performance and provide better service to customers around the world. Our vision is to build Sanmina-SCI into an industry leading, customer centric company by listening to the customer, being inventive on their behalf, offering total end-to-end manufacturing solutions, and by personalizing their experience. We add value to our customers by providing the most efficient and effective solution for them to enhance their design, manufacturing and logistics requirements whether in North America, Europe, Asia or the Middle East.

We have expanded our Joint Design Manufacturing (JDM) services to reduce our customers’ time-to-market and R&D costs. Working with the customer early in the design phase ensures product manufacturability, quality and reliability. We have the most experienced engineering, product development and technical support teams in the industry, and are a preferred manufacturing partner for the delivery of innovative, high-end product solutions.

To grow market share means to provide useful and significant options to the markets we serve, and to expand into new areas that build upon our technologies, global footprint and services. With a full suite of vertically integrated services to offer, we see increased opportunities in Sanmina-SCI’s core business. We continue to devote energy and resources to solidify and extend our position in each of our targeted end markets.

Our Core Business:

• Design and Engineering
• Printed Circuit Board (PCB) Fabrication
• Backplane/Cable Assembly
• Enclosure Systems
• Plastic Injection Molding
• Precision Machining
• Printed Circuit Board Assembly
• Optical Modules
• Modular Solutions
• Final System Assembly and Test
• Build to Order (BTO)/Configure to Order (CTO)
• Logistics and Post Manufacturing

Targeted End Markets:

• Automotive
• Communications Infrastructure
• Computing
• Defense and Aerospace
• Industrial
• Medical
• Multimedia
• Semiconductor Equipment

Operational Excellence

Our entire company is highly focused on driving operational excellence. We provide our customers with world-class service and an extensive line of innovative products that combine the best in technology and value. With strategic locations in 19 countries on 5 continents, we provide customers with the strategic advantages they need to compete in a global market by offering:

• Best-in-class technology and processes
• Local, regional and global manufacturing support
• New Product Introduction (NPI)
• World-class BTO, CTO and IT capabilities
• Vertical integration
• True partnership and unparalleled customer service

Our long-term commitment to developing advanced manufacturing technologies proven to drive down cost and solve unique customer demands will serve as the foundation for Sanmina-SCI’s operational excellence strategy in 2007 and beyond.

The key to the future is the customer. We will continue to reinforce a cost-conscious philosophy that makes each customer as competitive as possible. These efforts enable us to invest in business-building initiatives in support of our customers’ cost-reduction and time-to-market requirements.

We will continue to focus on long-term customer relationships and growth by investing in technological innovation, partnering with industry leaders and driving excellence in performance.

Goals for 2007

Driving profitability is our number one goal. In the coming year, we will strive to improve our partnerships, our own productivity and efficiency, our management of fixed expenses and working capital, and our expertise in managing product mi and pricing. We will be persistent in strengthening our financial metrics to create shareholder value. We begin 2007 with confidence that our strong foundation will take us into a future of growth and possibilities. While we have made progress, there is still much to do. Sanmina-SCI’s management team and employees worldwide remain committed to improved performance, operational consistency and profitable growth.

I want to personally thank our team of talented, hard-working employees who are the single most important element of Sanmina-SCI’s success. As always, we at Sanmina-SCI remain grateful to our customers for their business and trust, and to our shareholders for their continued support and encouragement.

JURE SOLA
CHAIRMAN AND CHIEF
EXECUTIVE OFFICER