Document:

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                                                                     EXHIBIT 4.3

                        [STANDARD CHARTERED LETTERHEAD]

DATE:    2nd May 2003
OUR REF: C&I/LC/TEAM3/BKE

CONFIDENTIAL

Kwanasia Electronics Co. Ltd.
Unit 605, Hong Leong Industrial Complex
4 Wang Kwong Road
Kowloon Bay
Kowloon

Attn.: Mr. Lee Shu Kwan, Managing Director

Dear Sirs,

         BANKING FACILITIES : KWANASIA ELECTRONICS CO. LTD.

We are pleased to confirm that the Bank is willing to make available to your
company (the "Company") the following working capital facilities up to the
amounts indicated.

1.       CURRENT ACCOUNT OVERDRAFT - HKD1,000,000.-

Note

Unutilised Overdraft facility may be made available for all Trade Finance
facilities mentioned below.

2.       TRADE FINANCE GROUP ALL (DISCREPANT CREDIT BILLS NEGOTIATED - WITH
         RECOURSE) - HKD5,000,000.-

3.       TRADE FINANCE GROUP 1 - HKD5,000,000.-

4.       TRADE FINANCE GROUP 2 - HKD4,000,000.-

5.       TRADE FINANCE GROUP 3 - HKD4,000,000.-
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                                                                          PAGE 2

KWANASIA ELECTRONICS CO. LTD.                          [STANDARD CHARTERED LOGO]

The above Trade Finance Groups All, 1, 2 and 3 are complementary and the
combined outstandings are not to exceed HKD5,000,000.-. Similarly the combined
outstandings of Trade Finance Groups 2 and 3 are not to exceed HKD4,000,000.-.
For product availability, please see the attachment to this letter.

Prior evidence of insurance is required for all "free on board" and "cost and
freight" shipments under import letters of credit.

Combined usance and loan period of any one transaction under import facilities
is not to exceed 90 days.

Usance period of export facilities is not to exceed 45 days.

Packing credits is allowed with maximum 70% advance for up to 90 days or the
expiry date of the related letters of credit, whichever is earlier.

Import invoice financing is allowed up to 100% finance against presentation of
certified true copy of supplier's invoice for up to 90 days.

Export invoice discounting is allowed with maximum 85% finance for up to 45 days
from invoice date against presentation of certified true copy of the Company's
invoice.

The Company undertakes not to accept any amendments to the master letters of
credit without the prior written consent of the Bank.

No in-house bills from related companies including Jetcrown Industrial Ltd.,
Deswell Industries, Inc. and Kwanta Precision Metal Products Co. Ltd. would be
accepted.

6.       TREASURY FACILITY

The Bank will be pleased to quote rates for foreign exchange spot transactions
and forward transactions (including forward transactions on a non-deliverable
basis) up to 180 days. Quotes for same day or next day settlement can normally
be provided subject to the currency involved and the time of day. Such quotes
will always be at the sole discretion of the Bank.

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                                                                          PAGE 3

KWANASIA ELECTRONICS CO. LTD.                          [STANDARD CHARTERED LOGO]

INTEREST, COMMISSIONS AND FEES

Unless otherwise specified, interest on all sums advanced will be payable
monthly in arrears at Prime or HIBOR, whichever is higher. "Prime" means the
rate which we announce or apply from time to time as our prime rate for lending
Hong Kong Dollars and "HIBOR" means the rate which we determine to be the Hong
Kong Interbank Offered Rate for the relevant period.

Commissions will be charged at our standard rates unless otherwise stipulated.
Export bills will be discounted and import bills will be financed at our
standard bills finance rate minus 0.25% per annum for Hong Kong Dollar bills and
at our standard bills finance rates for foreign currency bills.

Commission on Letters of Credit Opening

First USD50,000.-                   1/4%
USD50,001.- to USD150,000.-        1/12%
Balance                            1/24%

Commission in Lieu of Exchange

All amounts                         1/8%

Commission on Import Acceptance

1/8% per month

A default rate of 8% per annum over Prime or HIBOR, whichever is higher, will
apply to amounts not paid when due or in excess of agreed facility amounts. All
past due bills shall bear interest at 4% per annum above the rates charged on
your regular bills outstandings.

You shall pay to the Bank an arrangement fee of HKD20,000.-, payable on the date
on which the Bank's offer of the above facilities are accepted by you as
signified by your counter-signing of this letter. The arrangement fee is
non-refundable in any event. A handling fee in an amount to be mutually agreed
will be payable on each anniversary of the date of this letter if the facilities
are continuing. The fees will be debited to your current account.

Whether or not the documentation for the above facilities is executed or the
facilities are made available to you as contemplated following your acceptance
of this letter, you shall forthwith on demand reimburse the Bank all out of
pocket expenses (including but not limited to legal fees and disbursements)
incurred by the Bank in connection with the facilities including, without
limitation, the negotiation, preparation, execution and/or enforcement of this
letter and the documentation.

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                                                                          PAGE 4

KWANASIA ELECTRONICS CO. LTD.                          [STANDARD CHARTERED LOGO]

AVAILABILITY AND REPAYMENT

The above facilities are subject to periodic review by the Bank at its
discretion, and it is expressly agreed that they will at all times be available
at the sole discretion of the Bank. Notwithstanding any other provisions
contained in this letter or in any other document, the Bank will at all times
have the right to require immediate payment and/or cash collateralisation of all
or part of any sums actually or contingently owing to it, and the right to
immediately terminate or suspend, in whole or in part, the facilities and all
further utilisation of the facilities.

ASSIGNMENT

The Company may not assign or transfer all or any of its rights, benefits or
obligations under this letter (and any documentation or transactions to which
this letter relates) without the Bank's prior written consent.

The Bank may at any time assign or transfer to any one or more banks or other
financial institutions all or any of its rights, benefits or obligations under
this letter (and any documentation or transactions to which this letter relates)
or change its lending office.

DOCUMENTATION

Before the above facilities may be used, the enclosed copy of this letter must
be signed by the Company and returned to us together with a certified copy of
appropriate authorising board resolutions.

The following documentation are held/will also be required:

-        General Customer Agreement executed by the Company.

-        All monies first legal charge over the property known as Units 10-14,
         19/F., Kwong Sang Hong Centre, 151-153 Hoi Bun Road, Kwun Tong, Kowloon
         in the name of the Company. Insurance for the insurable value is to be
         arranged through mutually acceptable insurers and is to be assigned to
         and held by the Bank. If not otherwise paid, we will have the right to
         pay the premiums and debit your current account. We will require a
         formal valuation before the facilities are used, and annually
         thereafter a desk-top valuation with a full valuation every third
         year.

-        Letter of undertaking by Messrs. Lee Shu Kwan and Tam Man Chi
         covenanting that no personal guarantee will be given to any other banks
         for the account of the Company.

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                                                                          PAGE 5

KWANASIA ELECTRONICS CO. LTD.                          [STANDARD CHARTERED LOGO]

-        Signed original copies of the audited financial statements of the
         Company and Deswell Industries, Inc. within 9 months after their
         financial year end. A signed original copy of the Company's interim
         management accounts within 3 months from statement date. Such other
         information as the Bank may request from time to time.

UNDERTAKINGS

The Company undertakes to the Bank that it will:

-        Not pay any dividend in excess of 50% of its net profit without the
         prior written consent of the Bank.

-        Not mortgage, pledge or otherwise encumber any of its assets without
         the prior written consent of the Bank.

-        Immediately inform the Bank of any change of the Company's directors or
         beneficial shareholders or amendment of its memorandum and articles of
         association.

Deswell Industries, Inc. undertakes to the Bank that it will:-

-        Give the Bank prior notice if it offers corporate guarantee and/or
         personal guarantees to be issued by its directors to any other banks or
         financial institutions for and on behalf of the Company.

By acceptance of this letter the Company gives consent to the Bank to disclose
details of the Company's account relationship with the Bank (including credit
balances and any security given for the facilities) to all or any of the
following persons (whether in or outside Hong Kong): (i) its Head Office and any
of its offices, branches, related companies or associates, (ii) any actual or
proposed participant or sub-participant in, or assignee or novatee of the Bank's
rights in relation to the Company's accounts, (iii) any agent, contractor or
third party service provider which provides services of any kind to the Bank in
connection with the operation of its business, (iv) any financial institution
with which the Company has or proposes to have dealings to enable credit checks
to be conducted on the Company, and (v) any person to whom the Bank is under an
obligation to make disclosure under the requirements of any law binding on the
Bank or any of its branches.

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                                                                          PAGE 6

KWANASIA ELECTRONICS CO. LTD.                          [STANDARD CHARTERED LOGO]

Please sign the enclosed copy of this letter and return it to the Bank's Credit
Operations at 11th Floor, Standard Chartered Tower, 388 Kwun Tong Road, Kwun
Tong, Kowloon for the attention of the undersigned, within one month after the
date of this letter, after which this offer will lapse. When accepted, this
letter will supersede any previous facility letter which the Bank has issued to
the Company. This letter will be governed by Hong Kong SAR law.

Pursuant to the Code of Banking Practice, your signature to this letter
signifies your consent to the Bank providing the following to any individual
guarantor or provider of security in respect of any loan or credit facilities
extended to you and/or to the solicitor acting for such guarantor or security
provider:

(a)      any financial information concerning you;

(b)      a copy of the contract and copies of the contracts from time to time
         evidencing the obligations to be guaranteed or secured or a summary
         thereof;

(c)      a copy of any formal demand for overdue payment which may be sent to
         you after you have failed to settle an overdue amount following a
         customary reminder; and

(d)      from time to time on request by the guarantor or provider of security,
         a copy of the latest statement of account provided to you.

We enclose a set of documents which should also be completed and returned to the
Bank at the above mentioned address. If you have any queries regarding the
completion of the required documents, please contact the undersigned, whose
telephone number is 2282-6396. With regard to queries on banking arrangements,
you can contact our Senior Relationship Manager Ms. Angela Leung, whose
telephone number is 2821-1812.

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                                                                          PAGE 7

KWANASIA ELECTRONICS CO. LTD.                          [STANDARD CHARTERED LOGO]

We are pleased to be of service to you and take this opportunity to thank you
for your custom.

Yours faithfully,
For and on behalf of STANDARD CHARTERED BANK

/s/ Eros Hung
------------------------------------
Eros Hung
Senior Credit Documentation Manager

EH/ky
Encl.

Agreed.
For and on behalf of KWANASIA ELECTRONICS CO. LTD.

/s/ [ILLEGIBLE]
------------------------------------

Agreed.
For and on behalf of DESWELL INDUSTRIES, INC.

/s/ [ILLEGIBLE]
------------------------------------

<PAGE>

                                                       [STANDARD CHARTERED LOGO]

                         KWANASIA ELECTRONICS CO. LTD.

ATTACHMENT REGARDING TRADE FINANCE PRODUCTS

This attachment forms an integral part of our banking facility letter dated 2nd
May 2003.

You may use any product or aggregate of products in any one group up to the
limit shown in the attached banking facility letter.

Trade Finance Group ALL

-        Discrepant Credit Bills Negotiated - with recourse

Trade Finance Group 1

-        Purchase of Documents Against Payment Bills of Exchange secured by
         goods

-        Purchase of Documents Against Acceptance Bills of Exchange with
         ECA/approved insurance cover

-        Back to Back Letters of Credit

-        Import Letters of Credit    - sight and usance

                                     - secured by goods

Trade Finance Group 2

-        Purchase of Documents Against Acceptance Bills of Exchange without
         ECA/approved insurance cover

-        Purchase of Documents Against Payment Bills of Exchange not secured by
         goods

-        Import Letters of Credit    - sight and usance

                                     - not secured by goods

-        Shipping Guarantees

Trade Finance Group 3

-        Pre-shipment Loan - i.e. Packing Credit

-        Acceptance of draft under Import Letter of Credit

-        Release of Documents Against Acceptance or Trust Receipt

-        Loans Against Trust Receipt

-        Post Import Loans

-        Invoice Discounting<PAGE>

                                                                     EXHIBIT 4.4
[FORTIS BANK LETTERHEAD]

Kwanasia Electronics Company Limited
Units 605, Hong Leong Industrial Complex,
4 Wang Kwong Road,
Kowloon Bay, Kowloon.

Date     10 February 2003
Ref.     KEM-1/KA/CRA
Subject  General Banking Facilities

Dear Sirs,

We refer to our recent discussion and are pleased to
confirm that subject to execution of satisfactory
documentation we agree to grant you general banking
facilities under the following terms and conditions:-

OVERDRAFT FACILITIES &/OR STANDBY LETTER OF CREDIT
ISSUED ON YOUR BEHALF

OD Limit / L/C Amount: HKD5,000,000.-

Interest on Overdraft Facilities

Payable monthly at our HKD Prime Rate OR our prevailing
funding cost, whichever is higher, plus 0.25%, all rates
subject to fluctuation at our discretion.

The unused portion of the standby letter of credit
facilities can also be available to you for import
facilities without the support of sales contract and
export facilities on the terms and conditions as below
mentioned.

SHORT-TERM LOAN FACILITIES

(Sublimit of the above OD & Standby LC limit of
HKD5,000,000.-)

Amount:     HKD3,000,000.-

            Short-Term loan is to be drawn
            from time to time in minimum of HKD
            1,000,000.- and in multiples of HKD500,000.-
            for the periods of one month up to 3 months
            maximum.

Interest:   For HKD currency loan amount, interest will be
            charged at our Hong Kong Interbank Offered
            Rate OR our prevailing funding cost, whichever
            is higher, plus 2.375%, payable upon maturity
            of the loan.

            For foreign currency loan amount, interest
            will be charged at our London Interbank
            Offered Rate OR our prevailing funding cost,
            whichever is higher, plus 2.375%, payable upon
            maturity of the loan.

            All the above rates subject to fluctuation at our discretion.
<PAGE>

                                                              [FORTIS BANK LOGO]

Date     10 February 2003
Subject  General Banking Facilities
         Kwanasia Electronics Company Limited
Pages    2/6

IMPORT FACILITIES AGAINST 100% SALES CONTRACTS AND/OR INVOICE DISCOUNTING
FACILITIES

Limit:   HKD5,000,000.- for the opening of letters of credit on such terms and
         conditions as we may from time to time stipulate, the delivery of goods
         against signing of trust receipts, invoice trust receipts, negotiation
         of letters of credit under letters of  guarantee, advances against
         export documents and/or discounting of invoices (upto 80%, maximum of
         90 days) from restricted buyers listed below. In-house bills with
         related companies, including but not limited to Jetcrown Industrial
         Ltd, Deswell Industries Inc, and Kwanta Precision Metal Products Co
         Ltd, are not allowed.

         Invoice Trust Receipts facilities can be drawn against invoices from
         approved suppliers with payment made directly to their accounts.

         Invoice Discounting buyers' list

         1) Huacomm Telecommunications Engineering (HK) Ltd.

         2) One Link Information Ltd.

         3) Harbour Networks Ltd.

         4) Beijing Harbour Networks Co. Ltd.

         5) Huawei Technologies Co. Ltd.

         6) Huawei Tech. Investment Co. Ltd.

         Please note that the maximum period for repayment of Drafts, Trust
         Receipts and Invoice Trust Receipts is 90 days. For HKD bills, interest
         will be charged at our Hong Kong Interbank Offered Rate OR our
         prevailing funding cost, whichever is higher, plus 2.25%; for foreign
         currency bills, interest will be charged at our London Interbank
         Offered Rate OR our prevailing funding cost, whichever is higher, plus
         2.25%, all the rates subject to fluctuation at our discretion.

L/C opening commission:
On first USD50,000.-                1/4%
From USD50,001 to USD150,000.-     1/12%
On balance                         1/24%

In lieu of exchange commission:     1/8%

<PAGE>

                                                              [FORTIS BANK LOGO]

Date     10 February 2003
Subject  General Banking Facilities
         Kwanasia Electronics Company Limited
Pages    3/6

Standby L/C commission: (on monthly basis)
On first USD50,000.-                1/8%
On balance                         1/16%

Invoice Discounting Commission: 1/8% flat (minimum HKD300.-)

Invoice T/R Commission :        1/8% flat (minimum HKD300.-)

Handling commission on:-
Outwards Remittance              HKD150.- flat
Inward Remittance via T/T        HKD50.- flat

Unless otherwise specified, interest on the above facilities is calculated on a
daily basis and on the basis of a 365-day year for Hong Kong Dollars and 360-day
year for United States Dollars denominated facilities (same for ordinary and
leap years).

Any amount unpaid on due date will be subject to additional interest at the
Bank's then prevailing overdue interest rate and will be compounded monthly. We
may, without prejudice to our rights, increase the interest rate on the entire
outstanding if any amount becomes overdue.

Whilst the aforesaid facilities are outstanding, all the goods held to our order
in relation to such facilities will be insured in such amount as we may in our
discretion so stipulate.

An annual facilities fee of HKD8,000.- p.a. (subject to revision at our
discretion) will continue to be charged to your current account starting in
November of each year, which is non-refundable.

Securities:-

The charge dated 15 November 2001 which you have duly executed in our favour of
all monies in the deposit accounts with us in your name. Your current deposit of
not less than HKD5,066,079.11 (or its equivalent amount in USD or 110%
equivalent in other currencies acceptable to us) together with interest accrued
thereon with us is, for the avoidance of doubt, subject to this charge.

<PAGE>

                                                              [FORTIS BANK LOGO]

Date     10 February 2003
Subject  General Banking Facilities
         Kwanasia Electronics Company Limited
Pages    4/6

As additional support for the aforesaid facilities, yourgoodselves, Deswell
Industries Inc. and Mr. Lee Shu Kwan & Mr. Tam Man Chi have undertaken that:-

a)       Deswell Industries Inc. will not give corporate guarantee to any
         financial institutions or banks for the account of your Company unless
         with our prior written consent;

b)       Mr. Lee Shu Kwan and Mr. Tam Man Chi will not give personal guarantee
         to any financial institutions or banks for the account of your Company
         unless with our prior written consent;

c)       you will immediately notify us of any change of directorship or
         shareholdership or any amendment of the Memorandum and Articles of
         Association of your Company; and

d)       you will channel through us an annual bills turnover of not less than
         HKD18 Million.

We reserve the overriding right to (a) demand immediate repayment of any or all
of the amount outstanding in respect of the facilities together with all accrued
interest and other moneys payable and (b) revise the terms and conditions
applicable to the facilities or withdraw the facilities, in each case at any
time at our discretion.

Without prejudice to any of the provisions herein, all moneys outstanding
hereunder will automatically become immediately due and payable on our receipt
of any claim or notice of any interest by any third party (including without
limitation notice to recover any amount under any Ordinance, garnishee order
nisi, assignment or any security interest) affecting any of our liabilities to
you or any other party who has provided any guarantee or other security in
respect of your obligations to us.

Please note that by signing and returning to us a copy of this letter, you are
consenting to our providing to any guarantor or provider of security in respect
of any loan or credit facilities extended to you or the professional advisers of
such guarantor or provider of security all information (including financial
information relating to or provided by you) concerning such loan or credit
facilities including without limitation the following:

<PAGE>

                                                              [FORTIS BANK LOGO]

Date     10 February 2003
Subject  General Banking Facilities
         Kwanasia Electronics Company Limited
Pages    5/6

(a)      a copy of the contract evidencing the obligations to be guaranteed or
         secured or a summary thereof:

(b)      a copy of any formal demand for overdue payment which is sent to you
         after you have failed to settle an overdue amount following a customary
         reminder; and

(c)      from time to time on request by the guarantor or provider of security,
         a copy of the latest statement of account provided to you.

We may, without prior notice, at any time (irrespective of whether there is any
default in payment of any sum payable hereunder) set off any of our liabilities
(in any currency, wherever situated or payable, and whether or not matured) to
you against any liabilities owed by you to us whether your liabilities be actual
or contingent, present or future, or primary or collateral. Your liabilities in
each case include without limitation joint liabilities. For this purpose, we may
use all or any part of such liabilities to buy such other currencies as may be
necessary to effect such set off at our spot rate. If any such liabilities is
unliquidated or unascertained, we may set off the estimated amount (determined
by us at our discretion) of such liability. Nothing in this provision is
intended to give us any security of proprietary interest whether by way of
mortgage, charge or otherwise. This provision operates by way of contract and
self-help remedies.

To keep our file updated, you are required to:-

i)       provide us with your audited financial statements within six months
         from the end of each financial year; and

ii)      immediately inform us of any change of your directors or amendment of
         your constitutional documents and provide us with the documents or
         information in relation to the same upon our demand.

This facility letter shall be governed by and construed in accordance with the
laws of the Hong Kong Special Administrative Region. You will irrevocably submit
to the non-exclusive jurisdiction of the Courts of the Hong Kong Special
Administrative Region.

<PAGE>

                                                              [FORTIS BANK LOGO]

Date     10 February 2003
Subject  General Banking Facilities
         Kwanasia Electronics Company Limited
Pages    6/6

Kindly signify your agreement to the foregoing by returning to us, duly signed,
the enclosed duplicate of this letter. If no signed confirmation is received
from you within one month from the date of this letter or if after you have
returned to us on time the signed duplicate of this letter, the facilities (or
the revised part where applicable) are not drawn down within three months from
the date hereof, the facilities may be treated as cancelled at our absolute
discretion.

Yours faithfully,
For FORTIS BANK ASIA HK

/s/ NG, Kwok Wai    /s/ SHIN, Chi Ming Peter
-----------------   -------------------------
    NG, KWOK WAI        SHIN, CHI MING PETER

We agree to the terms and conditions set out above. We give our express consent
to your providing to any guarantor or provider of security in respect of any
loan or credit facilities extended to us or the professional advisers of such
guarantor or provider of security the information referred to above.

For and on behalf of
KWANASIA ELECTRONICS CO. LTD.

/s/[ILLEGIBLE]
------------------------------------
Authorized Signature(s)

------------------------------------
Kwanasia Electronics Company Limited
Date:

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