a first substrate;

a second substrate spaced away from and facing said first substrate;

a liquid crystal layer sandwiched between said first and second substrates; and

a reflection electrode formed on said first substrate, an external incident light being reflected at said reflection electrode towards a viewer, said method comprising the steps of:

(a) forming a switching device and a wiring layer on said first substrate, said wiring layer being electrically connected to said switching device,

(b) forming a first projection on said wiring layer and second projections on said first substrate;

(c) covering said first and second projections with an electrically insulating layer;

(d) forming an electrically conductive film over said electrically insulating layer; and

(e) patterning said electrically conductive film such that said electrically conductive film does not overlap said wiring layer and said patterned film forms a reflection electrode having an opening in vertical alignment with the first projection,

wherein said electrically conductive film is formed to have ends located above and in alignment with opposite ends of said wiring layer.