Jechavarria wrote a post on his blog detailing how to interface 8 LCD displays and 24 leds with only two wires:
A couple of weeks ago, I just post a review of my MCP23017 breakout board. As the board configuration allows to connect up to 8 of these boards, I decided to do it and see that it really works. My goal is interface 8 LCD displays with two wires: SDA and SCL from an I2C bus. With direct IO`s of a microcontroller, you need at least 48 lines to control all the displays. With this option (and a little of software, of course), you can do this with only two lines.
Via the forum.