Chartered Semiconductor Manufacturing Begins Next Phase of Expansion and Equipment Move-In at Fab 7

Chartered Semiconductor Manufacturing Ltd. (Nasdaq:CHRT)(SGX-ST:CharteredSC), one of the world's top dedicated foundries, today announced it has begun the next phase of expansion, equipment move-in, and installation for its most advanced manufacturing facility, Fab 7 - a 300-millimeter (mm) wafer fab. The equipment will support the planned ramp of capacity for the company's leading-edge process offerings of 65-nanometer (nm) and 45/40nm technology. The company plans to approach a production level of approximately 50,000 wafers-per-month by the time the equipment is completely installed and operational.

The current expansion phase will add an additional 50,000 square feet of clean-room space to Fab 7, an increase of 23 percent. Fab 7, which was named Top Fab by Semiconductor International Magazine in 2006, has been producing 300mm (12-inch) wafers on processes ranging down to 45/40nm. The current expansion phase will ramp capacity for the company's most advanced CMOS manufacturing processes from about 30,000 wafers per month currently to almost 50,000 per month.

“As the industry continues its move to more complex, highly integrated system-on-chip (SoC) devices, we are committed to providing high-quality manufacturing capabilities that meet these needs. Our continued investment in our leading-edge facility, Fab 7, will further position us a primary-source provider able to deliver on a wide range of customer opportunities around the world,” said Dr. Simon Yang, senior vice president of operations and chief technology officer at Chartered.

In the third quarter of 2009, Chartered derived nearly a third of its revenues from processes of 65nm and below. It expects those leading-edge processes to be an increasingly larger portion of its business across all the sectors it serves, including telecommunications, computers, and consumer applications.

Fab 7 benefits from comprehensive yield management and defect detection systems, allowing it to produce wafers efficiently and predictably. The fab uses intelligent computer-integrated manufacturing systems, advanced process control (APC), fault detection and classification, and recipe management systems. It has been recognized for its clean environmental practices as well, with above-industry standard water recovery, energy efficiency and overall clean room practices.

Chartered Semiconductor Manufacturing Ltd. (Nasdaq:CHRT)(SGX-ST:CHARTEREDSC), one of the world's top dedicated semiconductor foundries, offers leading-edge technologies down to 40/45 nanometer (nm), enabling today's system-on-chip designs. The company further serves its customers' needs through a collaborative, joint development approach on a technology roadmap that extends to 22nm. Chartered's strategy is based on open and comprehensive design enablement solutions, manufacturing enhancement strategies, and a commitment to flexible sourcing. In Singapore, the company owns or has an interest in six fabrication facilities, including a 300mm fabrication facility and five 200mm facilities.

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