May 22, 2006 08:00 ET

STATS ChipPAC Expands QFN Portfolio for Wireless Applications

Extremely Thin 0.45mm Profile Height in Saw QFN and 0.50mm Lead Pitch in Dual Row Punch QFN Offer High Performance, Low Profile Solutions

UNITED STATES -- (MARKET WIRE) -- May 22, 2006 -- SINGAPORE -- 05/22/06 -- STATS ChipPAC Ltd. ("STATS ChipPAC" or the "Company") (NASDAQ: STTS) and (SGX-ST: STATSChP), a leading independent semiconductor test and advanced packaging service provider, today announced it has expanded its Quad Flat No-lead (QFN) packaging portfolio with technology advancements in both single mold cavity format and molded array format for applications requiring a higher number of input/output (I/O) terminal pads and lower package profile and weight.

QFN is a leadframe based, plastic encapsulated, chip scale package in either single mold cavity format (punch singulated) or molded array format (saw singulated). An exposed die pad combined with extremely low RLC (resistance, inductance, and capacitance) provides excellent electrical and thermal performance enhancement which is ideal for high frequency and high power applications, particularly wireless and handheld portable applications such as mobile phones. STATS ChipPAC offers multiple configurations in each of these package types.

The saw singulated version, or QFNs, is a leadframe based molded package in land grid array format with square or rectangular body sizes. The QFNs is available in 0.40mm, 0.50mm, 0.65mm and 0.80mm lead pitch, with standard package profile heights of nominal 0.75mm or 0.90mm. STATS ChipPAC now offers an extremely thin version of the QFNs, called XQFNs, which features a nominal package height of 0.45mm. Advanced molding technology, wafer thinning technology, and ultra low loop wire bonding are key to achieving the extremely low profile height of the XQFNs.

For customers who require devices with higher I/O terminal pads in a smaller footprint, the dual row punch singulated (QFNp) package design, called VQFNp-dr, can accommodate greater than 50% more terminals than a single row QFN pad design in the same body size. The VQFNp-dr features two rows of staggered I/O terminal pads in a 0.50mm lead pitch with an exposed die pad for die grounding and improved thermal performance. With its higher number of terminals pads and small profile, VQFNp-dr also enables higher functional integration in a package by means of die stacking. VQFNp-dr is available in body sizes up to 12mm x 12mm with up to 156 pins.

"QFN continues to gain momentum within the semiconductor industry because it offers a more compact, high performance, and cost effective solution than conventional leadframe packages with the same I/O count," said Dr. Han Byung Joon, STATS ChipPAC's Chief Technology Officer. "STATS ChipPAC offers an extensive QFN portfolio, and we continue to utilize technology advancements in areas such as leadframe design, wafer thinning, and wire bonding to expand the range of configurations available to customers."

QFN packages are available in various body sizes and thicknesses, offered in standard and green/lead-free bill of materials, and can be processed by conventional SMT equipment, benefiting surface mount operations downstream.

About STATS ChipPAC Ltd.

STATS ChipPAC Ltd. ("STATS ChipPAC" or the "Company") (NASDAQ: STTS) and (SGX-ST: STATSChP) is a leading service provider of semiconductor packaging design, assembly, test and distribution solutions. A trusted partner and supplier to leading semiconductor companies worldwide, STATS ChipPAC provides fully integrated, multi-site, end-to-end packaging and testing solutions that bring products to the market faster. Our customers are some of the largest wafer foundries, integrated device manufacturers (IDMs) and fabless companies in the United States, Europe and Asia. STATS ChipPAC is a leader in mixed signal testing and advanced packaging technology for semiconductors used in diverse end market applications including communications, power, digital consumer and computing. With advanced process technology capabilities and a global manufacturing presence spanning Singapore, South Korea, China, Malaysia and Taiwan, STATS ChipPAC has a reputation for providing dependable, high quality test and packaging solutions. The Company's customer support offices are centered in the United States (California's Silicon Valley, Arizona, Texas, Massachusetts, Colorado and North Carolina). Our offices outside the United States are located in South Korea, Singapore, China, Malaysia, Taiwan, Japan, the Netherlands and United Kingdom. STATS ChipPAC's facilities include those of its subsidiary, Winstek Semiconductor Corporation, in Hsinchu District, Taiwan. These facilities offer new product introduction support, pre-production wafer sort, final test, packaging and other high volume preparatory services. Together with our research and development centers in South Korea, Singapore, Malaysia, China, Taiwan and the United States as well as test facilities in the United States, this forms a global network providing dedicated test engineering development and product engineering support for customers from design to volume production. STATS ChipPAC is listed on both the Nasdaq National Market and the Singapore Exchange Securities Trading Limited. In addition, STATS ChipPAC is also included in the Morgan Stanley Capital International (MSCI) Index and the Straits Times Industrial Index. Further information is available at Information contained in this website does not constitute a part of this release.

Certain statements in this press release, including statements regarding expected future financial results and industry growth, are forward-looking statements that involve a number of risks and uncertainties that could cause actual events or results to differ materially from those described in this press release. Factors that could cause actual results to differ include general business and economic conditions and the state of the semiconductor industry; level of competition; demand for end-use applications products such as communications equipment and personal computers; reliance on a small group of principal customers; decisions by customers to discontinue outsourcing of test and packaging services; continued success in technological innovations; availability of financing; delays in acquiring or installing new equipment; our substantial level of indebtedness; potential impairment charges; ability to develop and protect our intellectual property; intellectual property rights disputes and litigation; capacity utilization; limitations imposed by our financing arrangements which may limit our ability to maintain and grow our business; pricing pressures including declines in average selling prices; changes in customer order patterns; shortages in supply of key components; disruption of our operations; loss of key management or other personnel; defects or malfunctions in our testing equipment or packages; changes in environmental laws and regulations; exchange rate fluctuations; regulatory approvals for further investments in our subsidiaries; significant ownership by Temasek Holdings (Private) Limited (Temasek Holdings) that may result in conflicting interests with Temasek Holdings and our affiliates; our ability to successfully integrate the operations of former STATS and ChipPAC and their employees; labor union problems in South Korea; uncertainties of conducting business in China; unsuccessful acquisitions and investments in other companies and businesses; and other risks described from time to time in the Company's SEC filings, including its annual report on Form 20-F dated February 28, 2006. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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