SOURCE: STATS ChipPAC

September 15, 2008 16:00 ET

STATS ChipPAC Introduces Pre-Stacked PoP Solution

Fully Integrated PoP Includes 3D Package Assembly, Test and Reflow Process to Provide Customers With a Single High Performance, High Capacity Solution

SINGAPORE -- 9/16/2008, UNITED STATES--(Marketwire - September 15, 2008) - STATS ChipPAC Ltd. ("STATS ChipPAC" or the "Company") (SGX-ST: STATSChP) (SES: S24), a leading semiconductor test and advanced packaging service provider, today introduced a new Pre-Stacked Package-on-Package (PoP) solution that includes both a top and bottom PoP package that are assembled and tested separately, then stacked and reflowed together to produce a complete high performance three dimensional (3D) solution.

The rapid adoption and growth of PoP, particularly in the mobile phone market, has led to a number of new top and bottom PoP packages being introduced. In a standard PoP process flow, the top and bottom PoP packages are separately assembled, tested and shipped to a surface mount technology (SMT) provider for final integration. When top and bottom PoP packages are stacked and reflowed together during the surface mount process, high reflow temperatures can cause warpage in both the top and bottom PoP packages, resulting in yield loss.

STATS ChipPAC has developed a Pre-Stacked PoP solution which consists of a fully assembled and tested top PoP mounted on top of a fully assembled and tested bottom PoP package. The top and bottom PoP are reflowed together at the packaging level to provide customers a fully integrated, fully tested solution with tightly controlled warpage that achieves higher board mount yields as compared to conventional PoP packages.

"Pre-Stacked PoP provides our customers with a new approach to integrating multiple die and diverse technologies in a reduced footprint. The Pre-Stacked PoP assembly process is unique in that we added a reflow step to our full turnkey manufacturing flow to provide semiconductor companies with a pre-stacked, pre-tested solution that can be delivered directly to their end customers. Pre-Stacked PoP can be easily placed onto a printed circuit board through the same surface mount process as standard components," said Dr. Han Byung Joon, Executive Vice President and Chief Technology Officer, STATS ChipPAC.

Dr. Han continued, "Pre-Stacked PoP is a great solution for applications such as Solid State Drive and mobile internet devices where customers are looking for a cost effective way to increase memory density, increase yields and achieve higher performance levels in a small form factor. Our innovative Pre-Stacked PoP design has the flexibility to accommodate the special die size and interconnection requirements for these applications."

In a typical Solid State Drive, logic and memory devices are sourced separately and placed side-by-side on the application board. With the versatile design of Pre-Stacked PoP, complex logic and memory devices are assembled, tested, stacked and reflowed together to achieve a single high performance, high capacity solution in a small footprint.

Forward-Looking Statements

Certain statements in this release 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 release. Factors that could cause actual results to differ include, but are not limited to, 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; decisions by customers to discontinue outsourcing of test and packaging services; our reliance on a small group of principal customers; our continued success in technological innovations; pricing pressures, including declines in average selling prices; availability of financing; prevailing market conditions; our ability to meet the applicable requirements for the termination of registration under the Exchange Act; our ability to meet specific conditions imposed for the continued listing or delisting of our ordinary shares on the Singapore Exchange Securities Trading Limited (SGX-ST); our substantial level of indebtedness; potential impairment charges; delays in acquiring or installing new equipment; adverse tax and other financial consequences if the South Korean taxing authorities do not agree with our interpretation of the applicable tax laws; our ability to develop and protect our intellectual property; rescheduling or canceling of customer orders; changes in our product mix; intellectual property rights disputes and litigation; our capacity utilization; limitations imposed by our financing arrangements which may limit our ability to maintain and grow our business; 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; majority ownership by Temasek Holdings (Private) Limited (Temasek) that may result in conflicting interests with Temasek and our affiliates; unsuccessful acquisitions and investments in other companies and businesses; labor union problems in South Korea; uncertainties of conducting business in China and other countries in Asia; natural calamities and disasters, including outbreaks of epidemics and communicable diseases; and other risks described from time to time in the Company's SEC filings, including its annual report on Form 20-F dated March 7, 2008. You should not unduly rely on such statements. We do not intend, and do not assume any obligation, to update any forward-looking statements to reflect subsequent events or circumstances.

About STATS ChipPAC Ltd.

STATS ChipPAC Ltd. is a leading service provider of semiconductor packaging design, assembly, test and distribution solutions in diverse end market applications including communications, digital consumer and computing. With global headquarters in Singapore, STATS ChipPAC has design, research and development, manufacturing or customer support offices in 10 different countries. STATS ChipPAC is listed on the SGX-ST. Further information is available at www.statschippac.com. Information contained in this website does not constitute a part of this release.

Contact Information

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