Inotera's Fab-2 had its groundbreaking in May of 2005 and started its equipment move-in and installation in mid-October of 2006, two weeks ahead of the original schedule. The Company's Fab-1 and Fab-2 have been designed as “twin fabs”, which means that the two manufacturing facilities are physically connected by a clean room bridge in order to run them as one integrated operation to maximize efficiency and capacity.

In his speech, Charles Kau, President of Inotera, described Fab-2 as an important milestone for the Company's future development. After implementing the learnings from a record-setting volume ramp of Fab-1 in 2004 and 2005, Fab-2 is expected to ramp up even faster, further enhancing the Company's future cost effectiveness and manufacturing efficiency. The Company targets to reach a combined capacity of Fab-1 and Fab-2 of 120 thousand 300mm-wafer starts per month by the end of year 2007.  

Cumulative Fab-2 capital expenditures to reach its full capacity by the end of year 2007 are expected to be 78 billion NTD. As a result of the increased capacity combined with other improvements in manufacturing efficiency, the Company expects the total bit output will increase by at least 70% in year 2007 compared to last year.

Furthermore, in order to sustain the future growth, Inotera has received approval from Taoyuan County Government to purchase land for building its third 300mm semiconductor manufacturing facility (“Fab-3”). The construction and commissioning of Fab-3 will be planned and executed according to market demand.

About Inotera

Inotera Memories, Inc. was incorporated on January 23rd, 2003. Inotera was founded as a joint venture by Infineon Technologies AG and Nanya Technology Corporation. Inotera’s production facility has been designed to manufacture high-density and high-performance commodity DRAM（Dynamic Random Access Memory）products using state of the art trench technology. The collaboration of Qimonda’s (the former Memory Products Group recently carved out from Infineon Technologies) world leading technology and Nanya’s cost efficiency in mass production have developed an innovative facility which are highly productive, highly competitive and leading edge in the DRAM industry.
For more information please visit： http://www.inotera.com

Spokesperson
President, Charles Kau     

Press Contact
Jennifer Chien                 

Tel. 03-327-2988 Ext. 3938
E-mail：jenniferchien@inotera.com

Disclaimer
This press release contains some forward-looking statements that are subject to substantial risks and uncertainties. Typically, these statements contain words such as “anticipate," “believe,” “could,” “estimate,” “expect,” “intend,” “plan,” forecast,” “project,” “predict,” “potential,” “continue,” “may,” “should,” “will” and “would” or similar words. You should consider these forward-looking statements carefully because such statements are only our expectations or projections about future events, and actual results may differ materially from those expressed or implied by such statements. The forward-looking statements in this press release include, but not limited to, growth rates for various markets estimated by a third party source, future products and technology development, widespread market acceptance of the hosted delivery model, future revenue growth and profitability. You should be cautioned that the forward-looking statements are not the guarantees of our future performance. The forward-looking statements contained in this press release are made only as of the date of this press release and we undertake no obligation to update the forward-looking statements to reflect subsequent events or circumstances, except as required by law. This press release and the information contained herein is the property of Inotera, Memories Inc.