DGAP-News

Micron and Elpida Announce Closing of Sponsor Agreement Transactions

Micron Technology, Inc.

31.07.2013 08:09
---------------------------------------------------------------------------

Micron Increases Global Scale and Enhances DRAM Portfolio

Micron Also Acquires Rexchip Shares From Powerchip

BOISE, Idaho and TOKYO, July 31, 2013 (GLOBE NEWSWIRE) -- Micron Technology,
Inc. (Nasdaq:MU) ('Micron') and Elpida Memory, Inc. ('Elpida') trustees
announced today the closing of Micron's acquisition of 100 percent of Elpida's
equity, pursuant to a Sponsor Agreement entered into on July 2, 2012 in
connection with Elpida's corporate reorganization proceedings conducted under
the jurisdiction of the Tokyo District Court. In a related transaction, Micron
also announced today the completion of its acquisition of a 24 percent share of
Rexchip Electronics Corporation from Powerchip Technology Corporation and
certain of its affiliates. The transactions will be recorded for accounting
purposes as being effective at 11:59 p.m., Tokyo time, on July 31, 2013.

Elpida's assets include a 300 millimeter (mm) DRAM fabrication facility located
in Hiroshima, Japan; an approximate 65 percent ownership interest in Rexchip,
whose assets include a 300mm DRAM fabrication facility located in Taiwan; and a
100 percent ownership interest in Akita Elpida Memory, Inc., whose assets
include an assembly and test facility located in Akita, Japan. Together with
the Rexchip shares acquired from Powerchip, Micron will control approximately
89 percent of Rexchip's outstanding shares and 100 percent of Rexchip product
supply. The manufacturing assets of Elpida and Rexchip together can produce
more than 185,000 300mm wafers per month, which represents an approximate 45
percent increase in Micron's current manufacturing capacity.

Using its advanced technologies, Elpida has built a strong presence in Mobile
DRAM, targeting mobile phones and tablets. Micron is a leader in delivering
enterprise DRAM solutions for networking and servers as well as offering a wide
product portfolio in NAND flash memory and NOR. Combining the two complementary
product portfolios will further strengthen Micron's position in the memory
market and enable it to provide customers with an even more complete set of
high-quality solutions.

'We are pleased to bring together Elpida with Micron to form the industry's
leading pure-play memory company. This combination will result in enhanced R&D
and manufacturing scale, significant cost and production synergies and a
stronger memory product portfolio to provide solutions to our customers,' said