AMD and Chartered today announced they have entered into sourcing and manufacturing technology agreements whereby Chartered will implement under license portions of AMD’s Automated Precision Manufacturing (APM) software suite and become an additional manufacturing source of AMD64 microprocessors. With the success of the AMD64 architecture and AMD’s plans for future growth, AMD is lining up additional incremental capacity to augment its production at its state-of-the-art site in Dresden, Germany. AMD will use this capacity to meet the expanding end-customer demands for AMD Athlon™ 64 and AMD Opteron™ processor-based systems. AMD plans to have Chartered begin production in 2006. Chartered will begin integrating APM into Fab 7, its 300mm wafer fabrication facility in Singapore, starting in the fourth quarter of 2004.

AMD and Chartered today announced they have entered into sourcing and
manufacturing technology agreements whereby Chartered will implement under
license portions of AMD’s Automated Precision Manufacturing (APM) software suite
and become an additional manufacturing source of AMD64 microprocessors.

With the success of the AMD64 architecture and AMD’s plans for future growth,
AMD is lining up additional incremental capacity to augment its production at
its state-of-the-art site in Dresden, Germany. AMD will use this capacity to
meet the expanding end-customer demands for AMD Athlon™ 64 and AMD Opteron™
processor-based systems. AMD plans to have Chartered begin production in 2006.

“This is another milestone in driving the market to pervasive 64-bit computing,”
said Dirk Meyer, executive vice president, Computation Products Group, AMD. “AMD
has industry-leading price/performance capabilities, outstanding stability and
investment protection in our CPUs, the best technology, and now with this
relationship, the incremental capacity to fulfill our planned volume demands. We
believe that all of our customers around the globe will benefit from this
relationship.”

“Chartered’s already strong capabilities, enhanced with the speed, accuracy and
agility of APM, will help Chartered attain a rapid AMD64 product production ramp
with high yields and high quality,” said Gary Heerssen, senior vice president,
Corporate Manufacturing Group, AMD. “Our plans for AMD Fab 36, which is
currently under construction, remain unchanged. We intend it to be our benchmark
facility for the manufacture of AMD64 products.”

“We are pleased to become a qualified manufacturer of AMD’s industry-leading
64-bit microprocessor designs. This reflects growing confidence in Chartered’s
leading-edge capabilities and our unique foundry position,” said Kay Chai “KC”
Ang, senior vice president of fab operations at Chartered. “To build the world’s
most advanced chips, you need the world’s most advanced manufacturing
capabilities. The implementation of AMD’s Automated Precision Manufacturing will
be a fundamental enabler of our success with AMD64 products while providing
access to AMD manufacturing innovation to the advantage of all our 300mm
customers.”

Chartered will begin integrating APM into Fab 7, its 300mm wafer fabrication
facility in Singapore, starting in the fourth quarter of 2004.

About APM
AMD’s complete APM suite is made up of over 300 patented and patent-pending
technologies that provide for dynamic, real-time adjustments to production
processes. APM helps reduce time-to-yield on new technologies, improve overall
wafer yields and decrease manufacturing costs.

Serving as a fab’s “central nervous system,” APM forms an integrated fabric of
communication and control linkages with the hundreds of tools throughout the
plant. This sophisticated and highly integrated data infrastructure constantly
monitors the health of microprocessors in production by collecting and analyzing
information from the tool-sets as wafers enter and exit them for processing.

Using proprietary real-time analysis algorithms, APM automatically and
consistently recommends changes to the complex recipes used within each tool. In
this way, APM optimizes the process for each set of materials, based on the
unique history and health-state of both the tools and the materials, in order to
ensure the final chips perform to targeted specifications and are defect free.