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Fujitsu
2000-0111E
FOR IMMEDIATE RELEASE

Fujitsu to Add New Flash Memory Plant in Aizu-Wakamatsu

Tokyo, May 23, 2000 -- Responding to rapidly expanding global demand for flash memory, Fujitsu Limited has decided to construct a third manufacturing plant at the Aizu-Wakamatsu production base of Fujitsu AMD Semiconductor Limited (FASL), the joint venture between Fujitsu and AMD. Construction of the new plant is scheduled to commence in August 2000 and is expected to be completed at the end of February 2001.

Located North East of Tokyo in Aizu-Wakamatsu (Oaza Takaku, Kozashi-machi) Fukushima Prefecture, the new facility will have about 34,100 sq. meters of building area, about 11,000 sq. meters of which will be used as a clean room. It will manufacture flash memory devices using process technologies of 0.23, 0.18 and beyond with 8-inch wafers.

Production capacity is expected to be around 13 million pieces (16Mbit equivalent) per month at the end of FY2001. By the end of FY2002, capacity is forecast to be 52 million pieces, with FASL's total monthly production estimated to reach 200 million pieces (16Mbit equivalent) per month.

Total investment, including building, clean room and equipment, will be about 140 billion yen.

According to Fujitsu, the worldwide flash memory market will be worth around 900 billion yen in 2000, with an average annual growth rate of 20% expected in 2001 and beyond. The expanding market is due to increased application of flash memory in mobile phones, set-top boxes, car navigation systems, DVDs and new internet-related products.

Fujitsu will continue to expand its flash memory operations to meet increasing market requirements and strengthen its position as a source of stable supply to customers.

Fujitsu AMD Semiconductor Limited

Headquarters : Industrial Park #6, Monden-machi,
Aizu-Wakamatsu, Fukushima Prefecture
Established : April 16, 1993
Capital : 31.8 billion yen (50.01% from Fujitsu, 49.99% from AMD)
Representative: Kimio Yanagi, President
Business : Manufacture of flash memory
(Deliverables are equally divided between Fujitsu and AMD)
Employees : 970 (end of March 2000)

New plant #3

Address : Oaza Takaku, Kozashi-machi,
Aizu-Wakamatsu, Fukushima Prefecture
Construction : To commence - August 2000 (planned)
To complete - End of February 2001 (planned)
Product : Front-end processing of flash memory devices.
(8-inch wafer / Technologies: 0.23, 0.18 micron and beyond)
Volume prod. : End of FY2001 (planned) - 13 million pcs*/month
End of FY2002 (planned) - 52 million pcs*/month
(* 16Mbit equivalent)
Building area : 34,100 sq. meters
Investment : Approximately 140 billion yen
(approx. 90 billion yen: FY2000, FY2001)
(approx. 50 billion yen: FY2002)

* All company/product names mentioned may be trademarks or registered trademarks of their respective holders and are used for identification purpose only.

About Fujitsu Limited

Fujitsu Limited (TSE: 6702) is a leading provider of Internet-based information technology solutions for the global marketplace. Comprising over 500 group companies and affiliates worldwide -- including ICL, Amdahl and DMR Consulting -- it had consolidated revenues of 5.26 trillion yen ($49.6 billion) in the fiscal year ended March 31, 2000. Fujitsu's pace-setting technologies, world-class computing and telecommunications platforms, and global corps of over 60,000 systems and services experts make it uniquely positioned to harness the power of the Internet to help its customers succeed. Altogether, the Fujitsu Group has 188,000 employees and operations in over 100 countries.
Home page: http://www.fujitsu.com/

Press Contacts:
 Naomi Ogawa, Isao Hirano, Scott Ikeda
 Fujitsu Limited, Public Relations
 Tel: +81-3-3215-5236 (Tokyo)
 Fax: +81-3-3216-9365
 E-mail: pr_mailbox@hq.fujitsu.co.jp

Please understand that product prices, specifications and other details are current on the day of issue of the press release, however, may change thereafter without notice.
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