Applied Materials and Elpida Sign Major Service Agreement to Increase Fab Productivity.

SANTA CLARA, Calif. -- Applied Materials, Inc. has signed a five-year contract with Elpida Memory, Inc., a leading provider of DRAM chips for mobile, digital consumer product and high-end servers, to utilize Applied's advanced service capabilities to reduce cost-of-ownership and improve operational efficiency at Elpida's semiconductor fab. The contract is part of a collaborative asset management program that includes GE Capital Leasing Corporation, a subsidiary of General Electric Company, and Applied's expertise to increase customer fab asset utilization.

Applied certified customer engineers will work at Elpida's fabs using the latest diagnostic and monitoring techniques to provide preventive and corrective maintenance.

"We are pleased to be working more closely with the Applied Materials' service organization to drive down the cost of fab operations," said Mr. Jiro Yamamoto, Elpida officer and Hiroshima plant manager. "As we expand our manufacturing capacity, we expect to see advantages in having an integrated lease-service solution provider manage total costs throughout the equipment lifecycle."

"Our combined goal is to help Elpida achieve optimal fab and asset performance," said Manfred Kerschbaum, senior vice president and general manager of Applied Global Services. "This is a significant contract for our services group and highlights the advantages of our lease-service alliance with GE, which offers an integrated solution to help enhance Elpida's success. The contract adds to the growing momentum of our service business, especially in Asia."

Elpida Memory, Inc. (Tokyo Stock Exchange Code 6665) is a leading global manufacturer of Dynamic Random Access Memory (DRAM) silicon chips. Elpida's design, manufacturing, and sales operations are backed by world-class technology expertise. Elpida's manufacturing facilities, Hiroshima Elpida Memory, Inc. (wafer processing) and Akita Elpida Memory, Inc. (packaging and testing), utilize the most advanced manufacturing technologies available in the industry. Elpida's portfolio of advanced products features such characteristics as high-density, high-speed, low power and small packing profiles. The company provides applications across a wide range of areas, including high-end servers, mobile phones and digital consumer electronics. For more information about Elpida, please visit http://www.elpida.com.

Applied Materials, Inc. (Nasdaq:AMAT) is the global leader in Nanomanufacturing Technology[TM] solutions with a broad portfolio of innovative equipment, service and software products for the fabrication of semiconductor chips, flat panel displays, solar photovoltaic cells, flexible electronics and energy efficient glass. At Applied Materials, we apply Nanomanufacturing Technology to improve the way people live. Learn more at www.appliedmaterials.com.

GE Capital Leasing Corporation provides leasing, lending, and capital investment products and services to help business customers grow. It has more than $90 billion in assets, serves more than a million clients around the world, and is headquartered in Danbury, Connecticut, USA. For more on GE Capital Solutions, go to www.ge.com/capitalsolutions.