Dongbu Electronics Provides World Class Wafer Processing for World's Most Advanced CMOS Image Sensors From Foveon.

New 14.1 Megapixel CIS Chips Destined for Next-Generation Digital SLR Cameras Used by Professional Photographers

SEOUL, South Korea -- Dongbu Electronics today disclosed it has been working closely with Silicon Valley based Foveon since Q4 of 2004 to support the fabless manufacturer's development of the world's highest resolution CMOS Image Sensor (CIS) devices. Volume production of the latest Foveon X3[R] direct image sensors, featuring resolutions up to 14.1 Megapixels for professional digital photography, will ramp to more than 1,000 8-inch wafers per month utilizing Dongbu's special CIS wafer processing technology at the 180nm node.

Dongbu reports that it has manufactured more than 1,500 pre-production samples of Foveon's new 14.1 Megapixel device since May to verify the new device's exceptional performance in silicon. Volume production has begun, and the latest addition to Foveon's X3 direct image sensor family will soon be available in new professional quality cameras from Sigma Corporation of Japan. Sigma is exhibiting its new SD14 camera during Photokina 2006, which opens its six-day run today in Cologne, Germany. This new professional camera is powered by Foveon's latest X3 CIS device, enabled by advanced CMOS wafer processing performed by Dongbu.

Foveon's proprietary X3 technology is the only image sensor technology that stacks red, green and blue pixels vertically, increasing the information density of the recorded image while simultaneously eliminating the color sampling artifacts found in other image sensors. The layers of pixels are embedded in silicon to take advantage of the fact that red, green, and blue light penetrate silicon to different depths - enabling the first and only image sensor technology that captures full color at every point in the captured image.

"Our CIS wafer processing is second to none in the foundry industry, and we are very pleased to enable Foveon's revolutionary pixel-stacking architecture to come to market," said Dr. Jae Song, Dongbu's EVP of Marketing. "Foveon's X3 architecture packs three times as many pixels into a given silicon area, reducing the amount of silicon needed to achieve high resolution." He noted that the savings in silicon area made possible by Foveon's technology are achieved in the cost-effective 180nm process node.

Dr. Song anticipates cost further efficiencies to come from higher foundry productivity and more fully leveraging Foveon technologies in concert with its own expanding IP portfolio. Since Dongbu committed to advancing CIS wafer processing technology about four years ago, the Korean foundry has acquired 20 CIS patents at home and abroad, while consistently improving quality in the areas of resolution, dynamic range and photo-sensitivity.

According to Dave Matteucci, Foveon VP of Operations, "We're very pleased with our new manufacturing partner's quality, cost and customer service. We look forward to continuing our productive collaboration with Dongbu Electronics as we strategically target high volume market opportunities with ultra-compact high-resolution image sensors."

In addition specializing in CIS wafer processing, Dongbu also focuses on improving wafer processing for both High Voltage and LCD Driver IC (LDI) devices. By enabling the production of specialized devices at ever finer line widths, Dongbu aims to distinguish itself as the preferred "specialty solution partner" among fabless companies large and small.

About Dongbu Electronics

Dongbu Electronics provides world-class CMOS processing for system-on-chip solutions that integrate advanced logic, analog, and mixed-signal technologies. As a "Specialty Solution Partner" in high-growth markets, such as those represented by mobile handsets and flat-panel displays, Dongbu adds high value with specialized processing for CMOS Image Sensor (CIS), High Voltage, Flash, and LCD Driver IC (LDI) functions. Dongbu's collaborate-and-thrive approach is evident across the entire manufacturing spectrum including prototype development/verification, packaging/module development, complete turnkey solutions, and accelerating time to volume production. The company's stock is publicly traded under 001830 on the Korea Stock Exchange. For more information, visit www.dongbuelec.com.

About Foveon

Foveon is a world innovator in the design and development of image sensors and image capture systems for a wide range of digital capture products. At the core of company's products is the revolutionary Foveon X3[R] direct image sensor, the world's first image sensor that directly captures color using three layers of pixels. From point-and-shoot digital cameras to high-end professional equipment, Foveon X3 technology offers multiple benefits to consumers and manufacturers alike. X3 Technology provides superior still capture and video performance, the best resolution for a given sensor size, and is cost-effective for a wide range of consumer and professional imaging applications. For more information, visit www.foveon.com.