STATS Introduces Stacked Ball Grid Array Package for Wireless Communications.

Business Editors/High-Tech Writers

SINGAPORE and MILPITAS, Calif.--(BUSINESS WIRE)--Jan. 22, 2001

Latest Near Chip Scale Package Features Multi IC Application in

One Package, Reducing Manufacturing Cost and Testing Time

ST Assembly Test Services ("STATS") (Nasdaq:STTS) (SGX:ST Assembly), a leading independent semiconductor testing and advanced packaging service provider, has introduced another new integrated circuit (IC) package for the wired and wireless communications markets. Referred to as Stacked Die Ball Grid Array (SDBGA), it is distinguished by its stacking feature, combining various ICs in one package, which can significantly reduce not only manufacturing cost but also testing time and real estate on the motherboard.

Both the mounting area and chip weight of an SDBGA can be reduced as much as 70%, compared to conventional packages. "The SDBGA's multi-die application easily meets current market demand for communications devices. Increasingly, these devices pack a lot of capability into a smaller size, cost less, are easier to produce and offer faster time to market than a single chip solution," said B J Han, STATS Chief Technology Officer.

SDBGA has all the characteristics of near Chip Scale Packages (CSP) -- advanced packages which are lighter weight, smaller size and provide higher performance. It is the latest addition to STATS' CSP family following the introduction of the Flip Chip Small-Thin Plastic BGA (FCstPBGA) last August.

In wireless communications, different ICs are used for a variety of functions. Handphones, for example, contain both flash and SRAM ICs and by stacking these on top of one another in an SDBGA package, the chip size is retained with enhanced capability. The SDBGA offers an ideal configuration for the emerging memory and logic combination in one package. Memory density and electrical performance are improved while reducing the package and testing costs that can occur prior to installation into a product.

Aside from handphones, Stacked Die BGAs are also ideal for MP3, MD players, and handheld devices such as PDAs, camcorders and palmtops. They can combine flash / SRAM, flash / logic and ASIC / memory ICs.

With its two-in-one feature, the total SDBGA package height is typically 1.4mm. Popular SDBGA sizes are 8x8mm to 14x14mm and pin count between 80 to 140.

About ST Assembly Test Services Ltd. (STATS)

ST Assembly Test Services ("STATS" - NNM: STTS and SGX: ST Assembly), is a leading semiconductor test and assembly service provider to fabless companies, integrated device manufacturers and wafer foundries. With its principal operations in Singapore and global operations in the United States, United Kingdom, Japan and Taiwan, STATS offers full back-end turnkey solutions to customers worldwide. STATS' expertise is in testing mixed-signal semiconductors which are extensively used in fast growing communications applications such as data networking, broadband and mobile communications. STATS also offers advanced assembly services and has developed a wide array of traditional and advanced leadframe and laminate based products, including various ball grid array packages to serve some of the world's technological leaders. STATS was listed on the Nasdaq National Market and The Singapore Exchange in January 2000. Further information is available at www.stats.com.sg or www.statsus.com.

Certain of the statements in this press release are forward-looking statements that involve a number of risks and uncertainties which could cause actual results to differ materially. Factors that could cause actual results to differ include: general business and economic conditions and the state of the semiconductor industry; demand for end-use applications products such as communications equipment and personal computers; decisions by customers to discontinue outsourcing of test and assembly services; changes in customer order patterns; rescheduling or cancellation of customer orders; changes in product mix; capacity utilization; level of competition; pricing pressures; continued success in technological innovation; delays in acquiring or installing new equipment; litigation and other risks described from time-to-time in the Company's SEC filings, including its annual report on Form 20-F dated March 30, 2000. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.