September 6, 2001 — HOUSTON, CO — Despite the current high-tech downturn, Intel plans to break ground shortly on a new one million square foot 300 mm wafer fab plant in Hillsboro, Oregon.

According to company officials, the new facility – named D1D – will house more than 100,000 square feet of ISO Class 4 (Class 10) cleanroom space. The company and will use 0.13 micron technology to manufacture the wafers.

The $2 billion plant could come on line by the end of 2003, however a spokesman for the company said the project schedule remains contingent on business conditions within the industry.

“The driving force is part of our long term plan,” said spokesman Chuck Malloy.

The plant will be constructed adjacent to the company’s first 300 mm plant, D1C. Intel also has a 300 mm plant in Rio Rancho, NM and is finishing work Fab 22, the company’s final 200 mm fab in Chandler , AZ.

The 300 mm wafer is said to offer more than 240 percent more area for computer chips over the standard 200 mm chip. In addition, the facility will use 40 percent less water and energy per chip than a 200 mm wafer plant.

Intel saw second quarter revenues for 2001 fall to $6.3, a 24 percent dip over the same period last year. Officials say capital spending for 2001 will be $7.5 billion.