December 9, 2011 – PRNewswire-Asia — Semiconductor Manufacturing International Corporation (SMIC, NYSE:SMI, SEHK:981) entered into a settlement agreement with Elpida Memory Inc. to settle all pending arbitration claims and counterclaims relating to the parties’ Amended and Restated 200mm Wafer Products Business Agreement, dated 30 August, 2007.
SMIC will pay Elpida $21 million (US), which will include SMIC’s previously taken reserve of approximately $10 million. SMIC does not expect the settlement to have any material adverse effect on its financial position or subsidiaries as a whole.
Also read: Elpida shifting output to Taiwan, blames yen and ASPs
Headquartered in Shanghai, China, SMIC has a 300mm wafer fabrication facility (fab) and three 200mm wafer fabs in its Shanghai mega-fab, two 300mm wafer fabs in its Beijing mega-fab, a 200mm wafer fab in Tianjin, and a 200mm fab under construction in Shenzhen. In addition, SMIC manages and operates a 300mm wafer fab in Wuhan owned by Wuhan Xinxin Semiconductor Manufacturing Corporation.
This announcement is made pursuant to Rule 13.09(1) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.
Semiconductor Manufacturing International Corporation is a leading semiconductor foundry in Mainland China, providing integrated circuit (IC) foundry and technology services at 0.35um to 40nm. For more information, please visit www.smics.com.
Timeline:
2003: SMIC forms foundry partnership with Elpida
2006: SMIC, Elpida qualify 90nm DDR2 SDRAM
2007: Report: Is Elpida seeking stake in SMIC?