DGAP-Adhoc: Infineon Technologies AG: Infineon Prepares for Disposal and Deconsolidation of Qimonda

Infineon Technologies AG / Miscellaneous

21.04.2008 

Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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Infineon Prepares for Disposal and Deconsolidation of Qimonda 
Investment reclassified into 'Assets Held for Sale' – Write-down of Euro 1
Billion

Neubiberg, Germany, April 21, 2008. Infineon Technologies AG, Neubiberg,
continues to prepare for the disposal und resulting deconsolidation of its
investment in Qimonda AG, Munich, and takes the next step in this
direction. The Infineon Audit Committee reaffirmed today the decision to
reclassify the assets and liabilities of Qimonda into 'Assets Held for
Sale' in the consolidated balance sheet of Infineon as of March 31, 2008.
The quarterly results of Infineon Technologies AG which is scheduled to be
announced on April 23, 2008 will include this presentation.

As a result of this presentation, the individual line items in the
Consolidated Statement of Operations of Infineon will reflect the results
of Infineon’s segments other than Qimonda. The results of operations of
Qimonda will be reported in one line item titled 'Income (Loss) from
Discontinued Operations'. Going forward, earnings per share as well as the
Statement of Cash Flows will differentiate between 'continuing' and
'discontinued' operations. Accordingly, the financial reports will now
focus on the ongoing operations of the company while at the same time
setting the foundation for the comparability of its performance.

Following this reclassification, and in contemplation of its planned
disposal and resulting deconsolidation, the investment in Qimonda was
reduced to its current fair value. The difference between the carrying
value and the current fair value resulted in a write-down of Euro 1
billion, which will be recorded in 'Income (Loss) from Discontinued
Operations' in the second quarter of the current fiscal year. The existing
guidance on Ebit development for Infineon excluding Qimonda for the second
quarter of fiscal year 2008 and for the complete fiscal year 2008 remains
unchanged.

Infineon has repeatedly communicated its goal of reducing its investment in
Qimonda below 50 percent by no later than the 2009 Annual Meeting of
Shareholders and is currently evaluating its different alternatives.
Infineon currently holds a 77.47 percent interest in Qimonda.

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Information and Explaination of the Issuer to this News:

About Infineon
Infineon Technologies AG, Neubiberg, Germany, offers semiconductor and
system solutions addressing three central challenges to modern society:
energy efficiency, communications, and security. In the 2007 fiscal year
(ending September), the company reported sales of Euro 7.7 billion
(including Qimonda sales of Euro 3.6 billion) with approximately 43,000
employees worldwide (including approximately 13,500 Qimonda employees).
With a global presence, Infineon operates through its subsidiaries in the
U.S. from Milpitas, CA, in the Asia-Pacific region from Singapore, and in
Japan from Tokyo. Infineon is listed on the Frankfurt Stock Exchange and on
the New York Stock Exchange (ticker symbol: IFX).


Further information is available at www.infineon.com. 
This news release is available online at www.infineon.com/press/


Contact:
Investor Relations, Tel.: +49 89 234-26655, Fax: +49 89 234-9552987


DGAP 21.04.2008 
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Language:     English
Issuer:       Infineon Technologies AG           Am Campeon 1-12
              85579 Neubiberg
              Deutschland
Phone:        +49 (0)89 234-26655
Fax:          +49 (0)89 234-955 2987
E-mail:       investor.relations@infineon.com
Internet:     www.infineon.com
ISIN:         DE0006231004
WKN:          623100
Indices:      DAX
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Hannover, München, Hamburg, Düsseldorf, Stuttgart;
              Terminbörse EUREX; Foreign Exchange(s) NYSE
End of News                                     DGAP News-Service
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