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STATS ChipPAC Intends to Maintain Its ADR Program as a Level I Program Until Further Announcement and Is Contemplating Raising Funds for Distribution to Shareholders
| Source: STATS ChipPAC
UNITED STATES--(Marketwire - December 12, 2007) - SINGAPORE - 12/12/2007 -- STATS ChipPAC Ltd.
("STATS ChipPAC" or the "Company") (NASDAQ : STTS ) and (SGX-ST: STATSChP), a
leading independent semiconductor test and advanced packaging service
provider, today announced that it intends to postpone the termination of
its American Depositary Receipts ("ADR") program with Citibank, N.A., the
depositary for the American Depositary Shares (the "ADSs" and the
depositary, the "Depositary"), until it has eliminated all outstanding
obligations to deliver ADSs under its employee benefit plans. The Company
is in the process of obtaining the requisite consents. In the meantime, the
Company will maintain its ADR program with the Depositary as a Level I
program following the delisting of its ADSs from the Nasdaq Global Select
Market ("Nasdaq"). This means that following the delisting of the Company's
ADSs from Nasdaq, the ADSs may continue to be traded on the
over-the-counter market until such time as the Company terminates the ADR
program. As previously announced on November 9, 2007, the Company's ADSs
are expected to be delisted from Nasdaq on or about December 31, 2007. The
last day of trading of the ADSs on Nasdaq is expected to be on or about
Friday, December 28, 2007.
Singapore Technologies Semiconductors Pte Ltd ("STSPL") and Temasek
Holdings (Private) Limited ("Temasek") are discussing with the Company
plans to raise indebtedness for the purpose of a distribution to the
Company's shareholders and redeeming certain outstanding indebtedness.
Subject to market conditions, the debt financing may take place as early as
the first quarter of 2008. STSPL is a wholly owned subsidiary of Temasek
and currently owns approximately 83.0% of the ordinary shares (including
ADSs) of the Company. The Company will make an announcement on the details
of any such financing activity at the appropriate time.
Important Information
This communication does not constitute an offer to purchase, sell or
exchange or the solicitation of an offer to purchase, sell or exchange any
securities. Securities of the Company may not be offered or sold in the
United States except pursuant to an effective registration statement under
the Securities Act of 1933, as amended, or pursuant to an applicable
exemption from registration.
Forward-looking Statements
Certain statements in this release, including statements regarding the
Company's intention to maintain a Level I ADR program prior to the
termination of the ADR program, to withdraw the ADSs from listing on
Nasdaq, to amend and terminate the ADR program, and to terminate the
registration of its ordinary shares and ADSs and reporting obligations
under the Securities Exchange Act of 1934, as amended; the trading of the
ADSs on the over-the-counter market; and the Company's intention to raise
indebtedness and make a distribution to shareholders, are forward-looking
statements that involve a number of risks and uncertainties that could
cause actual events or results to differ materially from those described in
this release. Factors that could cause actual results to differ from our
expectations include, but are not limited to, the ability to meet the
applicable requirements for the termination of registration under the
Securities Exchange Act of 1934, as amended, the ability to meet specific
conditions imposed for the continued listing or delisting of the Company's
securities on the SGX-ST, and the prevailing market conditions. We
undertake no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise.
About STATS ChipPAC Ltd.
STATS ChipPAC Ltd. ("STATS ChipPAC" or the "Company") (NASDAQ : STTS ) and
(SGX-ST: STATSChP) is a leading service provider of semiconductor packaging
design, assembly, test and distribution solutions in diverse end market
applications including communications, digital consumer and computing. With
global headquarters in Singapore, STATS ChipPAC has design, research and
development, manufacturing or customer support offices in 10 different
countries. STATS ChipPAC is listed on both the Nasdaq Stock Market (NASDAQ)
and the Singapore Exchange Securities Trading Limited (SGX-ST). In
addition, STATS ChipPAC is included in the Morgan Stanley Capital
International (MSCI) Index. Further information is available at
www.statschippac.com. Information contained in this website does not
constitute a part of this release.