Spansion™ Flash Memory Ramps on Industry’s Most Advanced Production-Qualified Technology

Market-leading price-performance to help drive proliferation of feature-rich mobile products

SUNNYVALE, CA AND TOKYO -- 3/17/2004 -- Spansion™ Flash memory is ramping into volume production on the industry’s most advanced production-qualified technology, FASL LLC announced today. Spansion 110-nanometer floating gate technology is the first to push beyond the 130-nanometer barrier in commercial production and features the industry’s best price-performance for full-featured, high-density Flash memory. Spansion Flash memory products are manufactured by FASL LLC and available from AMD (NYSE: AMD) and Fujitsu (TSE:6702).

“We believe that Spansion 110-nanometer technology provides the best price-performance for mobile designs and production in 2004,” said Amir Mashkoori, group vice president and general manager of the Wireless Business Unit for FASL LLC. “Leading handset manufacturers are actively building and qualifying products based on Spansion 110-nanometer technology because they understand that our price-performance superiority can directly affect the success of their products. Our customers see unique value in a technology that supports leading-edge products with up to 30% die cost reduction over our previous generation.”

“We aligned efforts throughout our company to optimize our 110-nanometer cost structure and multiply our device manufacturing capacity,” said Jim Doran, executive vice president of worldwide technology development and manufacturing for FASL LLC. “Our manufacturing teams leveraged the experience of our Fab 25 and JV3 facilities, which are exclusively dedicated to leading-edge Flash memory production. Our design teams further optimized this technology to squeeze up to 50% more die on each wafer.”

Spansion 110-nanometer technology will power an extensive and versatile product portfolio. Initial production, based on floating gate technology, will support 1.8-volt burst-mode and 3-volt page-mode product families for the wireless market. As a result of continuing innovation, these product families will migrate to density-doubling 110-nanometer MirrorBit™ technology to achieve even greater cost reductions. Spansion product families based on 110-nanometer technology will be announced in the coming weeks.

About Spansion™ Flash Memory Products
Spansion™ Flash memory products encompass a broad spectrum of densities and features to support a wide range of markets. Spansion Flash memory customers represent leaders in the wireless, cellular, automotive, networking, telecommunications and consumer electronics markets. There are a variety of Spansion Flash memory products, such as devices based on the innovative MirrorBit™ technology; the award-winning simultaneous read-write (SRW) product family; super low-voltage 1.8-volt Flash memory devices; and burst- and page-mode devices. Information about Spansion Flash memory solutions is available at http://www.spansion.com/overview.

Spansion is the global product brand name of FASL LLC, a company formed by the integration of AMD's and Fujitsu’s Flash memory operations. FASL LLC is the largest NOR Flash memory company in the world based on dedicated resources that include gross assets having a net book value of approximately US$3 billion and approximately 7,000 employees. Spansion Flash memory solutions are available worldwide from AMD and Fujitsu.

Cautionary Statement
This release contains forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements in this release involve risks and uncertainty that could cause actual results to differ materially from current expectations. Risks include the possibility that demand for the company’s Flash memory products will be lower than currently expected, particularly in the wireless market; the company will not continue to successfully ramp production of its Flash memory devices on 110-nanometer technology on the current schedule; the company will not achieve its current Flash memory product introduction schedules; and that the price-performance of new Flash memory devices offered by competitors in 2004 will be better than the company’s Flash memory devices based on 110-nanometer technology. We urge investors to review in detail the risks and uncertainties in the company’s Securities and Exchange Commission filings, including but not limited to the Annual Report on Form 10-K for the year ended December 28, 2003.

Spansion, the Spansion logo, FASL, MirrorBit, and combinations thereof, are trademarks of FASL LLC. AMD is a trademark of Advanced Micro Devices, Inc. Other company and product names used in this publication are for identification purposes only and may be trademarks of their respective companies.