Winbond Electronics Corporation Signed a NT$ 15 Billion Syndicated Loan Agreement with Bank of Taiwan and Other 21 Financial Institutions
October 24, 2005 -- To meet the mid- and long- term capital demands for its 12-inch fab expansion plan in the Central Taiwan Science Park, Winbond Electronics Corporation today announced that it has signed a NT$ 15 billion five-year syndicated loan agreement. The signing ceremony was hosted today by Mr. Arthur Y.C. Chiao, Chairman of Winbond and Mr. Lyu, Joseph Jye-Chern, Chairman of Bank of Taiwan at Westin Hotel Taipei.
The syndicated loan was led by Bank of Taiwan, China Trust Commercial Bank, Taipei Fubon Bank, ABN AMRO Bank and First Commercial Bank and consisted of other seventeen financial institutions. The loan solicitation campaign was met with much enthusiasm resulting in a 50% increase of the facility amount to NT $ 15 billion from its original NT $ 10 billion.
After its transformation, Winbond, based on excellent R&D capability, focuses on Logics ICs and Memory products and consistently expands leading position by positioning itself as a Mobile Electronics Solution Provider. As for its 12-inch fab, the Company has successfully performed with remarkable production yield during the pilot run stage accompanying with a timely and smooth construction progress. The current monthly production capacity reaches 8,000 wafers and it will reach 16,000 wafers by the end of 2006. By 2007, the output will reach 24,000 wafers per month.
The capital acquired from this syndicated loan will be used to finance its expansion plan of the 12-inch fab in the Central Taiwan Science Park. By securing the syndicated loan, the 12-inch fab construction plan will progress more smoothly. Meanwhile, the enthusiasm received from the financial institutions this time also reinforces their support to Winbond.
