Micron Technology Amends Inotera Memories Joint Venture With Nanya Technology
BOISE, Idaho, Jan. 17, 2013 (GLOBE NEWSWIRE) -- Micron Technology, Inc.
(Nasdaq:MU) today announced that it has entered into agreements with Nanya
Technology Corporation to amend their joint venture relationship involving
Inotera Memories, Inc., a leading Taiwanese DRAM memory manufacturer, and to
amend their joint development arrangement. The new agreements are effective
The amendments include a new supply agreement between Micron and Inotera
pursuant to which Micron is transitioning to purchase all of Inotera's
manufacturing output, with Micron purchasing substantially all of such output
beginning in early 2013. Under the prior agreements, Nanya and Micron were
each generally obligated to purchase half of Inotera's output. Commercial
terms of the new supply agreement between Micron and Inotera have also
changed. Under the new arrangement, Micron's purchase price for Inotera output
is market based as opposed to the former margin sharing arrangement.
Additionally, Nanya will no longer participate in the DRAM technology joint
development program with Micron, which was initiated when Micron and Nanya
entered into the Inotera joint venture in 2008. Micron will also provide Nanya
with a royalty-bearing technology license.
"Micron and Nanya have enjoyed a strong and productive technology and
manufacturing alliance," said Micron CEO Mark Durcan. "Moving forward, we are
enthusiastic about continuing to build on that success as we expand our
cooperation with Inotera."
Micron and Nanya collectively will continue to hold a majority of Inotera's
shares, with Nanya or its affiliated companies likely acquiring greater equity
ownership over the next year. Micron and Nanya and their affiliates currently
own approximately 40 percent and 29 percent, respectively, of Inotera's
The agreements announced today do not change Micron's previously announced
fiscal second quarter 2013 estimates for DRAM production bit growth, research
and development, estimated quarter to date average selling price (including
forecasted product mix for the quarter) and cost per bit.
Micron Technology, Inc., is one of the world's leading providers of advanced
semiconductor solutions. Through its worldwide operations, Micron manufactures
and markets a full range of DRAM, NAND and NOR flash memory, as well as other
innovative memory technologies, packaging solutions and semiconductor systems
for use in leading-edge computing, consumer, networking, embedded and mobile
products. Micron's common stock is traded on the NASDAQ under the MU symbol.
To learn more about Micron Technology, Inc., visit www.micron.com.
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Micron and the Micron orbit logo are trademarks of Micron Technology, Inc. All
other trademarks are the property of their respective owners.
This press release contains forward-looking statements regarding future events
that involve risks and uncertainties. For example, statements related to
future changes in the equity ownership of Inotera and the confirmation of our
previously provided estimates for DRAM production bit growth, research and
development, estimated quarter to date average selling price (including
forecasted product mix for the quarter) and cost per bit are forward looking
statements. Various factors could cause actual events or results to differ
materially from those anticipated by the forward-looking statements. Please
refer the Risk Factors section of our most recently filed Form 10-K and Form
10-Q for information on important factors that could cause the actual results
for Micron on a consolidated basis to differ materially from those contained
in our forward-looking statements. Although we believe that the expectations
reflected in the forward-looking statements are reasonable, we cannot
guarantee future results, levels of activity, performance or achievements.
CONTACT: Kipp Bedard
Micron Investor Relations
Micron Media Relations
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