Macronix International Co., Ltd. is engaged in the design, manufacture and supply of integrated circuits and memory chips. The Company provides customer/application-driven system solutions and non-volatile memory solutions for the computing, communications and consumer markets. It offers a range of not or (NOR) Flash and Mask read-only memory (ROM) products across various densities. Its Flash memories offer a line of three-volt products ranging from 4-megabit to 64-megabit densities, and five-volt products ranging from 1-megabit to 16-megabit densities. In the Flash memory category, the products offered by it include NBit Flash products, Serial Flash products and eLiteFlash products. It offers ROM products in various types, including five volt and three-volt products in page, sequential, serial and flash-compatible modes in industry standard packages. It also offers telephone answering machines, digital voice recorders and 64-polyphony sound generators for mobile phone applications. Microelectronics and Memory Solution Group The Company's Microelectronics and Memory Solution Group supports the technologies that enable the Company to provide semiconductor products and design services. The Microelectronics and Memory Solution Group focuses primarily on the research and development of the advanced process technologies that it requires for business and on advancing design capabilities, as well as the operation and capacity planning of its manufacturing facilities. It is also responsible for managing process technologies and reinforcing relationships with its manufacturing partners through technology arrangements. Mask ROMs are used for applications in a wide range of electronic products, including the storage of software for video games and data storage for office automation equipment, such as fonts for laser printers and dictionary data for word processors. New applications for Mask ROM products have been developed, including applications for pre-recorded MP3 music, mobile telecommunications, pachinko machines and multimedia devices. The Company's Flash products are particularly suited for applications in handheld devices as it has the combined benefits of portability, high-density and lower-power consumption. Flash products are also used in various audio products, such as digital answering machines, mobile telephone systems, moving picture experts group layer-3 audio (MP3) players, networking devices, digital cameras and personal computer (PC) motherboards. Macronix International Co., Ltd. previously developed its PAC-AND design architecture to seek to meet the requirements of both NOR and NAND. However, in order to focus its resources on the development of products based on NBit technology and the mainstream EPROM tunnel oxide (ETOX) design, the Company decided not to further develop its PAC-AND design architecture beyond the present 0.15-micron process technology. However, it plans to develop further products utilizing the PAC AND design architecture based on the present 0.15 micron process technology. Macronix International Co., Ltd. has also developed core technologies to achieve two-bit-per-cell manufacturing capabilities, based on technology licensed from Saifun Semiconductors Ltd. (Saifun) known as nitrided read only memory (N-ROM), which the Company also refers to as two bit per cell or NBit technology. Applications using EPROM include disk drives, video games, fax machines, modems, cellular phones, pagers and notebook computers, among others. Macronix International Co., Ltd. produces a range of EPROM products with densities ranging from 256 kilobits to 8 megabits. The majority of the Company's EPROM products have 2-megabit density and are used in video compact disc (VCD) players and cellular phones. Integrated Solution Group The Integrated Solution Group is responsible for providing value-added design services and system-level platform solutions to customers based on the requirements of the end-market application. In addition, it is responsible for developing strategic partnerships with key c

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