CHANDLER, Ariz., Aug. 5 -- In keeping with its strategy of becoming a leading provider of turnkey semiconductor assembly and test services for the emerging Chinese chip industry, Amkor Technology, Inc. (Nasdaq: AMKR) announced today that it has entered into a business alliance with United Test and Assembly Center Limited (UTAC). The alliance combines the strengths of both companies to create a powerful turnkey assembly and test supplier capable of supporting the local Chinese wafer foundries as well as IDM's looking to service their end customers in the China market.

As part of the alliance, UTAC (Shanghai) Co. Ltd. is entering into a multi-year lease agreement to locate its China test center within Amkor's existing factory in the Waigaoqiao Free Trade Zone in Shanghai. The test center will immediately be equipped with multiple test platforms including the Agilent 93K, Teradyne J750 and Advantest 5581. These test platforms will be suitable for testing a wide range of device technologies including, mixed signal, digital and memory devices. The center will provide a complete range of test services including wafer probe, burn in, final test and all related back end services.

"Chip companies operating in China are increasing their design and manufacturing competencies while also striving to reduce time to market. We believe that having access to world-class assembly and test resources will be a key enabler for the development of China's semiconductor industry," said John Boruch, Amkor's president and chief operating officer. "Since establishing our factory in Shanghai two years ago we have cultivated relationships with leading Chinese foundries and IC design houses. This alliance enhances our presence in China and should lead to additional growth opportunities."

"This innovative alliance allows Amkor to offer our China customers a seamless capability for turnkey assembly and test, while managing the business risk associated with quickly building test capacity," said Joe Holt, Amkor's senior vice president of worldwide test. "We are now positioned to meet the growing demands of our customers in China with a broad range of test solutions to complement our existing installed assembly capacity."

"We are pleased to join forces with Amkor in a mutual effort to capitalize on what should be extraordinary long-term growth opportunities to support the emerging Chinese semiconductor industry," said J.C. Lee, President and CEO of UTAC Co. Ltd. "By combining our critical mass in IC test technology with the world leader in outsourced chip packaging, we offer the China market a strong set of turnkey assembly and test capabilities."

About Amkor

Amkor Technology, Inc. is the world's largest provider of contract semiconductor assembly and test services. The company offers semiconductor companies and electronics OEMs a complete set of microelectronic design and manufacturing services. More information on Amkor is available from the company's SEC filings and on Amkor's web site: www.amkor.com .

About UTAC

United Test and Assembly Center Limited ("UTAC") provides full turnkey solutions in assembly and testing of memory and mixed signal semiconductors. UTAC's customer base comprises leading and emerging global designers and manufacturers of semiconductors that power computing, communication, and consumer electronic appliances. UTAC is headquartered in Singapore, and is supported by a global sales and marketing network in Italy, Israel, Japan, and the United States. For further information, visit www.utac.com.sg .

For further information, please contact: Jeffrey Luth, VP Corporate Communications of Amkor Technology, Inc., +1-480-821-2408 ext. 5130, jluth@amkor.com; or Chong Chow Pin, Manager Business Strategy, of United Test and Assembly Center Ltd, 65-65511102, cp_chong@utac.com.sg