ASTT Asat Hldg Ltd American Dep (MM)

HONG KONG and MILPITAS, Calif., Sept. 24 /PRNewswire-FirstCall/ -- ASAT Holdings Limited (NASDAQ:ASTT) (the "Company"), a global provider of semiconductor package design, assembly and test services, today announced that its Chinese subsidiary ASAT Semiconductor (Dongguan) Limited ("ASDL") has received a commitment for RMB150 million (approximately US$20 million) of new financing from a Chinese bank in the form of a secured multi-currency revolving credit facility. (Logo: http://www.newscom.com/cgi-bin/prnh/20030414/ASATLOGO) "As we have previously discussed, the key near-term objective has been to strengthen our financial position. By obtaining the credit facility we have delivered on this important goal and achieved another milestone in the implementation of our financial turnaround plan," said Kei Hong Chua, chief financial officer of ASAT Holdings Limited. "The facility supplements our existing cash flow and provides us with resources to expand our business during a period of positive growth for ASAT and our industry. "We believe the overwhelming support we received in our recent consent solicitation and the competitive terms of this financing package demonstrate the fundamental soundness of our business," said Mr. Chua. "In the last 12 months we have undertaken a complete re-engineering of nearly every aspect of how we do business. We have made enormous progress and ASAT is emerging as a strong competitor in the assembly and test market." Financing Terms The multi-currency revolving credit facility has an aggregate commitment of RMB150 million secured by ASDLs trade receivables. Interest on borrowings under the facility will be at the applicable index rate plus 0.80%. About ASAT Holdings Limited ASAT Holdings Limited is a global provider of semiconductor package design, assembly and test services. With 18 years of experience, the Company offers a definitive selection of semiconductor packages and world-class manufacturing lines. ASAT's advanced package portfolio includes standard and high thermal performance ball grid arrays, leadless plastic chip carriers, thin array plastic packages, system-in-package and flip chip. ASAT was the first company to develop moisture sensitive level one capability on standard leaded products. Today the Company has operations in the United States, Asia and Europe. For more information, visit http://www.asat.com/. Safe Harbor This news release contains statements and information that involve risks, uncertainties and assumptions. These statements and information constitute "forward-looking statements" within the meaning of federal securities laws including Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. Such forward-looking statements, including statements regarding compliance with Nasdaq listing requirements, involve known and unknown risks, uncertainties, assumptions and other factors that could cause the actual performance, financial condition or results of operations of ASAT Holdings Limited to differ materially from those expressed or implied in any forward-looking statement. Investors are cautioned that actual events and results could differ materially from those contained in these statements as a result of a variety of factors, including the availability of capital to continue to support and further expand the Company's operations, conditions in the overall semiconductor market and economy, the need for additional funding and the risk that financing may not be obtained, our progress in ramping our new China facility, acceptance and demand for the Company's products and services, operational and technological risks and revisions to the preliminary unaudited financial results which may occur during preparation of financial statements and disclosures. The risks, uncertainties and other factors also include, among others, our ability to successfully implement our diversification strategy and our long-term growth strategy, our ability to continue to realize operational efficiencies and improvements to our cost structure, our ability to obtain additional new financing, the possible delisting of the Company's securities from Nasdaq, and those risks, uncertainties, assumptions and other factors stated in the section entitled "Risk Factors" in our Annual Report on Form 20-F filed with the United States Securities and Exchange Commission on October 10, 2006 and the section entitled "Risk Factors" in our quarterly reports on Form 6-K filed with the United States Securities and Exchange Commission. The forward-looking statements in this release reflect the current beliefs and expectations of the Company as of this date, and the Company undertakes no obligation to update these projections and forward-looking statements to reflect actual results or events or circumstances that occur after the date of this news release. http://www.newscom.com/cgi-bin/prnh/20030414/ASATLOGO http://photoarchive.ap.org/ DATASOURCE: ASAT Holdings Limited CONTACT: Kei Hong Chua, Chief Financial Officer of ASAT Holdings Limited, ; or Jim Fanucchi of Summit IR Group Inc, +1-408-404-5400, , for ASAT Holdings Limited Web site: http://www.asat.com/

Copyright