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CHARTERED AND MENTOR GRAPHICS COMBINE EXPERTISE TO OFFER MIXED-SIGNAL TECHNOLOGY DESIGN KIT

Leading foundry and EDA provider validate mixed-signal design through manufacturing flow for 0.18-micron RF CMOS process

MILPITAS, Calif. and WILSONVILLE, Ore. - May 20, 2003 - Chartered Semiconductor Manufacturing (Nasdaq: CHRT and SGX-ST: Chartered), one of the world's top three dedicated semiconductor foundries, and Mentor Graphics® Corporation (Nasdaq: MENT) have collaborated to deliver integrated circuit (IC) analog/mixed-signal (AMS) design kits validated for Chartered's manufacturing processes at multiple technology nodes, starting first with 0.18 micron and extending through 0.13 micron to 90 nanometer. These AMS design kits provide the proven building blocks needed by semiconductor companies and electronics systems manufacturers to shorten design cycles and ensure manufacturing success of analog, RF and mixed-signal ICs and systems on chip (SoCs).

Available at no charge, the Mentor Graphics AMS design kits enable the entire IC design workflow to be tailored for Chartered RF CMOS processes. The kits provide all the foundry data files and models for use with front and back-end IC design tools from Mentor Graphics. Designers can work within Mentor's completely integrated AMS design-through-verification tool flow, or move seamlessly between Mentor's widely-used Calibre® design-to-silicon platform and front-end design products from other electronic design automation (EDA) providers.

"Access to optimized design platforms that shorten critical chip development cycles is of paramount importance to foundry customers battling the constraints of today's market. Such challenges make Chartered's open, third-party EDA and IP strategy even more relevant," said Kevin Meyer, vice president of worldwide marketing and services at Chartered. "By combining Chartered's production-proven, mixed-signal processes with world-class EDA flows from Mentor Graphics, our mutual customers gain more control and predictability over SoC design and manufacturing."

"We understand the time-to-market pressures facing companies, and realize that their design engineers must focus on product development, rather than setting up IC design environments," said Jue-Hsien Chern, vice president and general manager of the DSM (deep submicron) division at Mentor Graphics. "At Mentor, we're committed to helping our customers maximize their productivity, especially as they move to more advanced semiconductor technologies in order to stay competitive in their markets. Our design kit collaboration with Chartered as a leading mixed-signal foundry yields an AMS design-through-manufacturing flow that saves time and eliminates costly re-spins."

The Mentor Graphics AMS design kits enable chip designers to immediately begin creating, simulating, and verifying mixed-signal or analog transistor-level designs targeted for Chartered's manufacturing 0.18-micron process. Additionally, they are currently being validated by both companies in support of Chartered's advanced technologies at 0.13 micron and beyond. Specifically, the design kits include: pre-configured symbols and netlist configuration file for schematic capture in Design Architect-IC, Eldo™ a nd Eldo RF analog simulation models for functional verification, process definition files and device generators for schematic-driven physical layout using IC Station, and pre-validated Calibre DRC, LVS and PEX rule files for final physical verification and parasitic extractions prior to chip manufacturing.

Availability

The Mentor AMS design kit for Chartered's 0.18-micron process is available now. Companies can contact Chartered sales representatives directly for details.

About Chartered

Chartered Semiconductor Manufacturing, one of the world's top three dedicated semiconductor foundries, is forging a customized approach to outsourced semiconductor manufacturing by building lasting and collaborative partnerships with its customers. The Company provides flexible and cost-effective manufacturing solutions for customers, enabling the convergence of communications, computing and consumer markets. In Singapore, Chartered operates five fabrication facilities and has a sixth fab, which will be developed as a 300mm facility.

A company with both global presence and perspective, Chartered is traded on both the Nasdaq Stock Market (Nasdaq: CHRT) and on the Singapore Exchange (SGX-ST: CHARTERED). Chartered's 3,500 employees are based at 11 locations around the world. Information about Chartered can be found at www.charteredsemi.com.

About Mentor Graphics

Mentor Graphics Corporation (Nasdaq: MENT) is a world leader in electronic hardware and software design solutions, providing products, consulting services and award-winning support for the world's most successful electronics and semiconductor companies. Established in 1981, the company reported revenues over the last 12 months of about $600 million and employs approximately 3,500 people worldwide. Corporate headquarters are located at 8005 S.W. Boeckman Road, Wilsonville, Oregon 97070-7777; Silicon Valley headquarters are located at 1001 Ridder Park Drive, San Jose, California 95131-2314. World Wide Web site: www.mentor.com.

Chartered Safe Harbour Statement under the provisions of the United States Private Securities Litigation Reform Act of 1995

This news release contains forward-looking statements, as defined in the safe harbour provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements, reflect Chartered's current views with respect to future events, and are subject to certain risks and uncertainties, which could cause actual results to differ materially from historical results or those anticipated. For example : changes in market outlook and trends; the rate of semiconductor market recovery; economic conditions in the United States as well as globally; customer demands; the successful implementation of our partnership with Mentor Graphics; the performance level and the technology mix in our fabrication facilities and competition. Although we believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be attained. In addition to the foregoing factors, a description of certain other risks and uncertainties which could cause actual results to differ materially can be found in the section captioned "Risk Factors" in our Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission. You are cautioned not to place undue reliance on these forward-looking statements, which are based on the current view of management on future events. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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