Elpida Applies for Public Funds

Tokyo, June 23 (Jiji Press)--Elpida Memory Inc. <6665> has applied
for a public fund injection from the Japanese government, sources familiar
with the matter said Tuesday.

The government is expected to grant Elpida public funds.
The government-affiliated Development Bank of Japan is expected to
provide the company with 30 billion yen in capital and 10 billion yen in
loans.
In addition, four commercial banks, including Bank of
Tokyo-Mitsubishi UFJ, a unit of Mitsubishi UFJ Financial Group Inc. <8306>,
are expected to provide more than 90 billion yen in syndicated loans.
Elpida, the sole dynamic random access memory chip maker in Japan,
had a group net loss of 178.8 billion yen in the year to March 31, the worst
in its history.
The state aid will be provided under a program that the government
put in place in April to recapitalize troubled nonfinancial firms.