Ramtron's foundry agreement with IBM
U.S. semiconductor maker Ramtron has announced that it has entered into a foundry services agreement with IBM. The companies plan to install Ramtron’s F-RAM semiconductor process technology in IBM's Burlington, Vermont, advanced wafer manufacturing facility. Once installed, the new foundry supply will serve as a foundation for the introduction of new and cost effective high-performance F-RAM semiconductor products.“W
“We are pleased to help facilitate the expansion of Ramtron’s F-RAM product offerings,” said John DiToro, vice president, semiconductor manufacturing, IBM Systems and Technology Group. “The vast array of IP blocks available through IBM foundry services can provide Ramtron with a great deal of product development flexibility. We look forward to working with Ramtron to help the company reach its manufacturing and product development objectives.”
Ramtron expects to generate first production wafers during 2010 on the IBM 0.18-micron wafer manufacturing process. IBM will become Ramtron’s third foundry supplier for its F-RAM semiconductor products, along with Fujitsu Limited and Texas Instruments.
In tandem with the foundry agreement, Ramtron is in the process of establishing an $11.0 million loan facility through Silicon Valley Bank to fund the capital and development costs in connection with the foundry relationship with IBM. In addition, Ramtron is working with Silicon Valley Bank to extend the company’s revolving line of credit (LOC) until March of 2012, and increase the amount that can be borrowed under the LOC to a total of $5.0 million. Ramtron’s existing LOC allows for borrowings of up to $4.0 million. To date, Ramtron has no amount outstanding on its line of credit. The new loan facility is expected to close during the first quarter of 2009.