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Singapore - 29 January 2015 - STATS ChipPAC Ltd. ("STATS ChipPAC" or the "Company" - SGX-ST: STATSChP), a leading provider of advanced semiconductor packaging and test services, today announced results for the fourth quarter and full year 2014.

Tan Lay Koon, President and Chief Executive Officer of STATS ChipPAC, said, "Revenue for the fourth quarter of 2014 increased 0.7% to $406.7 million from the third quarter of 2014. Fourth quarter came in better than our earlier guidance due to higher wireless communications revenue driven by new high-end smartphone ramps and stronger than seasonal demand in China lower tier smartphones."

Adjusted EBITDA1 in the fourth quarter of 2014 improved to $96.7 million or 23.8% of revenue compared to $90.2 million or 22.3% in the prior quarter and $91.3 million or 23.1% in the fourth quarter of 2013. Net income for the fourth quarter of 2014 was $3.5 million compared to net loss of $5.3 million in the prior quarter and $12.1 million in fourth quarter of 2013.

For the full year 2014, adjusted EBITDA1 was $353.4 million or 22.3% of revenue compared to $392.4 million or 24.5% in 2013, and net loss was $21.8 million compared to $47.5 million in 2013.

Dennis Chia, Chief Financial Officer of STATS ChipPAC, said, "Gross margin for the fourth quarter of 2014 was higher at 12.1% compared to 11.8% in the prior quarter due to higher revenue and favorable mix change in the wireless communications business. Operating margin for the fourth quarter of 2014 was 3.1% of revenue compared to 3.6% in the prior quarter. Excluding the new factory construction in Korea, capital expenditure2 for the fourth quarter was $30.1 million or 7.4% of revenue. We ended fourth quarter of 2014 with cash, cash equivalents and bank deposits of $185.2 million and debt of $1,203.3 million compared to $178.0 million and $1,137.3 million at the end of third quarter of 2014."

Investor Conference Call / Live Audio Webcast Details
A conference call has been scheduled for 8:00 a.m. in Singapore on Friday, 30 January 2015. During the call, time will be set-aside for analysts and investors to ask questions of executive officers.

The call may be accessed by dialing +65-6823-2299. A live audio webcast of the conference call will be available on STATS ChipPAC's website at www.statschippac.com. A replay of the call will be available 2 hours after the live call through 14 February 2015 at www.statschippac.com and by telephone at 800-616-2127. The conference ID number to access the conference call and replay is 5322157.

1Adjusted EBITDA is not required by, or presented in accordance with, Singapore Financial Reporting Standards ("FRS"). We define adjusted EBITDA as net income attributable to STATS ChipPAC Ltd. plus income tax expense, interest expense, net, depreciation and amortisation, restructuring charges, share-based compensation, asset impairment, tender offer, debt exchange or debt redemption expenses and write-off of debt issuance costs. Adjusted EBITDA excludes plant closure costs related to our Malaysia plant. We present adjusted EBITDA as a supplemental measure of our performance. Management believes the non-FRS financial measure is useful to investors in enabling them to perform additional analysis.

2Capital expenditure refers to acquisitions of production equipment, asset upgrades and infrastructure investments.

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