Fujitsu Limited and Fujitsu Semiconductor Limited have entered into an official contract with Panasonic Corp. and Development Bank of Japan Inc. (DBJ) to integrate their System LSI businesses create a new independent fabless company. In addition, Fujitsu Limited and Fujitsu Semiconductor have decided to expand the scope of foundry operations. Fujitsu Semiconductor's manufacturing facilities in Mie and Aizu-Wakamatsu, Japan will respectively work to provide delivery to their customers as new, independent companies, to be established by the end of 2014. The new Aizu foundry company will consist of a 150mm fab company and 200mm fab company, operating within the framework of an Aizu foundry general company.

Fujitsu Semiconductor today also announced that it has entered into a strategic partnership in which ON Semiconductor will obtain a 10% ownership interest in the new Aizu foundry company's 200mm fab company.

Fujitsu Semiconductor group now includes the Mie and Aizu foundry companies, a system memory business unit, and sales functions (Fujitsu Electronics, Inc. and sales teams in the overseas subsidiaries), and each independent company will pursue sustainable growth, and stable management operations.

The new Aizu foundry company will leverage its resources for video, imaging and networking fields, aiming for growth as a global fabless company that will within several years pursue an initial public offering. It is scheduled to commence operations in the fourth quarter of fiscal 2014, which ends March 31, 2015, after completing necessary requirements with regard to antitrust laws and other procedures in each country.