Staktek Participates in U.S. Department of Homeland Security's Free and Secure Trade —FAST— Program

Business Wire, June 7, 2004

Business Editors/High-Tech Writers

AUSTIN, Texas--(BUSINESS WIRE)--June 7, 2004

Expedited Clearance Program Ensures Staktek Maintains Quick

Manufacturing Turn-Around Time from Reynosa, Mexico Facility

Staktek Holdings, Inc. (Nasdaq:STAK), a rapidly growing provider of high-density packaged memory stacking solutions, today announced its participation in the Free and Secure Trade (FAST) pilot program, a joint initiative of the United States and Mexico to promote free and secure trade between the two countries. As a member of FAST, Staktek has been designated as a low-risk company helping to expedite shipments from the company's Reynosa, Mexico manufacturing facility, resulting in a streamlined process for transporting cargo through Customs.

The U.S. Department of Homeland Security (DHS) FAST program is a cooperative initiative between businesses and Customs to promote more secure and efficient cargo traffic. The entire supply chain of an applicant's business is screened by DHS for security procedures and exposures. Once approved by DHS, companies are invited to participate in the program, which provides quicker and more reliable Northbound border crossings.

"One of the benefits Staktek offers our customers is a short turn-around time from order to fulfillment, and with FAST, we will be able to meet or exceed our customers' expectations," said Charlie Earnhart, executive vice president of operations, Staktek. "With FAST, our stacked memory solutions will reach customers quickly, whether manufactured in our Austin or Mexico facility."

FAST-approved highway carriers benefit from dedicated lanes for greater speed in the clearance of transborder shipments and reduced customs examinations with continued compliance. As one of a few companies to have its entire supply chain fully certified under Customs Trade Partnership Against Terrorism (CTPAT), Staktek will also benefit from a strong relationship with the Mexico Customs Administration, offering enhanced security and safety.

"This program greatly benefits companies with facilities in both the U.S. and Mexico and promotes more free and open trade relations between the neighboring countries," said Tim Roy, vice president and general manager of Staktek Mexico. "We are excited to be participating in FAST and look forward to continuing to work closely with the DHS and Mexico Customs officials to contribute to the safety and success of this program."

Staktek began making FAST shipments as part of the pilot program in May of this year.

About Staktek Holdings

Staktek is a rapidly growing provider of IP and manufacturing services for the cost-effective miniaturization of electronic components and systems for original equipment manufacturers, silicon manufacturers, memory module manufacturers and contract manufacturers. Staktek's high-density memory stacking solutions increase operational performance by doubling, tripling, or quadrupling memory in the same physical footprint as the underlying packaged component. With an IP portfolio of more than 70 patents and patent applications pending, the company offers flexibility for customers, including outsourced manufacturing, technology licensing and custom engineering. Headquartered in Austin, Texas, Staktek employs more than 400 people at its two world-class manufacturing locations in Austin, Texas and Reynosa, Mexico. For more information, visit http://www.staktek.com.

Staktek is a trademark of Staktek Group LP. All other products names noted herein may be trademarks of their respective holders.