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Exhibit B (1.4, 1.7, 1.8)--Qualification Requirements (continued)
The lot-scrap limit should be set at the greater of the following (Use the
distribution of lot-yield averages for items (2) and (3)):
(1) the present lot-scrap limit,
(2) [CONFIDENTIAL INFORMATION OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION] -standard deviations less than
the mean, or
(3) the lower [CONFIDENTIAL INFORMATION OMITTED AND FILED SEPARATELY
WITH THE SECURITIES AND EXCHANGE COMMISSION] point of the
distribution (point where [CONFIDENTIAL INFORMATION OMITTED AND
FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION] of
all lots pass).
The wafer-scrap limit should be set at the greater of the following (Use the
distribution of wafer yields for items (2) and (3) after removing scrapped lots
-----
from the distribution):
(1 The present wafer-scrap limit,
(2) [CONFIDENTIAL INFORMATION OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION] -standard deviations less than
the mean (excluding lot scraps, or
(3) the lower [CONFIDENTIAL INFORMATION OMITTED AND FILED SEPARATELY
WITH THE SECURITIES AND EXCHANGE COMMISSION] point of the
distribution (excluding lot scraps), (point where [CONFIDENTIAL
INFORMATION OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND
EXCHANGE COMMISSION] of all wafers pass).
TSMC has the option to request a material review for disposition with AMD
of any scrap material.
C. Die Visual criteria will be based on AMD Product Assurance Outgoing
----------
Inspection specification #306-005, or as modified by mutual agreement of the
parties. TSMC has the option on any questionable material, that does not meet
the inspection criteria, to request a joint disposition review by AMD and TSMC.
II. QUALIFICATION PLAN
The Qualification Plan is defined by AMD's 002 Plan, which describes the
Transfer Documentation for the topographical design rules and parametric
specifications. The project plan will be updated and tracked by the joint AMD-
TSMC start-up team.
16
Source: ADVANCED MICRO DEVIC, 10-K, March 07, 1995