Faraday Adopts Mentor Graphics Eldo as Their Internal SPICE Simulator

HSINCHU, Taiwan and SUNNYVALE, California, – January 11, 2006 -- Mentor Graphics Corporation (Nasdaq: MENT) and Faraday Technology Corporation (TAIEX: 3035) today jointly announced that Faraday has adopted the Mentor Graphics Eldo® simulation tool as their internal SPICE simulator for cell library and IP characterization. Eldo® is used in lieu of other SPICE tools for improving the convergence rate from 60% to 100% and reducing the characterization time.

“IP characterization needs a verification tool that provides a high level of accuracy, efficiency, and ability to handle complex designs and characterization methodologies,” said Kun-Cheng Wu, Director of Design Development at Faraday Technology. “We have been very impressed by the powerful performance and results of Eldo® for our designs.”

“We are extremely pleased to work closely with Faraday, the leading IP provider in Taiwan . Faraday's adoption of Eldo® for simulating IP characterization demonstrates the versatility and performance of Eldo® over a broad range of designs . We look forward to having ample cooperation with Faraday. ” said Jue-Hsien Chern, vice president and general manager, Deep Submicron Division, Mentor Graphics.

About Eldo®
Eldo® is the choice of simulator for IC silicon vendors and fabless design centers. Designers worldwide use Eldo® on designs ranging from the lowest complexity of a single cell to systems consisting of several hundred thousand transistors. The Eldo® analog IC and system simulator speed the design and verification of complex analog/mixed-signal circuits.

About Faraday Technology Corporation
Faraday Technology Corporation is a leading silicon IP and fabless ASIC vendor. The company's broad IP portfolio includes 32-bit RISC CPUs, DSPs, PHY/Controllers for USB 2.0, Ethernet, and Serial ATA. With more than 600 employees and 2004 revenue of $159 million, Faraday is one of the largest fabless ASIC companies in the Asia-Pacific region, and it also has a significant presence in other markets, world-wide. Headquartered in Taiwan , Faraday has service and support offices around the world, including the U.S. , Japan , Europe, and China . For more information, please visit: www.faraday-tech.com

About Mentor Graphics
Mentor Graphics Corporation (Nasdaq: MENT) is a world leader in electronic hardware and software design solutions, providing products, consulting services and award-winning support for the world's most successful electronics and semiconductor companies. Established in 1981, the company reported revenues over the last 12 months of about $700 million and employs approximately 3,950 people worldwide. Corporate headquarters are located at 8005 S.W. Boeckman Road , Wilsonville , Oregon 97070-7777 . World Wide Web site: www.mentor.com.