AMI Semiconductor Announces Financing for Acquisition

Addition of  $110 Million to the Company’s Term Loan Sought to Finance Majority of the Proposed $135 Million Purchase Price of the Semiconductor Business of Flextronics

Pocatello, Idaho – July 25, 2005 – AMI Semiconductor, Inc. (the “Company”), a wholly-owned subsidiary of AMIS Holdings, Inc. (Nasdaq:AMIS), today announced its intention to finance the majority of the acquisition costs for  the semiconductor division of Flextronics with an additional $110 million tack-on to its current term loan. The remainder of the $135 million purchase price will be financed using existing cash.  The Company will also seek to amend its credit agreement to obtain lender consent for the acquisition.

The Company’s acquisition of the semiconductor division of Flextronics was announced in a press release dated  June 15, 2005.

The proposed $110 million financing facility is being arranged on behalf of the Company by Credit Suisse First Boston.

About AMI Semiconductor

AMI Semiconductor (AMIS) is a leader in the design and manufacture of silicon solutions for the real world. As a widely recognized innovator in state-of-the-art integrated mixed-signal products, mixed-signal foundry services and structured digital products, AMIS is committed to providing customers with the optimal value, quickest time-to-market semiconductor solutions. Offering unparalleled manufacturing flexibility and dedication to customer service, AMI Semiconductor operates globally with headquarters in Pocatello, Idaho, European corporate offices in Oudenaarde, Belgium, and a network of sales and design centers located in the key markets of the North America, Europe and the Asia Pacific region.

Statements in this press release other than statements of historical fact are “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995.    These forward-looking statements include statements relating to the proposed financing for the acquisition of the semiconductor division of Flextronics.  These forward-looking statements involve risks and uncertainties that could cause the actual results to differ materially from those anticipated by these forward-looking statements. These risks include that the conditions to closing the transaction may not be satisfied.  The Company does not intend to revise or update any forward-looking statements to reflect events or circumstances after the date of this press release.