micron q2-08earningscall

Micron TechnologyFinancial Conference CallSecond Quarter of Fiscal 2008

©2008 Micron Technology, Inc. All rights reserved. Products are warranted only to meet Micron’s production data sheet specifications. Information, products and/or specifications are subject to change without notice. All information is provided on an “AS IS” basis without warranties of any kind. Dates are estimates only. Drawings not to scale. Micron and the Micron logo are trademarks of Micron Technology, Inc. All other trademarks are the property of their respective owners.

Safe Harbor

During the course of this meeting, we may make projections or other forward-looking statements regarding future events of the future financial performance of the Company and the industry. We wish to caution you that such statements are predictions and that actual events or results may differ materially. We refer you to the documents the Company files on a consolidated basis from time to time with Securities and Exchange Commission, specifically the Company’s most recent Form 10-K and Form 10-Q. These documents contain and identify important factors that could cause the actual results for the Company on a consolidated basis to differ materially from those contained in our projections or forward-looking statements. These certain factors can be found at http://www.micron.com/certainfactors. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. We are under no duty to update any of the forward-looking statements after the date of the presentation to conform these statements to actual results.

©2008 Micron Technology, Inc. All rights reserved.

Mike SadlerVP of Worldwide Sales


PC Memory Content vs. PC Unit ShipmentsD

eskto

p,

Note

book U

nit

s in

Millions

Averag

e MB p

er System

3,000

2,400

1,800

1,200

600

0

2Q08 – 4Q09 Forecast

2004 Average409 MB

2005 Average555 MB

2006 Average772 MB

2007 Average1208 MB

Growth ’06 – ’07

56%

2008 Average1817 MB

Growth ’07 – ’08

50%

Source: iSuppli

2009 Average2506 MB

Growth ’08 – ’09

38%


Memory PricingNAND & DRAM Average (Trade) ASPs

Mar ’07 – Mar ’08-73%

Mar ’07 – Mar ’08-70%

Source: DRAM eXchange



Continued Technology InnovationLo

g Ce

ll Si

ze

Today

NANDDRAM

<40nm32Gb NAND

58nm1Gb DRAM

68nm1Gb DRAM

Micron’s Module Density Transition

1GB

1GB

1GB

1GB

2GB2GB

2GB

2GB

DDR2



1.6GHz Operation on

2Gb DDR3 device

Micron DDR3 for High Performance Systems

DDR2 Power Reduction: Aspen Memory®

>70% reduction

14

12

10

8

6

4

2

0

Power comparison of 2GB RDIMMW

atts

per

RD

IMM

512Mb1.8V

Components

1Gb1.8V

Components 1Gb1.5V

Components 2Gb1.5V

Components

Aspen® Aspen®



Total NAND Market by Application

Source: iSuppli, Gartner, Micron Market Research

NA

ND

in B

illions

of

MB

Mobile Handsets = cards + embeddedComputing = SSD, Hybrid HDD, and PC CacheOther = Portable gaming, Set Top Boxes, Other consumer

Handset Memory Content

Sources: Gartner, Micron Market Research

DRAM

50%

Y/Y Growth2007-2008

NAND*

156%

Y/Y Growth2007-2008

Ave

rage

MB p

er S

yste

m

* Embedded Only



Continued Technology InnovationLo

g Ce

ll Si

ze

Today

NANDDRAM

<40nm32Gb NAND

58nm1Gb DRAM

68nm1Gb DRAM


Increasingly Efficient CapacityPercent High Volume Memory on 300mm Wafers

0%

100%

Start FY07 Today FQ3-08*

* Forecast


Mobile DRAM / NAND MCPs

Source: Micron Market Research

Micron competes in the fastest-growing segments of theMobile MCP market with its high-end portfolio

2007 2010 2013

NAND + DRAM

$2.0BNAND + DRAM

$4.0BNAND + DRAM

$8.5B

<1MP

1 MP

2 MP

3 MP

4 MP+

Voice only

Sources: Gartner, iSuppli, Micron Market Research

Handset Shipments by Camera ResolutionH

andse

t Sh

ipm

ents

by

Cam

era

Res

olu

tion (

Millions)

Note: Primary camera only


Micron’s Lineup

1.8-inch & 2.5-inch, 32GB & 64GB SSD for notebook and performance computing

Embedded USB, 1 to 8GB SSD for cost-effective industrial and blade server applications


Steve AppletonChairman and CEO

Financial Summary GAAP


Financial Summary Non-GAAP Q2-08


Reconciliation of GAAP to Non-GAAP Financial Measures


OverheadDollars in millions

Sales, General & Administrative

Research & Development


Micron

Partners

Partners

Micron

$2,467

$1,580

Capital ExpendituresDollars in millions


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