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RD
  TERRA INVESTMENTS PTE LTD
   CHARTERED SEMICONDUCTOR MANUFACTURING LTD
  
 SUPPLEMENTAL AGREEMENT




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THIS
SUPPLEMENTAL AGREEMENT Supplemental
Agreement rd
 BETWEEN :-
 (1)
    
    TERRA INVESTMENTS PTE LTD,a company incorporated in
Singapore and having its registered office at 60B Orchard Road #06-18
Tower 2 The Atrium @ Orchard Singapore 238891
(hereinafter called Terra);
 AND
 (2)
    
    CHARTERED SEMICONDUCTOR MANUFACTURING LTD, a company incorporated in Singapore and having its
registered office at 60 Woodlands Industrial Park D, Street 2, Singapore 738406 (hereinafter
called Chartered).
 WHEREAS :-
 (A)
    
    By an Agreement for Sub-Licence and Sub-Lease dated 30th July 2001 (the
Agreement) made between Singapore Technologies Pte
Ltd (STPL) and Chartered, STPL granted:
 (i)
    
    a sub-license to Chartered to enter upon the Property (as defined in
the Agreement) for a period of 3 years (less 1 day) from the Commencement Date (as
defined in the Agreement) for the construction of certain factory buildings
thereon and installation of equipment, fixtures and fittings thereof; and(ii)
    
    upon the completion of such construction and installation, a
sub-lease of the Property for a term of 30 years (less 1 day) commencing from 1
March 2000,
 on the terms and subject to the conditions of the Agreement.
 (B)
    
    By a Novation Agreement dated 31 December 2004 entered
into between STPL, Chartered and Terra,
and with the consent of Chartered, STPL novated all its rights title interest and obligations
under the Agreement to Terra as if Terra was a party to the Agreement in place of STPL.(C)
    
    At the request of Chartered, Terra has accepted the option offered by the head lessor of the
Property, Jurong Town Corporation (JTC), to convert the 4% annual fixed rent increase scheme
to a 5.5% annual rent increase cap scheme set out in a letter
(JTC Letter) dated 26 January
2006 issued by JTC to Terra.(D)
    
    The parties to this Supplemental Agreement now desire to amend the Agreement as more
particularly stated hereinafter.




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NOW, THEREFORE,
 1.
    
    Amendment to the Annual Rent
 1.1
    
    In consideration of the above, the rental clause referred to in Section (F).1 (a) of the
Second Schedule of the Agreement which reflects the annual 4% fixed rent increase shall be
amended accordingly with effect from 22 May 2006 (the Effective Date) to reflect the
following:-
 (a)
    
    The yearly / annual rent payable on the Effective Date shall be revised to
the rate based on the market rent then prevailing;(b)
    
    The yearly / annual rent shall, on 1 March 2007 and on the 1st day
of March of every year thereafter, be revised at the rate based on the market rent
then prevailing on each of these dates, so that any such increase in the yearly /
annual rent shall not exceed 5.5% of the yearly / annual rent for each immediately
preceding year; and(c)
    
    The market rent in this context shall mean the rent per square metre per
annum of the Property (as defined in the Agreement) excluding the buildings and other
structures erected thereon and shall be determined by Terra and/or JTC on or about the
dates mentioned (and payable retrospectively with effect from the dates mentioned if
determined after the dates mentioned) and the decision of Terra and/or JTC shall be
final.
 1.2
    
    The clause on the option for a further term in the Agreement which reflects the annual 4%
fixed rent increase for the further term (as defined in the Agreement) shall also be amended
accordingly with effect from the Effective Date to reflect the following:-
 (a)
    
    the yearly / annual rent during the further term shall, on 1 March 2031 and
on the 1st day of March of every year thereafter, be revised to the rate
based on the market rent on each of the dates, so that any such increase in the yearly
/ annual rent shall not exceed 5.5% of the yearly / annual rent for each immediately
preceding year; and(b)
    
    the market rent in this context shall mean the rent per square metre per
annum of the Property excluding the buildings and other structures erected thereon and
shall be determined by Terra and/or JTC on or about the dates mentioned (and payable
retrospectively with effect from the dates mentioned if determined after the dates
mentioned) and the decision of Terra and/or JTC shall be final.
 2.
    
    Cost and Expenses




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All cost and expenses payable to JTC relating to this Supplemental Agreement and the letter
dated 26 January 2006 issued by JTC to Terra and the stamp duty payable on this Agreement
shall be borne by Chartered.
 3.
    
    IndemnityChartered shall indemnify and keep Terra indemnified against any proceeding, costs,
expenses, claim, loss, damages, penalty and liability arising, directly or indirectly from
the conversion from the current 4% fixed rent increased scheme to the 5.5% annual rent
increase cap scheme and this Supplemental Agreement.
 4.
    
    Head LeaseChartered agree to observe and be bound by the provisions in the Head Lease (including the
JTC Letter and any supplemental deed entered into by Terra with JTC for the conversion of
annual rent increase scheme set out in the JTC Letter) and perform all the covenants and
conditions contained therein.
 5.
    
    Contracts (Rights of Third Parties) ActA person (which reference includes a body corporate) who is
not a party to this Supplemental Agreement
shall have no right under the Contracts (Rights of Third Parties) Act, Chapter 53B of
Singapore (as amended or revised from time to time) to enforce any of the covenants, terms
or conditions of this Supplemental Agreement.
 6.
    
    Confirmation and Incorporation6.1
    
    Except to the extent expressly varied or amended by the provisions of this Supplemental
Agreement, all the covenants, terms and conditions in the Agreement shall remain in full force
and effect.6.2
    
    In the event that any of the provision in this Supplemental Agreement and the Agreement is
inconsistent with one another, the provision of this Supplemental Agreement shall prevail.
 IN WITNESS WHEREOF
 SIGNED BY
    
    )YAP CHWEE MEIN
    
    )
    
    /s/ Yap Chwee MeinFor and on behalf of
    
    )Terra
Investments Pte Ltd
    
    )in the presence of :-
    
    )LEE JUAT ENG
    
    )
    
    /s/ Lee Juat Eng




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SIGNED BY
    
    )Chia Song Hwee
    
    )
    
    /s/ Chia Song HweeFor and on behalf of
    
    )Chartered Semiconductor Manufacturing Ltd
    
    )in the presence of :-
    
    ))
    
    /s/ Ang Tang YongAng Tang Yong