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Updated: July 8th, 2008 05:26 PM CDT

Cree Opens New Production Site in North Carolina

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About WiMAX

WiMAX is a standards-based wireless technology that provides high-through put connections over long distances. It can be used for multiple applications, including last-mile broadband access, hotspots, cellular backhaul, high-speed enterprise connectivity, and non-line-of-sight mobile connectivity.

About Cree, Inc.

Cree is a market-leading innovator and manufacturer of semiconductors and devices that enhance the value of solid-state lighting, power andcommunications products by significantly increasing their energy performance and efficiency. Key to Cree's market advantage is its world-class materialsexpertise in silicon carbide (SiC) and gallium nitride (GaN) for chips andpackaged devices that can handle more power in a smaller space while producing less heat than other available technologies, materials and products.

Cree drives its increased performance technology into multiple applications, including exciting alternatives in brighter and more-tunablelight for general illumination, backlighting for more-vivid displays, optimized power management for high-current switch-mode power supplies and variable-speed motors, and more-effective wireless infrastructure for data and voice communications. Cree customers range from innovative lighting-fixture makers to defense-related federal agencies.

Cree's product families include blue and green LED chips, lighting LEDs,LED backlighting solutions, power-switching devices and radio-frequency/wireless devices. For additional product specifications please referto www.cree.com.

This press release contains forward-looking statements involving risks and uncertainties, both known and unknown, that may cause actual results to differ materially from those indicated. Actual results may differ materially due to anumber of factors, such as the risk we may encounter delays or other difficulties in ramping up production at our new site; the rapid development of new technology and competing products that may impair demand or render ourproducts obsolete; the potential lack of customer acceptance for the products; variations in demand for Cree's products and its customers' products; and other factors discussed in Cree's filings with the Securities and Exchange Commission, including its report on Form 10-K for the year ended June 26,2005 , and subsequent filings.


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