Zarlink Semiconductor Inc.
TSX : ZL
OTC Bulletin Board : ZARLF

Zarlink Semiconductor Inc.

November 30, 2009 09:30 ET

Zarlink Wireless Radio Solution in New Camera Capsule Targeting Colon Cancer

- Zarlink ultra low-power radio used by Given Imaging in PillCam® COLON 2 capsule that provides physicians with a patient-friendly option for colon visualization

OTTAWA, CANADA--(Marketwire - Nov. 30, 2009) - Zarlink Semiconductor (TSX:ZL) today announced that its custom RF (radio frequency) integrated circuit is being used in Given Imaging's new PillCam COLON 2 camera capsule for wireless examination of the colon. The new camera capsule provides a patient-friendly alternative for visualizing the colon. Given Imaging launched this product at the recent GASTRO 2009 meeting in London and plans to begin marketing PillCam COLON 2 in Europe in 2010. (PillCam COLON 2 is not approved for use in the USA.)

PillCam COLON 2 is a smooth, plastic capsule which can be easily swallowed by the patient without requiring sedation, intubation, air insufflation, hospitalization or radiation. The capsule contains tiny cameras at each end, a light source and Zarlink's ultra-low power RF transceiver. Zarlink's RF chip transmits images from the PillCam COLON 2 to an external data recorder as the vitamin-sized capsule passes naturally through the patient's colon. Zarlink's RF technology is in use in Given Imaging's PillCam SB video capsules for visualizing the small bowel.

"The evolution of Given Imaging's PillCam products highlights the increasing opportunity for our radio technologies in new and emerging wireless medical devices and therapies," said Steve Swift, Senior Vice President and General Manager of Zarlink's Medical Products group.

According to the American Cancer Society, colorectal cancer is the third most common cancer diagnosis and the second-leading cause of death from cancer for both men and women in the United States. About 150,000 new cases of colorectal cancer will be diagnosed this year, with the disease expected to cause about 50,000 deaths. The Canadian Colorectal Cancer Association estimates that 22,000 Canadians will be diagnosed with colorectal cancer and 9,100 will die from it this year. Colorectal screening can result in the detection and removal of polyps before they become cancerous, as well as discover the disease at its earliest stages.

"Zarlink's wireless technology has been a key component as we have developed our successful range of PillCam products for wireless endoscopy. Our new PillCam COLON 2 is a patient-friendly capsule endoscope that may complement traditional procedures to visualize the colon in patients who are unwilling or unable to undergo colonoscopy," said Kevin Rubey, Chief Operations Officer, Given Imaging.

A high-resolution photo of Zarlink's RF transmitter chip is available at http://www.zarlink.com/zarlink/hs/5946.htm. For more on Zarlink's medical expertise, visit http://www.zarlink.com/zarlink/hs/medical.htm.

About Zarlink Semiconductor

For over 30 years, Zarlink Semiconductor has delivered semiconductor solutions that drive the capabilities of voice, enterprise, broadband and wireless communications. The Company's success is built on its technology strengths including voice and data networks, optoelectronics and ultra low-power communications. For more information, visit www.zarlink.com.

Shareholders and other individuals wishing to receive, free of charge, copies of the reports filed with the U.S. Securities and Exchange Commission and Regulatory Authorities, should visit the Company's web site at www.zarlink.com or contact Investor Relations.

Certain statements in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Such risks, uncertainties and assumptions include, among others, the following: our dependence on the successful development and market introduction of new products; our ability to integrate any business, technologies, product lines or services that we have or will acquire; our dependence on revenue generation from our legacy products in order to fund development of our new products; current market conditions, including the lack of liquidity in the markets and economic slowdown, may increase our operating costs or reduce our revenue, thereby negatively impacting our operating results; our ability to operate profitably and generate positive cash flows in the future; the impact of the current economic crisis on our suppliers and customers and our ability to transfer parts to other suppliers; our dependence on our foundry suppliers and third-party subcontractors; order cancellations and deferrals by our customers; our substantial indebtedness could adversely affect our financial position; the cost and accounting implications of compliance with new accounting standards; and other factors referenced in our Annual Report on Form 20-F. Investors are encouraged to consider the risks detailed in this filing.

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