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

Zarlink Semiconductor Inc.

June 01, 2011 09:30 ET

Starkey Selects Zarlink Radio Solution for Advanced Wireless Hearing Aid Products

OTTAWA, CANADA--(Marketwire - June 1, 2011) - Zarlink Semiconductor (TSX:ZL) today announced that its ultra-low power radio is being used in new wireless hearing aids from Starkey Laboratories, Inc., one of the world's leading hearing technology companies.

"We are strengthening our medical business with design-wins from new customers integrating our wireless radios into a wide range of applications that improve comfort and care for users," said Steve Swift, Vice President and General Manager of Zarlink's Medical Products Group. "Our radio technology delivers industry leading ultra low-power performance, which helps solve critical design challenges for customers, including Starkey, as they incorporate wireless functionality into innovative new devices."

Zarlink is the leading provider of standards compliant, ultra low-power radios for implanted medical devices. Building on this expertise, the ZL70250 radio chip delivers a unique combination of miniaturization, ultra-low power consumption and performance for a broad range of wireless on-body medical and sensor applications. The ZL70250 radio chip consumes just 2 milliwatts (mW) of power – five times less power than competing devices – meaning designers can integrate wireless features into devices without reducing the operating life of the battery.

Designed into Starkey's new Wi Series, the ZL70250 radio chip wirelessly connects a media streamer plugged into a television, radio, computer or other audio device with a user's hearing aids. Users can then listen to these devices at a volume that will not disturb others in the room. In addition, the embedded radios allow hearing aids to communicate with each other which enables new binaural audio signal processing algorithms.

"Integrating wireless technology into our hearing aids and accessory devices makes listening easy and comfortable for hearing aid users," said Tim Trine, Chief Technical Officer, Starkey Laboratories. "Zarlink has been a key partner in the development of our Wi Series, and we look forward to expanding our relationship as we continue to develop advanced hearing aid products."

About Zarlink Semiconductor

Zarlink Semiconductor delivers world-leading, mixed-signal chip technologies for a broad range of communication and medical applications. The Company's core capabilities include network timing solutions that manage time-sensitive communication applications over wireless and wired networks, line circuits supporting high-quality voice services over cable and broadband connections, and ultra low-power radios enabling new wireless medical devices and therapies. Serving the world's largest original equipment manufacturers, Zarlink's highly integrated chip solutions help customers simplify design, lower costs and reach market quickly. 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 Canadian Securities 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 and the applicable regulations of the Canadian Securities Administrators. 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; significant fluctuations in foreign exchange rates may adversely impact our results of operations; 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.

Zarlink and the Zarlink Semiconductor logo are trademarks of Zarlink Semiconductor Inc.

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