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

Zarlink Semiconductor Inc.

May 10, 2011 09:30 ET

Zarlink Receives Huawei "Year 2010 Quality Award"

OTTAWA, CANADA--(Marketwire - May 10, 2011) - Zarlink Semiconductor (TSX:ZL) today announced that is has received the Year 2010 Quality Award from Huawei, a leader in providing next-generation telecommunications network solutions for operators around the world.

Huawei's Year 2010 Quality Award recognizes exemplary efforts from key suppliers as Huawei strives to deliver the very best products to help customers improve network performance, deliver new communication applications, and reduce operating and maintenance costs. The award was accepted by Zarlink's Chief Operating Officer Gary Tanner at Huawei's Shenzhen facility on April 22, 2011.

"We are very honored to receive this prestigious award from Huawei," said Mr. Tanner. "Zarlink is a leading supplier of line circuit solutions used in Huawei's residential gateway and access products to enable high-quality, reliable voice services over DSL and fiber networks. In addition, we are seeing an increasing opportunity for our timing and synchronization solutions in a range of mobile backhaul and optical transport network equipment from Huawei. We are committed to delivering quality products, backed by applications engineering support to help simplify and speed equipment design, to help ensure continuing success for our customers."

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. 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.

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

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