Cree, Inc. Announces Long-Term Silicon Carbide Wafer Supply Agreement with Infineon

DURHAM, N.C. -- Cree, Inc. (Nasdaq: CREE) announces that it signed a strategic long-term agreement to produce and supply its Wolfspeed™ silicon carbide (SiC) wafers to Infineon Technologies AG (FSE: IFX / OTCQX: IFNNY). The agreement governs Cree’s supply of advanced 150 mm SiC wafers to Infineon, which will broaden Infineon’s product offering to address today’s high-growth markets, such as photovoltaic inverters and electro mobility.

“Infineon is a longstanding, valuable commercial partner with an excellent reputation,” said Gregg Lowe, CEO of Cree. “This agreement validates the quality of Cree’s SiC wafer technology and our capacity expansion, as well as the accelerated adoption of SiC-based solutions that are critical to enabling faster, smaller, lighter and more powerful electronic systems.”

“We have known Cree for a long time as a strong and reliable partner with an excellent industry reputation,” said Reinhard Ploss, CEO of Infineon. “Based on the secured long-term supply of SiC wafers, we strengthen our strategic growth areas in automotive and industrial power control. As a consequence, we will create additional value for our customers.”

Wolfspeed, A Cree Company, is the global leader in the manufacture of silicon carbide wafers and epitaxial wafers.  The supply agreement, valued at well over $100 million, enables SiC applications in broad markets such as photovoltaic, electro mobility, robotics, charging infrastructure, industrial power supplies, traction and variable speed drives.

About Cree, Inc.:

Cree is a leading innovator of lighting-class LEDs, lighting products and wide bandgap semiconductor products for power and radio frequency (RF) applications. Cree’s product families include LED lighting systems and bulbs, blue and green LED chips, high-brightness LEDs, lighting-class power LEDs, SiC materials, power devices and RF devices. Cree’s products are driving improvements in applications such as commercial and consumer general illumination, video screens, electronic signs and signals, motor drives, power supplies, EV charging, solar, traction, transportation, radar, communications, telecom, data link and broadband amplifiers.

Please refer to www.cree.com for additional product and Company information.

Forward Looking Statements:

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 a number of factors, including the risk that we may be unable to manufacture these new products with sufficiently low cost to offer them at competitive prices or with acceptable margins; the risk we may encounter delays or other difficulties in ramping up production of our capacity to supply these products; customer acceptance of our new products; the rapid development of new technology and competing products that may impair demand or render Cree’s products obsolete; 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 25, 2017, and subsequent filings.

Cree® is a registered trademark and Wolfspeed™ is a trademark of Cree, Inc.