May 2, 2012

New Cree LED Downlight Obsoletes Fluorescent Technologies

Eliminates Initial Cost Barriers and Continues to Drive LED Adoption
DURHAM, N.C. -- Cree, Inc. (Nasdaq: CREE) introduces the industry’s first LED downlight designed to deliver specification-grade lighting performance with pricing to match the everyday price of incumbent technology fluorescent grade downlights. With initial models designed to replace 18 and 26 watt fluorescent downlights, the KR Series is at least 35 percent more efficient than incumbent fluorescents and is designed to last up to five times longer.

“The innovative Cree KR Series truly goes head-to-head with the initial cost of fluorescent downlights,” said Christopher Ruud, vice president global sales, Cree lighting. “When you factor in the increased energy savings, long lifetime and aesthetic appeal, it leaves us wondering why anyone would ever specify a CFL downlight again.”

Designed for new construction, the new cost-effective six-inch downlight features line voltage dimming to five percent, as well as multiple color point, light output and specification-grade reflector options. The KR Series features Cree TrueWhite® Technology – a revolutionary way to generate white light with LEDs. Cree TrueWhite® Technology delivers high efficiency with beautiful light characteristics, while maintaining color consistency over the rated lifetime of the product. The new downlight is available in 2700K, 3000K and 3500K color temperatures, all with 90 CRI to enable beautiful, efficient, color effective light. Designed to last 50,000 hours, the KR Series features a five-year warranty.

Cree KR Series LED Downlight is sold through Cree lighting sales channels with sample quantities targeted for availability in May 2012. For additional information, please visit www.cree.com/krseries.The KR Series will also be demonstrated at the Cree lighting booth #3008 at Lightfair International in Las Vegas, May 9-11.

About Cree

Cree is leading the LED lighting revolution and making energy-wasting traditional lighting technologies obsolete through the use of energy-efficient, mercury-free LED lighting. Cree is a market-leading innovator of lighting-class LEDs, LED lighting, and semiconductor products for power and radio-frequency (RF) applications.

Cree's product families include LED fixtures and bulbs, blue and green LED chips, high-brightness LEDs, lighting-class power LEDs, power-switching devices and RF devices. Cree products are driving improvements in applications such as general illumination, electronic signs and signals, power supplies and solar inverters.

For additional product and company information, please refer to www.CreeLEDLighting.com. To learn more about the LED Lighting Revolution, please visit www.creeledrevolution.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 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 new products; the risk that actual savings will vary from expectations, customer acceptance of LED 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 26, 2011, and subsequent filings.

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Cree®, Cree TrueWhite®, and TrueWhite® are registered trademarks of Cree, Inc.