DURHAM, N.C. -- Cree, Inc. (Nasdaq: CREE) announces that it signed a strategic long-term agreement to produce and supply its Wolfspeed® silicon carbide wafers to one of the world’s leading power device companies. The agreement, valued at more than $85 million, governs Cree’s supply of advanced 150 mm silicon carbide bare and epitaxial wafers during this period of extraordinary growth and demand for silicon carbide power devices.

“Cree is committed to increasing and accelerating the adoption of silicon carbide-based solutions throughout the semiconductor industry. This customer’s importance to the power device industry is well known, so partnering with a leading power semiconductor company such as this is another big step in that commitment,” said Gregg Lowe, CEO of Cree. “We are extremely pleased to help drive adoption of silicon carbide in even more applications. As the world leader in silicon carbide, Cree is continuing to expand capacity to meet market demands with our industry-leading wafer technology to help achieve a new, more efficient future.”

Wolfspeed, A Cree Company, is the global leader in the manufacture of silicon carbide wafers and epitaxial wafers. The supply agreement, to be fulfilled through a Cree distributor, enables silicon carbide applications in broad markets such as renewable energy and storage, electric vehicles, charging infrastructure, industrial power supplies, traction and variable speed drives.

About Cree, Inc.:

Cree is an innovator of Wolfspeed® power and radio frequency (RF) semiconductors, lighting class LEDs and lighting products. Cree’s Wolfspeed product families include silicon carbide materials, power-switching devices and RF devices targeted for applications such as electric vehicles, fast charging, inverters, power supplies, telecom and military and aerospace. Cree’s LED product families include blue and green LED chips, high-brightness LEDs and lighting-class power LEDs targeted for indoor and outdoor lighting, video displays, transportation and electronic signs and signals. Cree’s LED lighting systems and lamps serve indoor and outdoor applications.

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 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 24, 2018, and subsequent filings.

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