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Global Adoption of Solid-State Lighting Accelerating At A Rapid Pace

Cree, Inc., a market leader in LED lighting, announces a long-term strategic agreement with the Austrian Zumtobel Group, a global market leader in the professional lighting industry and listed on the Vienna stock exchange, to supply LED downlights to the European market. The minimum first-year sales target is 50,000 LR6-230V luminaires. This accelerates the business relationship, which is anticipated to expand into other high-volume lighting categories in 2009.

The products under the agreement are European versions of award-winning Cree recessed downlights. They will be sold exclusively under two brands of the Zumtobel Group, Thorn and Zumtobel, in more than 40 countries throughout Europe and selected export markets.

"Cree provides us with a unique source of technological knowledge and leadership," said Andreas Ludwig, Zumtobel Group CEO. "By integrating this innovative LED luminaire into our portfolio, we are securing a significant technological edge."

"The Zumtobel Group is a forward-thinking, market-leading lighting company that understands that LED technology is changing the industry, and they want to help lead the change," said Chuck Swoboda, Cree chairman and CEO. "This strategic agreement is targeted to accelerate the LED lighting revolution across Europe by providing customers with energy-efficient and long-lasting products that save energy, save money and help protect the environment."

The LR6-230V downlight consumes just 12 watts of power, while delivering beautiful light of equivalent output and color quality to a 75-watt incandescent lamp and lasting up to 50 times longer. It is designed to last more than 20 years in homes and 10 years in businesses under normal use. Compared to compact fluorescent (CFL) lamps, Cree's downlight uses 50 percent less energy, lasts up to five times longer, and contains no mercury.

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