Trading of Zarlink Semiconductor Common Shares Will Be Suspended from the New York Stock Exchange

OTTAWA, CANADA, Jul 22 (MARKET WIRE) --
Zarlink Semiconductor Inc. (TSX: ZL)(NYSE: ZL) today announced that it
has been advised by the New York Stock Exchange Regulation, Inc. (NYSE
Regulation) that trading of the common shares of Zarlink Semiconductor
Inc., ticker symbol ZL, on the New York Stock Exchange (NYSE) will be
suspended prior to the opening on Tuesday, July 29, 2008.

Zarlink has advised the NYSE that its common shares will continue to be
traded on the Toronto Stock Exchange (TSX), where such shares have been
listed since August 13, 1979. The TSX represents in excess of 75 percent
of the Company's total daily trading volume.

The decision was reached in view of the fact that the Company has fallen
below the NYSE's continued listing standard regarding average share price
over a consecutive 30 trading-day period of not less than US$1.00. The
Company effected an action plan to address non-compliance with NYSE's
continued listing standards. However, after the elapsing of the
prescribed time the continued listing standard was not met and the NYSE
decided to proceed with suspension and delisting.

"The technology advances in equities trading mitigates the requirement
for Zarlink to continue to be listed on multiple exchanges," said Kirk
Mandy, President and CEO, Zarlink Semiconductor. "This decision will not
impact the financial status of Zarlink or affect the way it conducts its
business."

Application to the U.S. Securities and Exchange Commission to delist the
issue from the NYSE is pending the completion of applicable procedures.
The NYSE noted that it may, at any time, suspend a security if it
believes that continued dealings in the security on the NYSE are not
advisable.

About Zarlink Semiconductor

For over 30 years, Zarlink Semiconductor has delivered semiconductor
solutions that drive the capabilities of voice, enterprise, broadband and
wireless communications. The Company's success is built on its technology
strengths including voice and data networks, optoelectronics and ultra
low-power communications. For more information, visit www.zarlink.com.

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
dependence on revenue generation from our legacy products in order to
fund development of our new products; our ability to successfully
integrate Legerity and any businesses acquired in the future; any
potential undisclosed liabilities associated with the Legerity
acquisition; our ability to operate profitably and generate positive cash
flows in the future; our dependence on our foundry suppliers and
third-party subcontractors; order cancellations and deferrals by our
customers; and other factors referenced in our Annual Report on Form
20-F. Investors are encouraged to consider the risks detailed in this
filing.

Contacts:
Zarlink Semiconductor
Ed Goffin
613-270-7112
edward.goffin@zarlink.com

NYSE Regulation, Inc.
Leslie Tepper
Financial Compliance
212-656-5936
ltepper@nyse.com

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