Market Overview

Cree Announces Offering of $500 Million of Convertible Senior Notes

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Cree, Inc. (NASDAQ:CREE) ("Cree") today announced that it intends to
offer, subject to market conditions and other factors, $500 million
aggregate principal amount of its Convertible Senior Notes due 2023 (the
"Notes") in a private offering (the "Offering") to qualified
institutional buyers pursuant to Rule 144A under the Securities Act of
1933, as amended (the "Securities Act"). In addition, Cree expects to
grant the initial purchasers of the Notes an option to purchase, for
settlement within a 13-day period from, and including, the date on which
the Notes are first issued, up to an additional $75 million aggregate
principal amount of the Notes.

The Notes will be unsecured, senior obligations of Cree, and interest
will be payable semi-annually in arrears. The Notes will be convertible
into cash, shares of Cree's common stock, or a combination thereof, at
Cree's election. The interest rate, initial conversion rate, repurchase
or redemption rights and other terms of the Notes are to be determined
upon pricing of the Offering by negotiations between Cree and the
initial purchasers of the Notes.

Cree intends to use a portion of the net proceeds from the Offering to
repay its borrowings under its revolving credit facility and the
remaining net proceeds to fund Wolfspeed's capacity expansion, working
capital needs and for general corporate purposes.

The Notes will be offered only to persons reasonably believed to be
qualified institutional buyers pursuant to Rule 144A under the
Securities Act. The offer and sale of the Notes and the shares of Cree's
common stock potentially issuable upon conversion of the Notes, if any,
have not been, and will not be, registered under the Securities Act or
the securities laws of any other jurisdiction, and unless so registered,
the Notes and such shares, if any, may not be offered or sold in the
United States except pursuant to an applicable exemption from such
registration requirements.

This press release does not constitute an offer to sell or a
solicitation of an offer to buy, nor shall there be any offer or sale
of, the Notes (or any shares of Cree's common stock potentially issuable
upon conversion of the Notes) in any state or jurisdiction in which the
offer, solicitation or sale would be unlawful prior to the registration
or qualification thereof under the securities laws of any such state or
jurisdiction.

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 SiC 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.

Forward Looking Statements:

This press release contains forward-looking statements involving risks
and uncertainties, both known and unknown, that may cause actual
results, performance or achievements to differ materially from those
indicated in the forward-looking statements. Actual results could differ
materially due to a number of factors, including (i) changes as a result
of market conditions or for other reasons, (ii) the risk that the
Offering will not be consummated and (iii) the impact of general
economic, industry or political conditions in the United States or
internationally. These forward-looking statements represent Cree's
judgment as of the date of this release. Except as required under the
U.S. federal securities laws and the rules and regulations of the
Securities and Exchange Commission, Cree disclaims any obligation to
update any forward-looking statements after the date of this release,
whether as a result of new information, future events, developments,
changes in assumptions or otherwise.

The Cree logo is a registered trademark of Cree, Inc.

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