Press Release

California Micro Devices Inks Foundry Agreement with Epson
CMD Expands Wafer Foundry Resources To Support Continued Growth

MILPITAS, Calif., -- Sept. 26, 2005 -- In a move to expand its foundry resources to support expected continued growth, California Micro Devices (Nasdaq: CAMD) today announced the completion of a wafer supply agreement with Seiko Epson Corporation (Epson). This accord engages the Japan-based Epson foundry as a high volume wafer manufacturing resource for CMD’s integrated circuits targeting the mobile handset, personal computer and digital consumer electronics markets.

"Our increasing production volumes have prompted us to add another world-class foundry partner to our roster of wafer manufacturing resources,” said Manny Mere, vice president of supply chain at CMD. "Epson’s outstanding track record as a foundry service provider together with its strong focus on quality will help us deliver the highest level of support to our customers.” He noted that CMD has previously entered similar foundry agreements with China-based Advanced Semiconductor Manufacturing Corporation (ASMC) and Japan-based SANYO.

According to Toshio Akahane, president and CEO of Epson Electronics America, “Since we began shipping our first foundry wafers back in 1981, we have struck many long term relationships with successful US semiconductor manufacturers. We look forward to a long-term relationship with CMD, which has achieved impressive growth over the past four years and continues to see an increasing demand for its products.”

About Epson
Epson is a global leader in imaging products including printers, projectors and LCDs. With an innovative and creative culture, Epson is dedicated to exceeding the vision and expectations of customers worldwide with products known for their superior quality, functionality, compactness and energy efficiency. Epson is a network of 85,647 employees in 115 companies around the world, and is proud of its ongoing contributions to the global environment and to the communities in which it is located. Led by the Japan-based Seiko Epson Corp., the Group had consolidated sales of 1479.7 billion yen in fiscal 2004. For further information, visit Epson's website at http://www.epson.co.jp/e/.

About California Micro Devices Corporation
California Micro Devices Corporation is a leading supplier of application specific analog semiconductor products for the mobile handset, personal computer and digital consumer electronic markets. Key products include Application Specific Integrated Passive™ (ASIP™) devices and selected high value mixed signal ICs. Detailed corporate and product information may be accessed at www.calmicro.com.

All statements contained in this press release that are not historical facts are forward-looking statements which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. They are not guarantees of future performance or events. Rather, they are based on current expectations, estimates, beliefs, assumptions, and goals and objectives and are subject to uncertainties that are difficult to predict. As a result, our actual results may differ materially from the statements made. Often such statements can be identified by their use of words such as will, intends, expects, plans, believes, anticipates, and estimates. Forward-looking statements made in this release include the implication that we will continue to grow our unit volume. These forward-looking statements are based upon our assumptions about and assessment of the future, which may or may not prove true, and involve a number of risks and uncertainties including, but not limited to, whether demand for our customers’ products continues to increase, whether our customer to design our devices rather than those of our competitors into their high volume products, and whether we are successful in introducing new devices and reducing device cost so that our pricing is attractive as well as the risk factors detailed in the company's Form 8K, 10K, and 10Q filings with the Securities and Exchange Commission. Due to these and other risks, the company's future actual results could differ materially from those discussed above. These forward-looking statements speak only as to the date of this release, and, except as required by law, we undertake no obligation to publicly release updates or revisions to these statements whether as a result of new information, future events, or otherwise.