SST > SST Announces Termination of SEC Investigation Regarding Historical Stock Option Grant Practices and Compliance With NASDAQ Listing Requirements

SST Announces Termination of SEC Investigation Regarding Historical Stock Option Grant Practices and Compliance With NASDAQ Listing Requirements

NEWS RELEASE

For More Information Contact:

Jim Boyd
Silicon Storage Technology, Inc.
408/735-9110

Leslie Green
Green Communications Consulting, LLC
650/312-9060

SUNNYVALE, Calif., July 7, 2008 -- SST (Silicon Storage Technology, Inc., NASDAQ: SSTI), a leader in flash memory technology, today announced that the Securities and Exchange Commission (SEC) has formally notified SST that the SEC investigation related to SST’s historical stock option grant practices has been terminated. No enforcement action has been recommended. In addition, SST announced that the NASDAQ Stock Market LLC has formally notified SST that with the holding of the company’s annual meeting on June 27, 2008 the company has regained compliance with NASDAQ listing requirements.

About Silicon Storage Technology, Inc.
Headquartered in Sunnyvale, California, SST designs, manufactures and markets a diversified range of memory and non-memory products for high volume applications in the digital consumer, networking, wireless communications and Internet computing markets. Leveraging its proprietary, patented SuperFlash technology, SST is a leading provider of nonvolatile memory solutions with product families that include various densities of high functionality flash memory components and flash mass storage products. The company also offers its SuperFlash technology for embedded applications through its broad network of world-class manufacturing partners and technology licensees, including TSMC, which offers it under its trademark Emb-FLASH. SST’s non-memory products include NAND controller-based products, smart card ICs and modules, flash microcontrollers and radio frequency ICs and modules. Further information on SST can be found on the company's Web site at http://www.sst.com.

For more information about SST and the company's comprehensive list of product offerings, please call 1-888/SST-CHIP. Information can also be requested via email to literature@sst.com or through SST's Web site at http://www.sst.com. SST's head office is located at 1171 Sonora Court, Sunnyvale, Calif.; telephone: 408/735-9110; fax: 408/735-9036.

The SST logo and SuperFlash are registered trademarks of Silicon Storage Technology, Inc. All other trademarks or registered trademarks are the property of their respective holders.

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