Tundra Semiconductor Updates Guidance for Second Quarter

Revenue is expected to be in the range of $17.0 million to $18.0 millionand pro forma diluted earnings per share are expected to be in the range of$0.00 to $0.04. At the close of the first fiscal 2008 quarter, the Companyprovided revenue guidance in the range of $19.0 million to $22.0 million andpro forma earnings per share guidance in the range of $0.05 to $0.09. Therevised guidance is the result of two factors; softening of the communicationsmarket segment and strengthening of the Canadian dollar.

Softening of the overall communications infrastructure market is impactingthe demand for all products that serve this market segment. Specifically, theslowed deployment of new wireless infrastructure is impacting the ramp ofTundra's new communications products. Demand for the Company'scomputing-storage products are in line with expectations for the quarter.

The strengthening of the Canadian dollar also continues to put pressure onTundra's quarterly financial results. As the Company's revenue is generated inUS dollars and subsequently reported in Canadian dollars, the USD/CAD dollarexchange rate has had a progressively negative impact on the Company'sfinancial results for several quarters.

"We believe our mid to long term growth strategy is solid and we willcontinue to focus on its execution. Presently however, Tundra's revenues areimpacted by the current end market environment. Although short-term visibilityis limited we are confident in our long-term financial growth projections asour new product lines come to market" said Daniel Hoste, Tundra SemiconductorPresident and Chief Executive Officer.

On Thursday November 29th at 5 pm EST, the Company will provide furtherfinancial detail during its second quarter financial conference call, as wellas guidance for the third quarter.

About Tundra

Tundra Semiconductor Corporation (TSX: - ) supplies the world's leadingcommunications, computing and storage companies with smart System Interconnectproducts and design services backed by world-class customer service andtechnical support. Tundra's track record of product leadership includes over adecade of bridges and switches enabling key industry standards: RapidIO®,PCI, PCI-X, PCI Express®, PowerPC®, VME, HyperTransport(TM), Interlaken,and SPI4.2. Tundra's products deliver high functional quality and simplifiedboard design and layout, with specific focus on system level signal integrity.Tundra's design services division, Silicon Logic Engineering, Inc., offersindustry-leading ASIC and FPGA design services, semiconductor intellectualproperty and product development consulting. Tundra's smart technologyconnects critical components in high performance embedded systems around theworld. For more information, please visit .

The difference between pro forma and GAAP earnings is due to stock-basedcompensation expense, goodwill impairment charges and amortization ofintangibles and backlog associated with Tundra's acquisitions. Tundra uses proforma measures internally to evaluate and manage operating performance as wellas to forecast and plan.

Tundra Semiconductor Corporation is a public company with common shareslisted for trading on the Toronto Stock Exchange (TSX: - ) in Canada. Allfigures, unless otherwise noted, are stated in Canadian dollars in accordancewith accounting principles generally accepted in Canada.

The Company cautions that the forward-looking information in this releaseis based on certain assumptions made by the Company that may prove to beinaccurate. Assumptions made include, but are not limited to; customer demandfor the Company's products and services, the Company's ability to maintain andenhance existing customer relationships, and leverage existing partnerships,as well as the Company's ability to bring to market the products currentlyunder development.

Furthermore, the Company cautions that the forward-looking statements inthis release are based on current expectations that are subject to risks anduncertainties. Actual results may differ due to factors such as customerdemand, customer and partner relationships, new product development, newservices offerings, product shipping schedules, product mix, competitiveproducts and services, pricing pressure, exchange rate fluctuations, andchanges in the embedded systems market specifically. Additional informationidentifying risks and uncertainties is contained in the Company's filings withthe various provincial securities commissions.

TUNDRA is a registered trademark of Tundra Semiconductor Corporation(Canada, U.S. and U.K.). TUNDRA and the Tundra logo are registered marks ofTundra Semiconductor Corporation in Canada, European Union, People's Republicof China and the United States Design.Connect.Go. is a trademark of TundraSemiconductor Corporation. RapidIO is a trademark of the RapidIO TradeAssociation, Inc. Other registered and unregistered trademarks are theproperty of their respective owners.

© Copyright 2007 Tundra Semiconductor Corporation. All rights reserved.

Information subject to change without notice.