OTTAWA, Ontario, Canada – August 16, 2006 - MOSAID Technologies Incorporated (TSX: MSD) today confirmed that Loeb Partners Corporation, a New York City-based hedge fund, submitted a letter to MOSAID's Board of Directors on August 15, 2006, which they also disseminated by way of press release (to view a copy of the Loeb letter, click here). The letter proposes that the Company be sold. Loeb is seeking a formal response by August 24, 2006, the date of MOSAID's announcement of its first quarter fiscal 2007 financial results.
MOSAID's Board has established a special committee comprised of independent directors to handle this matter.
MOSAID Technologies Incorporated makes semiconductors better through the development and licensing of intellectual property and the supply of memory test and analysis systems. MOSAID counts many of the world's largest semiconductor companies among its customers. Founded in 1975, MOSAID is based in Ottawa, Ontario, with offices in Santa Clara, California, Newcastle upon Tyne, U.K, and Tokyo, Japan. For more information, visit www.mosaid.com.