OCZ Technology Issues Status Update on Current Business

OCZ Technology Issues Status Update on Current Business Operation 
SAN JOSE, CA -- (Marketwire) -- 10/31/12 --  OCZ Technology Group,
Inc. (NASDAQ: OCZ), a leading provider of high-performance
solid-state drives (SSDs) for computing devices and systems, today
issues this update to better inform its customers, investors,
partners, and stakeholders about the status of its current business
"We are undergoing a transition phase in the Company's evolution in
which we are refocusing our efforts on products and strategies that
will benefit both OCZ and our stakeholders over the long term," said
Ralph Schmitt, CEO of OCZ Technology. "We have already taken
aggressive steps to address some short-term tactical challenges and
have begun streamlining the organization to help ensure that OCZ will
be in the best position moving forward to address the fast growing
consumer and enterprise SSD markets." 
As part of the Company's transformation, it has taken initial steps
to make its business more efficient and profitable by initiating the
EOL procedures to discontinue approximately 150 product variations,
including reducing the value category by approximately 80 percent.
This streamlines OCZ's product offerings to address the mainstream
and higher-end consumer products, as well as enterprise and OEM
solutions. The Company has also evaluated its inventory and is in the
process of making the necessary adjustments, including monetizing
some inventory to better align its product offerings and to free-up
cash for the business. Excluding production personnel, the Company
has reduced its global workforce by approximately 28 percent. Total
personnel at the Taiwan production facility, including outside
contractors, has been reduced by approximately 32 percent. This
facility continues to increase overall efficiency and production
levels. The Company will continue to take further actions aimed at
reducing overall costs and improving operating results.  
OCZ is working diligently and is making progress with regards to its
on-going investigation meant to aid in the filing of its second
fiscal quarter Form 10-Q. Closure on these items has taken longer
than originally expected. Further details will be released when the
Form 10-Q is filed.  
Our business operations continue as usual. The com
pany is delivering
innovative solid state drive products to both the client and
enterprise markets. OCZ continues to significantly invest in R&D to
drive differentiated solutions with our unique controllers, firmware
and enterprise software; while staying focused on profitably
providing high quality SSD solutions and supporting our customers'
About OCZ Technology Group, Inc.
 Founded in 2002, San Jose, CA-based
OCZ Technology Group, Inc. (OCZ) is a global leader in the design,
manufacturing, and distribution of high-performance solid-state
storage solutions and premium computer components. Offering high
performance solid-state drives (SSDs), OCZ provides SSDs in a variety
of form factors and interfaces (i.e. PCIe, SAS and SATA) to address
both client and enterprise applications. Having developed firmware
and controller platforms, to virtualization and endurance extending
technologies, the company delivers vertically integrated solutions
enabling transformational approaches to how digital data is captured,
stored, accessed, analyzed and leveraged by customers. For more
information, please visit: www.ocztechnology.com. 
Forward Looking Statements
 Certain statements in this release
regarding the Company's business transition are forward-looking, and
the actual results or timing of that transition could vary from our
current expectations, depending on a variety of factors and
uncertainties, including, but not limited to, realizing the
anticipated benefits from OCZ's streamlining and efficiency
initiatives; improving operational and cost efficiencies going
forward; market acceptance of OCZ's products and OCZ's ability to
continually develop enhanced products. For further information on
other risks and uncertainties, please refer to "Item 1A -- Risk
Factors" in Part I in OCZ's Annual Report on Form 10-K filed with the
SEC on May 14, 2012, and statements made in other subsequent filings.
The filing is available both at www.sec.gov as well as via OCZ's
website at www.ocztechnology.com. OCZ does not undertake to update
its forward-looking statements. 
All trademarks or brand names referred to herein are the property of
their respective owners. 
OCZ Press Contact:
Scott Harlin
Director of Marketing Communications - Enterprise
(408) 440-3484
OCZ Investor Relations Contact:
Bonnie Mott
Senior Manager of Investor Relations
(408) 440-3428
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