SMTC Appointment of New Vice President & General Manager for Their Mexico Manufacturing Facility

SMTC Appointment of New Vice President & General Manager for Their Mexico
Manufacturing Facility

Launches Lean Transformation and Total Quality Initiative at Their Low-Cost
Facility in Chihuahua, Mexico

TORONTO, Jan. 17, 2013 (GLOBE NEWSWIRE) -- SMTC Corporation (Nasdaq:SMTX)
("SMTC"), a global electronics manufacturing services provider, announced they
have appointed Fernando Ibanez as Vice President and General Manager of their
Mexican manufacturing facility in Chihuahua. Mr. Ibanez has over 30 years of
experience in senior leadership positions in electronics manufacturing in
Mexico, China and the USA. Prior to joining SMTC, Mr. Ibanez was Vice
President and General Manager for a tier one electronics manufacturing
services provider in Monterrey, Mexico, where he won numerous quality awards.
Mr. Ibanez is an expert in lean manufacturing, holds a Six Sigma Black Belt
and has a proven track record in driving exceptional quality standards and
operating performance for global customers. He also holds an Engineering
degree, an MBA and a PhD in Organizational Change from Pepperdine University
in California. 

"Fernando will be a key member of SMTC's leadership team, with in-depth
knowledge of the EMS industry and the high quality standards we have to
deliver to our global customers," said Alex Walker, Co-Chief Executive Officer
of SMTC. "I am confident that under Fernando's leadership, the SMTC Chihuahua
team will drive industry leading operational performance in Mexico. His hiring
is also consistent with our mandate of attracting, retaining and motivating
the best possible talent here at SMTC."

Claude Germain, Co-Chief Executive Officer, added, "The hiring of Fernando is
consistent with key elements of our 2013 strategic plan, notably a focus on
lean manufacturing and improved quality. With a strong revenue growth year in
2012 behind us, we are focused on improving gross margins and cash flow in
2013.Our aim is to realize improved operating leverage, targeting 10-11%
gross margins, 5-6% adjusted EBITDA, >18% returns on our working capital, and
cash cycles of 60 days or better. Top-grading our talent with the addition of
Fernando will help us achieve our targets."

About SMTC Corporation: SMTC Corporation, founded in 1985, is a mid-size
provider of end-to-end electronics manufacturing services (EMS) including PCBA
production, systems integration and comprehensive testing services, enclosure
fabrication, as well as product design, sustaining engineering and supply
chain management services. SMTC facilities span a broad footprint in the
United States, Canada, Mexico, and China, with more than 2,300 employees. SMTC
services extend over the entire electronic product life cycle from the
development and introduction of new products through to the growth, maturity
and end-of-life phases. SMTC offers fully integrated contract manufacturing
services with a distinctive approach to global original equipment
manufacturers (OEMs) and emerging technology companies primarily within
industrial, computing and communication market segments. SMTC was recognized
in 2012 by Frost & Sullivan with the Global EMS Award for Product Quality
Leadership.

SMTC is a public company incorporated in Delaware with its shares traded on
the Nasdaq Global Market under the symbol SMTX. For further information on
SMTC Corporation, please visit our website at www.smtc.com.

The SMTC Corporation logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=9800

Note for Investors: The statements contained in this release that are not
purely historical, including our expectations regarding continued revenue and
earnings growth in 2013, are forward-looking statements which involve risk and
uncertainties that could cause actual results to differ materially from those
expressed in the forward-looking statements. These statements may be
identified by their use of forward looking terminology such as "believes",
"expect", "may", "should", "would", "will", "intends", "plans", "estimates",
"anticipates" and similar words, and include, but are not limited to,
statements regarding the expectations, intentions or strategies of SMTC
Corporation. For these statements, we claim the protection of the safe harbor
for forward-looking statements provisions contained in the Private Securities
Litigation Reform Act of 1995. Risks and uncertainties that may cause future
results to differ from forward-looking statements include the challenges of
managing quickly expanding operations and integrating acquired companies,
fluctuations in demand for customers' products and changes in customers'
product sources, competition in the EMS industry, component shortages, and
others discussed in the Company's most recent filings with securities
regulators in the United States and Canada. The forward-looking statements
contained in this release are made as of the date hereof and the Company
assumes no obligation to update the forward-looking statements, or to update
the reasons why actual results could differ materially from those projected in
the forward-looking statements.

CONTACT: Investor Relations Information:
         Claude Germain
         President and Chief Executive Officer
         Telephone: (905) 413.1272
         Email: investorrelations@smtc.com
         or
         John Nesbett/Jennifer Belodeau
         Institutional Marketing Services (IMS)
         Telephone: (203) 972-9200
         Email: jnesbett@institutionalms.com
        
         Public Relations Information:
         Tom Reilly
         Director of Marketing
         Telephone: (905) 413.1188
         Email: publicrelations@smtc.com

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