Source: FLIR Systems, Inc.

AMI Semiconductor and FLIR Systems Announce Agreement

AMIS to Manufacture FLIR Microbolometers

POCATELLO, ID and PORTLAND, OR -- (MARKET WIRE) -- October 16, 2006 -- AMI Semiconductor (NASDAQ: AMIS), a designer and manufacturer of state-of-the-art integrated mixed-signal and structured digital products, and FLIR Systems (NASDAQ: FLIR), the world leader in commercial infrared technology, today announced an agreement for high volume manufacturing of uncooled microbolometer infrared detectors. Under the agreement, FLIR will install its proprietary microbolometer detector process at AMI Semiconductor's Class 1, eight-inch fabrication facility in Pocatello, Idaho. The agreement will expand current microbolometer detector manufacturing capability and will also provide an opportunity to improve sensor yield by installing the process in a Class 1 fabrication facility.

"We are pleased to expand on our already successful partnership with AMIS," said Earl R. Lewis, President, CEO and Chairman of FLIR Systems. "AMIS has supplied the CMOS read-out integrated circuit (ROIC) portion of our detectors for several years. This relationship, coupled with AMI Semiconductor's expertise in custom process installations and Class 1 fabrication, makes them the logical and obvious choice as our high volume microbolometer manufacturing partner."

The implementation of FLIR's proprietary microbolometer production process further demonstrates AMI Semiconductor's value as a foundry for complex semiconductor components. The growth of thermal imaging equipment in both the commercial and military markets requires the high volume, high yield and low cost capabilities that the foundry model offers. AMI Semiconductor's mixed-signal process, manufacturing expertise, and extensive quality certifications make the company an excellent source for FLIR's microbolometer arrays.

"This agreement deepens our existing partnership with FLIR Systems," said Chris King, AMI Semiconductor CEO. "Thermal imaging is a fast growing market in which FLIR and AMIS can develop and supply superior products. We anticipate this relationship to be a longstanding one, benefiting both companies along with FLIR's customers."

About FLIR Systems

FLIR Systems, Inc. is a world leader in the design, manufacture and marketing of thermal imaging and stabilized camera systems for a wide variety of thermography and imaging applications including condition monitoring, research and development, manufacturing process control, airborne observation and broadcast, search and rescue, drug interdiction, surveillance and reconnaissance, navigation safety, border and maritime patrol, environmental monitoring and ground-based security. Visit the company's web site at www.FLIR.com.

About AMI Semiconductor

AMI Semiconductor (AMIS) is a leader in the design and manufacture of silicon solutions for the real world. As a widely recognized innovator in state-of-the-art integrated mixed-signal and structured digital products, AMIS is committed to providing customers with the optimal value, quickest time-to-market semiconductor solutions. Offering unparalleled manufacturing flexibility and dedication to customer service, AMI Semiconductor operates globally with headquarters in Pocatello, Idaho, European corporate offices in Oudenaarde, Belgium, and a network of sales and design centers located in the key markets of the North America, Europe and the Asia Pacific region.

Forward-Looking Statements

The statements in this press release, including the quotes by Earl Lewis and Chris King, are forward-looking statements within the meaning of the Private Securities Litigation Reform act of 1995. These statements are based on current expectations, estimates and projections about the Company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including the ability of both companies to fulfill their respective obligations under the agreement discussed above, the continuing ability to penetrate new market applications for thermal imaging products, changes in the competitive environment, changes in demand for the Company's products generally, product mix, the timing of customer orders and deliveries, the impact of competitive products and pricing, the Company's continuing compliance with US export control laws and regulations, the timely receipt of export licenses for international shipments, constraints on supplies of critical components, actual purchases under existing agreements, the continuing eligibility of the Company to act as a federal contractor, the amount and availability of appropriated government procurement funds as well as other risk factors discussed from time to time in the Company's Securities and Exchange Commission filings and reports, including the Company's Annual Report on Form 10-K for the year ended December 31, 2005. In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made and the company does not undertake any obligation to update such statements after the date of this release.

Contact Information: Company contact: Tony Trunzo FLIR Systems, Inc. (503) 498-3547 www.flir.com