Delta Design Wins Intel's Preferred Quality Supplier Award.

POWAY, Calif. -- Cohu, Inc. (NASDAQ:COHU) today announced that its Delta Design unit was named a recipient of Intel Corporation's Preferred Quality Supplier (PQS) award for outstanding performance in providing products and services deemed essential to Intel's success. The company was awarded for its efforts in supplying Intel with test handlers. Delta Design and 25 additional PQS award winners were honored at a celebration in Burlingame, California on March 21.

"Delta Design is proud to receive Intel's Preferred Quality Supplier Award," said James A. Donahue, President and CEO. "This is the sixth consecutive year that we have been recognized with a quality award from Intel. Earning this award in 2005 is particularly gratifying and a tribute to the entire Delta team since we faced the concurrent challenges of sharply ramping production, developing advanced test handling solutions under very tight schedules, integrating a newly acquired thermal product into our business, and maintaining high quality standards."

"Congratulations to Delta Design for earning the PQS award in 2005 for its equipment support of Logic handlers. Delta Design demonstrated its customer orientation and commitment to quality, and technology by being OGA in thermal technology. Delta's efforts to align with Intel's technology roadmaps and its ability to enable factory capacity confirm that Delta is deserving of the PQS award," said Navid Shahriari, Director, Intel Test Operation.

The PQS awards are part of Intel's Supplier Continuous Improvement (SCQI) process that encourages suppliers to strive for excellence and continuous improvement. To qualify for PQS status, suppliers must score 80 percent on a report card that assesses performance and ability to meet cost, quality, availability, delivery, technology and responsiveness goals. Suppliers must also manage and deliver on a challenging improvement plan and a quality systems assessment. Additional information about the SCQI program is available at http://supplier.intel.com/quality/quality.

Intel also recognized PQS award winners on March 21, 2006 with an advertisement in the U.S., Europe and Asian editions of The Wall Street Journal.

About Delta Design, Inc., a Cohu Company

Delta Design, a subsidiary of Cohu, Inc., in Poway, California, is a recognized leader in the design, development, manufacture and sale of semiconductor test handling equipment. Cohu is also a supplier of closed circuit television, metal detection and microwave communications equipment.

For press releases and other information of interest to investors, please visit Cohu's website at www.cohu.com. Contact: John Allen - Investor Relations [phone]; Sales [phone] or visit www.deltad.com.