Exhibit 99.1

     Semtech Receives Additional Nasdaq Deficiency as Anticipated

    CAMARILLO, Calif.--(BUSINESS WIRE)--Sept. 15, 2006--Semtech
Corporation (Nasdaq:SMTC) today announced that on September 13, 2006
it received, as expected, an Additional Staff Determination from the
Nasdaq Stock Market ("Nasdaq") indicating that the Company's
previously announced delay in filing its Form 10-Q for the quarter
ended July 30, 2006 (the "Second Quarter Form 10-Q") constitutes an
additional deficiency that subjects the Company's securities to
delisting from The Nasdaq Global Market. Specifically, the failure to
timely file the Second Quarter Form 10-Q is a deficiency in complying
with the continued listing standard in Nasdaq Marketplace Rule
4310(c)(14).
    The Company previously received a similar Staff Determination from
Nasdaq regarding failure to timely file its Form 10-Q for the fiscal
quarter ended April 30, 2006 ("First Quarter Form 10-Q"). The Company
requested a hearing before a Nasdaq Listing Qualifications Panel
("Panel") to review the initial Staff Determination and on August 29,
2006 the Panel granted the Company's request for additional time to
regain compliance, setting November 10, 2006 as the date by which the
Company must file the First Quarter Form 10-Q and all required
restatements. For information on the Company's pending restatement of
its historical financial statements, related to stock-based
compensation, see the Form 8-K filed by the Company on July 20, 2006.
    The Additional Staff Determination states that the Panel will
consider the additional deficiency in rendering a determination
regarding the Company's continued listing and invites the Company to
present its views with respect to this matter no later than September
20, 2006. The Company continues to cooperate with Nasdaq and will
timely submit its comments to the Panel.
    The delayed filing of the Second Quarter Form 10-Q had been
previously contemplated by the Company and was therefore incorporated
into the plan of compliance presented by the Company to the Panel at
the hearing in August 2006. The Company expects to file the Second
Quarter Form 10-Q by the November 10, 2006 deadline established by
Nasdaq with respect to its restated historical financial statements
and the First Quarter Form 10-Q.
    Although the Company expects to file all required reports with the
SEC by November 10, 2006, and thereby regain compliance with Nasdaq's
continued listing requirements, it can provide no assurances that it
will be able to do so.

    About Semtech

    Semtech Corporation is a leading supplier of analog and
mixed-signal semiconductors used in a wide range of computer,
industrial and communication applications.

    Forward-Looking and Cautionary Statements

    This release contains "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933, as amended (the
"Securities Act"), and Section 21E of the Securities Exchange Act of
1934, as amended. Forward-looking statements are statements other than
historical information or statements of current condition and relate
to matters such as our plans, objectives and expectations. Some
forward-looking statements may be identified by use of terms such as
"expects," "anticipates," "intends," "estimates," "believes",
"projects", "should", "will", "plans" and similar words.
Forward-looking statements should not be regarded as representations
by the Company that its objectives or plans will be achieved. The
Company assumes no obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise.
    Forward-looking statements should be considered in conjunction
with the cautionary statements contained in the "Risk Factors" section
and elsewhere in the Company's Annual Report on Form 10-K for the
fiscal year ended January 29, 2006, in the Company's other filings
with the SEC, and in material incorporated therein by reference. In
addition, there are a number of risks associated with matters relating
to the Company's historical stock option practices and the previously
announced internal investigation, SEC inquiry, and related matters.
The Company cannot predict when either the internal investigation or
restatement will be completed and there may be negative tax or other
implications for the Company resulting from the accounting
adjustments. The Company cannot predict the outcome of the SEC
inquiry, the internal investigation, or any other lawsuit or other
proceeding related to the Company's stock option practices. There can
be no assurance that the Company will maintain its Nasdaq listing. The
Company could also be subjected to other lawsuits and could become the
subject of other regulatory investigations in addition to those now
underway. Dealing with matters related to historical stock option
practices could divert management's attention from operations and
expenses arising from management's review, the Special Committee's
investigation, the restatement, related litigation and other
associated activities are expected to continue to be significant.
Current and former employees, officers and directors have sought, and
will likely continue to seek, indemnification or advancement or
reimbursement of expenses from the Company, including attorneys' fees,
with respect to current or future proceedings related to stock option
practices. These events could adversely affect the Company's business
and the price of its common stock.

    CONTACT: Semtech Corporation
             John Baumann, 805-480-2010 (Investor Relations)