VIMC (MM)

BEIJING, April 24 /Xinhua-PRNewswire/ -- Vimicro International Corporation (NASDAQ:VIMC), a leading fabless semiconductor company that designs and develops multimedia semiconductor products and solutions, today announced a change of its independent auditors from PricewaterhouseCoopers Zhong Tian CPAs Limited Company ("PwC") to Ernst & Young Hua Ming ("E&Y") for the fiscal year ended December 31, 2007. PwC previously audited the Company's financial statements for each of the three years ended December 31, 2003, 2004 and 2005. PwC is currently auditing the Company's financial statements for the fiscal year ended December 31, 2006. On April 23, 2007, the Company's Audit Committee authorized and approved: -- the non-renewal of the engagement with PwC as the Company's independent registered public accounting firm; and -- the appointment of E&Y as Vimicro's independent registered public accounting firm, beginning with the fiscal year ending December 31, 2007 On April 24, 2007, the Company and E&Y signed an engagement letter appointing E&Y as Vimicro's independent registered public accounting firm beginning with the fiscal year ended December 31, 2007. "The Board believes that this transition is necessary to enhance efficiency within the auditing process. Currently, we are working closely with PwC to finalize the Company's fiscal 2006 financials and ensure a smooth transition to E&Y," stated Donald Lucas, Director and Chairman of Vimicro's Audit Committee. "We are confident that E&Y's worldwide experience and talented, dedicated professionals will assist the company in the timely preparation and delivery of Vimicro's future financial statements." As a result of the transition of independent auditors, the Company also announced that it would postpone the release of its financial results for the fourth quarter and fiscal year ended December 31, 2006, which was previously scheduled for April 26, 2007. The Company now expects this announcement and associated conference call to occur during the month of May. An announcement regarding the exact date and time of the release and conference call will be forthcoming. About Vimicro International Corporation Vimicro International Corporation is a worldwide leading fabless semiconductor company that designs, develops and markets proprietary embedded multimedia signal processing chips and solutions that enable multimedia applications for mobile phones over 2.5G/3G networks and PCs over broadband Internet. Vimicro's ADSs, each of which represents four ordinary shares, are currently trading on the NASDAQ global market under the ticker symbol "VIMC." Forward Looking Statements This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Among other things, the quotations from management in this announcement, as well as Vimicro's expectations and forecasts, contain forward-looking statements. Vimicro may also make written or oral forward- looking statements in its periodic reports to the U.S. Securities and Exchange Commission on forms 20-F and 6-K, etc., in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Vimicro's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward- looking statement, including but not limited to the following: our limited history of achieving net profit; our growth strategies; our future business development, results of operations and financial condition; our ability to develop and sell mobile multimedia processors that meet changing consumer preferences and industry standards; decrease in the demand for our notebook and PC camera multimedia processors and third-party image sensors which we bundle with some of our PC camera multimedia processors; our ability to secure sufficient foundry capacity in a timely manner; our ability to maintain existing customers and attract new customers; and the expected growth of the mobile multimedia processor market. Further information regarding these and other risks is included in our annual report on Form 20-F filed with the Securities and Exchange Commission. Vimicro does not undertake any obligation to update any forward-looking statement, except as required under applicable law. All information provided in this press release is as of April 24, 2007, and Vimicro undertakes no duty to update such information, except as required under applicable law. DATASOURCE: Vimicro International Corporation CONTACT: Investor contact, Ryan Bright, +1-972-239-5119 ext. 159, or , or Leanne Sievers, +1-949-224-3874, or , both of Shelton Group Web site: http://www.vimicro.com/

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