Initiative Aimed At Reducing Operating Expenses and Focusing Company On Target Markets

Adept Technology, Inc. (Nasdaq:ADEP), a leading provider of intelligent vision-guided robotics, today announced that it has executed a comprehensive restructuring plan as part of an overall initiative to focus on generating cash flow while at the same time investing for growth in its target markets. The company anticipates that the restructuring actions will result in a reduction of operating expenses of $700,000 to $1 million per quarter and expects the restructuring activities to be completed by the end of its second fiscal quarter of 2009, which ends December 27, 2008.

"We are implementing these cost reductions with the intent to redistribute our sales and engineering resources to focus on our target markets of solar and packaging, while at the same time achieving the desired reduction in our cost structure to achieve cash flow positive as quickly as possible," stated John Dulchinos, Adept's Chief Executive Officer. "We have a strong balance sheet to weather the current economic conditions and will continue to focus on generating cash flow while at the same time investing for growth in our target markets. We are confident that these steps will help us achieve this balance."

The restructuring plan includes the following measures:

* A reduction in labor force including termination of approximately 8% of Adept employees and a determination not to fill certain additional open positions;
* Consolidation of facilities and certain administrative functions currently geographically disbursed, and closure of facilities in Canada and North Carolina;
* Additional outsourcing of non-core functions, including global IT support for certain functions;
* A phase out of certain legacy products including certain remanufactured robots;
* Consolidation of certain operating functions within the Service and Quality department.

As a result of these actions, the company expects to record restructuring charges totaling approximately $2.4 million in its second fiscal quarter of 2009, which includes a $1.8 million write down of service inventory related to the discontinuation of remanufactured robots.

About Adept Technology, Inc.
Adept Technology, Inc. designs, manufactures and markets robotic systems, motion control and machine vision technology for global markets including automotive, consumer electronics, consumer goods, disk drive, food, industrial tooling, medical devices, solar and pharmaceutical. Adept robots, controllers, and software are used for small parts assembly, material handling and packaging. Adept intelligent automation product lines include industrial robots, configurable linear modules, machine controllers for robot mechanisms and other flexible automation equipment, machine vision, and systems and applications software. Founded in 1983, Adept Technology is the largest U.S.-based manufacturer of industrial robots. More information is available at www.adept.com.

Courtesy of Adept