ITC Commences Investigation of Toshiba Based on Lexar Complaint

Lexar Media, Inc. (Nasdaq: LEXR), a world leader in
advanced digital media technologies, today announced that the U.S.
International Trade Commission (ITC) has voted to commence an
investigation into whether Toshiba Corporation, Toshiba America, Inc.,
and Toshiba America Electronic Components, Inc., are infringing three
Lexar patents. The products being investigated include Toshiba's flash
chips and flash cards, including among others: Toshiba's 16-gigabit
multi-level cell NAND flash chips; Toshiba's 8-gigabit single level
cell and multi-level cell NAND flash chips; Toshiba's 4-gigabit
multi-level cell NAND flash chips and Toshiba's 1-gigabit single level
cell NAND flash chips. This is the first step towards possible U.S.
government action to exclude certain of Toshiba's NAND flash chips and
cards from the U.S. market.
   Lexar, in a complaint filed with the ITC on April 11, 2006, is
seeking all possible relief, including a permanent exclusion order to
bar the importation into the United States of Toshiba's infringing
NAND flash chips and cards, as well as products that incorporate
Toshiba's infringing chips. Additionally, Lexar's complaint requests a
cease-and-desist order to bar further sales and distribution of
infringing products that have already been imported into the United
States by Toshiba.
   The case has been referred to ITC Administrative Law Judge Robert
L. Barton, Jr., who will schedule and hold an evidentiary hearing and
then render an initial determination. Judge Barton is expected to
issue this initial determination sometime early to mid-next year. The
ITC is then likely to hand down its final determination during the
third quarter of 2007.
   Certain of the patented technology at issue in this complaint is
related to the technology that a jury, after a six-week trial in March
2005, found Toshiba had misappropriated from Lexar. That case is now
on appeal.

   About Lexar Media, Inc.

   Lexar is a leading marketer and manufacturer of NAND flash memory
products including memory cards, USB flash drives, card readers and
ATA controller technology for the digital photography, consumer
electronics, industrial and communications markets. The company holds
over 98 issued or allowed controller and system patents, and licenses
its technology to companies including Olympus Corporation, Samsung
Electronics Co., Ltd., SanDisk Corporation and Sony Corporation. Lexar
sells its memory cards worldwide and through an exclusive agreement,
also sells memory cards under the Kodak brand. Headquartered in
Fremont, California, Lexar has operations in countries around the
world. More information is available at www.lexar.com

   Cautionary Note Regarding Forward-Looking Statements

   This release contains forward-looking statements, which are
subject to the safe harbor provisions of the Private Litigation Reform
Act of 1995. These statements include statements related to the
anticipated timing and outcome of the ITC action. These
forward-looking statements involve risks and uncertainties that could
cause Lexar's actual results to differ materially from those
anticipated by these forward-looking statements. These risks include
that the outcome of any government proceeding or litigation can be
subject to a number of uncertainties, including whether such matters
are resolved with a favorable outcome in a timely fashion; and that
Lexar may become involved in additional government proceedings or
litigation that could divert management's time and attention, be
time-consuming and expensive to defend and limit Lexar's access to
important technology, which could have a negative impact on Lexar's
business, operating results, financial position and liquidity and the
market price of Lexar's stock could decline. Readers should also refer
to the risk factors described in Lexar's filings with the SEC,
including Lexar's most recently filed Form 10-K and Form 10-Q. Lexar
assumes no obligation to update the information in this release.
   Lexar and the Lexar logo are trademarks of Lexar Media, Inc. All
other brand or product names are trademarks or registered trademarks
of their respective holders.