SBE, Inc. Announces Receipt of Nasdaq Staff Determination Letter; Company to Request Hearing

  
    
  
  
    
      SBE, Inc. (Nasdaq:SBEI), today announced that it received a staff 
      determination letter from The Nasdaq Stock Market Inc. (Nasdaq) on 
      January 11, 2007 stating that the Company's common stock is subject to 
      delisting from The Nasdaq Capital Market for failure to comply with 
      Marketplace Rule 4310(c)(4) which requires the Company to maintain a 
      minimum bid price of $1.00. The Company has the right to a hearing and 
      intends to submit a hearing request letter to the Nasdaq Listing 
      Qualifications Panel which will stay the delisting of the Company's 
      securities until the hearing occurs and final determination is issued by 
      the Panel. There can be no assurance that the Panel will grant the 
      Company's request for continued listing.
    
    
      As previously announced, the Company received notice from Nasdaq on July 
      18, 2006 that the Company was not in compliance with Marketplace Rule 
      4310(c)(4).
    
    
      "We are working diligently to return the company to compliance, and will 
      present our plan to maintain a continued listing at our hearing with the 
      Nasdaq Listing Qualifications Panel," said Kenneth G. Yamamoto, SBE’s 
      Chief Executive Officer.
    
    
      About SBE
    
    
      SBE designs and provides IP-based storage networking solutions for an 
      extensive range of business critical applications, including back-up and 
      disaster recovery. SBE delivers a portfolio of scalable, standards-based 
      hardware and software products designed to enable optimal performance 
      and rapid deployment across a wide range of next-generation storage 
      systems. Based in San Ramon, California, SBE is a publicly traded 
      company (NASDAQ:SBEI) with products sold worldwide through direct sales, 
      OEMs and system integration partners. More information is available at www.sbei.com.
    
    
      Forward-Looking Statements
    
    
      This news release contains certain forward-looking statements that 
      involve risks and uncertainties, including statements about a hearing 
      before the Nasdaq Listing Qualifications Panel. Such statements are only 
      predictions and the company’s actual results 
      may differ materially from those anticipated in these forward-looking 
      statements. These factors and others are more fully discussed in the 
      documents the company files from time to time with the Securities and 
      Exchange Commission, particularly, the Form 8-K filed with the 
      Securities and Exchange Commission on the date hereof and the company's 
      most recent Form 10-K and Form 10-Q.
    
    
      SBE and the SBE logo are registered trademarks of SBE, Inc. All other 
      brand or product names are trademarks or registered trademarks of their 
      respective holders.