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Data I/O Announces Expected Financial Results
Preliminary Fourth Quarter and Year 2012 Results

REDMOND, WA -- (Marketwire) -- 01/17/13 -- Data I/O Corporation (NASDAQ: DAIO), the leading provider of manual and automated device programming systems, today announced that the Company expects to report fourth quarter 2012 revenues of $3.7 million and a net loss of approximately $3.4 million, which includes an impairment charge of $2.36 million related to Azido software technology intangible assets. For the year ended December 31, 2012 the Company expects to report revenues of $17.1 million and a net loss of approximately $6.4 million.

During the fourth quarter, the decline in our stock market capitalization relative to our book value was an indicator of impairment. Projected cash flow changes, decreasing or eliminating our expected future cash flows related to Azido technology's use or disposition, resulted in a write down to a carrying value of $35,000 at year end. The impairment charge is a non-cash item.

The Company had cash of approximately $10.5 million and no debt at the end of the fourth quarter. The Company expects to announce actual results for the fourth quarter and the year ended December 31, 2012, on February 28, 2013.

About Data I/O Corporation
Celebrating 40 years of expertise in delivering intellectual property to programmable devices, Data I/O offers complete, integrated manufacturing solutions in wireless, automotive, programming center, semiconductor, and industrial control market segments for OEM, ODM, EMS and semiconductor companies. Data I/O is the leader in programming and provides hardware and software solutions for turn-key programming and device testing services, as well as in-system (on-board), in-line (right before use at the SMT line), or in-socket (off-line) programming. These solutions are scalable for small, medium and large volume applications with different device mixes. Data I/O Corporation has headquarters in Redmond, Wash., with sales and services worldwide. For further information, visit the company's website at

Forward Looking Statement
Statements in this news release concerning expected revenue, loss and impairment charges, as well as expected financial positions, cash position and any other statement that may be construed as a prediction of future performance or events are forward-looking statements which involve known and unknown risks, uncertainties and other factors which may cause actual results to differ materially from those expressed or implied by such statements. These factors include uncertainties as to ability to record revenues based upon the timing of product deliveries and installations, accrual of expenses, changes in economic conditions and other risks including those described in the Company's filings on Forms 10K and 10Q with the Securities and Exchange Commission (SEC), press releases and other communications.

Joel Hatlen
Vice President and Chief Financial Officer
Data I/O Corporation
Email Contact

6464 185th Ave. NE, Suite 101
Redmond, WA 98052
(425) 881-6444

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