Gennum Announces Plans to Align Investment to Better Capitalize on Future Growth Opportunities

Announced Changes, Improving Visibility and Increased Order Flow Point to Improved Profitability and Cash Flow in 2009 and Beyond

Burlington, Ontario – August 5, 2009 – Gennum Corporation (TSX: GND) today announced more details on its previously disclosed plans to improve profitability and cash flow to help achieve its business model targets. The company's plans include realigning its investment to maintain its R&D programs while reducing corporate infrastructure and business operations costs and capital expenditures. Additionally, Gennum is focusing its marketing, sales and administrative investment on short and mid-term customer revenue generation activities and new product development.

These actions have resulted in an approximate 10 percent reduction of the company's workforce primarily impacting corporate infrastructure, business operations and support functions. It is estimated the company will incur a charge in the third quarter of fiscal 2009 of approximately US$3.5 million consisting of severance and related costs along with an approximate US$2 million non-cash asset impairment charge resulting from the realignment of company investments.

"I believe our collective actions will allow us to improve profitability and cash flow in 2009. Looking into 2010, I believe these initiatives, coupled with improvements in our market segments and early volume ramps of new products should result in us achieving operating returns in line with our 2008 performance," said Dr. Franz Fink, President and CEO of Gennum.

"We are encouraged by improving visibility. This is a function of continued reduction of customer inventory levels and improvement in end market demand for our products as well as modest improvements in our fiscal third quarter orders," continued Dr. Fink. "I remain confident in our long-term strategy to deliver more new products to the market place, capitalize on new customer opportunities and grow our leadership in target markets."

The company also announced today plans to provide a business update via conference call to the investment community on Monday, August 10th at 8:30 am Eastern Time.

"Today's actions result in a number of positive changes for Gennum, operationally, organizationally and financially as we will be able to achieve better leverage moving into 2010," said Mr. Gordon Currie, Senior Vice-President, Finance & Administration and Chief Financial Officer. "To better communicate these changes, and provide more detail on the impact of today's announcement on our business model moving forward, we are holding a call on Monday to update the financial community. Following our normal schedule, we expect to be reporting our third quarter financial results the week of September 21st."

Conference Call Details

Management will hold a conference call on Monday, August 10, 2009 at 8:30 a.m. (ET). To access the call, participants should dial 1-800-590-1508 or 416-644-3428. The conference call will also be Webcast live at www.gennum.com or www.newswire.ca/en/webcast and subsequently archived on the Gennum site. A rebroadcast of the call will be available until midnight on September 10, 2009. To access the rebroadcast, dial 1-877-289-8525 or 416- 640-1917 and enter the passcode 21312789#.

About Gennum
Gennum Corporation (TSX: GND) designs innovative semiconductor solutions and intellectual property (IP) cores for the world’s most advanced consumer connectivity, enterprise, video broadcast and data communications products. Leveraging the company’s proven optical, analog and mixed-signal products and IP, Gennum enables multimedia and data communications products to send and receive information without compromising the signal integrity. An award winner for advances in high definition (HD) broadcasting, Gennum is headquartered in Burlington, Canada, and has global design, research and development and sales offices in Canada, Mexico, Japan, Korea, Germany, United States, Taiwan, India and the United Kingdom. www.Gennum.com.

Gennum Media Contact:
Keri Fraser
<!-- Director of Corporate Communications
//-->Gennum Corporation
613-270-0458 x 2909
keri.fraser@gennum.com

Gennum Investor Relations Contact:
Gord Currie
Senior Vice-President, Finance & Administration and CFO
Gennum Corporation
(905) 632-2999 x3060
gord.currie@gennum.com

Caution Regarding Forward-Looking Information
This news release contains statements which constitute forward-looking statements. These forward-looking statements are not descriptive of historical matters and refer to management’s expectations or plans. These statements include but are not limited to statements concerning: Gennum’s plans and expectations relating to improvements in profitability and cash flow and the achievement of business model targets and levels, the reduction of corporate and operations costs and capital expenditures and marketing, sales and administration expenses; expected operational expense savings and estimated severance and related costs, and the estimated charges relating thereto and to impairments; and Gennum’s business objectives and future financial performance and prospects. Inherent in forward-looking statements are risks and uncertainties beyond Gennum’s ability to predict or control including but not limited to risks associated with: Gennum’s ability to complete the actions referred to in this news release within anticipated timeframes and to successfully realize the expected improvements therefrom; compliance with local employment legislation and requirements and the possible initiation and outcome of legal proceedings; and other risks facing Gennum’s business including competitive and pricing pressures and economic cycles in the semiconductor industry, fluctuations in foreign exchange rates and their potential adverse impact upon Gennum’s financial results, and Gennum’s ability to attract and retain key personnel necessary for its business. Please also refer to the sections entitled “Risks and Uncertainties” in Gennum’s 2008 annual report and “Risk Factors” in Gennum’s annual information form dated February 23, 2009. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Such statements are based on a number of assumptions which may prove to be incorrect including but not limited to the following assumptions: Gennum is able to successfully complete the actions referred to herein within the timeframe and with associated expense savings generally as anticipated and without unforeseen significant costs or delays; assumptions relating to severance and related costs and to charges; customer demand for Gennum’s products remains generally as anticipated; Gennum’s is able to execute its product roadmap without delays or disruptions having a material impact on Gennum; Gennum’s expectations relating to competitive pressures, including pricing pressures, are not materially incorrect; significant fluctuations in foreign exchange rates which significantly adversely affect Gennum’s financial results do not arise; and Gennum is able to continue to retain and attract technical and other key employees. Readers are cautioned that the foregoing list of important factors and assumptions is not exhaustive. Forward-looking statements are not guarantees of future performance. Events or circumstances could cause Gennum’s actual results to differ materially from those estimated or projected and expressed in, or implied by, these forward-looking statements. Consequently, readers should not place any undue reliance on these forward-looking statements. Forward-looking statements are provided for the purpose of providing information about management’s current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. In addition, these forward-looking statements relate to the date on which they are made. Gennum disclaims any intention or obligation to update or revise any forward-looking statements or the foregoing list of factors, whether as a result of new information, future events or otherwise, except to the extent required by law.