Virage Logic Reports Fiscal Year and Fourth-Quarter 2006 Results

                       Virage Logic Corporation
                Unaudited Consolidated Balance Sheets
                            (In thousands)

                                    September 30,      September 30,
                                         2006              2005
                                  ------------------ -----------------
ASSETS:
Current assets:
  Cash and cash equivalents       $          20,815  $         26,841
  Short-term investments                     49,253            34,410
  Accounts receivable, net                   15,935            14,201
  Costs in excess of related
   billings on uncompleted
   contracts                                    656               896
  Prepaid expenses and other
   current assets                             3,369             4,517
  Taxes receivable                            1,711               493
                                   -----------------  ----------------
      Total current assets                   91,739            81,358

Property, equipment and leasehold
 improvements, net                            4,842             5,093
Goodwill                                      9,782             9,782
Other intangible assets, net                  1,990             2,375
Deferred tax assets                          10,089             8,604
Long-term investments                         7,533             6,587
Other long-term assets                          300               695
                                   -----------------  ----------------

      Total assets                $         126,275  $        114,494
                                   =================  ================

LIABILITIES AND STOCKHOLDERS'
 EQUITY
Current liabilities:
  Accounts payable                $             446  $            770
  Accrued expenses                            4,797             3,623
  Deferred revenue                            8,896             8,440
  Income taxes payable                        2,626             1,441
                                   -----------------  ----------------
      Total current liabilities              16,765            14,274
Deferred tax liabilities                        692               852
                                   -----------------  ----------------
      Total liabilities                      17,457            15,126
                                   -----------------  ----------------

Stockholders' equity:
  Common stock                                   23                23
  Additional paid-in capital                130,620           120,548
  Accumulated other comprehensive
   income (loss)                                309                52
  Accumulated deficit                       (22,134)                 (21,255)
                                                                      -----------------    ----------------
            Total  stockholders'  equity                        108,818                        99,368
                                                                      -----------------    ----------------

            Total  liabilities  and
              stockholders'  equity              $                  126,275    $                114,494
                                                                      =================    ================
 


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