Sierra Wireless Announces Expense Reduction Program



    VANCOUVER, Jan. 29, 2009 /CNW/ - Sierra Wireless, Inc. (NASDAQ:   SWIR,
TSX: SW) announced today that it is implementing an expense reduction program.
    The expense reduction program is expected to reduce labor costs by
approximately $5.5 million on an annualized run rate basis. The program
includes the elimination of approximately 56 positions, representing 10% of
the company's workforce. The positions eliminated will impact all levels and
functions of the company. These actions are expected to be largely completed
during the first quarter of 2009. The company expects to incur a pre-tax
charge of approximately $1.3 million in the first quarter for severance and
other costs related to this program.
    "We have experienced strong revenue growth over the past three years and
have significantly expanded our team size. We also believe that our product
portfolio and channel position in key markets remains strong. However, based
on the expectation that economic uncertainty will continue for the foreseeable
future, we felt it was prudent to reduce our cost structure now, in order to
mitigate the potential impact of this uncertainty on our business" said Jason
Cohenour, President and Chief Executive Officer.
    We will host a conference call to review our fourth quarter 2008 results
on Tuesday, February 10th, 2009 at 5:30pm Eastern time. To participate in this
conference call, please dial 1-800-733-7560 or 1-416-644-3414 approximately
ten minutes prior to the commencement of the call. The call will also be
broadcast over the Internet
    (http://www.newswire.ca/en/webcast/viewEvent.cgi?eventID=2503820)

    Cautionary Note Regarding Forward-Looking Statements

    Certain statements in this press release that are not based on historical
facts constitute forward-looking statements or forward-looking information
within the meaning of the U.S. Private Securities Litigation Reform Act of
1995 and applicable Canadian securities laws ("forward-looking statements").
These forward-looking statements are not promises or guarantees of future
performance but are only predictions that relate to future events, conditions
or circumstances or our future results, performance, achievements or
developments and are subject to substantial known and unknown risks,
assumptions, uncertainties and other factors that could cause our actual
results, performance, achievements or developments in our business or in our
industry to differ materially from those expressed, anticipated or implied by
such forward-looking statements. Forward-looking statements in this press
release include all disclosure regarding possible events, conditions,
circumstances or results of operations that are based on assumptions about
future economic conditions, courses of action and other future events. We
caution you not to place undue reliance upon any such forward-looking
statements, which speak only as of the date they are made. These
forward-looking statements appear in a number of different places in this
press release and can be identified by words such as "may", "estimates",
"projects", "expects", "intends", "believes", "plans", "anticipates",
"continue", "growing", "expanding", or their negatives or other comparable
words. Forward-looking statements include statements regarding the outlook for
our future operations, plans and timing for the introduction or enhancement of
our services and products, statements concerning strategies or developments,
statements about future market conditions, supply conditions, end customer
demand conditions, channel inventory and sell through, revenue, gross margin,
operating expenses, profits, forecasts of future costs and expenditures, the
outcome of legal proceedings, and other expectations, intentions and plans
that are not historical fact. The risk factors and uncertainties that may
affect our actual results, performance, achievements or developments are many
and include, amongst others, our ability to develop, manufacture, supply and
market new products that we do not produce today that meet the needs of
customers and gain commercial acceptance, our reliance on the deployment of
next generation networks by major wireless operators, the continuous
commitment of our customers, and increased competition. These risk factors and
others are discussed in our Annual Information Form and Management's
Discussion and Analysis of Financial Condition and Results of Operations,
which may be found on SEDAR at www.sedar.com and on EDGAR at www.sec.gov and
in our other regulatory filings with the Securities and Exchange Commission in
the United States and the Provincial Securities Commissions in Canada. Many of
these factors and uncertainties are beyond our control. Consequently, all
forward-looking statements in this press release are qualified by this
cautionary statement and we cannot assure you that actual results,
performance, achievements or developments that we anticipate will be realized.
Forward-looking statements are based on management's current plans, estimates,
projections, beliefs and opinions and we do not undertake any obligation to
update forward-looking statements should the assumptions related to these
plans, estimates, projections, beliefs and opinions change, except as required
by law.

    About Sierra Wireless

    Sierra Wireless (NASDAQ:   SWIR - TSX: SW) modems and software connect
people and systems to mobile broadband networks around the world. The Company
offers a diverse product portfolio addressing enterprise, consumer, original
equipment manufacturer, specialized vertical industry, and machine-to-machine
markets, and provides professional services to customers requiring expertise
in wireless design, integration and carrier certification. For more
information about Sierra Wireless, visit www.sierrawireless.com.

    "AirCard" is a registered trademark of Sierra Wireless. Other product or
service names mentioned herein may be the trademarks of their respective
owners.

    %SEDAR: 00011917E




For further information:

For further information: Sierra Wireless, Inc., David G. McLennan, Chief
Financial Officer, (604) 231-1181, Website: www.sierrawireless.com, Email:
investor@sierrawireless.com

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SIERRA WIRELESS, INC.

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