Cascade Microtech Announces Leadership Transition Plan

Beaverton, OR--August 16, 2007--Cascade Microtech (Nasdaq: CSCD) announced today a planned succession and search for a new Chief Executive Officer. Cascade's Chairman and Chief Executive Officer, Eric W. Strid, plans to transition from his current role to the position of Chairman and Chief Technical Officer upon the hiring of the new Chief Executive.

Mr. Strid commented, "My first love in co-founding Cascade was and still is solving customer problems with great new probing technologies. Cascade Microtech has grown from a startup in 1984 to a worldwide technology leader in wafer probing. I am very supportive and excited to see Cascade move to the next growth phase with a strong new chief executive."

F. Paul Carlson, Cascade Microtech’s Lead Director, commented, "We will search for a CEO who has the leadership and vision qualifications to grow Cascade to a much larger company. We have a very involved Board that will work with Eric and the management team to ensure a smooth transition."

The COO search previously announced on the July 24 earnings conference call will instead become a CEO search.

Contact: Steven Sipowicz (503) 601-1000

About Cascade Microtech

Cascade Microtech, Inc. (NASDAQ: CSCD) is a worldwide leader in the precise electrical measurement and test of integrated circuits (ICs) and other small structures. For technology businesses and scientific institutions that need to evaluate small structures, Cascade Microtech delivers access to, and extraction of, electrical data from wafers, integrated circuits (ICs), IC packages, circuit boards and modules, MEMs, biological structures, electro-optic devices and more. Cascade Microtech’s leading-edge semiconductor production test consumables include unique probe cards and test sockets that reduce manufacturing costs of high-speed and high-density semiconductor chips. Information about Cascade Microtech can be found on the Web at www.cascademicrotech.com.