Waterloo, Ontario - DALSA Corporation (TSX:DSA), an international leader in high performance digital imaging and semiconductors, announced today that it has received approval from the Toronto Stock Exchange (the "TSX") to acquire for cancellation, by way of normal course issuer bid (the "Bid"), up to 919,077 Common Shares of the Company, which, as of August 31, 2009, represent approximately 5% of the issued and outstanding shares. The Bid will commence on September 11, 2009 and expire on September 10, 2010.

The Board of Directors of the Company believes that the market price of its Common Shares could be such that their purchase may be an attractive and appropriate use of corporate funds in light of potential benefits to remaining shareholders.

Purchases will be made by DALSA in accordance with applicable regulatory requirements and the price that the Company will pay for any such Common Shares will be the market price of such shares at the time of acquisition. Pursuant to TSX policies, daily repurchases will be limited to 3,295 Common Shares, other than block purchase exceptions. Purchases will be effected through the facilities of the TSX.

On September 11, 2008, the Company commenced a normal course issuer bid to purchase up to 927,811 Common Shares through the facilities of the TSX. Under that bid, which expires on September 10, 2009, the Company has purchased a total of 211,932 of its Common Shares at an average price of $5.70 per Common Share.

About DALSA Corporation
DALSA is an international leader in high performance digital imaging and semiconductors with approximately 1000 employees world-wide. Established in 1980, the company designs, develops, manufactures, and markets digital imaging products and solutions, in addition to providing semiconductor products and services. DALSA's core competencies are in specialized integrated circuit and electronics technology, software, and highly engineered semiconductor wafer processing. Products and services include image sensor components (CCD and CMOS); electronic digital cameras; vision processors; image processing software; and semiconductor wafer foundry services for use in MEMS, high-voltage semiconductors, image sensors and mixed-signal CMOS chips. DALSA is listed on the Toronto Stock Exchange under the symbol “DSA” and has its corporate offices in Waterloo, Ontario, Canada.

For more information, please contact:
Patrick Myles
Vice President, Corporate Communications
DALSA Corporation
Tel: (519) 886-6001 Ext. 2177
Fax: (519) 886-3972
E-mail: [email protected]
Internet: http://www.dalsa.com