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AOSL  Investor  Presenta0on  B.  Riley  Conference  May  25,  2016  

Safe  Harbor  Statement  

This  presenta,on  contains  forward-‐looking  statements  that  are  based  on  current  expecta,ons,  es,mates,  forecasts  and  projec,ons  of  future  performance  based  on  management's  judgment,  beliefs,  current  trends,  and  an,cipated  product  performance.  These  forward-‐looking  statements  include,  without  limita,on,  statements  rela,ng  to  long  term  financial  targets,  historical  results  that  may  suggest  trends  for  our  business,  any  statements  rela,ng  to  plans,  strategies,  and  objec,ves  of  management  for  future  opera,ons,  expecta,on  or  belief  regarding  future  events,  technology  developments,  or  enforceability  of  our  intellectual  property  rights,  and  assump,ons  underlying  any  of  the  foregoing.    Forward  looking  statements  involve  risks  and  uncertain,es  that  may  cause  actual  results  to  differ  materially  from  those  contained  in  the  forward-‐looking  statements.  These  factors  include,  but  are  not  limited  to,  our  ability  to  introduce  or  develop  new  and  enhanced  products  that  achieve  market  acceptance;  the  actual  product  performance  in  volume  produc,on;  the  quality  and  reliability  of  our  product,  our  ability  to  achieve  design  wins,  our  ability  to  reduce  manufacturing  costs;  the  general  business  and  economic  condi,ons,  our  ability  to  iden,fy  and  consummate  strategic  transac,ons;  the  state  of  semiconductor  industry  and  seasonality  of  our  markets,  and  other  risks  as  described  in  our  SEC  filings,  including  our  annual  report.  Other  unknown  or  unpredictable  factors  or  underlying  assump,ons  subsequently  proving  to  be  incorrect  could  cause  actual  results  to  differ  materially  from  those  in  the  forward-‐looking  statements.  Although  we  believe  that  the  expecta,ons  reflected  in  the  forward  looking  statements  are  reasonable,  it  cannot  guarantee  future  results,  level  of  ac,vity,  performance,  or  achievements.  You  should  not  place  undue  reliance  on  these  forward-‐looking  statements.  All  informa,on  provided  in  this  presenta,on  is  as  of  today's  date,  unless  otherwise  stated,  and  AOS  undertakes  no  duty  to  update  such  informa,on,  except  as  required  under  applicable  law.    

AOS  Confiden,al   2  

Reignited  Growth  

AOS  Confiden,al   3  

Revenues  in  $  Million  

Unaudited  

$1 $12

$47

$98

$154

$202

$274

$185

$302

$361$342 $337

$318$328

$244

FY  02 FY  03 FY  04 FY  05 FY  06 FY  07 FY  08 FY  09 FY  10 FY  11 FY  12 FY  13 FY  14 FY  15 FY  16  3Qtrs

Fine  Execu0on  of  AOSL  Recovery  Plan  

AOS  Confiden,al   4  

Building  Founda0on  for  

Recovery  New  Product  Driven  Growth  

Diversifica0on  &  Profitability  

o  Revert  to  Original  Business  Model    

o  Market  Driven  R&D    o  Assembled  Core  

Team      

o  New  Product  Rollout  

 o  BOM  Expansion  and  

Share  Gain  

o  Customer  Penetra,on  

o  Growth  Driven  by  Diversifica,on  

o  Favorable  Product  Mix  and  Margin  

o  Achieve  Meaningful  Profitability  

Phase  I  CY2014  

Phase  II    CY  2015  

Phase  III    CY2016  

Establishing  New  Growth  Drivers  

Mobile  1.4BU  

PC  300MU  

TV  200MU   q High  Volume    q SAM  Expansion  q Scalability  

AOS  Confiden,al   5  

§  Notebook PC §  Desktop PC §  Ultrabook §  Servers

Expanded  Market  Segments  

Compu0ng  

§  Flat Panel TVs §  Set Top Boxes §  Gaming §  White Goods

Consumer  

§  Quick Charger §  Motion Control §  Welding §  Lighting

Power  Supply  /  Industrial  

§  Battery Packs §  Smart Phones §  Infrastructure §  Networking

Communica0on  

AOS  Confiden,al   6  

Compu0ng  :  36%  (of  Q3  FY16  Revenue)  

AOS  Confiden,al   7  

AOS  Advantage   Strategy  q New  LV  plaTorm,  cost-‐performance  q  Power  IC  with  high  efficiency  

Market  Leader  in  Discrete  MOSFET  PC  Power  

q Grow  market  share  q  Expand  BOM  content  in  Skylake  

2013Y   2014Y   2015Y   2016Y  

MOSFET  Power  IC  

Consumer:  27%  (of  Q3  FY16  Revenue)  

AOS  Confiden,al   8  

Strong  Posi;on  with  Leading  TV  OEM  

New  Market:  Home  Appliance  Output  Current  (A)  

60  

70  

80  

90  

100  

0.01   0.1  

Efficien

cy(%

)

Io(A)  

EZ  Buck  Leading  Light  Load  Efficiency        

AOZ3053PI  Compe,tor  

q High  Efficiency  solu,ons  for  chipset  power  and  for  TV  backligh,ng  

q  Expansion  of  TV  customer  base  q  TV  BOM  content  increase  with  4K  TV  and  Smart  TV  trend  

q  SAM  expansion  into  Home  Appliance  market  with  IGBT  and  MOSFET  

EzBuck  Leading  Efficiency  for    Light  Load  and  Thermal  

AOS  Advantage   Strategy  

0  

20  

40  

60  

80  

100  

120  

AOZ3053PI     Compe,tor  

Tempe

rature  (°C)  

Thermal  Performance  at  Full  Load  (5A)  

Communica0on:  11%  (of  Q3  FY16  Revenue)  

AOS  Confiden,al  

q  Small  size  with  beber  protec,on  LV  MOSFETs  

q  Leading  efficiency  MV  MOSFETs  

q Growth  opportunity  with  advanced  small  package  solu,ons  in  smart  phone  babery  

q  Penetra,on  into  datacom  customer  base  with  leading  performance  DC-‐DC  MOSFETs  and  Power  ICs  

AOS  MOSFETs  73⁰C   Compe0tor  MOSFETs  85⁰C  

Thermal  Measurement  on  1/8  Brick  Datacom  Power  Supply  

0.48mm  

Compe0tor  CSP  (with  solder  balls)  

0.3mm  

AlphaDFN  (no  solder  balls  needed)  

Chip  Scale  Package  Thickness  

AOS  Advantage   Strategy  

9  

Mobile  Phones  and  Bafery  Packs  

Networking  Power  and  Equipment  

Power  Supply/Industrial:  22%  (of  Q3  FY16  Revenue)  

AOS  Confiden,al   10  

AOS  Advantage   Strategy  

q High  efficiency  solu,ons  for  power  supply  &  motor  control  

Total    MOSFET  Solu;ons  for  High  Efficiency    Power  Supplies  and  Motors  

q  Expand  SAM  with  quick  charging  solu,ons  

q  Expand  power  supply  customer  base  leveraging  high  efficiency  and  robust  MOSFET  solu,ons  

AON6560    runs  20.5°C    Cooler  

Industry  Lowest  On-‐Resistance  in  DFN5x6  Package  

Arc  Welders  

Quick  Chargers  

Leading  Compe0tor  

AC/DC  Adapter  

Accelera0ng  Diversifica0on  

AOS  Confiden,al  

Compu,ng  

Consumer  

Power  Supply/  Industrial  

Other  

Communica,ons  

50%  

19%  

15%  

8%  9%  

$337M  FY13  

36%  

27%  

22%  

11%   4%  

$83M  Q3  FY16*  

*  Reflects  product  mix  based  on  new  segment  tracking  system    

World  Class  OEMs  /  ODMs  

Strategic  Customer  Rela0onships  

AOS  Confiden,al   12  

5/25/16   12  

Key  Distributors  

(a  member  of)  

Taiwan  South  Korea  

Japan  China  Europe  

United  States  

Healthy  Opera0ng  Cash  Flow  

AOS  Confiden,al   13  

($Millions)  

($1)

$38 $38

$13

($6) ($3) ($8) ($4)

$23

$30 $30$33

$28

$38

$27$27

FY09 FY10 FY11 FY12 FY13 FY14 FY153QtrsFY16

Net  Income Operating  Cash  Flow

Dollars in millions. Source: Gartner.

FY2013 FY2014 FY2015 Q3 FY16 Ratios

Net Cash $75.2 $104.2 $106.1 $78.9 $3.55 / Share

Total Equity $281.5 $283.0 $276.1 $236.3 $10.63 BV / Share

Prudent  Capital  Management    

q   Business  growth  q   Share  repurchase  •  Closed  $30  million  Dutch  tender  offer  in  July  2015  

q   Long  term  sustainable  growth  •  Formed  $330M  joint  venture  with  Chongqing  Authority  

q Strategic  acquisi,on  

AOS  Confiden,al   14  

Dollars in millions. Source: Gartner.

AOSL  Investment  Summary  

q SAM  expansion  through  diversifica,on  

q New  products  gaining  momentum  

q Renewed  growth  and  path  to  profitability  

q Prudent  capital  management  

AOS  Confiden,al   15  

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