Financial Releases


CONTACT INFORMATION:

Phil O'Shaughnessy
Creative Labs, Inc.
poshaughnessy@creativelabs.com
(408) 546-6773

Wynne Leong
Creative Technology Ltd.
press_contact@ctl.creative.com
+65 6895-4120

CREATIVE TECHNOLOGY LTD. DECLARES ANNUAL DIVIDEND OF US$0.25 PER SHARE


SINGAPORE - October 31, 2006 - Creative Technology Ltd. (NASDAQ: CREAF), a worldwide leader in digital entertainment products, today announced that an ordinary dividend of US$0.25 per share has been declared for the current fiscal year ending June 30, 2007. The dividend will be paid on December 1, 2006 to all shareholders of record as of November 15, 2006.

Holders of shares in the securities accounts with The Central Depository (Pte) Limited ("CDP"), Singapore, will receive payment of dividends through CDP in Singapore dollars converted from U.S. dollars at the rate prevailing on November 27, 2006. All other shareholders will receive payment in U.S. dollars.

About Creative:
Creative Technology Ltd. is a worldwide leader in digital entertainment products. Famous for its Sound Blaster® audio cards and for launching the multimedia revolution, Creative is now driving digital entertainment on the PC platform with products like its highly acclaimed ZEN MP3 and portable media players. Creative's innovative hardware, proprietary technology, applications and services leverage the Internet, enabling consumers to experience high-quality digital entertainment - anytime, anywhere.

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The Creative logo, Sound Blaster and ZEN are registered trademarks of Creative Technology Ltd. in the U.S. and other countries. All other brand names and products mentioned herein are either registered trademarks or trademarks of their respective owners and are hereby recognized as such.