TECHWELL, INC.
                CONDENSED CONSOLIDATED BALANCE SHEETS
                            (in thousands)


                                             December 31, December 31,
                                                 2006         2005
                                              -----------  -----------
                                              (unaudited)    (audited)
Assets
Current Assets
 Cash and cash equivalents                       $13,201      $15,982
 Short-term investments                           36,364          804
 Accounts receivable                               2,765        3,052
 Inventory                                         4,584        3,113
 Prepaid expenses and other assets                 1,406        2,224
                                              -----------    ---------
      Total Current Assets                        58,320       25,175

 Property and equipment - net                        625          434
 Long term-investments                             4,963            -
 Other assets                                         85           35
                                              -----------    ---------
      Total                                      $63,993      $25,644
                                              ===========    =========


Liabilities, Redeemable Convertible
 Preferred Stock
and Stockholders' Equity (Deficit):
Current Liabilities:
 Accounts payable                                 $3,503       $1,336
 Accrued expenses                                  3,344        2,687
                                              -----------    ---------
      Total Current Liabilities                    6,847        4,023

 Deferred rent                                         -           54
                                              -----------    ---------
      Total Liabilities                            6,847        4,077
                                              -----------    ---------

Redeemable Convertible Preferred Stock                 -       40,777
                                              -----------    ---------

Stockholders' Equity (Deficit):
 Common stock                                         21            4
 Additional paid in capital                       67,734        5,355
 Deferred stock-based compensation                  (546)      (1,323)
 Accumulated other comprehensive loss                (39)           -
 Accumulated deficit                             (10,024)     (23,246)
 Net income                                                                                                             -
                                                                                            -----------        ---------
  Total  Stockholders'  Equity  (Deficit)                          57,146            (19,210)
                                                                                            -----------        ---------

            Total                                                                            $63,993            $25,644
                                                                                            ===========        =========