CLEARONE INC — Director's Dealing 2004

Jul 28, 2004

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: CLEARONE COMMUNICATIONS INC (CLRO)
CIK: 0000840715
Period of Report: 2004-07-26

Reporting Person: Frederick Donald E (Chief Financial Officer)

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2004-07-26	Employee Stock Option (right to buy)	$5.55	A	75000	Acquired	2014-07-26	Common Stock (75000)	Direct

Footnotes

F1: One-third of the options granted will vest on the first anniversary of the stock option grant. The remaining options will
vest in equal monthly increments over the 24-month period. In addition, the grant agreements will reflect a provision for
immediate vesting of all options immediately prior to a change in control or a corporate transaction in the company, as
defined in the 1998 Stock Option Plan.