SEC FORM 3

SEC Form 3

FORM 3

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person^*

GLASS ROBERT CONNER

(Last)

(First)

(Middle)

111 PITCH PINE LANE

(Street)

CHAPEL HILL

27514

(City)

(State)

(Zip)

2. Date of Event Requiring Statement (Month/Day/Year)
05/26/2005

3. Issuer Name and Ticker or Trading Symbol
CREE INC [ CREE ]

4. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

	Director	10% Owner
X	Officer (give title below)	Other (specify below)
	EXECUTIVE VICE PRESIDENT

5. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Beneficially Owned
1. Title of Security (Instr. 4)	2. Amount of Securities Beneficially Owned (Instr. 4)	3. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	4. Nature of Indirect Beneficial Ownership (Instr. 5)
Common Stock	8,194	D

Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 4)	2. Date Exercisable and Expiration Date (Month/Day/Year)		3. Title and Amount of Securities Underlying Derivative Security (Instr. 4)		4. Conversion or Exercise Price of Derivative Security	5. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	6. Nature of Indirect Beneficial Ownership (Instr. 5)
1. Title of Derivative Security (Instr. 4)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares	4. Conversion or Exercise Price of Derivative Security	5. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	6. Nature of Indirect Beneficial Ownership (Instr. 5)
Nonqualified Stock Option (Right to Buy)	07/01/2000⁽¹⁾	07/01/2009	Common Stock	60,000	$18.875	D
Nonqualified Stock Option (Right to Buy)	07/02/2002⁽²⁾	07/02/2008	Common Stock	45,000	$25.3	D
Nonqualified Stock Option (Right to Buy)	04/01/2004⁽³⁾	04/01/2009	Common Stock	20,000	$13.89	D
Nonqualified Stock Option (Right to Buy)	09/03/2005	09/03/2009	Common Stock	5,000	$12.51	D
Nonqualified Stock Option (Right to Buy)	04/13/2004	07/03/2010	Common Stock	10,000	$19.88	D
Nonqualified Stock Option (Right to Buy)	10/13/2004⁽⁴⁾	10/13/2010	Common Stock	20,000	$19.88	D
Nonqualified Stock Option (Right to Buy)	04/15/2005	10/01/2011	Common Stock	30,000	$31.24	D

Explanation of Responses:

1. Option vested and became exercisable as to 12,000 shares on each of 7/1/00, 7/1/01, 7/1/02, 7/1/03 and 7/1/04.

2. Option vested and became exercisable as to 15,000 shares on each of 7/2/02, 7/2/03 and 7/2/04.

3. Option vested and became exercisable as to 3,334 shares on 4/1/04 and as to 16,666 shares on 4/1/05.

4. Option vests and becomes exercisable as to 10,000 shares on 10/13/04 and as to 5,000 shares on each of 10/13/05 and 10/13/06.

Remarks:

	ROBERT C. GLASS	06/02/2005
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 5 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.