Avnet, Inc. Plans to Acquire Savoir Technology Group.

Business Editors

PHOENIX--(BUSINESS WIRE)--March 2, 2000

Roy Vallee, Chairman and CEO of Avnet, Inc. (NYSE:AVT), announced today that Avnet has agreed to acquire Savoir Technology Group, Inc. (Nasdaq:SVTG), the leading distributor of IBM mid-range server products in the Americas.

Savoir Technology Group reported 1999 revenues of $767 million and employs over 600 people in Canada, the United States and Mexico.

The transaction, which will be accounted for as a purchase, has an indicated market value of approximately $140 million including the assumption of net debt. Based upon the closing price for Avnet's common stock on March 1, 2000, the Savoir shareholders would receive .11996 shares of Avnet common stock for each share of Savoir stock they own, subject to adjustment based upon the average price of Avnet's stock during a fifteen-day period prior to closing.

The acquisition has been approved by the Boards of Directors of both companies and is subject to approval by the shareholders of Savoir and regulatory reviews. Officers and Directors of Savoir holding approximately 15% of Savoir shares have executed irrevocable proxies to vote in favor of the transaction. The transaction is expected to close in approximately three months.

Mr. Vallee said, "Avnet continues to make strategic acquisitions around the globe that enhance the value that we provide to our customers and suppliers, while enhancing shareholder value. We are very pleased to be acquiring Savoir, whose market position will augment our own to create the largest mid-range value-added distributor in the world, further strengthening our leading position as a technology marketer and service provider."

Once the transaction is finalized, Savoir will be merged primarily into Avnet's Computer Marketing Group (CMG), with a segment of the business to be merged into the Avnet Applied Computing operating group. Savoir's main products include IBM AS/400, RS/6000, S/390 and Netfinity servers.

"Adding Savoir to our team gives us significant opportunities to impact our business strategically and increase CMG's sales globally to over $2.5 billion. This acquisition will make us the number one IBM mid-range value-added distributor in North America and around the world," said Andy Bryant, president of Avnet's Computer Marketing Group. "Avnet and Savoir, as industry leaders, provide key value-added services, including solutions integration, professional services, technical and configuration support, financing, logistics, marketing and a host of e-business initiatives. The combined companies' resources as well as the expected synergies are exciting to consider."

Added Bryant, "Savoir has won IBM's Distributor Leadership Award five consecutive times. This speaks to the quality organization they have developed. This merger will truly establish Avnet as the leader in IBM mid-range computer distribution."

"The Board of Directors and management team feel this is a tremendous opportunity to join one of the most successful companies in our industry," said Scott Munro, chairman and CEO of Savoir Technology Group. "Avnet will add real financial capabilities to our ability to grow the business," Munro added. Joe Mertens, President and COO of Savoir will be involved in the integration of the two companies and will report to Rick Hamada, president of CMG's Hall-Mark Global Solutions business unit, who reports to Andy Bryant.

Alliant Partners and Tucker Anthony Cleary Gull acted as financial advisors to Savoir and Merrill Lynch served as financial advisor to Avnet during the acquisition process.

Phoenix, Arizona-based Avnet, Inc. is one of the world's largest distributors of semiconductors, interconnect, passive and electromechanical components and computer products from leading manufacturers. Serving customers in 60 countries, Avnet markets, inventories and adds value to these products and provides world-class supply-chain management and engineering design services. A Fortune 300 company, Avnet's sales for fiscal year 1999 (year ended July 2, 1999) were $6.35 billion, with a pro forma of over $10 billion, including acquisitions closed during fiscal year 2000. The Company's web site is located at www.avnet.com

Savoir Technology Group, Inc., headquartered in Campbell, Calif., is a leading provider of mid-range servers, software, storage, services and other high technology products to a large network of resellers, solution providers and original equipment manufacturers. Savoir operates nine facilities in the United States and Canada. Its web site is located at www.svtg.com