Avnet Acquires Remaining Interest in Taiwan-Based Distributor.

Business Editors/High-Tech Writers

PHOENIX--(BUSINESS WIRE)--Feb. 16, 2000

Avnet Inc. (NYSE:AVT) Chairman and Chief Executive Officer, Roy Vallee, Wednesday announced Avnet's acquisition of the remaining 30 percent interest in Avnet-Mercuries Co. Ltd., Taipei, Taiwan, from Avnet's joint venture partner Mercuries & Associates.

Avnet acquired 70 percent of the company in December 1995.

Under the Asia-Pac business model launched in July 1999, Avnet-Mercuries, with more than 100 employees, provides sales and logistics support to the Avnet Asia Pte. (Taiwan) branch in the distribution of electronic components in Taiwan, with sales to the personal computer, consumer and industrial markets.

Singapore-based Avnet Asia Pte. Ltd is Avnet's principal operating company for the Asia-Pac region.

After a transitional period Avnet-Mercuries will change its name to reflect its status as a fully owned Avnet company.

"Since 1995, Avnet has been strategically acquiring Asian-based companies to build our pan-Asian operations," Vallee said. "We are pleased to be full owners of Avnet-Mercuries. This allows us to move forward with our global strategy."

"Avnet-Mercuries has grown rapidly under the direction of its managing director, Samuel Fang," said Rob Hagen, president of Avnet's Asia-Pac business. "Sales are growing faster than the market and Taiwan continues to be Avnet Asia's largest sales territory."

In July 1999 Fang was also appointed as the managing director of Avnet Asia's Taiwan branch.

Earlier this fiscal year, Avnet acquired the remaining 30 percent interest in WKK Semiconductors Ltd, with operations in Hong Kong and the People's Republic of China, after owning 70 percent of the company since January 1995. Full ownership positions Avnet to proceed with its pan-Asia strategy and plans for pan-Asian centralization of assets, marketing, warehousing and operations.

Phoenix-based Avnet Inc., a Fortune 300 company with annual sales exceeding $6.4 billion ($9 billion proforma, including acquisitions), is one of the world's largest distributors of semiconductors, interconnect, passive and electromechanical components and computer products from the 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. Asian locations include Hong Kong/China, Taiwan, Singapore, Korea, Thailand, Malaysia, the Philippines, Indonesia, Australia, New Zealand, India, and Pakistan. The company's web site is located at www.avnet.com.