Appointment

Arc International PLC 28 December 2001 ARC International Appoints Michael Gulett as Chief Executive Officer Elstree, UK - 28 December 2001: ARC International plc (LSE:ARK), a leading developer of user-customisable, high-performance 32-bit processor cores, development tools, peripherals and other intellectual property (IP), announces the appointment of Michael Gulett as Chief Executive Officer with effect from 27 December 2001. Michael Gulett has over 25 years' experience in technology companies. From 1998 to 2001, he was President and Chief Operating Officer of Virata Corporation, a leading supplier of DSL processors, which floated on the NASDAQ in 1999. The company grew substantially during this period increasing annual revenues from approximately $9m to in excess of $120m. Prior to that he was President and Chief Executive Officer of Paradigm Technology, a supplier of SRAM, which went public in 1995. He has also worked for VLSI Technology, NCR Microelectronics and Intel and graduated with a bachelor degree in Electrical Engineering from the University of Dayton in 1974. John Stockton, interim Chief Executive Officer and formerly non-executive Chairman of ARC International will leave the company and resign from the Board on 31 January 2002. Jan Tufvesson, Chairman of ARC International, said: 'We are delighted that Michael Gulett is joining ARC to lead the Company in the next phase of its development. Michael's experience in the microprocessor industry and of successful leadership of public companies will be a great asset to us in exploiting the potential of our innovative technology. I am confident that he will build on our established customer base and help drive the Company forward to profitability. 'I wish to thank John Stockton for his contribution to ARC over the past two years. His commitment to the success of the business in the face of unprecedented market conditions is greatly appreciated by the Board.' Mike Gulett, commenting upon his appointment, said: 'ARC has excellent technology and represents a unique opportunity. Although market conditions have been difficult I am pleased to be joining ARC now.' For further information, please contact: Sue Pemberton Citigate Dewe Rogerson 020 7638 9571 About ARC International ARC International plc is a leading developer of user-customisable, high-performance 32-bit processor cores (including ARCtangentTM), development tools, peripherals and other intellectual property (IP), enabling reduced time to market for system-on-chip products. ARC's 58 customers include Conexant Systems, Cypress Semiconductor, Fujitsu Microelectronics, IBM, Infineon Technologies, QLogic, SanDisk and Sun Microsystems. Products based on ARC's technology include digital still cameras, set-top boxes, and network processors. MetaWare Incorporated, Precise Software Technologies Inc., and VAutomation Inc. are wholly owned subsidiaries of ARC International, providing software development tools, hardware and software intellectual property and real-time operating systems for an integrated approach to system-on-chip development. ARC's third-party partners include Cadence, Flextronics, Intrinsix, Synopsys, TSMC, UMC, Wind River, and Xilinx. ARC International plc employs 230 people at its headquarters in Elstree, England, and in research and development, sales, and marketing offices across North America, Europe, and Israel. ARC International plc is listed on the London Stock Exchange (LSE:ARK). The company's web site is at www.arccores.com. Statements made in this press release that are not historical facts include forward-looking statements that involve risks and uncertainties. Important factors that could cause actual results to differ from those indicated by such forward-looking statements include, among others, market acceptance of the ARC technology; fluctuations in and unpredictability of the Company's quarterly results; general economic and business conditions; regulatory policies adopted by governmental authorities; assumptions regarding the Company's future business strategy; changes in technology; competition; ability to attract and retain qualified personnel; risks associated with the Company's international operations; and other uncertainties that are discussed in the 'Investment Considerations' section of the Company's listing particulars dated 28 September 2000 filed with the United Kingdom Listing Authority and the Registrar of Companies in England and Wales. ARC International (UK) Ltd. and ARC Cores Inc., both of which are wholly owned subsidiaries of ARC International plc, trade under the name of ARC Cores. ARC Cores is a trademark of ARC International (UK) Limited. All other brands or product names are the property of their respective holders.
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