San Jose, CA., December 9, 2002 – ARC International (LSE:ARK), a world leader in configurable System-on-Chip (SoC) platform technologies, today announced its Board of Directors has authorized a stock repurchase program valued at approximately $78 million. This stock repurchase requires shareholder and other necessary approvals and is intended to be completed in the first half of 2003.
"Given our prospects for growth and profitability, the Board feels ARC's stock continues to represent an attractive long-term investment," said Mike Gulett, ARC's president and CEO. "ARC's strong balance sheet allows us to both fund our business plan and complete this purchase of ARC's shares; $78 million represents just under half of our cash balance reported at the end of September".
The timing of the repurchase and the exact number of shares of common stock to be purchased will depend upon various factors, including market conditions. As of September 30, 2002, the company had 298 million shares of common stock outstanding.
ARC International is an industry-leading developer of embedded user-customizable, high-performance 32-bit RISC/DSP processor cores, with integrated development tools, peripherals, RTOS and software. These integrated products and solutions are a result of the acquisitions of MetaWare, VAutomation and Precise Software Technologies. ARC's integrated intellectual property solutions assist customers in rapidly developing next generation wireless, networking and consumer electronics products, reducing time to market, reducing their cost, reducing the number of IP suppliers and reducing their risk for system-on-chip products. Products based on ARC's technology include digital still cameras, set-top boxes, and network processors.
ARC International employs 200 people in research and development, sales, and marketing offices across North America, Europe and Israel. Full details of the company's locations and other information are on the company's web site, www.ARC.com. ARC International is listed on the London Stock Exchange as ARC International plc (LSE:ARK).
This press release contains forward-looking statements relating to future events or future financial performance that involve risks and uncertainties. These statements are only predictions and actual results could differ materially from those anticipated in these statements based on those factors identified in the company's filings with the SEC. The words "believe", "expect", "intend", "anticipate", variations of such words and similar expressions identify forward-looking statements but their absence does not mean that the statement is not forward looking. These statements are not guaranties of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date of this announcement.