AVNET, Inc. to acquire global semiconductor distributor MEMEC

Phoenix, Arizona, April 26, 2005 -- Avnet, Inc. (NYSE:AVT) ('Avnet') and Memec Group Holdings Limited ('Memec') announced today that they have reached a definitive agreement for Avnet to acquire Memec in a stock and cash transaction valued at approximately $676 million, including the assumption of approximately $194 million of Memec's net debt.   Under the terms of the agreement, Memec investors will receive a total of approximately 24.011 million shares of Avnet common stock plus approximately $64 million of cash.  The transaction is expected to generate annual synergies of approximately $130 million from cost savings (including $10 million from reduced interest expense) and is expected to be immediately accretive to earnings (excluding integration charges).  The closing of the transaction, which is subject to customary regulatory approvals, is anticipated in 60 to 90 days.

Memec, a leading global distributor specializing in semiconductors, generated revenue of approximately $2.3 billion in calendar year 2004.  In the same period Memec generated operating income of $63 million, adjusted to exclude certain non-recurring expenses.  The privately-held company, which employs 2,400 people, provides customers with engineering expertise and design services covering a portfolio of semiconductor devices from industry leading suppliers.  Memec will be integrated into Avnet, Inc. and its Electronics Marketing Group. After the acquisition, Avnet's Electronics Marketing Group will have operations in 69 countries and anticipated annual sales of over $8.5 billion.

Roy Vallee, Avnet's Chairman and Chief Executive Officer, commented, "We are excited about the opportunity to significantly expand our presence in each of our existing three regions as well as gain entry into the important Japan market.  Memec is a well established semiconductor distributor with valuable franchises, strong technical capabilities and many talented people.  In addition to delivering more value to both companies' customers and suppliers, the combination creates significant value for Avnet shareholders.  We believe that EPS accretion will begin immediately and we expect to realize double digit returns on this investment once the integration is complete."

Memec, with operations in 33 countries and 130 cities, is the largest semiconductor distributor focused primarily on design chain services.  In calendar year 2004, Memec grew total revenue approximately 27%, with the Americas accounting for 44% of Memec's 2004 revenue followed by the Asia region, including Japan, at 31% and Europe, Middle East and Africa at 25%.

David Ashworth, Memec's President and Chief Executive Officer, commented, "Given the increased demands of global technology markets, we have been exploring a number of strategic alternatives and combining with Avnet provides the best future for Memec.  Avnet's global infrastructure and access to capital, coupled with our technical expertise, will deliver industry leading value to our trading partners while allowing our investors to also participate in the value being created."

"The acquisition of Memec strongly enhances our global design chain capabilities while reinforcing our critical role in supply chain services," stated Harley Feldberg, President of Avnet Electronics Marketing. "With an expanded franchised supplier line-card, coupled with a portfolio of world-class design chain and supply-chain services, we are confident that we will further strengthen our relationships with customers and suppliers."

About Avnet

Avnet (NYSE:AVT) enables success from the center of the technology industry, providing cost-effective services and solutions vital to a broad base of more than 100,000 customers and 300 suppliers. The Company markets, distributes and adds value to a wide variety of electronic components, enterprise computer products and embedded subsystems. Through its premier market position, Avnet brings a breadth and depth of capabilities that help its trading partners accelerate growth and realize cost efficiencies. Avnet generated more than $10 billion in revenue in fiscal 2004 (year ended July 3, 2004) through sales in 68 countries. Visit Avnet's Investor Relations Website at http://www.ir.avnet.com/.

About Memec

Memec is a global semiconductor distributor specializing in demand creation and servicing the electronics industry with 2,400 employees, including 1,800 field application engineers, technical sales specialists, technical marketing professionals, and account representatives around the world. The company provides original equipment manufacturers with engineering expertise and a portfolio of semiconductor devices, and helps design customized, differentiated products. For more information, visit http://www.memec.com/.