Flextronics Completes Phase One of Arima Computer Corporation Acquisition

Flextronics announced that it has completed phase one of a two-phase acquisition of Arima Computer Corporation's notebook and server businesses. Phase one included the acquisition of the design and services groups of Arima, which was completed on March 18, 2008.

The second phase of the acquisition will include the acquisition of Arima's notebook and server manufacturing facility in WuJiang, China, and is expected to close in April 2008. Arima Computer's notebook and server businesses will become part of the Flextronics Computing segment, which provides design, build, ship, and logistics services to customers in the desktop PC, notebook PC, server, storage device, and computer peripherals industries. Upon completion of the two-phase transaction, Flextronics will have acquired all of Arima's design, manufacturing and services resources related to notebooks and servers.

"Closing phase one of this acquisition significantly enhances our ODM server offering and significantly strengthens our position in the rapidly growing notebook market," said Sean Burke, President of Flextronics Computing. "We are pleased to welcome Arima's talented design and services employees to our team, as we continue to strengthen our world-class solutions for the computing marketplace."

www.flextronics.com