Exar Adds Microdis as Distributor for Eastern Europe

New Distributor Well Positioned for Growing Market

FREMONT, Calif., July 14 /PRNewswire-FirstCall/ -- Exar Corporation (Nasdaq:
EXAR) has completed a distribution agreement with Microdis Electronics GmbH,
the leading specialist in distribution of electronic components in Eastern
Europe. Effective immediately, Microdis will distribute Exar's products
through its extensive sales network in Bulgaria, Czech Rep., Hungary, Poland,
Slovakia, Serbia, Slovenia, Romania, Russia, Albania, Belarus, Bosnia &
Herzegovina, Croatia, Macedonia, Moldova, Georgia, and Ukraine.

"Microdis is a leading East European distributor with proven demand creation
expertise," said Paul Stafford, director of global distribution Sales, Exar.
"The Eastern European market is a quickly changing and growing opportunity for
Exar, our engagement with Microdis will enable us to more broadly penetrate
this dynamic region and offer augmented local support to our customers."

"We are entirely convinced of the advantages and high quality of Exar's
products, which fit excellently into our portfolio and design-in strategy,"
said Robert Panufnik, Sales & Marketing Director of Microdis. "Exar's
communications, interface and power management components strengthen our
ability to offer a total solution to our customers, as well as make it
possible to target a range of new market segments by our application
engineers. We are excited to work with Exar and look forward to jointly
developing new business in this region."

About Microdis

Microdis Electronics, started over 20 years ago, is a leading distributor of
electronic components in Eastern Europe. Microdis was the first distributor
in Eastern Europe to offer not only sales, but also application support and
product marketing Microdis offers in-depth application support, value-added
services and logistics solutions, and a well developed network of sales
offices across the territory. Microdis' customers include OEM and CEM for
prestigious European companies that serve different sectors such as
automotive, consumer and telecommunications. All of them are supplied with
both - standard components and complex high-tech solutions. For more
information about Microdis, visit: http://www.microdis.net.

About Exar

Exar Corporation delivers highly differentiated silicon, software and
subsystem solutions for industrial, datacom and storage applications. For
nearly 40 years, Exar's comprehensive knowledge of end-user markets along with
the underlying analog, mixed signal and digital technology has enabled
innovative solutions that meet the needs of the evolving connected world.
Exar's product portfolio includes power management and interface components,
communications products, storage optimization solutions, network security and
applied service processors. Exar has locations worldwide providing real-time
customer support to drive rapid product development. For more information
about Exar, visit: http://www.exar.com.

SOURCE Exar Corporation

Greg Kaufman, Marketing Communications, of Exar Corporation, +1-510-668-7000