OPTi Announces Delay of Annual Meeting

Business Wire, Oct 2, 2001

Business Editors/High-Tech Writers

SANTA CLARA, Calif.--(BUSINESS WIRE)--Oct. 2, 2001

OPTi Inc. (Nasdaq:OPTI) today announced that its annual meeting of shareholders will be delayed due to a decision by the Securities and Exchange Commission to conduct a review of the proxy statement for the meeting. Consequently the annual meeting, previously scheduled for November 12, 2001, will be delayed until the SEC review process has been completed and a new meeting date can be set. Although the Company can provide no assurance with respect to the length of the delay, it understands that the SEC review process typically takes from 30 to 90 days.

At the meeting, in addition to conducting routine corporate business, OPTi shareholders will vote on a plan approved by the OPTi Board of Directors for the voluntary liquidation and dissolution of the Company. All proxy statements that solicit shareholder votes for such non-routine matters must be filed with the SEC in preliminary form to allow the Commission to determine whether to review such proxy statements. OPTi filed its preliminary proxy statement with the SEC on September 21 and the Company was notified by the Commission late last week that its proxy statement had been selected for review. Although the Commission does not typically disclose its selection criteria, OPTi understands that it is not unusual for proxy statements relating to significant corporate events such as OPTi's proposed liquidation to be reviewed.

The Company does not currently expect that the delay to the annual meeting date will affect the proposed plan of liquidation but it will likely cause some delay to implementation of the plan. As a result, the initial liquidating distribution, previously expected to take place before the end of 2001 if the proposed plan had been approved by OPTi shareholders, may now not occur until 2002. OPTi will announce a new date for its annual meeting and revise the proposed schedule for implementation of the plan of liquidation as soon as practicable following completion of the SEC review process.

OPTi Inc. is an independent supplier of semiconductors and is headquartered in Milpitas, Calif. OPTi's stock is traded on the National Market System under NASDAQ symbol OPTi.

Statements in this press release that are not historical facts are forward-looking statements, including statements regarding the Company's plan of liquidation and dissolution and the SEC review process. Actual results, events, or performance may differ materially from the above forward-looking statements due to a number of important factors, and will be dependent upon a variety of factors, including market conditions generally and in the personal computer and semiconductor industries, the timing of the Company's annual meeting, the determination by the Company's shareholders whether to approve the plan of liquidation and dissolution, competition, new developments in intellectual property law generally and with respect to semiconductor patents in particular, the Company's ability to defend its patent position and other matters. The Company undertakes no obligation to publicly update these forward-looking statements to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events. Factors which may impact the Company's success are more fully discussed in the Company's most recent periodic reports on Forms 10-K and 10-Q.