Top EDA companies: - Ranked by 2001 CY worldwide EDA sales, $millions - EDA Trends 2002

Electronic News, March 4, 2002

1. Cadence Design Systems: $1,430.4

2. Synopsys (1): $698.7

3. Mentor Graphics: $600.4

4. Avant!: $398.7

5. Zuken: $135.0

6. Innoveda: $91.4

7. IKOS Systems: 53.4

8. Ansoft: 51.8

9. Synplicity: $49.2

10. Verisity Design (2): $38.7

Source: Cahners Research

(1.) Calendar year EDA sales are Cahners Research estimates.

(2.) Verisity Design became a public company on March 21, 2001

1. Cadence Design Systems Inc.

2655 Seely Ave., Bldg. 5

San Jose, Calif. 95134

(408) 943-1234

www.cadence.com

NYSE: CDN

Publicly Held

2001 Calendar Year Revenue: $1,430.4 million

2001 Calendar Year Net Income: $141.3 million

Fiscal Year End: Dec. 31

FY Revenue/FY Net Income

               (millions)

2001  $1430.4      $141.3
2000  $1279.6       $50.0
1999  $1093.3     $(14.1)
1998  $1216.1       $32.0
1997  $915.9       $169.4

Key Management

H. Raymond Bingham, President and CEO

Brian Bauer, CIO

Revenue Percentages by Region


North America          59%
Europe                 18%
Asia                    7%
Japan                  16%

Number of Employees

2001                 5,700
2000                 5,700

Five - Year Annual Growth: 14.0%

2002 OUTLOOK

Cadence expects the business to continue as it has with software strong and services and emulation weak until the tech industry works its way out of the downturn. Our total 2001 revenue of $1.43 billion--a record--indicates that, even with the slowdown, tech companies continue to recognize the need to keep innovating, and these companies continue to rely heavily on Cadence products and services. Overall, the EDA industry will continue to remain strong. With demand for electronic design solutions driven by next-generation requirements--rather than current volumes--spending for EDA tracks against R&D spending, not capital spending. All signs indicate our customers will continue investing in R&D during the downturn. Cadence is uniquely involved in all major aspects of electronic design, from systems to ICs to printed circuit boards (PCBs), and we continue our own heavy R&D investments to bring innovative solutions to our customers. From algorithmic design through physical implementation, our solutions-oriented ap proach helps systems and semiconductor customers implement new design methodologies that bring together hardware and software and facilitate the exchange of design intellectual property.

Cadence enters 2002 with the most comprehensive and technically capable IC design portfolio in the industry. On the digital side, Cadence offers a 0.13-micron flow that combines the physical prototyping capabilities of Silicon Perspective Corp., a Cadence company, with the signal integrity tools from CadMOS and Cadence's production-proven SP&R technology.

On the custom/analog side, Cadence augments its industry-leading Analog Artist/Virtuoso XL/Assura design solution with additional custom automation technology from Neolinear. In PCB design, Cadence is focusing on speed. All of today's lightning-fast ICs have to be packaged and integrated into a board/system.

To do it successfully, engineers must be able to look at the interconnect from silicon to package to PCB. This is where Cadence is focusing its new products and where engineers will find the technology they need to solve the complex issues associated with high-speed designs. For example, the latest Cadence PCB design flow includes a Constraint Management System that targets the problem of exploding electrical constraints by allowing engineers to capture, manage and validate high-speed design rules at all stages of the design cycle.

Cadence PCB new product introductions in the year will address IC packaging, signal analysis, design library management and the Windows-based PCB design market.

2. Synopsys Inc.

700 E. Middlefield Rd.

Mountain View, Calif. 94043

(650) 584-500

www.synopsys.com

Nasdaq: SNPS

Publicly Held

2001 Calendar Year Revenue: $698.7 million

2001 Calendar Year Net Income: $61.5 million

Fiscal Year end: Oct. 31

FY Revenue/FY Net Income

              (millions)

2001  $680.4       $56.8
2000  $783.8       $97.8
1999  $806.1      $161.4
1998  $717.9       $91.7
1997  $499.1       $72.4

Key Management

Aart J. de Geus, Chairman and CEO

Chi-Foon Chan, President

Brad Henske, SVP of Finance & Operations and CFO

Steven K. Shevick, VP of Investor Relations & Legal

Revenue Percentages by Region


North America                     63%
Europe                            18%
Japan                             10%
Intercontinental, Asia/Pacific     9%

Number of Employees

2001                            3,308
2000                            3,100

Five-Year Annual Revenue Growth: 14.0%

2002 OUTLOOK

Synopsys is expecting to hit between $183 million and $187 million in the second quarter. However, with its impending merger of Avant! Corp. its expectations could be thrown off because of one-time charges.

3. Mentor Graphics Corp.

8005 S.W. Boeckman Rd. Wilsonville, Ore. 97070

(503) 685-7000

www.mentor.com

Nasdaq: MENT

Publicly Held

2001 Calendar Year Revenue

$600.4 million

2001 Calendar Year Net Income

$31.1 million