Intel Acquisition Of Level One Communications To Close In The Third Quarter

SACRAMENTO/SANTA CLARA, Calif., June 2, 1999 -- Intel Corporation and Level One Communications, Incorporated (NASDAQ:LEVL) today jointly announced that the previously announced acquisition of Level One by Intel is now expected to close in the third quarter. The transaction was originally anticipated to close at the end of the second quarter but the time required for preparation and review of various filings with regulatory agencies has caused the closing schedule to move into the third quarter. The companies said that Level One has filed its confidential proxy statement with the Securities and Exchange Commission and the parties are currently responding to SEC comments.

Level One expects to mail the proxy statement to its stockholders by late June or early July with expected stockholder meeting approximately 25 working days thereafter.

Level One Communications, a leader in communications IC technology, provides silicon connectivity solutions for high-speed telecom and networking applications. These components are critical connecting links in today's telecommunication and data communication (LAN/WAN) networks and are the key building blocks for the Intranets and Internets of the future. Level One combines its strengths in analog and digital circuit design with its communications systems expertise to produce mixed-signal solutions with increased functionality and greater reliability, resulting in lower total system cost. Level One Communications, Inc. is ISO 9001 registered, illustrating the company's commitment to world-class standards and providing high quality products.

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