FOR IMMEDIATE RELEASE  
  
XILINX EXPECTS NO IMPACT TO CURRENT QUARTER'S BUSINESS FOLLOWING EARTHQUAKE IN TAIWAN

SAN JOSE, CA, SEPTEMBER 21, 1999 -- Xilinx, Inc. (NASDAQ:XLNX) today announced that it does not expect financial results for the current quarter to be impacted by Monday's earthquake in Taiwan. All wafers needed for the September quarter are already through the packaging and assembly steps, the Company said.  Xilinx expects little impact on next quarter's financial results as well because the Company increased its wafer starts last quarter due to tightening foundry capacity and Y2K inventory planning. 

Approximately 60 percent of Xilinx products are currently manufactured at UMC Group foundries in Taiwan.  These products include Virtex and XC4000XL/XV/E/EX FPGA families; and the XC9500 CPLD family.  All remaining products are manufactured at Seiko Epson in Japan.  Redundant 0.35 and 0.25 micron processes are available at Seiko Epson to produce Virtex and XC4000 FPGAs.  In terms of assembly, subcontractors in Taiwan assemble approximately 10 percent of all Xilinx products. 

Xilinx said it has adequate unit inventory of all products to meet current customer demand.  The majority of this inventory is held in die bank.  In addition, the Company's distributors are maintaining higher than average inventories or approximately 80 days of finished goods inventory, up from 66 days at the end of last quarter. 

“Our sympathies go out to the victims and their families of this tragedy," said Kris Chellam, Xilinx chief financial officer.  "Thankfully, no employees of Xilinx or UMC Group were injured in the earthquake.  We continue to monitor the situation closely and will make further announcements as appropriate once UMC Group fully assesses the impact of the earthquake on its operations and the general infrastructure in Taiwan." 

This press release contains forward looking statements that involve risks and uncertainties, including dependence on third party wafer suppliers and other risks that are described in our most recent 10K. Copies of financial literature, including this release, are available via fax or voice recording by dialing Xilinx shareholder service line at 1-800-836-4002.  Investor information is also available on the Investor Relations Web site at http://investor.xilinx.comInternet Link

Xilinx is the leading innovator of complete programmable logic solutions, including advanced integrated circuits, software design tools, predefined system functions delivered as cores, and unparalleled field engineering support.  Founded in 1984 and headquartered in San Jose, Calif., Xilinx invented the field programmable gate array (FPGA) and fulfills more than half of the world demand for these devices today. Xilinx solutions enable customers to reduce significantly the time required to develop products for the computer, peripheral, telecommunications, networking, industrial control, instrumentation, high-reliability/military, and consumer markets. For more information, visit the Xilinx web site at www.xilinx.com
 

 
Public Relations Contact: Investor Relations Contact:
Mike Seither Lori Owen
Xilinx, Inc. Xilinx, Inc.
(408) 879-6146 (408) 879-6911
publicrelations@xilinx.com lori.owen@xilinx.com
 
Xilinx is a registered trademark of Xilinx, Inc. All XC-prefix product designations,Virtex, are trademarks of Xilinx, Inc.  Other brands or product names are trademarks or registered trademarks of their respective owners. 
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