Magma Design Automation, Inc. (LAVA) - 500 Beiträge pro Seite

[panik]

Profile:Magma Design Automation, Inc. (MDA) provides design and implementation software that enables chip designers to accelerate time-to-market for complex integrated circuits used in the communications, computing, consumer electronics, networking and semiconductor industries. The Company`s Blast Fusion and Blast Chip products utilize a new methodology for complex deep submicron chip design that combines traditionally separate front-end and back-end chip design processes into an integrated flow. The Company also offers Blast Noise, a product that detects and corrects noise and other electrical problems in deep submicron chips, as a separate product to be used with Blast Chip and Blast Fusion. MDA has licensed its flagship product, Blast Fusion, to major semiconductor manufacturers and electronic products companies such as Fujitsu, Infineon and Texas Instruments.
http://www.magma-da.com

[panik]

Internet Machines to Integrate Magma`s System Into COT Flow Under Multimillion-Dollar Agreement
CUPERTINO, Calif.--(BUSINESS WIRE)--Dec. 5, 2001--Magma® Design Automation, Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, announced today that Internet Machines, provider of the IMpower(TM) family of highly integrated network processor integrated circuits (ICs), has licensed Magma`s physical design system. Internet Machines selected Magma`s Blast Fusion(TM) physical design system as the tool of choice for implementing 0.13-micron designs in its customer own tooling (COT) flow. Under the multimillion-dollar, multi-year agreement, Internet Machines will utilize Magma`s technology to rapidly address the market`s need for a complete 10 Gbps/OC-192c Internet infrastructure chipset.

``In the networking and communications IC market, complexity and speed are key differentiators,`` said Chris Hoogenboom, CEO of Internet Machines. ``We had demanding requirements for our COT flow. With Blast Fusion, Magma has provided a design solution with the functionality and capacity to enable us to deliver higher performance designs while minimizing turnaround time. Magma has demonstrated that its physical design system can significantly reduce our turnaround time as compared to traditional flows based on point tools.``

``Internet Machines is on the cutting-edge of Internet infrastructure networking system design. We are delighted that Internet Machines has recognized the value of our technology,`` said Rajeev Madhavan, CEO of Magma. ``We are pleased they are using our design solutions for their next-generation devices and look forward to expanding our relationship with Internet Machines.``

About Internet Machines

Internet Machines is a fabless semiconductor company that offers the IMpower(TM) family of highly integrated communications ICs for OC-192c and 10 Gbps optical, metro area network and Internet infrastructure equipment. The protocol independent IMpower family consists of the NPE10 network processing engine, the TMC10 traffic management co-processor, the SE200 switch element, and the Development Workbench software development kit. This powerful array of wire-speed, fully programmable semiconductors and software simplifies development and greatly shortens the system vendor`s time to market. The ICs work together or individually to deliver a highly flexible, interoperable, and field upgradeable solution. The company is headquartered in Agoura Hills in Southern California, with design centers located in San Diego and Irvine, and sales offices in San Jose, Calif., and Boston. For more information, visit www.internetmachines.com.

About Magma

Magma provides design and implementation software that enables chip designers to reduce the time it takes to design and produce complex integrated circuits used in the communications, computing, consumer electronics, networking and semiconductor industries. Its products, Blast Fusion(TM) and Blast Chip(TM), utilize a new methodology for deep submicron chip design that combines traditionally separate logic design and physical design processes into an integrated flow. This integrated flow significantly reduces timing closure iterations, which allows Magma`s customers to accelerate the time it takes to design and produce deep submicron integrated circuits. Blast Plan(TM) works with Blast Fusion and Blast Chip to streamline the hierarchical planning and design of large chips and system-on-chips within a single environment. Blast Noise(TM) works with Blast Fusion and Blast Chip to actively detect potential noise problems and correct them during the physical design process.

Magma`s proprietary FixedTiming® methodology and single data model architecture are the technical foundation for Magma`s Blast Fusion and Blast Chip products. The FixedTiming methodology allows Magma`s products to reduce the timing closure iterations that are often required between the front-end and back-end processes in conventional integrated circuit design flows. The single data model contains all of the logical and physical information about the chip design.

Headquartered in Cupertino, Calif., the company maintains sales and support offices in Silicon Valley, Austin, Boston, Germany, Israel, Japan, Korea, Taiwan and the United Kingdom. Corporate headquarters are at 2 Results Way, Cupertino, Calif., 95014. Visit Magma Design Automation on the Web at www.magma-da.com.

FORWARD LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Blast Fusion will provide high performance designs and that Blast Fusion will reduce turnaround time for chip designs, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Blast Fusion to provide desired results, the potential success and benefits of the agreement between Internet Machines and Magma, and other risks detailed in Magma`s Prospectus dated Nov. 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.



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Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Monday December 17, 12:00 pm Eastern Time
RESEARCH ALERT-CSFB starts Magma Design Automation
NEW YORK, Dec 17 (Reuters) - Credit Suisse First Boston said on Monday it has started research coverage of chip software design firm Magma Design Automation Inc. (NasdaqNM:LAVA - news) with a ``buy`` rating and $37 price target.

CSFB cited the company`s high degree of leverage and visibility as reasons for starting coverage. The investment bank was one of the underwriters for the company`s initial public offering in November.

``The company`s predominantly subscription-based revenue model provides a high level of visibility and predictability to revenue streams - 50 percent to 55 percent of calendar 2002 revenues are already booked in our view,`` wrote analyst Greg Wagenhoffer in a note to clients.

``Leverage in the model is significant - could exit calendar 2002 with 30 percent plus operating margins.``

Shares of Magma ended Friday at $22.84 on the Nasdaq market.

[Allure]

Flextronics Semiconductor Licenses Blast Fusion
Completes First Design in Less than Nine Days
CUPERTINO, Calif.--(BUSINESS WIRE)--Jan. 7, 2002--Magma® Design Automation, Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, announced today that Flextronics Semiconductor, a global provider of IC design services, has licensed its Blast Fusion(TM) physical design system. The licensing agreement will allow Flextronics Semiconductor to provide skilled design services to its customers for the implementation of complex, deep submicron systems-on-a-chip (SoCs) using Magma software.

Flextronics Semiconductor has already realized the turnaround time advantages of Magma`s solution. During its evaluation, a Flextronics designer completed a 500K-gate customer design targeted for a Taiwan Semiconductor Manufacturing Co. (TSMC) process using Blast Fusion. The designer attributed the rapid design process to Blast Fusion`s intuitive flow and the tool`s help in identifying and eliminating routing congestion that would have made it almost impossible to complete the chip. After making the minor floorplan changes Blast Fusion recommended, Flextronics was able to achieve timing closure without any layout-to-synthesis iterations.

``Blast Fusion fills an important space in our state-of-the-art EDA tool suite,`` said James Vig Sherrill, general manager of Flextronics Semiconductor design services. ``With its ability to provide timing information early in the flow and eliminate iterations, Blast Fusion further enables us to reduce turnaround time and costs, increase control and continuity of the design process, and minimize design risk for our customers.``

``Our customers are in the challenging position of having to develop highly advanced designs with limited engineering resources,`` said Rajeev Madhavan, CEO of Magma. ``By partnering with qualified design service providers such as Flextronics, we believe we can ensure that our customers have the implementation solutions and resources they need to be successful.``

About Flextronics Semiconductor

Flextronics Semiconductor, a business unit of Flextronics, provides ASIC products and IC design services. ASIC products include full System on Chip (SoC), Standard Cell and Gate Array ASIC (digital, analog, & mixed-signal) while IC design services include FPGA (field-programmable gate array) conversion, ASIC re-targeting and backend IC design capabilities. Flextronics Semiconductor has design centers worldwide that work with customers to deliver system-level solutions in silicon, increasing functionality and reliability while reducing cost. For more information, please visit Flextronics Semiconductor at www.flextronics.com/semiconductor.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. The company`s products Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture, which allow Magma`s products to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Austin, Texas; Boston, Mass.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Except for the historical information contained herein, the matters set forth in this press release, including statements that Flextronics` licensing of Blast Fusion will enable it to provide skilled design services to its customers, Blast Fusion will provide high performance designs for their customers, statements regarding customers` plans for continued and future use of Blast Fusion, and Blast Fusion`s ability to reduce turnaround time and costs, increase control and continuity of the design process, and minimize design risks for their customers, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Blast Fusion to provide desired results, Magma`s ability to keep pace with rapidly changing technology, Magma`s customers` ability to integrate its products with their own, and other risks detailed in Magma`s Prospectus dated November 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



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Contact:

Magma Design Automation, Inc.
Monica Marme, 408/864-2027
[e-mail]
or
Flextronics Semiconductor
John Homin, 408/744-1800
[e-mail]







Mfg

[Heitop]

GANZ DOOOOOLLLLL

Eine wunderbare Aktie
Ein schöner Kurs
Nicht zu hoch
Nicht zu tief

Und wie ist Eure Meinung zu dieser Wunderbaren Aktie ??? !!!

MfG. Heitop

[Allure]

Faraday Uses Magma`s Blast Fusion to Implement Design in UMC`s Deep-Submicron Technology
Faraday and Magma Form Long-Term Partnership Following Successful Pilot Project
CUPERTINO, Calif.--(BUSINESS WIRE)--Jan. 9, 2002--Magma Design Automation, Inc., (Nasdaq:LAVA - news), a provider of chip design solutions, announced today that Faraday Technology Corporation of Taiwan (Taiwan OTC: 5404) has successfully used the Blast Fusion(TM) physical design system to implement a deep-submicron design. This pilot project combined the crucial elements of a fast system-on-chip (SoC) design flow: the expertise of Faraday designers and Magma`s integrated physical design system.

This design of 150K random logic gates, several embedded hard macros and a speed of 100 MHz was implemented in UMC`s 0.25-micron technology (FS90A_B .25). This design was selected mainly because it was highly timing critical with challenging multiple clock domains and is essential to many SoCs. Faraday design engineers found that Blast Fusion was able to reach timing closure without layout-to-synthesis iterations in a shorter amount of time than conventional design flows and add predictability to every phase of the design flow.

``We are impressed with the initial results from Blast Fusion. We will continue to work with Magma and to explore expanding the partnership,`` said Mr. Hsiao Ping Lin, president of Faraday Technology Corporation. ``Shorter time to market with predictability of timing closure is absolutely critical to our business. Our customers expect us to deliver their designs on time. We are always looking for ways to streamline our design methodology. We are encouraged by the improved results we`ve achieved with Blast Fusion.``

``We are excited to work with Faraday and UMC among the leaders in their industries. With this partnership we look forward to providing our mutual customers with a faster route for taking their designs from an idea to production,`` said Rajeev Madhavan, Magma chief executive officer.

About Faraday Technology Corporation

Faraday Technology Corporation (Taiwan OTC: 5404) has provided remarkable ASIC design services and valuable IPs (Intellectual Properties) for customers ranging from small start-ups to large international IC design houses and system houses since it was founded in 1993. Today, Faraday Technology Corporation is the largest organization of its type in the Asia-Pacific area, with more than 340 employees and annual revenue of 74 million US dollars in 2000. The company`s headquarters are located in Hsinchu, Taiwan and they also have sales offices around the world, including the U.S.A., Japan, Europe and China. For more information about Faraday, its services and/or products, please visit its Web site at http://www.faraday.com.tw.

About UMC

UMC, a world leading semiconductor foundry, operates seven wafer fabs in Taiwan`s Hsinchu Science Park. UMC`s Japanese subsidiary, Nippon Foundry Inc., has one fab in Japan, and UMC`s joint venture with Hitachi, Trecenti Technologies, began pilot production in its 300mm fab in Japan in 2000. UMC`s 300mm facility in Taiwan`s Tainan Science Park began pilot production in June 2001, and the company has broken ground on UMCi, a third 300mm fab based in Singapore. UMC is a leader in foundry technology, with facilities that reached an annual output of more than 2.4 million eight-inch equivalent wafers in 2000 and shipped more silicon wafers in 0.18-micron and smaller technologies than any other foundry that year. UMC`s joint development program with IBM and Infineon Technologies introduced the WorldLogic® standard 0.13-micron technology in 2000. UMC serves customers around the world through sales and marketing offices located in the United States, Japan, and the Netherlands. UMC can be found on the web at http://www.umc.com.

About Magma

Magma software products are designed to enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. The company`s products Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture, which allow Magma`s products to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, North Carolina; Laurys Station, Penn.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Except for the historical information contained herein, the matters set forth in this press release, including statements that Faraday will continue to work with Magma and explore expanding the partnership, that Magma and Faraday will provide mutual customers with a faster route for taking their designs from an idea to production, and that Blast Fusion will reach timing closure without iterations and enable chip designers to reduce the time required to design and produce complex integrated circuits, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Blast Fusion to provide desired results, Magma`s ability to keep pace with rapidly changing technology, Magma`s customers` ability to integrate its products with their own, and other risks detailed in Magma`s Prospectus dated November 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



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Contact:

Magma Design Automation, Inc., Cupertino
Monica Marmie, 408/864-2027
[e-mail]
or
Faraday Technology Corporation
Martice Chen, 408/935-0888 Ext. 113 (U.S.A.)
[e-mail]

[Allure]

Magma Announces That STMicroelectronics is in Production With Next-Generation Printer Controller Designed Using Blast Fusion and Blast Plan
First-Pass Timing Closure and Advanced Hierarchical Design Capabilities Accelerate Development Schedule
CUPERTINO, Calif.--(BUSINESS WIRE)--Jan. 15, 2002-- Magma® Design Automation, Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, announced that STMicroelectronics has entered production of a chip designed using Magma`s Blast Fusion(TM) netlist-to-silicon system and Blast Plan(TM) hierarchical design software. The completed design is a next-generation printer controller that consists of about one million gates of logic and incorporates an ARM946ES core and a USB 2.0 interface running at 480Mbit/sec. STMicroelectronics selected Magma`s solutions for this high-speed design after validating the tools` ability to handle large designs, meet strict timing requirements and shorten production schedules.

``We began an industry-wide evaluation of next-generation ASIC tools nearly one year ago and Magma`s technology has proved to be ideally suited to our needs,`` said Giacomo Piccini, general manager of the Digital and Analog Semicustom Division in the Telecommunication and Peripherals/Automotive Groups at STMicroelectronics. ``Magma has demonstrated significant value by consistently reducing the project timescales required to achieve timing-clean designs.``

``One of the blocks had some very precise dynamic timing constraints, and required its own dedicated power supply for the standard cells,`` said Ugo Carena, general manager of the Printer Division in STMicroelectronics` Telecommunication and Peripherals/Automotive Groups. Carena added that the design was implemented hierarchically using Blast Plan and its GlassBox(TM) abstraction technique. This data reduction technique produces very compact block representations that contain all of the physical, timing and extraction data necessary for hierarchical design. Using these compact blocks, Blast Plan implements fast and accurate top-level chip assembly without consuming enormous amounts of memory. ``The GlassBox implementation allowed us to continue using the original full-chip constraints and maintain accuracy even though we were effectively moving to a hierarchical design flow,`` Carena said.

``We`re proud that STMicroelectronics has leveraged the high capacity and streamlined flow provided by Blast Fusion and Blast Plan for this challenging design, `` said Rajeev Madhavan, chairman and CEO of Magma Design Automation. ``Their success confirms our system`s ability to handle large, complex designs and deliver superior results.``

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Magma`s system is able to handle large, complex designs and deliver superior results and that Blast Plan implements fast and accurate top-level chip assembly without consuming enormous amounts of memory, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Blast Fusion and Blast Plan to provide desired results, Magma`s ability to keep pace with rapidly changing technology and other risks detailed in Magma`s Prospectus dated November 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Heitop]

Ist ja alles ganz spannend.
Aber wie ist Eure Eischätzung ?
Bitte gebt mal Eure Meinung hier rein.

[Allure]

@Heitop

wie gesagt sehr spannend...eine sehr gute Firma....aber ich warte erst auf die zahlen ...dann steige ich wahrscheinlich ein.



ist aber im Moment gut bewrtet,wie gesagt auf die Zahlen warten erstmal.


P.s. schau dir mal
mit dem Kürzel NSDA(fast gleiche Branche wie LAVA) an,soeben Zahlen gebracht sieht gut aus.

Mfg

[Allure]

Magma Reports Record Revenue & Pro Forma Operating Profit for Third Quarter of Fiscal Year 2002
CUPERTINO, Calif.--(BUSINESS WIRE)--Jan. 23, 2002--Magma Design Automation, Inc., (Nasdaq:LAVA - news), a provider of chip design solutions, today reported it achieved record revenue for the third quarter of its fiscal year 2002, which ended December 31, 2001, and achieved pro forma profitability in its first quarter as a public company, excluding non-cash, stock-based compensation and one-time, non-cash interest charges.

For the third quarter of fiscal 2002, Magma reported revenue of $13.9 million, compared to $3.8 million for the year-ago third quarter ended December 31, 2000, an increase of 269 percent. For the third quarter of fiscal 2002, Magma reported pro forma net income, excluding certain non-cash expenses, of $350,000, or $0.01 per share, compared to a pro forma net loss of $9.3 million, or $0.50 per share, in the third quarter of fiscal 2001. Pro forma operating income/loss represents earnings on a diluted basis excluding stock-based compensation charges and certain non-cash interest charges recognized in the third quarter of fiscal 2002.

In accordance with GAAP, Magma reported a net loss of $16.0 million, or $0.84 per share, for the third quarter of fiscal 2002, resulting principally from two non-cash expenses. Stock-based compensation expense was $2.3 million, and one-time, non-cash interest charges of $14.1 million were recorded in connection with the conversion of subordinated convertible promissory notes issued in July and August, when Magma raised $25 million. The financing charges recognized in the third quarter of fiscal 2002 in connection with the conversion of the convertible notes are non-recurring.

For the nine months ended December 31, 2001, Magma reported revenue of $30.1 million, compared to $6.8 million for the nine months ended December 31, 2000, an increase of 345 percent. Magma reported a pro forma net loss of $9.6 million, or $0.45 per diluted share, for the nine months ended December 31, 2001, excluding certain non-cash expenses, compared to a pro forma net loss of $33.2 million, or $1.94 per share, for the same nine-month period ended December 31, 2000. Pro forma net loss represents earnings on a diluted basis excluding stock-based compensation charges, certain non-cash interest charges and non-cash preferred stock dividends.

In accordance with GAAP, Magma reported a net loss of $34.6 million, or $2.61 per diluted share, for the nine months ended December 31, 2001, compared to a net loss of $35.8 million, or $5.10 per share, for the same nine-month period ended December 31, 2000.

``We continued to demonstrate improving financial performance this quarter, achieving profitability earlier than analysts had forecast,`` said Rajeev Madhavan, chairman and CEO of Magma. ``In this quarter, our first as a public company, the significant improvement in financial results was achieved by our continued ability to deliver customers the design technology they need to help get their products to market.``

Magma`s conference call regarding its earnings for the third quarter of fiscal year 2002 will be January 23, 2002, at 2 p.m. PST (5 p.m. EST). Interested parties may listen via the Internet by logging on at Magma`s Web site: www.magma-da.com. A replay of the call will also be available on the Web beginning at 9 p.m. EST January 23, 2002 and will be available until January 30, 2002. The replay will also be available by telephone:


United States & Canada: 800-642-1687, conference number 2836649
Outside U.S. & Canada: 706-645-9291, conference number 2836649

The replay will be available by telephone from 9 p.m. EST on January 23, 2002 through January 30, 2002.

FORWARD-LOOKING STATEMENTS

Except for the historical information contained herein, the matters set forth in this press release, including statements regarding Magma`s expectations, beliefs or intentions regarding the future, statements regarding profitability, and statements regarding the ability of Magma`s technology to help customers get their products to market,, are forward-looking statements within the meaning of the ``safe harbor`` provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from Magma`s current expectations. Factors that could cause or contribute to such differences, several of which are outside the control of Magma, include but are not limited to: changes in accounting rules; the impact of the recent terrorist activities on Magma, its customers and industry; the ability to successfully manage the company`s expanding operations; the ability to attract and retain the key management and technical personnel needed to operate Magma successfully; the ability to compete successfully in the integrated circuit design automation software market; and the difficulty of predicting quarterly operating results. Further discussion of these and other potential risk factors may be found in Magma`s Prospectus dated November 19, 2001 filed with the Securities and Exchange Commission (``SEC``) and from time to time in Magma`s SEC reports. Magma disclaims any obligation to update these forward-looking statements.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. Magma `s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

MAGMA DESIGN AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)


Dec. 31, 2001 March 31, 2001
(unaudited)
------------- --------------
ASSETS
Current assets:
Cash and cash equivalents $ 90,243 $ 14,713
Accounts receivable 8,576 2,548
Prepaid expenses and other
current assets 1,449 2,417
--------- ---------
Total current assets 100,268 19,678
Property and equipment, net 7,736 8,420
Other assets 1,585 1,191
--------- ---------
Total assets $ 109,589 $ 29,289
========= =========

LIABILITIES AND STOCKHOLDERS` EQUITY
(DEFICIT)
Current liabilities:
Accounts payable $ 1,173 $ 2,805
Accrued expenses 8,702 6,937
Deferred revenue, current 10,534 7,652
Notes payable to bank, current
portion -- 1,657
--------- ---------
Total current liabilities 20,409 19,051

Notes payable to bank,
non-current portion -- 29
Other long-term liabilities 140 533
--------- ---------
Total liabilities 20,549 19,613
--------- ---------
Redeemable convertible preferred
stock -- 88,570
--------- ---------
Stockholders` equity (deficit):
Common stock 3 6
Additional paid-in capital 224,557 20,613
Deferred stock-based
compensation (9,548) (7,753)
Notes receivable from
stockholders (5,551) (134)
Accumulated deficit (120,426) (91,626)
--------- ---------
Total stockholders` equity
(deficit) 89,040 (78,894)
--------- ---------
Total liabilities and stockholders`
equity (deficit) $ 109,589 $ 29,289
========= =========


MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET LOSS
(in thousands, except per share data)
(Unaudited)

For the Three Months Ended
December 31, 2001
----------------------------------
As Adjust- As
Reported ments(1) Adjusted
-------- -------- ---------

Revenue:
Licenses $ 12,257 $ -- $ 12,257
Services 1,630 -- 1,630
-------- -------- --------
Total revenue 13,887 13,887
Cost of revenue 2,045 (18) 2,027
-------- -------- --------
Gross profit 11,842 18 11,860
-------- -------- --------

Operating expenses:
Research and development 4,982 (440) 4,542
Sales and marketing 6,643 (955) 5,688
General and administrative 2,306 (888) 1,418
-------- -------- --------
Total operating expenses 13,931 (2,283) 11,630
-------- -------- --------
Operating income (loss) (2,089) 2,301 212
-------- -------- --------

Interest income (expense):
Interest income 299 -- 299
Interest expense (100) -- (100)

Interest expense
- subordinated convertible
promissory notes (14,078) 14,078 --
-------- -------- --------
Interest income
(expense), net (13,879) 14,078 199
-------- -------- --------
Net income (loss) before
income taxes (15,968) 16,379 411
Income taxes (61) -- (61)
-------- -------- --------
Net income (loss) $(16,029) $ 16,379 $ 350
======== ======== ========

Net income (loss) per
common share
- basic $ (0.84) $ 0.01
======== ========
Net income (loss) per
common share
- diluted $ (0.84) $ 0.01
======== ========

Pro forma shares
outstanding:
Basic 19,064 21,100
======== ========
Diluted 19,064 22,577
======== ========


For the Three Months Ended
December 31, 2000
----------------------------------
As Adjust- As
Reported ments(1) Adjusted
-------- -------- ---------

Revenue:
Licenses $ 3,565 $ -- $ 3,565
Services 195 -- 195
-------- -------- --------
Total revenue 3,760 -- 3,760
Cost of revenue 1,296 (25) 1,271
-------- -------- --------
Gross profit 2,464 25 2,489
-------- -------- --------

Operating expenses:
Research and development 5,384 (186) 5,198
Sales and marketing 5,179 79 5,258
General and administrative 1,966 (316) 1,650
-------- -------- --------
Total operating expenses 12,529 (423) 12,106
-------- -------- --------
Operating income (loss) (10,065) 448 (9,617)
-------- -------- --------

Interest income (expense):
Interest income 460 -- 460
Interest expense (62) -- (62)

Interest expense
- subordinated convertible
promissory notes -- -- --
-------- -------- --------
Interest income
(expense), net
398 -- 398
-------- -------- --------
Net income (loss) before
income taxes (9,667) 448 (9,219)
Income taxes (58) -- (58)
-------- -------- --------
Net income (loss) $ (9,725) $ 448 $ (9,277)
======== ======== ========

Net income (loss) per
common share
- basic $ (1.03) $ (0.50)
======== ========
Net income (loss) per
common share
- diluted $ (1.03) $ (0.50)
======== ========

Pro forma shares
outstanding:
Basic 9,475 18,659
======== ========
Diluted 9,475 18,659
======== ========

(1) The adjustments represent the reversals of the non-cash
stock-based compensation, non-cash interest expense, including
amortization of debt discount and the non-cash preferred stock
dividend.

(2) Adjusted to include the impact of the shares of the
redeemable convertible preferred stock and convertible
promissory notes as if the shares and notes had been converted
immediately upon their issuance.


MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET LOSS
(in thousands, except per share data)
(Unaudited)

For the Nine Months Ended
December 31, 2001
As Adjust- As
Reported ments(1) Adjusted

Revenue:
Licenses $ 25,831 $ -- $ 25,831
Services 4,293 -- 4,293
---------- ---------- ----------
Total revenue 30,124 -- 30,124
Cost of revenue 5,717 (33) 5,684
---------- ---------- ----------
Gross profit 24,407 33 24,440
---------- ---------- ----------
Operating expenses:
Research and development 14,449 (970) 13,479
Sales and marketing 18,110 (1,500) 16,610
General and administrative 6,226 (2,103) 4,123
---------- ---------- ----------
Total operating expenses 38,785 (4,573) 34,212
---------- ---------- ----------
Operating loss (14,378) 4,606 (9,772)
---------- ---------- ----------

Interest income (expense):
Interest income 519 -- 519
Interest expense (186) -- (186)

Interest expense
- subordinated convertible
promissory notes (14,604) 14,604 --
---------- ---------- ----------
Interest income
(expense), net (14,271) 14,604 333
---------- ---------- ----------
Net loss before income taxes (28,649) 19,210 (9,439)
Income taxes (151) -- (151)
---------- ---------- ----------
Net loss (28,800) 19,210 (9,590)
Less: preferred
stock dividend (5,814) 5,814 --
---------- ---------- ----------
Net loss attributable
to common shareholders $ (34,614) $ 25,024 $ (9,590)
========== ========== ==========
Net loss per common
share, basic
and diluted $ (2.61) $ (0.45)
========== ==========
Pro forma
shares outstanding 13,285 21,100
========== ==========


For the Nine Months Ended
December 31, 2000
As Adjust- As
Reported ments(1) Adjusted

Revenue:
Licenses $ 6,421 $ -- $ 6,421
Services 351 -- 351
---------- ---------- ----------
Total revenue 6,772 -- 6,772
Cost of revenue 3,698 (60) 3,638
---------- ---------- ----------
Gross profit 3,074 60 3,134
---------- ---------- ----------
Operating expenses:
Research and development 15,520 (761) 14,759
Sales and marketing 16,997 (626) 16,371
General and administrative 7,177 (1,150) 6,027
---------- ---------- ----------
Total operating expenses 39,694 (2,537) 34,157
---------- ---------- ----------
Operating loss (36,620) 2,597 (34,023)
---------- ---------- ----------

Interest income (expense):
Interest income 1,171 -- 1,171
Interest expense (176) -- (176)
---------- ---------- ----------
Interest expense
- subordinated convertible
promissory notes -- -- --
---------- ---------- ----------
Interest income
(expense), net 995 -- 995

Net loss before income taxes (35,625) 2,597 (33,028)
Income taxes (194) -- (194)
---------- ---------- ----------
Net loss (35,819) 2,597 (33,222)
Less: preferred
stock dividend -- -- --
---------- ---------- ----------
Net loss attributable
to common shareholders $ (35,819) $ 2,597 $ (33,222)
========== ========== ==========
Net loss per common
share, basic
and diluted $ (5.10) $ (1.94)
========== ==========
Pro forma
shares outstanding 7,028 17,159
========== ==========


(1) The adjustments represent the reversals of non-cash
stock-based compensation, non-cash interest expense, including
amortization of debt discount and the non-cash preferred stock
dividend.

(2) Adjusted to include the impact of the shares of the redeemable
convertible preferred stock and convertible promissory notes
as if the shares and notes had been converted immediately upon
their issuance.




--------------------------------------------------------------------------------
Contact:
Magma Design Automation, Inc.
Robert A. Sheffield, 408/864-2096
[e-mail]
Milan G. Lazich, 408/864-2023
[e-mail]

[Allure]

Magma Enables EE-Solutions to Cut Design Cycle Time Over Cadence Flow
Design Services Team Achieves Timing Closure without Iterations on 1.4-Million-Gate Networking Chip
CUPERTINO, Calif.--(BUSINESS WIRE)--Jan. 24, 2002--Magma® Design Automation, Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, announced that the design services team of EE-Solutions of Taiwan has successfully taped out a 1.4 million-gate, 0.18-micron, 133 MHz networking integrated circuit (IC) using the Blast Fusion(TM) physical design system. EE-Solutions achieved timing closure on the design without iterations back through synthesis, going from netlist to GDSII in half the time required by its previous design flow which was based on Cadence Design Systems` Silicon Ensemble.

``Blast Fusion enabled us to achieve timing closure much sooner and reduce the design size while providing a more predictable design cycle,`` said Dr. Austin Hwang, vice president of engineering for EE-Solutions. As part of the design process, EE-Solutions` customer modified the chip`s netlist after a trial design flow, and the time required for the Cadence tool to achieve GDSII after the change was four days longer than initially required. Even with the netlist change, the run time required to reach GDSII with the Magma flow was the same.

``With Cadence`s Silicon Ensemble point tool solution, we typically had to go through four to five layout-to-synthesis iterations to achieve timing closure on designs such as this, and we wouldn`t know if we had met timing until after layout. Blast Fusion provided reliable timing information early on and maintained that timing throughout the flow. Having validated its capabilities, we plan to take full advantage of this production-quality tool environment and are now targeting several more projects for the Blast Fusion flow.``

``With the success of EE-Solutions in Asia Pacific, we now have multiple tape-outs in virtually every significant semiconductor market region,`` said Roy E. Jewell, Magma president and chief operating officer. ``We look forward to continuing to enable EE-Solutions to deliver advanced designs to this important market.``

About EE-Solutions

Founded in 1999, EE-Solutions is a leading provider of turnkey ASIC and System-on-a-Chip (SoC) design services to integrated circuit and systems companies worldwide. The company has been recognized for its engineering background, demonstrated experience in overseas delivery, precision in executing concepts, advanced design and research capabilities, and as providing customers with optimal solutions to achieve their business objectives. EE-Solutions also offers effective design methodologies and a wide range of advanced intellectual property and professional personnel to help customers step into the ultra-deep-submicron design field. EE-Solutions is headquartered in Hsinchu City, Taiwan, with branch offices in Taipei, Taiwan and Fremont, California, and has representatives in Shanghai in PRC; in Toronto, Canada; in Seoul, Korea; and in Singapore.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Blast Fusion will provide high-performance designs and that Blast Fusion will reduce turnaround time for chip designs, statements regarding customers` plans for continued and future use of Blast Fusion, and Blast Fusion`s ability to continue to enable Magma`s customers to deliver advanced designs to the Asia-Pacific market, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Blast Fusion to provide desired results, Magma`s ability to keep pace with rapidly changing technology, Magma`s customers` ability to integrate its products with their own, and other risks detailed in Magma`s Prospectus dated November 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma, Artisan Components and TSMC Collaboration Enables Noise-Immune Deep Submicron Designs
SUNNYVALE, Calif. & CUPERTINO, Calif.--(BUSINESS WIRE)--March 19,

2002--

Qualified Libraries with Enhanced Characterization

Methodologies First in the Industry

Artisan Components, Inc. (Nasdaq:ARTI - news) a leading provider of semiconductor intellectual property, Magma Design Automation, Inc., (Nasdaq:LAVA - news), a provider of chip design solutions, and Taiwan Semiconductor Manufacturing Company (TSMC), the world`s largest dedicated semiconductor foundry, announced today the immediate availability of the first in a series of qualified libraries that include enhanced signal integrity (SI) characterization models. Magma`s Blast Fusion(TM) physical design and Blast Noise(TM) SI methodology, combined with the enhanced Artisan libraries, enables mutual customers to automatically analyze and avoid signal integrity issues in integrated circuit (IC) implementation. This eliminates error-inducing and time-consuming data transfers between independent SI analysis and physical design tools, and increases the noise-immunity of designs, minimizing the time to volume production.

Artisan`s SAGE-X(TM) Library for TSMC`s 0.13-micron low-voltage process is the first result of Artisan`s and Magma`s ongoing collaboration. In addition to completing the qualification of 0.25-, 0.18- and 0.13-micron cell libraries for use with Magma`s IC implementation tools, the companies are creating a common data repository for easy access to updates and technical support. Subsequently, Artisan and Magma plan to jointly develop advanced methods of characterizing libraries to address other deep-submicron effects.

A number of mutual customers have already benefited from qualified libraries, implementation tools and technical support provided by Magma and Artisan. Internet Machines, provider of the IMpower(TM) family of highly integrated network processor, traffic management and switch fabric ICs, and headquartered in Agoura Hills, Calif., was instrumental in driving this development.

Because it eliminates data transfers between point tools and addresses signal integrity during the flow, the designers at Internet Machines selected Magma`s physical design system as the tool of choice in their design flow for implementing 0.13-micron designs. The company is using Blast Fusion and Artisan`s libraries developed for TSMC`s 0.13-micron high-performance process to complete a 10 Gbps/OC-192c chipset.

``Blast Fusion has been extremely effective at delivering timing closure while addressing crosstalk, noise, electromigration and other problems in a timely manner,`` said Chris Haywood, vice president of engineering at Internet Machines. ``As designs move to 0.13-micron, every aspect of design, from RTL to timing constraints to libraries, will have to take these effects into account. We`re very pleased that Artisan and Magma are working together to address these important emerging issues.``

``At 0.13-micron, signal integrity can be a significant design challenge,`` said Dr. Genda Hu, TSMC`s vice president of corporate marketing. ``We are pleased to be part of Magma`s and Artisan`s efforts to enable early and accurate signal integrity analysis and correction.``

``Magma has significant momentum in the marketplace and Artisan is committed to supporting innovative design automation solutions from Magma,`` said Mark Templeton, president and chief executive officer of Artisan. ``Collaboration to optimize and integrate our libraries with Magma`s tools will bring tremendous value to our mutual customers.``

``This relationship marks a critical milestone for Magma,`` said Rajeev Madhavan, chief executive officer of Magma Design Automation. ``We are looking forward to creating a solid foundation for our customers to deploy Magma`s tools with Artisan`s world-class library technology.``

About Artisan Components, Inc.

Artisan Components, Inc., (Nasdaq:ARTI - news) is a world leader in intellectual property (IP) components, providing high-quality solutions for many of the world`s leading semiconductor foundries, integrated device manufacturers, ASIC vendors and IC design teams. Artisan`s Process-Perfect(TM) memory generators, standard cell and I/O libraries are optimized to achieve the full-speed, density and low-power potential of each semiconductor process. Each product is verified using the industry`s most comprehensive QA and validation procedures and delivered ready to use with a complete set of views and models supporting leading design tools. Artisan`s headquarters are at 141 Caspian Court, Sunnyvale, CA 94089-1013.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements about Artisan`s future collaboration with Magma regarding library development, and the expected benefits of Artisan`s collaboration with Magma, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, whether Magma and Artisan will choose to continue to work together on Magma-qualified Artisan libraries; whether technical problems will impede the development of additional Magma-qualified enhanced Artisan libraries; and market acceptance of the Magma-qualified Artisan libraries. Other risks are detailed in Magma`s Prospectus dated November 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports, including its Quarterly Report on Form 10-Q for the quarter ended December 31, 2001. Readers are also referred to the documents filed by Artisan Components, Inc. with the Securities and Exchange Commission, specifically the most recent reports on Forms 10-K and 10-Q. These forward-looking statements speak only as of the date hereof. Magma and Artisan disclaim any obligation to update these forward-looking statements.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise and Blast Plan are trademarks of Magma Design Automation. Artisan Components is a registered trademark and Artisan, SAGE-X and Process-Perfect are trademarks of Artisan Components, Inc. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc., Cupertino
Monica Marmie, 408/864-2027 (Marketing Communications)
[e-mail]
or
Artisan Components, Inc., Sunnyvale
Barry Katcher, 408/548-3171 (Corporate Communications)
[e-mail]
Joyce Chowla, 408/548-3122 (Investor Relations)
[e-mail]

[Allure]

Magma Introduces Diamond SI for Signal Integrity Analysis and Verification
New Sign-Off Quality System Accelerates Crosstalk, Electromigration and Voltage Drop Verification
CUPERTINO, Calif.--(BUSINESS WIRE)--March 25, 2002--Magma Design Automation, Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, today introduced Diamond SI(TM), a new standalone verification product that provides sign-off quality, post-layout analysis for a wide variety of signal integrity (SI) issues. These include crosstalk noise, crosstalk delay, voltage drop, and electromigration on both power and signal nets. Integrating production-proven timing, extraction and analysis technology, Diamond SI also accounts for the interdependencies between different SI effects, and eliminates the time-consuming and error-prone file exchanges required in point tool verification flows. Patented filtering techniques and analysis algorithms allow designers to identify and focus on correcting true SI errors, and a universal SPICE interface enables highly accurate transistor-level analysis. With this integrated and comprehensive approach to SI analysis and verification, Diamond SI accelerates the typical post-layout sign-off verification cycle.

``Having integrated logical and physical design to successfully address timing closure, it is a natural evolution of our product portfolio to integrate multiple SI analysis capabilities into a single sign-off verification solution,`` said Rajeev Madhavan, chairman and CEO of Magma Design Automation. ``Signal integrity issues that escape detection and correction during the design flow can have an impact on chip functionality, performance and yield, resulting in chip field failures. With traditional SI analysis/verification point-tool flows, it is impossible to accurately assess the interdependencies of timing and signal integrity. Diamond SI now makes that possible.``

An Integrated Environment for Fast, Accurate Sign-Off

Signal integrity effects such as crosstalk glitch and delay violations, power and signal electromigration violations, and IR (voltage) drop are becoming more common as designs move to 0.18-micron and smaller process geometries. These effects can cause functional errors in chip operation, reduced performance, reduced chip yields and increased field failure rates. Conventional design flows do not address these effects during chip implementation but instead rely on extensive post-layout analysis and manual repair to address problems that are found. These post-layout verification flows are typically composed of numerous point tools bound together in a flow through file-based interfaces. Not only are these conventional verification flows slow and cumbersome, but they fail to analyze the interdependent SI effects found in DSM designs.

Diamond SI addresses the limitations of current flows by providing a complete, standalone verification platform for the analysis and verification of interdependent SI effects. It uses a two-step approach that combines the speed of gate-level analysis with the accuracy of transistor-level analysis. Using patented filtering techniques and leveraging the speed of gate-level analysis, Diamond SI first pinpoints potential problem nets. Once the problem nets are identified, Diamond SI applies SPICE-level accurate transistor-level analysis on them to determine which nets have actual problems that must be corrected. Diamond SI automatically generates the SPICE decks for those critical nets and the necessary switching vectors to enable the dynamic analysis. The interface is compatible with virtually all SPICE and SPICE-like simulators. By being able to focus on just the real problems, designers can reduce the time it takes to complete verification.

``LSI Logic`s FlexStream® design system includes a rigorous set of design validation checks that enable us to deliver Right-First-Time(TM) silicon to customers in the communication, consumer, and storage markets,`` said Sudhakar Sabada, vice president of Design Technology at LSI Logic Corp. ``LSI Logic has been using the crosstalk noise analysis components of Diamond SI as part of our FlexStream sign-off flow with excellent results. To date, over 100 designs have been verified using Diamond SI`s noise analysis engines. We plan to use more of the signal integrity capabilities of Diamond SI in our FlexStream system as we qualify them.``

Extending Unique Architecture to SI Verification

Diamond SI is based on Magma`s single unified data model architecture and proven timing, extraction and analysis engines. This unique architecture provides the engines with full access to complete design data, allowing them to concurrently analyze for interdependent signal integrity effects without relying on complex, error-prone and time-consuming file-based interfaces. The static timing analysis and parasitic extraction engines have been production-proven by customers using Magma`s Blast Fusion and Blast Chip systems.

``Magma`s integrated static timing analysis correlated extremely well with PrimeTime. We were very impressed with the speed and capacity of Magma`s timing analysis engine and the ease with which it fit into our existing timing flow,`` said Jim Whittaker, vice president of development at Metagence Technologies, a division of Imagination Technologies.

Diamond SI: Designed for both Third-party and Magma IC Design Flows

Diamond SI is especially beneficial when used with traditional place and route flows where signal integrity issues are identified and addressed through exhaustive post-layout analyses and iterations between multiple tools. Diamond SI eliminates the need to exchange multiple files between multiple point tools to identify SI problems and instead provides a single, integrated platform to streamline the verification process. With support for industry standard formats for logical, physical and timing data, including Verilog, DEF, SDC, SDF, GDSII and SPEF, Diamond SI fits easily into most flows.

When used with the Magma`s Blast Fusion and Blast Noise IC implementation flow, Diamond SI provides additional benefits. Blast Noise works in conjunction with the Blast Fusion physical design system and uses gate-level analysis to automatically identify and correct potential signal integrity problems throughout the implementation flow. Diamond SI is used after layout to provide accurate transistor-level analysis through its SPICE interface. This transistor-level analysis provides the design team with final assurances on the integrity of highly critical nets in the layout. In addition, Diamond SI provides an integrated solution for re-validating last minute, post-layout, manual ECO changes that are made outside the automatic place and route environment.

``Sandburst develops integrated, 10 Gbps switching chipsets that depend on high-performance ASIC technology to meet mission critical system requirements,`` said Dan Schumacher, director of operations and technology at Sandburst Corp. ``Given our performance requirements, we were very concerned about noise and other issues that might impact our silicon. Diamond SI will be a key part of our sign-off flow. We are using it to provide final signal integrity analysis and sign-off on our latest chip design projects with LSI Logic.``

Pricing and Availability

Diamond SI is available for both the Solaris and Linux operating systems. Pricing starts at $240,700. Contact Sameer Patel for more details. He can be reached via e-mail at [e-mail] or at 408/864-2235.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about Diamond SI`s ability to accelerate the verification cycle, LSI Logic`s intent to use more Diamond SI capabilities in their FlexStream design system and Sandburst`s intent to make Diamond SI part of their sign-off flow, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, whether technical problems will impede the the ability of Diamond SI to provide desired results; whether LSI Logic and Sandburst choose to continue to use Diamond SI; and market acceptance of Diamond SI. Other risks are detailed in Magma`s Prospectus dated Nov. 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports, including its Quarterly Report on Form 10-Q for the quarter ended Dec. 31, 2001. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma EDA Tools Used by Agere Systems to Develop 160 Gbit/s Arbitration and Switching Crossbar Chip
Chip Design Tools Help Solve Timing and Signal Integrity Issues, Speeding Time to Market and Simplifying System Design
CUPERTINO, Calif.--(BUSINESS WIRE)--April 8, 2002-- Magma® Design Automation Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, announced that Agere Systems has designed and taped out the PI-40C, a 160 gigabit per second (Gbit/s) arbitration and switching integrated circuit (IC) with 64 integrated 2.5 Gbit/s serializer-deserializers (SERDESs), using the Blast Fusion(TM) physical design system and Blast Noise(TM) signal integrity software. The PI-40C is a part of Agere`s PI-40, PI-40X and PI-40C chip set, scalable up to 2.5 terabits per second (Tbit/s) of protocol-independent switching. The Magma Blast Fusion and Blast Noise tools were used to take the multimillion-gate chip from final netlist to tape-out in less than eight weeks, delivering a layout versus schematic/design rule check-, timing- and noise-clean design.

``We`re extremely pleased that Agere relied on Magma solutions for this technically challenging design,`` said Rajeev Madhavan, chairman and CEO of Magma Design Automation. ``Large ICs with tight timing, signal integrity and time-to-market requirements, such as the PI-40C, are exactly the types of designs our chip implementation systems are designed to address.``

``The early, and ultimately accurate, post-layout timing information provided by Blast Fusion gave us confidence that we could meet timing using Magma`s integrated netlist-to-GDSII solution. With its unique technology and outstanding support, Magma enabled us to deliver the required performance and chip area,`` said Craig Garen, product line director of the processing, switching and aggregation group at Agere Systems.

Managing signal integrity was important for the Agere design. Because it is integrated into Magma`s chip implementation system, Blast Noise was able to remove crosstalk glitch and delay violations throughout the flow without compromising timing. ``The ability of Blast Fusion and Blast Noise to balance routability and timing closure and maintain signal integrity was key to enabling us to deliver this device on time,`` Garen added.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Other risks are detailed in Magma`s Prospectus dated November 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports, including its Quarterly Report on Form 10-Q for the quarter ended December 31, 2001. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma and Verplex Announce Joint Agreement
Magma and Verplex Team to Provide Best-In-Class Implementation and Functional Verification Flow for Nanometer Chip Design
CUPERTINO, Calif.--(BUSINESS WIRE)--April 9, 2002-- Magma® Design Automation, Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, today announced that it has entered into an agreement with Verplex Systems, Inc. As part of this agreement, the two companies will create a seamless flow between Magma`s RTL-to-GDSII chip design system and the Verplex Conformal equivalence checker, including enabling direct control through Magma`s graphical user interface (GUI). The enhanced integration will streamline the process of incremental equivalency checking during the chip design flow. The companies have also agreed to jointly promote and reference the benefits of the combined flow for implementing multimillion-gate integrated circuits.

``Designers using aggressive, next-generation physical optimization, such as Blast Fusion(TM), must have formal verification tools that can keep pace. Through working with our many mutual customers, we have established a long and successful track record of verifying designs produced by Magma tools,`` said Tom Senna, vice president of marketing and business development at Verplex. ``The agreement between our two companies simply reinforces what our joint customers have already discovered -- the combination of Magma`s chip implementation flow and Verplex` equivalency checking solutions is the way to go for today`s complex designs. We are pleased to be teamed up with Magma to help promote and improve our joint solutions.``

``We have used Conformal extensively in our own internal regression suites,`` said Bob Smith, vice president of product marketing at Magma. ``Based on that experience, we frequently recommend the Verplex solution to customers that are looking for a robust equivalency checking solution that interfaces well with our system and can be applied across the entire RTL-to-GDSII flow. We look forward to continuing to work with Verplex to offer our mutual customers the most streamlined RTL-to-GDSII flows.``

About the Enhanced Magma/Verplex Flow

Because Magma and Verplex support industry-standard interfaces and data formats, joint customers have already benefited from a well-integrated flow. To enhance the integration, the two companies will work together to add direct Verplex support into the Magma system environment. A menu option will be added to the Blast Fusion and Blast Chip(TM) GUI, allowing users to automatically invoke Verplex`s Conformal directly from within a Magma session. This will shorten the design cycle by making it faster and easier for chip designers to do incremental equivalency checking as desired throughout the implementation flow.

About the Magma IC Implementation System

Magma`s Blast Fusion provides a complete netlist-to-GDSII design flow for cell-based ICs. Blast Fusion includes optimization, place and route, useful skew clock generation, floorplanning and power planning, RC extraction and a single, built-in incremental timing analyzer. Blast Chip is an RTL-to-GDSII chip design and implementation system. It includes all Blast Fusion capabilities and handles the synthesis, placement and routing of very large, high-performance chips and blocks. Blast Noise adds automatic signal integrity analysis and avoidance to the Blast Fusion / Chip flow. Blast Plan, Magma`s hierarchical design planning system, provides complete top-down and bottom-up hierarchical design support for complex multimillion-gate chip design projects.

About the Verplex Conformal Logic Equivalence Checker (LEC)

Conformal delivers high performance, high capacity and ease-of-use for equivalency checking of multimillion-gate chip designs. Conformal LEC provides an independent audit of the design process that maximizes the number of errors caught. It employs correlation learning algorithms that continuously discover more efficient ways to compare the designs and thereby quicken the proof process. This capability enables reliable completion of full chip, multimillion-gate, RTL to flattened netlist comparisons.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), and Blast Noise(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

About Verplex

Verplex Systems Inc. is an electronic design automation (EDA) company focusing on delivery of the highest speed, highest-capacity and easiest-to-use formal verification products for complex system-on-chip (SoC) design. Founded in 1997, it is privately held and funded by leading venture capital firms. Corporate headquarters is located at 300 Montague Expressway, Suite 100, Milpitas, Calif. 95035. Telephone: [phone]. Facsimile: 408/586-0230. Email: [e-mail]. Online information is found at its Web Site: http://www.verplex.com.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Magma and Verplex will create a seamless flow between their tools that will streamline a design flow, add direct control of Verplex`s tool through Magma`s GUI, and will jointly promote and reference the flow, are forward-looking statements within the meaning of the ``safe harbor`` provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, whether Magma and Verplex will choose to continue to work together; whether technical problems will impede the development of enhanced integration; market acceptance of the Magma-Verplex flow, and other risks detailed in Magma`s Prospectus dated November 19, 2001 filed with the SEC and from time to time in Magma`s SEC reports, including its Quarterly Report on Form 10-Q for the quarter ended December 31, 2001. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan and Diamond SI are trademarks of Magma Design Automation. Verplex, BlackTie, Conformal and Transformal are trademarks of Verplex Systems Inc. All other product and company names herein are trademarks or registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma Reports Record Revenue and Pro Forma Profits for Fourth Quarter of Fiscal Year 2002
CUPERTINO, Calif.--(BUSINESS WIRE)--April 24, 2002--Magma Design Automation, Inc., (Nasdaq:LAVA - news), a provider of chip design solutions, today reported it achieved two financial milestones -- record revenue and record pro forma profitability -- in the fourth quarter of its fiscal year 2002, which ended March 31, 2002.

For the fourth quarter of fiscal 2002, Magma reported revenue of $16.2 million, compared to $5.1 million for the year-ago fourth quarter ended March 31, 2001, an increase of 220 percent. For the fourth quarter of fiscal 2002, Magma reported pro forma net income, excluding certain non-cash charges, of $1.0 million, or $0.03 per share, compared to a pro forma net loss of $9.1 million, or $0.92 per share, in the fourth quarter of fiscal 2001. Pro forma net income/loss represents net income excluding stock-based compensation charges.

In accordance with GAAP, Magma reported a net loss of $1.2 million, or $0.04 per share, for the fourth quarter of fiscal 2002, resulting principally from non-cash stock-based compensation expenses of $2.2 million.

For the fiscal year ended March 31, 2002, Magma reported revenue of $46.4 million, compared to $11.8 million for the fiscal year ended March 31, 2001, an increase of 291 percent. Magma reported a pro forma net loss of $8.6 million, or $0.50 per share, for the fiscal year ended March 31, 2002, excluding certain non-cash charges, compared to a pro forma net loss of $42.3 million, or $5.47 per share, for the same period ended March 31, 2001. Pro forma net loss represents net loss excluding stock-based compensation charges, certain non-cash interest charges and non-cash preferred stock dividends.

In accordance with GAAP, Magma reported a net loss of $35.8 million, or $2.07 per share, for the fiscal year ended March 31, 2002, compared to a net loss of $46.0 million, or $5.95 per share, for the same period ended March 31, 2001.

``In the fourth quarter and the year ended March 31, 2002, Magma continued to make great strides in our financial performance,`` said Rajeev Madhavan, chairman and CEO of Magma. ``We believe that our continued focus on delivering technology to customers to help them get their products to market enabled us to achieve this significant improvement in financial results.``

Magma`s conference call regarding its earnings for the fourth quarter of fiscal year 2002 will be April 24, 2002, at 5 p.m. EDT (2 p.m. PDT). Interested parties may listen via the Internet by logging on at Magma`s Web site: www.magma-da.com. A replay of the call will also be available on the Web beginning at 9 p.m. EDT April 24, 2002 and will be available until May 1, 2002. The replay will also be available by telephone:

United States & Canada: 800-642-1687, conference number 3568428

Outside U.S. & Canada: 706-645-9291, conference number 3568428

The replay will be available by telephone from 9 p.m. EDT on April 24, 2002 through May 1, 2002.

FORWARD-LOOKING STATEMENTS

Except for the historical information contained herein, the matters set forth in this press release, including statements regarding Magma`s expectations, beliefs or intentions regarding the future, statements regarding profitability, and statements regarding the ability of Magma`s technology to help customers get their products to market, are forward-looking statements within the meaning of the ``safe harbor`` provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from Magma`s current expectations. Factors that could cause or contribute to such differences include but are not limited to: changes in accounting rules; the impact recent terrorist activities may have on Magma, its customers and industry; the ability to successfully manage the company`s expanding operations; the ability to attract and retain the key management and technical personnel needed to operate Magma successfully; the ability to compete successfully in the integrated circuit design automation software market; the ability to continue to deliver products to customers to help them get their products to market; and the difficulty of predicting quarterly operating results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission (``SEC``) on February 14, 2002 and from time to time in Magma`s SEC reports. Magma disclaims any obligation to update these forward-looking statements.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), and Blast Noise(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

-0-


MAGMA DESIGN AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)

March 31, March 31,
2002 2001
ASSETS
Current assets:
Cash and cash equivalents $ 78,478 $ 14,713
Short-term investments 13,468 227
Accounts receivable 17,601 2,548
Prepaid expenses and other current assets 1,327 2,417
--------- ---------
Total current assets 110,874 19,678
Property and equipment, net 7,252 8,420
Other assets 1,583 1,191
--------- ---------
Total assets $ 119,709 $ 29,289
========= =========

LIABILITIES AND STOCKHOLDERS` EQUITY
(DEFICIT)
Current liabilities:
Accounts payable $ 1,777 $ 2,805
Accrued expenses 9,441 6,937
Deferred revenue, current 15,617 7,652
Notes payable to bank, current portion 227 1,657
--------- ---------
Total current liabilities 26,835 19,051

Notes payable to bank, non-current portion 227 29
Other long-term liabilities 130 533
--------- ---------
Total liabilities 26,965 19,613
--------- ---------
Redeemable convertible preferred stock 227 88,570
--------- ---------

Stockholders` equity (deficit):
Common stock 3 6
Additional paid-in capital 223,450 20,613
Deferred stock-based compensation (7,161) (7,753)
Notes receivable from stockholders (1,936) (134)
Accumulated deficit (121,612) (91,626)
--------- ---------
Total stockholders` equity (deficit) 92,744 (78,894)
--------- ---------
Total liabilities and stockholders`
equity (deficit) $ 119,709 $ 29,289
========= =========



MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET LOSS
(in thousands, except per share data)
(Unaudited)

For the Three Months Ended For the Three Months Ended
March 31, 2002 March 31, 2001
As Adjust- As As Adjust- As
Reported ments(1) Adjusted Reported ments(1) Adjusted
-------- -------- -------- --------- ------- --------
Revenue:
Licenses $ 12,344 $ 227 $ 12,344 $ 4,849 $ 227 $ 4,849
Services 3,889 227 3,889 221 227 221
-------- ------- -------- --------- ------- --------
Total revenue 16,233 16,233 5,070 5,070

Cost of revenue 2,624 227 2,624 2,124 227 2,124
-------- ------- -------- --------- ------- --------

Gross profit 13,609 227 13,609 2,946 227 2,946
-------- ------- -------- --------- ------- --------

Operating expenses:
Research and
development 4,759 227 4,759 5,841 227 5,841
Sales and
marketing 6,318 227 6,318 5,195 227 5,195
General and
administrative 1,910 227 1,910 1,194 227 1,194
Amortization
of stock-based
compensation 2,188 (2,188) 227 1,147 (1,147) 227
-------- ------- -------- --------- ------- --------
Total operating
expenses 15,175 (2,188) 12,987 13,377 (1,147) 12,230
-------- ------- -------- --------- ------- --------

Operating
income (loss) (1,566) 2,188 622 (10,431) 1,147 (9,284)
-------- ------- -------- --------- ------- --------

Interest income
(expense):
Interest income 517 227 517 221 227 221
Interest expense 227 227 227 (56) 227 (56)
-------- ------- -------- --------- ------- --------
Interest income
(expense), net 517 227 517 165 227 165
-------- ------- -------- --------- ------- --------
Net income (loss)
before income
taxes (1,049) 2,188 1,139 (10,266) 1,147 (9,119)
Income taxes (137) 227 (137) 56 227 56
-------- ------- -------- --------- ------- --------
Net income
(loss) $ (1,186) $ 2,188 $ 1,002 $(10,210)$ 1,147 $(9,063)
======== ======= ======== ========= ======= ========

Net income (loss)
per common share
226 basic $ (0.04) $ 0.03 $ (1.03) $ (0.92)
======== ======== ========= =======

Net income (loss)
per common share
226 diluted(2) $ (0.04) $ 0.03 $ (1.03) $ (0.92)
======== ======== ========= =======

Pro forma shares outstanding:
Basic 29,397 29,397 9,889 9,889
======== ======== ========= =======
Diluted(2) 29,397 32,797 9,889 9,889
======== ======== ========= =======


(1) The adjustments represent the reversals of the non-cash
stock-based compensation.

(2) Adjusted to include the impact of stock options and warrants as if
the options and warrants had been converted immediately upon their
issuance.



MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET LOSS
(in thousands, except per share data)
(Unaudited)

For the Year Ended For the Year Ended
March 31, 2002 March 31, 2001
As Adjust- As As Adjust- As
Reported ments(1) Adjusted Reported ments(1) Adjusted
-------- -------- -------- --------- ------- --------
Revenue:
Licenses $ 38,175 $ 227 $ 38,175 $ 11,270 $ 227 $ 11,270
Services 8,182 227 8,182 572 227 572
-------- ------- -------- --------- ------- --------
Total revenue 46,357 46,357 11,842 11,842

Cost of revenue 8,308 227 8,308 5,762 227 5,762
-------- ------- -------- --------- ------- --------

Gross profit 38,049 227 38,049 6,080 227 6,080
-------- ------- -------- --------- ------- --------

Operating expenses:
Research and
development 18,238 227 18,238 20,600 227 20,600
Sales and
marketing 22,928 227 22,928 21,566 227 21,566
General and
administrative 6,033 227 6,033 7,221 227 7,221
Amortization
of stock-based
compensation 6,794 (6,794) 227 3,744 (3,744) 227
-------- ------- -------- --------- ------- --------
Total operating
expenses 53,993 (6,794) 47,199 53,131 (3,744) 49,387
-------- ------- -------- --------- ------- --------

Operating loss (15,944) 6,794 (9,150) (47,051) 3,744 (43,307)
-------- ------- -------- --------- ------- --------

Interest income
(expense):
Interest income 1,036 227 1,036 1,392 227 1,392
Interest expense (186) 227 (186) (232) 227 (232)

Interest expense
- subordinated
convertible
promissory
notes (14,604) 14,604 227 227 227 227
-------- ------- -------- --------- ------- --------

Interest income
(expense), net (13,754) 14,604 850 1,160 227 1,160
-------- ------- -------- --------- ------- --------

Net loss before
income taxes (29,698) 21,398 (8,300) (45,891) 3,744 (42,147)
Income taxes (288) 227 (288) (138) 227 (138)
-------- ------- -------- --------- ------- --------

Net loss (29,986) 21,398 (8,588) (46,029) 3,744 (42,285)

Less: preferred
stock dividend (5,814) 5,814 227 227 227 227
-------- ------- -------- --------- ------- --------
Net loss
attributable
to common
shareholders $(35,800)$ 27,212 $ (8,588) $(46,029)$ 3,744 $(42,285)
======== ======= ======== ========= ======= ========

Net loss per common share 226basic
and diluted $ (2.07) $ (0.50) $ (5.95) $ (5.47)
======== ======== ========= =======

Pro forma shares
outstanding 17,258 17,258 7,733 7,733
======== ======== ========= =======

(1) The adjustments represent the reversals of non-cash stock-based
compensation, non-cash interest expense, including amortization of
debt discount and the non-cash preferred stock dividend.




--------------------------------------------------------------------------------
Contact:
Magma Design Automation, Inc.
Robert A. Sheffield, 408/864-2096
[e-mail]
Milan G. Lazich, 408/864-2023
[e-mail]

[Allure]

Magma Appoints D`gipro as Distributor in India
CUPERTINO, Calif.--(BUSINESS WIRE)--April 26, 2002--Magma Design Automation Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, today announced the appointment of a new distributor for India. D`gipro Design Automation & Marketing Pvt. Ltd. will provide sales and technical support for all Magma products. D`gipro, established in 1987, is recognized as a leading electronic design automation (EDA) solutions provider in India for ASIC, FPGA & system-level design tools.

D`gipro was the distributor for Synopsys in India from 1991 until 2001, said S. Ramachandran, managing director of D`gipro, adding "But we expect Magma`s advanced and complete IC design flow to be more desirable for our customers because it is a truly integrated design flow. We are very pleased to focus on promoting and delivering Magma products." D`gipro has also been in the forefront of VLSI training for many years in India.

D`gipro has a strong team of sales, marketing and technical professionals. "The company insists on rigorous training, professional workshops, and market updates," Ramachandran said. "This is what has enabled us to provide excellent services and support to our customers."

"D`gipro`s reputation in the India market for quality and post-sales technical support is unmatched by any other company in India," said Lung Chu, Magma`s vice president, Asia-Pacific sales. "D`gipro has many years of experience in the EDA business and knows the India electronics and semiconductor industry well. With many design services companies and multi-national corporations in India moving into the area of IC physical implementation design, India is an emerging and important market for Magma in the Asia-Pacific region. D`gipro is an excellent partner for Magma to deliver its advanced EDA solutions to address RTL-to-GDSII IC design needs and greatly improve productivity for our customers in India."

For more information on D`gipro, visit www.dgipro-automation.com.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to eliminate the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that D`gipro`s technical support and the benefits and features of Magma products will greatly improve productivity for Magma customers, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, market acceptance of Magma products and the continued ability of D`gipro to provide superior technical services, and other risks detailed in Magma`s Quarterly Report on Form 10-Q for the quarter ended December 31, 2001 filed with the SEC on February 14, 2002. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027 (Marketing Comm. Manager)
[e-mail]

[Allure]

Magma Adds Goya to MagmaTies Certified Design Center Program
CUPERTINO, Calif.--(BUSINESS WIRE)--April 29, 2002--Magma Design Automation, Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, today announced that Goyatek Technology Inc. (Goya) has joined the MagmaTies Certified Design Center program. A leading provider of ASIC design services in Taiwan and a Design Center Alliance (DCA) member of Taiwan Semiconductor Manufacturing Company (TSMC), Goya offers best-in-class system-on-chip (SoC) design, layout, and IP services and complete turnkey design solutions. With the certification of Goya, Magma ensures the availability of expert design services to complement its complete RTL-to-GDSII integrated circuit (IC) implementation flow.

"Goya is a leading provider of design services with expertise in advanced process technologies, SoC design and ASIC design. As our customers move their designs to 0.18-micron and finer process geometries, they face design challenges that traditional synthesis and place & route point-tool flows cannot address," said Tony Peng, vice president of Goya. "As a Magma certified design center, we will be ready to offer our customers the performance and time-to-market benefits of the Magma RTL-to-GDSII solution."

"Magma provides a revolutionary technology for timing closure that fits especially well for design beyond deep sub-micron processes," said Nai-Yin Sung, CAD director of Goya. "We will be well trained and well equipped to handle multimillion-gate count SoCs and advanced technologies such as 0.13-micron design."

Goya is an early adopter of TSMC`s advanced technologies. Among all TSMC`s Design Center Alliances in Taiwan, Goya was the first to support customers in completing both 0.18-micron and 0.25-micron designs. Early in January 1999, Goya taped out its first 0.25-micron design for a customer. By May 2000, Goya completed its first 0.18-micron tape-out.

"We are pleased to add Goya to our growing list of certified design centers," said Roy E. Jewell, president and COO of Magma. "With its focus on high-quality service, broad design experience and expert debugging skills, Goya fills an important space in our worldwide network of service providers."

About MagmaTies

Through the MagmaTies program, Magma and its partners work together to promote interoperability between Magma`s systems and other EDA software, and to develop proven methodologies for getting complex designs to silicon quickly and efficiently. The MagmaTies Design Center Certification program provides members access to Magma solutions, dedicated technical support and sales opportunity referrals. To become a certified member, companies must excel in logical or physical design and be able to provide positive customer references. Prospective members must also complete technical seminars and demonstrate proficiency using Magma tools.

With access to Magma software and training, certified Magma Design Centers can offer their customers comprehensive RTL-to-GDSII design capabilities. MagmaTies is open to companies that offer ASIC and semiconductor foundry services, complementary EDA software, design automation libraries, reusable designs and intellectual property (IP), and design services. For information on the MagmaTies program, please e-mail [e-mail].

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to eliminate the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

About Goyatek Technology Inc.

Goyatek Technology Inc. (also known as Goya), was founded in 1998. Goya provides Automatic Placement & Routing service to TSMC`s customers as well as SoC/ASIC turnkey service and intellectual property services.

Goya passed the certification of ISO 9001:2000 in May 2001. Through an alliance with MOSIS, a leading MPW service partner, Goya provides stable, reliable and cost-effective MPW solutions. Goya provides various digital & mixed-signal IP design services, such as special I/O, high-speed I/O, ADC/DAC, PLL, etc. Goya also has broad experience in SoC (System on Chip) physical integration.

With IP service and DFT solution services, Goya assist clients in SoC design and integration. Goya focuses on services based on TSMC`s foundry, offering advance services in line with TSMC`s advance process technologies. Goya concentrates on leading the service technology industry, offering best-in-class service and becoming a "Virtual Design Team."

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Goya will be trained and equipped sufficiently to handle 0.13-micron or any other integrated circuit design, and that they will be able to offer customers the performance and time-to-market benefits of the Magma RTL-to-GDSII solution, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Goya to utilize Magma software products to design integrated circuits for its customers, and other risks detailed in Magma`s Quarterly Report on Form 10-Q for the quarter ended December 31, 2001 filed with the SEC on February 14, 2002. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]
or
Goyatek Technology Inc.
Adam Kao, [phone]
[e-mail]

[Allure]

Magma Reports 100+ Customer Tape-Outs
CUPERTINO, Calif.--(BUSINESS WIRE)--April 30, 2002--Magma Design Automation Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, today announced the number of tape-outs by its customers has passed 100 designs. Companies who used Magma products to achieve tape-outs include ASIC manufacturers, semiconductor foundries and integrated device manufacturers (IDMs).

"In less than a year, the number of Magma customer tape-outs has more than tripled. I am obviously quite delighted we reached this milestone so quickly," said Rajeev Madhavan, chairman and CEO of Magma Design Automation. "Magma`s customers, many of which have truly accomplished names within the semiconductor industry, have taped out designs as large as 20 million gates and as fast as 1 Ghz using some of the most advanced deep submicron process geometries. It`s gratifying for us to be relied on by such luminary companies."

Among the companies completing these first 100 tape-outs are Agere Systems, Broadcom, Fujitsu, Imagination Technologies, Infineon, Matsushita, NEC, Texas Instruments and Vitesse Semiconductor.

"We established our in-house physical design flow using Magma`s solutions and have successfully completed several designs using Blast Fusion, including a 15 million-transistor multithreaded DSP processor design that we designed flat," said Jim Whittaker, vice president of development at Metagence Technologies, a division of Imagination Technologies. "We`re very pleased with the high capacity and first pass silicon successes we`ve achieved with Blast Fusion."

About the Magma IC Implementation System

Magma`s Blast Fusion provides a complete netlist-to-GDSII design flow for cell-based ICs. Blast Fusion includes optimization, place and route, useful skew clock generation, floorplanning and power planning, RC extraction and a single, built-in incremental timing analyzer. Blast Chip is an RTL-to-GDSII chip design and implementation system. It includes all Blast Fusion capabilities and handles the synthesis, placement and routing of very large, high-performance chips and blocks. Blast Noise adds automatic signal integrity analysis and avoidance to the Blast Fusion / Chip flow. Blast Plan, Magma`s hierarchical design planning system, provides complete top-down and bottom-up hierarchical design support for complex multimillion-gate chip design projects.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission ("SEC") on February 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc., Cupertino
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma Introduces Blast Prototype for Silicon Virtual Prototyping
Accurate Physical Modeling At the RTL Level Shortens Time to Market
CUPERTINO, Calif.--(BUSINESS WIRE)--April 30, 2002--Magma Design Automation Inc. (Nasdaq: LAVA - news), a provider of chip design solutions, today introduced Blast Prototype(TM), a silicon virtual prototyping (SVP) solution that accurately estimates silicon-level performance at the RTL level. Blast Prototype enables logic designers to analyze and improve the quality of the RTL they hand off to the downstream tool, which results in a predictable path to timing closure and a shorter design cycle. Integrating Magma`s production-proven gain-based synthesis, SuperCells(TM), abstracted physical synthesis, timing analysis and hierarchical design capabilities, Blast Prototype generates highly accurate prototypes and allows extensive design exploration to eliminate costly and time-consuming design iterations.

"The Silicon Virtual Prototype has three major functions," said Gary Smith, chief analyst for the Electronic Design Automation Worldwide program in Gartner Dataquest`s Design and Engineering Group. "First, it becomes the primary design cockpit. Second, it provides the information necessary for an RTL handoff to an ASIC vendor or third-party design house. Third, and today the most important, it drives the IC implementation tools. Engineers have found that no matter how good the IC Implementation tool set, they still can suffer from the old `garbage in, garbage out` problem."

A Complete Silicon Virtual Prototyping Flow

The advantage of Blast Prototype is that it performs all three functions. It enables designers to explore the architecture, constraints, design IP, logical hierarchy and partitioning choices at the RTL or netlist level. It can drive the logic synthesis process with accurate constraints for the logic partitions. Or it can drive the physical implementation process with a final detailed floorplan and accurate timing and topological budgets for top-level physical blocks.


Fast and Reliable Prototyping with Gain-based Synthesis and
SuperCells

Like Magma`s full IC implementation solution, Blast Prototype uses gain-based synthesis and SuperCell abstracts, enabling it to synthesize several million gates at a time and generate an Early Silicon Performance (ESP) report. SuperCells are functional placeholder cells with variable sizes and fixed delay. The delay budget assigned to a SuperCell is referred to as its gain value. Blast Prototype generates an ESP report that gauges the post-layout timing feasibility of the design based on the virtual prototype placement and routing. An Endpoint Gain Report is also generated that identifies problematic paths. An endpoint with a low gain indicates a challenging delay requirement that may prevent the design from meeting timing. With the information in this report, the logic designer can address these issues before handing off the design for implementation.

"Magma`s Early Silicon Performance analysis has already saved NEC Electronics a considerable amount of time by enabling us to quickly identify and report potential problems back to our customers` logic designers," said Stuart Hamilton, director, design support, Design Execution Center, NEC Electronics Inc. "Blast Prototype has empowered us to physically analyze each design and give feedback to our customers` logic designers, which allows them to improve the quality of their handoff-to-implementation. Our experience has shown it to provide a higher level of confidence that performance goals can be achieved."

Seamless Fit with Magma and Third-Party Flows

Blast Prototype outputs netlist, floorplan and constraints in industry-standard data formats and can be used in third-party flows. Logic designers can get early feedback on the estimated performance of their designs and drive commonly used synthesis tools with the partitions and SDC constraints generated by Blast Prototype.

When used in conjunction with Blast Fusion, Blast Prototype offers additional benefits. Magma`s gain-based approach ensures that the decisions made during the prototyping and planning phases are retained in the unified data model and guide the implementation. This allows the designer to hand off the design with confidence that performance estimates generated by Blast Prototype will be achieved by Magma`s IC implementation solution.

Pricing and Availability

Blast Prototype will be available for both the Solaris and Linux operating systems. Pricing starts at $295,000 per year for a 3-year time-based license. Contact Alok Mehrotra for more details: [e-mail] or at [phone].

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), and Blast Noise(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Create, Blast Fusion, Blast Noise, Blast Plan , Blast Prototype, Diamond SI and SuperCell are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Blast Prototype, its ability to generate accurate prototypes, improve the RTL handoff, and allow design exploration and eliminate iterations, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, whether technical problems will impede the ability of Blast Prototype to provide desired results; and market acceptance of Blast Prototype. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission ("SEC") on February 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma Announces That STMicroelectronics has Selected Blast Chip Technology for Its Deep Submicron RTL-to-GDSII ASIC Design Flow
CUPERTINO, Calif.--(BUSINESS WIRE)--May 1, 2002--Magma® Design Automation Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, announced today that STMicroelectronics has entered into an agreement to license Magma`s RTL-to-GDSII flow, including signal integrity capability, for deep-submicron ASIC design. Under this agreement, STMicroelectronics will deploy Magma`s design software worldwide. This agreement follows ST`s in-depth evaluation of Magma technology over the last year, including several pilot projects aimed at defining a more productive design flow for ST`s 0.18-micron and smaller technologies.

As part of the agreement, STMicroelectronics will develop Magma flow support for its 0.13-micron and 0.09-micron process technologies.

STMicroelectronics has successfully completed more than six designs using Magma software to date and already has working silicon. The projects selected by ST were chosen to evaluate various different aspects of ASIC design from high-speed, high-density designs, to multimillion-gate SoC products.

In one particular design using ST`s HCMOS8D 0.18-micron technology, ST engineers simultaneously achieved improvements of 5 percent in critical path speed, 13 percent in standard cell area, 28 percent in average power, 53 percent in peak power, 46 percent in clock tree components and 97 percent in turnaround time when compared to the current in-house flow.

"Magma`s software gives us a substantial increase in productivity. We believe that Magma`s unified data model, seamless tool integration and technology strength will help ST to solve the increased technical challenges at or below 0.13-micron. In particular Magma offers a unique solution for the design productivity challenges specific to these geometries," said Philippe Magarshack, group vice president for Design Automation, Central Research and Development at STMicroelectronics.

"After defining the floor-plan and a trial run, successive implementations of a complex design, which consisted of 800K logic gates and incorporated an ARM9E core and USB2 interface, were completed in a single pass and within a single day. This was an impressive improvement in time scale," said Giacomo Piccini, general manager of the Digital and Analog Semicuston Division of STMicroelectronics` Telecommunications and Peripherals/Automotive Groups.

"We`re happy to be expanding our relationship with one of the world`s largest semiconductor manufacturers," said Roy Jewell, president and COO of Magma Design Automation. "Teaming with STMicroelectronics to integrate Magma`s products into its design flows will help us continue to deliver leading design solutions."

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Forward-Looking Statements

Except for the historical information contained herein, the matters set forth in this press release, including statements that STMicroelectronics intends to deploy Magma products worldwide, will develop Magma flow support, and that Magma products will help ST to solve technical challenges are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the risk that technical problems could impede the development of ST`s Magma flow support and affect the timing and extent of the planned deployment of Magma products to STMicroelectronics` design groups worldwide. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission ("SEC") on February 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
Marketing Communications Manager
[e-mail]

[Allure]

Multilink Partners with Magma Design Automation for Design of Next Generation VLSI Products
Multilink`s 0.13-Micron COT Flow to Include Magma`s Hierarchical Planning, Integrated Implementation and Automatic Signal Integrity Avoidance Technology
SOMERSET, N.J.--(BUSINESS WIRE)--May 1, 2002-- Multilink Technology Corporation (Nasdaq: MLTC - news), a leading provider of advanced semiconductor-based solutions that accelerate the deployment of high-speed optical networks, today announced that it is collaborating with Magma Design Automation, Inc. (Nasdaq: LAVA - news), a provider of chip design solutions, on the design of next generation Very Large Scale Integration (VLSI) products using CMOS technologies at 0.13 micron and below.

The two companies will combine Multilink`s systems knowledge and design capabilities with Magma`s physical design technology to develop flows and techniques that meet time to market demands and accelerate the production of superior performance VLSI products for the communications market.

"By leveraging Magma`s Blast Fusion(TM) physical design system and Blast Noise(TM) signal integrity technology, Multilink is able to reduce the time required for the design phase and continue its superior performance while meeting the critical time-to-market needs of Multilink`s customers," said William Reinisch, executive director of technology. "Magma`s integrated approach allows Multilink to meet critical timing requirements and by combining Magma`s superior technology with their top-tier customer support, Multilink will be able to deliver high performance with extremely short development cycles for next generation communications systems."

"At 0.13-micron, chip designers need a robust, integrated system that can handle large complex designs, provide accurate feedback on design performance early in the flow, and address signal integrity during layout without compromising timing or delivery schedules," said Bob Smith, vice president of product marketing for Magma. "We`re very pleased that Multilink recognizes the value of our solution and has chosen to standardize on Magma for its 0.13-micron COT flow."

About the Magma IC Implementation System

Magma`s Blast Fusion is a complete netlist-to-GDSII chip implementation system that includes optimization, place and route, useful skew clock generation, floorplanning and power planning, RC extraction and a single, built-in incremental timing analyzer.

Based on Magma`s patent-pending unified data model and FixedTiming® methodology, Blast Fusion eliminates timing closure iterations and accelerates time to market for large, complex deep-submicron designs. Blast Noise adds automatic signal integrity analysis and avoidance to the Blast Fusion flow.

Blast Plan, Magma`s hierarchical design planning system, provides complete top-down and bottom-up hierarchical design support for complex multimillion-gate chip design projects.

Multilink VLSI Product Information:

Multilink recently announced their latest VLSI product, the MTC6131. Multilink`s 10 Gb/s, Super Forward Error Correction (SuperFEC(TM)), digital wrapper device, the MTC6131, is an integrated device featuring full SONET/SDH section overhead processing, G.709 Digital Wrapper including Reed Solomon RS(255,239) FEC and SuperFEC(TM) for additional code gain.

The SuperFEC(TM) advantage allows customers substantially more coding gain than the standard RS FEC currently being used in optical networks.

About Multilink:

Multilink Technology Corporation designs, develops and markets advanced-mixed-signal integrated circuits, modules, VLSI products and higher-level assemblies designed to enable the next generation of high-speed optical networking systems.

By providing our customers with sophisticated products developed by utilizing systems level expertise and a high level of component integration, we facilitate our customers` ability to meet their time-to-market requirements. Our products span the markets from Metro to Ultra Long Haul optical transport equipment with a focus on the fastest commercially available speeds of 10 Gb/s and higher.

Multilink is headquartered in Somerset, New Jersey with additional offices located throughout North America and Europe.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design.

The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to eliminate the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom.

The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Safe Harbor Statement:

This release may contain forward-looking statements that are based on our current expectations, estimates and projections about our industry, and reflect management`s beliefs and certain assumptions made by us based upon information available to us at this time. Words such as "anticipates," "expects," "intends," "plans," "believes," "seeks," "estimates," "may," "will" and variations of these words or similar expressions are intended to identify forward-looking statements. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances, including any underlying assumptions, and statements about the features and benefits of both companies` technologies and the advantages they will deliver to customers, are forward-looking statements. These statements speak only as of the date hereof. Such information is subject to change, and we will not necessarily inform you of such changes. These statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict, including, but not limited to, market acceptance of the companies` products, technological changes and other risks detailed in the companies` reports filed with the SEC from time to time. Therefore, actual results could differ materially and adversely from those expressed in any forward-looking statements as a result of various factors.

Multilink`s recent annual report on Form 10-K, Registration Statement on Form S-1 and other SEC filings discuss some of the important risk factors that may affect Multilink`s business, results of operations and financial condition. Other risks are detailed in Magma`s Quarterly Report on Form 10-Q for the quarter ended December 31, 2001 filed with the SEC on February 14, 2002. Neither company undertakes an obligation to revise or update publicly any forward-looking statements for any reason.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:

Multilink Technology Corporation, Somerset
Dan Butler, 732/537-3838
Fax: [phone]
[e-mail]
or
LNS Communications for Multilink
Jennie Tinkelman, 617/577-9777
Fax: [phone]
[e-mail]
or
Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[tereesa]

Magma`s Blast Fusion and Blast Noise Software Selected by Intersil
Intersil will use Blast Fusion and Blast Noise for ARM core-based 0.13-micron design methodology
CUPERTINO, Calif.--(BUSINESS WIRE)--May 7, 2002--Magma® Design Automation, Inc. (Nasdaq:LAVA - news), a provider of chip design solutions, today announced that Intersil (Nasdaq:ISIL - news), a global leader in designing innovative wireless networking and high-performance analog solutions, has licensed Magma`s Blast Fusion(TM) and Blast Noise(TM) software for digital integrated circuit (IC) design. Intersil selected Blast Fusion and Blast Noise after completing several successful benchmarks, including an ARM946E-S(TM) core. With Magma`s software, Intersil was able to increase the speed, minimize the area and reduce the implementation time of the ARM(TM) core. Intersil now plans to use Magma products for its next-generation 0.13-micron digital and SOC (system on a chip) design methodology, which is mainly ARM core based.

As a result of this project, ARM ((LSE:ARM); (Nasdaq:ARMHY - news)), the industry`s leading provider of 16/32-bit embedded RISC processor solutions, is reviewing the implementation improvements Intersil achieved using the Magma flow.

"Magma`s integrated solution satisfied our critical requirements and their support was outstanding," said Glenn Dooley, senior engineering manager for Wireless Networking at Intersil. "We achieved better timing in a smaller die size, and turnaround time was much faster than with our conventional point tool flow. As we move to 0.13-micron, Blast Noise`s ability to avoid and repair signal integrity violations during the implementation flow will be very valuable."

"We have been watching Magma gain momentum and bring value to our mutual partners," said Dr. John Goodenough, Global Design Methodology manager at ARM. "We are committed to enabling the success of our partners and fully support the work Intersil and Magma have done to ensure smooth implementation of our cores through the Blast Fusion system," he added.

"We are very pleased with Intersil`s success using our design system. Their ability to deliver an improved ARM core implementation is further validation of our system`s capabilities," said Rajeev Madhavan, chairman and CEO of Magma. "We look forward to continuing to work with Intersil, a leader in the fast-growing wireless networking market and ARM, a leader in embedded processor solutions, and to contributing to their success."

About Intersil

Intersil is a global leader in designing innovative wireless networking and high performance analog solutions that enable wireless access to video, data and voice in homes, offices and public places. Creating advanced power management products, Intersil provides reliable solutions for file servers, portable information appliances and over half of all computer microprocessors manufactured today. With a rich high performance analog and mixed signal portfolio, Intersil brings added value in providing complete silicon, software and reference design solutions to new products that bring portable connectivity to people wherever they live, work or travel. Headquartered in Irvine, California, Intersil has offices in cities throughout the US, Europe and Asia. For more information about Intersil or to find out how to become a member of our winning team, visit the company`s Web site and career page at www.intersil.com

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

ARM is a registered trademark of ARM Limited. ARM946E-S is a trademark of ARM Limited. All other brands or product names are the property of their respective holders. "ARM" is used to represent ARM Holdings plc (LSE: ARM and Nasdaq: ARMHY); its operating company ARM Limited; and the regional subsidiaries ARM INC.; ARM KK; ARM Korea Ltd.; ARM Taiwan; and ARM France SAS.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Intersil will use Magma products for its 0.13-micron design methodology, that Blast Noise will be valuable for this methodology, and that Magma will contribute to Intersil`s success, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, whether technical problems will impede the ability of Magma products to provide desired results or Intersil`s ability to move to .013-micronn, or whether the two companies choose to continue to work together. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission ("SEC") on February 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma Named to the Red Herring 100
Recognized by Red Herring Editors for Innovation and Business Strategy
CUPERTINO, Calif.--(BUSINESS WIRE)--May 13, 2002--Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, announced today its inclusion in the Red Herring 100 as selected by the editors of Red Herring, the premier magazine of business technology and innovation.

The Red Herring 100 recognizes the top 50 public and the top 50 private companies whose services, business models, products and quality of management define business innovation. It previews the leaders of tomorrow in a number of key technology-related sectors, including software, biotechnology, wireless, communications services, media, hardware, nanotechnology, consumer electronics and energy.

"It`s very gratifying to be recognized this way by the editors of Red Herring magazine," said Rajeev Madhavan, chairman and CEO of Magma. "Our employees have worked very hard to achieve the successes of the past year -- record revenue growth and our initial public offering in November -- and it`s very nice to have those efforts recognized."

In its sixth year, the Red Herring 100 has become the most respected list of its kind. Red Herring editors compile the list by using the same combination of subjective insights and hard metrics favored by venture capitalists and investment bankers. These factors predict a company`s ability to disrupt existing markets or create entirely new ones.

The Red Herring 100 is featured in the June 2002 issue of Red Herring magazine and is also available on www.redherring.com. It includes a short profile of Magma.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended Dec. 31, 2001 filed with the Securities and Exchange Commission ("SEC") on Feb. 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation Inc.
Monica Marmie, 408/864-2027

[Allure]

Fujitsu Uses Blast Fusion to Achieve One-Pass Silicon Success On ASIC & SoC Designs
Magma`s Integrated Implementation System With Built-in Signal Integrity Technology Delivers a Superior Design Closure Flow
CUPERTINO, Calif.--(BUSINESS WIRE)--May 14, 2002-- Magma® Design Automation, Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that Fujitsu Limited of Japan has achieved one-pass silicon success using Blast Fusion(TM) and Blast Noise(TM) on a number of ASICs and SoCs (systems on chip), including a 4-million-gate, 0.18-micron design. The designs have been implemented in Fujitsu`s CS71 and CS81 processes and are targeted for Japan`s high-volume consumer products.

Last year, Fujitsu deployed ASIC and SoC flows based on Magma`s Blast Fusion physical design system and the Blast Noise signal integrity technology. Since then Fujitsu has taped out several next-generation designs using these flows. Fujitsu selected Blast Fusion and Blast Noise for ASIC and SOC designs knowing the size and complexity of their designs would make meeting timing and managing signal integrity a challenge.

Blast Fusion`s powerful clock tree synthesis allowed Fujitsu to implement clock trees with useful skew on critical paths. By delaying the clock arrival to the receiving register and speeding up the clock arrival to the launching register, Blast Fusion made more time available on critical paths and ensured timing closure.

Integrating Blast Fusion`s implementation and Blast Noise`s signal integrity avoidance and repair capabilities, Fujitsu was able to further streamline the place-and-route process. Fujitsu had very stringent noise and delay specifications and ensuring that all crosstalk noise and crosstalk delay problems were eliminated was very critical. Blast Noise`s signal integrity avoidance and repair capabilities not only eliminated all the noise and delay violations, but did so in a single pass. Ultimately, the ability to address DRC/LVS and antenna rule checking, crosstalk noise and crosstalk delay throughout the implementation flow without layout-to-synthesis iterations reduced Fujitsu`s design closure cycle and enabled them to deliver the working samples on time.

"Under current economic conditions, time to market, productivity and predictability are the key attributes for success and survival," said Mr. Yoshinori Hatano, a general manager of the CAD system division at Fujitsu Limited. "Magma`s innovative technology and single, unified data model provides predictable design closure. This comprehensive design methodology combines logical and physical design with signal integrity avoidance and repair capabilities, making it suitable for high-volume and high-value designs. With Magma`s technology, Fujitsu is able to meet internal and end-customer requirements for robust and reliable silicon that works the first time. Our joint teams have worked closely to implement this methodology and to build predictability into the ASIC and SoC design process. With the completion of these designs, our early assessment of Magma`s solutions has proved to be correct."

"The Fujitsu-Magma team is very proud of these results. We are pleased to be able to bring measurable value to our strategic customer and our customer`s customer," said Seiji Miwa, president of Magma Japan. "We will continue to work with Fujitsu to deliver more successful designs."

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products and that Magma will continue to work with Fujitsu to deliver more successful designs, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, whether Magma will continue to work with Fujitsu to deliver more successful designs, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission ("SEC") on February 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



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Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Vitesse Semiconductor Standardizes on Magma RTL-to-GDSII Flow
Blast Chip and Blast Plan Enable Vitesse to Deliver Higher Performance and Smaller Area While Minimizing the Design Cycle
CUPERTINO, Calif.--(BUSINESS WIRE)--May 15, 2002-- Magma® Design Automation, Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that Vitesse has standardized on Magma`s RTL-to-GDSII integrated circuit (IC) implementation flow. Vitesse selected Magma as its electronic design automation (EDA) tool provider of choice after achieving better performance, reduced area and shorter design cycles on a number of designs using the Blast Chip(TM) integrated synthesis and place & route system and the Blast Plan(TM) hierarchical design solution.

"As a leading provider of next-generation networking and optical communications ICs, our customers expect a robust combination of high speed and integrated functionality," said Lou Tomasetta, president and CEO of Vitesse. "Having proven its ability to help us deliver for our customers, we are now leveraging the Magma-based design flow as a strong competitive advantage for our business."

"We are very pleased that Vitesse has confirmed that our integrated RTL-to-GDSII system can meet performance requirements that conventional point tool flows can`t," said Rajeev Madhavan, chairman and chief executive officer of Magma Design Automation. "We`ve worked very closely with them to ensure their success and believe that their decision to standardize on our solution is a strong testament to our system`s ability to address the semiconductor industry`s toughest challenges."

The Vitesse RTL-to-GDSII Success

Blast Chip provided Vitesse with a complete RTL-to-GDSII design solution in a single executable. The production designs completed using Blast Chip include a 622 MHz, 100K-gate block, and another complex design with 500K placeable objects (approximately 2 million gates) and 160 RAM macros. Magma was able to meet timing and complete the design in just six weeks for Vitesse.

"With its gain-based synthesis approach and single data model, Blast Chip can reliably achieve timing closure and handle much larger blocks than traditional synthesis tools," said Bob Cutter, vice president of manufacturing at Vitesse. "These capabilities enabled us to avoid time-consuming and error-prone data transfers between independent synthesis and place & route tools and to optimally partition the design to simplify routing."

Vitesse Streamlines Its Hierarchical Design Flow

Blast Plan`s hierarchical design capabilities were key to the successful completion of a Vitesse crossbar switch. The 17-million-gate, 311 MHz, 64 x 64 design contained nine unique blocks and five macros, some of which were instantiated multiple times in the design. Magma`s patent-pending GlassBox(TM) abstraction allowed Vitesse to make changes to the design and obtain top-level timing updates in just 30 minutes. Using a 32-bit Linux machine and Magma`s design flow, Vitesse performed top-level placement, routing, buffer insertion and clock tree generation. This powerful hardware and software solution allowed them to perform top-level assembly in real-time, running commands and quickly seeing the impact. Also, because Magma`s unified datamodel is fully accessible through a Tcl interface, Vitesse was able to optimize the datapaths in the design, achieving nearly 100 percent utilization on each crossbar switch node.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

About Vitesse

Vitesse Semiconductor Corporation is a leading designer and supplier of innovative, high-performance integrated circuits (ICs) and optical modules used in next generation networking and optical communications equipment. The Company`s products address the needs of Enterprise, Access, Metro, Core, and Optical Transport network equipment manufacturers who demand a robust combination of high-speed, high-service delivery and low-power dissipation in their products. In concert with its broad communications product portfolio, Vitesse also develops ICs for storage area networking and enclosure management. Vitesse is headquartered in Camarillo, Calif, and operates two fabrication facilities: one in Camarillo and one in Colorado Springs, Colo. Company and product information is available by calling 1-800-VITESSE or at www.vitesse.com.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype, Diamond SI and GlassBox are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products and Vitesse`s ability to leverage the Magma flow as a competitive advantage, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Magma`s products to produce the desired results and the abilities of Magma and Vitesse to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission ("SEC") on February 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



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Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma`s Blast Chip Licensed by SYCS
SYNPUTER Maker Chooses Magma for RTL-to-GDSII Design Flow
CUPERTINO, Calif.--(BUSINESS WIRE)--May 17, 2002--Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, announced today that Synergetic Computing Systems (SYCS) has licensed Magma`s Blast Chip(TM), a complete RTL-to-GDSII design system that uses gain-based synthesis and advanced place and route technology. SYCS has developed and patented a very innovative and powerful combined RISC and DSP multiprocessor architecture called the SYNPUTER®. SYCS now intends to use Magma`s system to get the architecture design to tape-out and demonstrate performance levels.

Magma`s ability to quickly deliver an entire design flow from RTL to GDSII based on its unique FixedTiming® methodology, its proven 0.13-micron design capability and relationships with multiple leading ASIC foundries were compelling technological reasons for SYCS to select Magma. Further, the Magma platform and technology offer some unique capabilities for getting not only to an optimal throughput performance quickly, but also to reach some very demanding low-power benchmark levels. This is important for SYCS since the first target applications are for very low-power applications.

"Magma will provide tremendous reduction in turnaround time because it offers synthesis linked with physical design," said Stig Lofberg, chief executive officer of SYCS. "This turnaround advantage is something that is absolutely critical and vital for a new start-up like us," he added.

"Key added value of Magma was the ability to quickly and accurately predict timing and estimate power reliably, combined with the fact that it is a tool that has virtually all synthesis and place & route design functions in the same environment," said Soren Jessen Nielsen, SYCS`s chief operating officer.

"We expect that Magma`s unique timing closure and SuperCell(TM) technology will give us not only an optimal design in terms of clock frequency, but also result in a compelling low-power design," said Jens Sparso, associate professor of Informatics & Mathematical Modeling for Computer Science Technology at the Technical University of Denmark, and close technical adviser to SYCS.

"Advanced technology applications such as SYCS`s can test the limits of most design software," said Rajeev Madhavan, chairman and chief executive officer of Magma. "This is yet another demonstration of how the true integration of Magma`s synthesis with physical design helps our customers meet demanding market requirements by offering superior technology."

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

About SYCS

SYCS is a Copenhagen-headquartered fabless chip company, with R&D in St. Petersburg, Russia, that has developed and patented an innovative new true multi-processor chip architecture/technology solution called the "SYNPUTER," which addresses multiple future high-end computing challenges. The new architecture principles are based on a pure MIMD (Multiple Instructions -- Multiple Data) parallel multi-processor architecture combined with asynchronous (or self-clocked/clockless) data-driven operational mode. The SYNPUTER is a unique combination of both a "control flow" and a "data flow" in the same computing architecture. A base configuration of one SYNPUTER core is able to deliver up to 6,000 MIPS depending on algorithm structure. This is achieved with not only a low clock-frequency but also a very modest gate count.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products, and statements that SYCS will tape out the Synputer architecture with Magma`s system and that Magma`s system will reduce turnaround time and give optimal clock frequency and low-power, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, SYCS`s ability to complete the Synputer design, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended Dec. 31, 2001 filed with the Securities and Exchange Commission ("SEC") on Feb. 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Magma Announces NEC Electronics has Completed Two Complex Networking ICs Using Magma`s Blast Fusion and Blast Noise
Magma`s high capacity, automatic clock shielding and useful clock skew enabled NEC Electronics to achieve timing closure and avoid signal integrity violations without iterations
CUPERTINO, Calif.--(BUSINESS WIRE)--May 20, 2002-- Magma® Design Automation, Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that NEC Electronics Inc. has implemented two complex networking designs using Magma`s Blast Fusion(TM) and Blast Noise(TM) software. NEC Electronics has received working silicon and has validated the results delivered by the Magma solution for two 0.18 micron integrated circuits -- a 250MHz, 2.8-million-gate design and a 125MHz, 720K-gate design. Despite large gate counts and strict timing requirements, NEC Electronics was able to achieve timing closure without multiple iterations through synthesis, and could address signal integrity during the implementation flow, significantly reducing the design cycles for these integrated circuits. With Blast Fusion`s high capacity, NEC Electronics was able to implement the designs, including clock shielding, with one system and a flat methodology, shortening design time by eliminating the need to transfer files between tools and partition and reassemble the design.

"Late last year, NEC Electronics` U.S. design centers deployed Blast Fusion and Blast Noise for one of NEC`s standard ASIC design flows," said John Fallin, general manager for the Design Execution Center at NEC Electronics. "For these two networking designs, Blast Fusion quickly provided accurate post-layout timing information, giving us confidence that we could meet timing. Avoiding signal integrity violations was also critical for these designs, and we found the Blast Fusion and Blast Noise solutions to reduce occurrences of crosstalk and electromigration."

Magma`s Correct-by-Construction Approach Avoids Signal Integrity Violations

Magma`s Blast Fusion and Blast Noise solutions work together to ensure better performance and to reduce potential signal integrity and reliability problems early in the design flow. The FixedTiming® methodology enables dynamic cell selection, which automatically equalizes slew rates and gate currents, resulting in fewer crosstalk problems and more consistent cell currents. Built in timing optimization also helps prevent crosstalk, electromigration and power consumption issues. In addition, Blast Fusion`s automatic clock shielding helps avoid noise problems caused by cross coupling between neighboring nets. "NEC Electronics is a leading ASIC vendor worldwide, and we`re very pleased that it is leveraging Magma`s IC implementation system for some of its most challenging designs," said Rajeev Madhavan, chairman and CEO of Magma Design Automation. "NEC Electronics` success demonstrates our system`s unique ability to address large, high-performance, deep-submicron designs."

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products and the statement that NEC Electronics` is leveraging Magma`s system for its most challenging designs, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Magma`s products to produce the desired results and whether NEC Electronics chooses to continue using Magma`s solutions. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended Dec. 31, 2001 filed with the Securities and Exchange Commission ("SEC") on Feb. 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Allure]

Hitachi Licenses Magma`s Blast Fusion and Blast Noise, Completes Two High-Speed, Multimillion-Gate Designs
Magma`s integrated system delivers timing closure and eliminates signal integrity violations in a matter of weeks, while competitive flow took months
CUPERTINO, Calif.--(BUSINESS WIRE)--May 21, 2002-- Magma® Design Automation, Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, announced today that Hitachi, Ltd.(NYSE:HIT - News), a leading global electronics company, licensed Magma`s Blast Fusion(TM) netlist-to-GDSII design system as well as the Blast Noise(TM) signal integrity solution. Hitachi has since completed two chips, each consisted of approximately 2.9-million gates and had a clock speed of 200 MHz.

To help them meet internal and end-customer requirements for robust, reliable silicon with built-in noise immunity, Hitachi deployed Magma`s system in their design center earlier this year. The Hitachi design team decided to leverage Blast Fusion and Blast Noise for these important designs because they required very short turnaround time. Blast Fusion`s Early Silicon Performance (ESP) reports and accurate timing optimization helped them eliminate layout-to-synthesis iterations. Blast Noise automatically analyzed and avoided crosstalk noise and delay violations throughout the flow without any time-consuming manual intervention. These unique capabilities reduced Hitachi`s design closure cycle and enabled them to deliver the designs early.

"To maintain our leadership in the global electronics industry, we must continue to offer fast and predictable delivery schedules," said Kazuharu Hirachi, general manager of SoC Design Division, Semiconductor and Integrated Circuits at Hitachi, Ltd. "We tried for nearly three months to use our existing flow for these designs, but it was not able to deliver the target speed. In less than four weeks, Blast Fusion and Blast Noise enabled our designers to achieve timing closure with no signal integrity violations. This reduction in turnaround time allowed us to meet our customer`s aggressive time-to-market requirements."

"We were impressed with Blast Noise`s integrated crosstalk avoidance and repair capabilities," Kazuharu Hirachi added. "Unlike the existing point-tool flow, the Magma solution automatically analyzed and adjusted the design, enabling us to resolve signal integrity issues without post-layout manual intervention."

"We are very pleased that Hitachi is using Blast Fusion and Blast Noise to implement their leading edge designs," said Rajeev Madhavan, Magma chief executive officer. "This adoption is yet another demonstration of the value that Magma`s integrated solution brings to our customer`s design flows."

About Hitachi, Ltd.

Hitachi, Ltd., headquartered in Tokyo, Japan, is one of the world`s leading global electronics companies, with fiscal 2000 (ended March 31, 2001) consolidated sales of 8,417 billion yen ($67.9 billion(a)). The company manufactures and markets a wide range of products, including computers, semiconductors, consumer products and power and industrial equipment. For more information on Hitachi, Ltd., please visit Hitachi`s Web site at http://global.hitachi.com

Note (a): At an exchange rate of 124 yen to the dollar.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products, and that Hitachi will continue to offer fast and predictable delivery schedules and implement leading-edge designs using Magma`s solutions, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, whether Hitachi will decide to continue to use Magma solutions, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission ("SEC") on February 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027 (Marketing Comm. Manager)
[e-mail]

[panik]

Magma Announces DAC Demos
RTL-to-GDSII Design, Virtual Prototyping and Signal Integrity Verification to Be Highlighted
CUPERTINO, Calif.--(BUSINESS WIRE)--May 22, 2002--Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, announced today the product demonstrations it will be offering at the 39th Design Automation Conference, June 10-14 in New Orleans, La. The product demonstrations will highlight recent electronic design automation (EDA) product announcements by Magma and the company`s RTL-to-GDSII design flow, the only such design flow that truly integrates synthesis with physical design, by virtue of Magma`s unified data model.

Magma`s technology demonstrations will include:

IC Implementation: Integrating synthesis with physical design, Magma`s complete RTL-to-GDSII implementation system, Blast Chip(TM), achieves rapid design closure on the toughest designs while dramatically reducing overall time to market. Magma will demonstrate this entire system in two demos, the first of which will focus on Magma`s unique gain-based synthesis for the front-end designer. The second demo will cover Magma`s physical design technology. Throughout the flow will be shown how timing, power and signal integrity are taken into account using Magma`s correct-by-design approach. Also demonstrated will be Magma`s built-in signal integrity system, Blast Noise(TM), which works concurrently with Blast Chip throughout the flow to automatically analyze and adjust the design to avoid crosstalk noise, crosstalk delay and signal electromigration issues.

Planning & Prototyping: Magma`s Silicon Virtual Prototyping (SVP) flow enables logic designers and physical designers to get performance estimates early in the design process. Magma`s Blast Prototype(TM) estimates post-layout performance based on a virtual implementation of the RTL input, and the decisions made by the logic designer based on the analysis at this stage are propagated forward to the next stage of physical design planning to generate a reliable prototype. The Blast Prototype demo spans the entire SVP flow going from an RTL input early in the design process to a final physical floorplan.

Signal Integrity Verification: Diamond SI provides a complete, standalone platform for post-layout sign-off-quality signal integrity verification. It includes a powerful timing analysis engine and parasitic extractor as well as sign-off quality analysis engines to analyze crosstalk noise, crosstalk delay, voltage drop and electromigration problems. It also provides the unique benefit of analyzing the interdependencies between these different signal integrity problems.

"Over the last year we`ve expanded our product offering to include silicon virtual prototyping and standalone signal integrity verification solutions," said Bob Smith, vice president of product marketing. "These new capabilities nicely complement Magma`s proven high-capacity synthesis and advanced place & route systems. We will be demonstrating how our unified data model architecture facilitates tight integration of all our solutions to deliver better performance and shorter time to market."

EDA software users can register for any of these demonstrations by visiting Magma`s Web site at: www.magma-da.com/dac.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s products, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended Dec. 31, 2001 filed with the Securities and Exchange Commission ("SEC") on Feb. 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation Inc.
Monica Marmie, 408/864-2027

[panik]

Beijing National IC Design Industrialization Base Adopts Magma Design Solutions
CUPERTINO, Calif.--(BUSINESS WIRE)--May 23, 2002--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, announced that the Beijing National IC Design Industrialization Base in China has entered an agreement to adopt Magma`s solution for deep submicron advanced system-on-chip (SoC) integrated circuit (IC) designs.

Magma Chairman and CEO Rajeev Madhavan delivered a keynote address at April`s Beijing Microelectronics International Forum in Beijing and reached an agreement with Feng He, director general of the Beijing Economic Commission. "With its rapidly growing demand and large domestic market for electronics products, China is building its semiconductor manufacturing and IC design capability," Madhavan said. "Magma`s integrated RTL-to-GDSII solution will enable Chinese IC companies to create the next-generation SoC designs."

The Ministry of Science and Technology has recognized the Beijing National IC Design Industrialization Base because of its forward-looking mission and technical expertise. The Magma RTL-to-GDSII design solution will be used in the Beijing National IC Design Industrialization Base to train IC designers in the Beijing area and from other national IC design bases. "The Magma IC design solution can potentially help China`s IC design community catch and leapfrog other countries in a shorter time," Mr. Feng said.

"With many local IC design companies and multinational corporations moving in, China is an emerging and important market for Magma in the Asia-Pacific region," said Lung Chu, vice president of Asia-Pacific operations for Magma. "Because of its new architecture and advanced features, Magma`s design solutions can not only handle large complex deep submicron SoC designs, but also greatly shorten time to market and improve designer productivity. We look forward to working with China`s IC design community."

For more information on the Beijing National IC Design Industrialization Base visit www.bjic.org.cn.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma and FixedTiming are registered trademarks and Blast Chip, Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Magma`s solutions will enable Chinese IC companies to create next-generation SoC designs and surpass the IC design capabilities of other countries, and other statements about the features and benefits of Magma`s solutions, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the ability of Magma`s products to produce the desired results, the ability of the Beijing Integrated Circuit Design Park to keep pace with rapidly changing technology, and whether Magma and the Beijing Integrated Circuit Design Park choose to continue to work together. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2001 filed with the Securities and Exchange Commission ("SEC") on February 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]

[Chipdesign]

Magma Blast Fusion Delivers Two Full-chip Designs for Fujitsu Network Communications
Blast Fusion closes timing for high-performance complex designs
CUPERTINO, Calif.--(BUSINESS WIRE)--June 28, 2002--Magma® Design Automation, Inc. (Nasdaq: LAVA - News), a provider of chip design solutions, today announced that Texas Instruments Incorporated (TI) successfully used Blast Fusion(TM) to produce first-pass functional silicon on two complex devices for Fujitsu Network Communications. The fully operational devices are used in a SONET Add Drop Multiplexer designed by Fujitsu Network Communications based in Richardson, Texas. Implemented using TI`s 0.18-micron GS30 technology, the devices range in complexity from 1.5 million gates with 52 macros to about 3.5 million gates. Blast Fusion provided early timing feedback with Magma`s Early Silicon Performance (ESP) algorithm and eliminated synthesis-to-layout iterations, enabling TI and Fujitsu to both achieve their time-to-market goals.

"We believe that by working with Texas Instruments and Magma, we saved at least two months of critical development time in the completion of the physical design of these chips," said Tom Brown, senior director of ASIC Design at Fujitsu Network Communications. "Magma`s Blast Fusion technology has demonstrated its ability to complete challenging designs. These chips are operational and demonstrate first-pass success in our systems today."

"We recently completed full deployment of Blast Fusion to our worldwide design centers," said Francis Larochelle, CAD Development manager, for the ASIC division at TI. "Cycle time and predictability of timing closure are extremely important for our focused ASIC business. By completing these chips and meeting the expected performance goals, we have validated Blast Fusion`s ability to deliver predictable timing closure on large complex, high-performance, full-chip designs. We are seeing that Blast Fusion is capable of handling our most complex top-level designs and currently have several chips being done with Blast Fusion today."

Magma and TI Work Closely for Design Success

An early Magma adopter, TI has been instrumental in shaping enhancements to the Blast Fusion system. With Blast Fusion, TI has achieved significantly improved runtimes over traditional physical design tools for logic optimization, placement and routing. Through Magma`s Early Silicon Performance (ESP) capability, Blast Fusion also provided TI with accurate timing information much earlier in the design flow. This enabled TI to quickly determine the timing feasibility of their customer`s designs prior to beginning layout. Certain that Fujitsu`s designs would now meet the required timing specifications, the TI-Magma design team was able to quickly take the complex designs from netlist to clean GDSII without struggling through numerous synthesis-to-layout iterations.

"By working with leading ASIC vendors such as Texas Instruments, we continue to improve our system to meet the demands of today`s ASIC design flow," said Bob Smith, vice president of product marketing for Magma. "By giving the ASIC designer early visibility into the expected timing performance of their design, our products reduce `false starts` on physical design that often lead to lengthy iteration cycles. The ASIC vendor benefits by getting more fully qualified designs at the outset and having a robust system for full-chip design and assembly that delivers the desired circuit timing."

Blast Fusion Leverages Timing Constraints to Accelerate Design Cycle

Conventional place and route flows can`t take timing constraints into consideration until late in the flow, so designers often do not complete them prior to beginning physical design. This often results in additional iterative cycles. Blast Fusion utilizes Magma`s patent-pending FixedTiming® methodology and single, unified data model architecture, which allow it to perform logic optimization and physical design while taking timing constraints into account. This unique approach enables Blast Fusion to provide designers with accurate timing information prior to detailed layout and to significantly reduce iterations between synthesis and place & route. Additional timesavings can be accomplished by using Blast Logic(TM), Magma`s timing constraint sign-off tool, prior to starting physical design.

The completion of the Fujitsu ASIC designs is a significant milestone in TI`s deployment of Blast Fusion to its worldwide design centers. They are representative of more than 40 designs that have now been completed in TI ASIC CDCs worldwide using Blast Fusion. TI has repeatedly demonstrated that given a final netlist and complete timing constraints, Blast Fusion can significantly reduce the logic optimization and physical design process.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip®, Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on NASDAQ under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma, Blast Chip and FixedTiming are registered trademarks and Blast Fusion, Blast Logic, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that TI will continue to use Blast Fusion, that Magma continues to improve its system to meet today`s ASIC design flow demands, and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, TI`s decision to continue using Blast Fusion, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-K for the fiscal year ended March 31, 2002 filed with the Securities and Exchange Commission ("SEC") on June 28, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]

[panik]

Broadcom Uses Magma Design Automation Software for Its StrataXGS 0.13-Micron 160Gbps Nonblocking Switch Fabric Design
CUPERTINO, Calif.--(BUSINESS WIRE)--July 3, 2002--Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that Broadcom Corporation (Nasdaq:BRCM - News), a leading provider of integrated circuits enabling broadband communications, has started sampling customers the BCM5670, designed using Magma`s software, including the Blast Fusion(TM) physical design system. BCM5670, an 8-port, non-blocking, 160 Gbps switch fabric, a central component in the StrataXGS(TM) scalable Gigabit Ethernet Multilayer Switching family, is a 0.13-micron design.

"Blast Fusion provides a vehicle for completion of complex hierarchical designs," said Derrick Lin, director of the Enterprise Switching Group at Broadcom.

Broadcom deployed Blast Fusion to its design groups in 2001. Blast Fusion is a chip implementation system that includes optimization, place and route, useful skew clock generation, floorplanning and power planning, RC extraction and a single, built-in incremental timing analyzer, and is designed to accelerate time to market for large, complex deep-submicron designs and improve predictability of the design flow.

"The fast time to market enjoyed by Broadcom and other Magma customers shows the benefit of our FixedTiming® methodology, the basis for Magma`s truly integrated design system," said Rajeev Madhavan, chairman and CEO of Magma. "The Magma team is very proud of the results at Broadcom. We are pleased to be able to bring measurable value to such a strategic customer."

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Chip and FixedTiming are registered trademarks and Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-K for the fiscal year ended March 31, 2002 filed with the Securities and Exchange Commission ("SEC") on June 28, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]

[panik]

Magma Added to Russell 2000 and Russell 3000 Indexes
CUPERTINO, Calif.--(BUSINESS WIRE)--July 9, 2002--Magma Design Automation Inc., (Nasdaq:LAVA - News), a provider of chip design solutions, today announced it has been added to the Russell 2000® and Russell 3000® Indexes, effective July 1. The final membership lists for the indexes were made available today to all investors at www.russell.com.

On July 1 Frank Russell Company re-balanced its U.S. stock indexes. Russell adjusts its indexes annually to rank the 3,000 largest companies in the U.S. stock markets by market capitalization. The Russell Indexes are widely used as performance benchmarks for measuring fund and investment performance.

Membership in the Russell 3000, which remains in place for one year, means automatic inclusion in either the small-cap Russell 2000 Index or large-cap Russell 1000 Index as well as related style indexes. Russell constructs its indexes based on a ranking of each company`s market capitalization. Russell estimates $850 billion of assets are benchmarked to Russell indexes. In addition, more than $214 billion is invested in passive index funds that use the Russell indexes as their model.

Annual reconstitution of the Russell indexes captures the 3,000 largest U.S. stocks as of the end of May, ranking them by total market capitalization to create the Russell 3000. The largest 1,000 companies in the ranking comprise the Russell 1000 Index while the remaining 2,000 companies become the widely used Russell 2000 Index.

About Magma

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip(TM), Blast Plan(TM) and Blast Noise(TM), utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma, Blast Chip and FixedTiming are registered trademarks and Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Russell Indexes are used as performance benchmarks for measuring fund and investment performance and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-K for the fiscal year ended March 31, 2002 filed with the Securities and Exchange Commission ("SEC") on June 28, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:

Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]

[panik]

HCL Technologies Adopts Magma Solutions to Extend Physical Design Service Capabilities
Tuesday September 3, 3:50 pm ET


CUPERTINO, Calif.--(BUSINESS WIRE)--Sept. 3, 2002--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that HCL Technologies (HCLT), India`s leading technology services provider, has licensed Magma`s Blast Fusion(TM) physical design system.

HCLT provides comprehensive outsourced R&D services spanning system on chip (SoC) design, ASIC design, ASIC/SoC verification, FPGA design, high-speed board design, network processors, embedded software and complete product design. These services are offered to venture-backed and established companies worldwide in the networking, telecom, wireless, consumer electronics, aerospace, automotive, industrial automation and medical electronics verticals.

"With expertise in verification and front-end design tools, we carefully evaluated the leading physical design offerings to find a cost-effective, high-productivity and easy-to-adopt solution," said G.H. Rao, associate vice president at HCL Technologies. "We selected Blast Fusion because it integrates all necessary physical design components in a single system, minimizing both tool and flow deployment costs."

By adopting Magma`s integrated solution, HCLT will be able to extend its physical design capabilities to provide its design services customers with time-to-market, cost and productivity advantages for deep-submicron SoCs.

"With its proven SoC design expertise, HCLT is well positioned to leverage the capabilities of our comprehensive design flow for their customers` most challenging designs," said Rajeev Madhavan, Magma chairman and chief executive officer. "We look forward to helping them provide complete RTL-to-GDSII design services and increase the quality of results and reduce the development costs of their customers` multimillion-gate, high-speed designs."

About HCL Technologies

HCL Technologies with FY 2002 revenues of $333 million, is one of India`s leading global IT services and product engineering companies, providing value-added, software-led IT solutions and services to large and medium-scale organizations. Founded in 1991, HCL Technologies focuses on technology as well as R&D outsourcing, with the objective of working with clients in areas at the core of their business. HCL Technologies delivers these services through an extensive offshore software development infrastructure and a vast global marketing network that enables scaleable, flexible and cost-effective delivery. HCL Technologies has 6463 employees (including joint ventures and subsidiaries) with operations spanning 25 locations in 15 countries. Leveraging its knowledge of embedded systems, core technologies and applications development expertise, HCL Technologies is positioned, as a composite solutions provider equipped to cater to the gamut of IT needs. For more information, visit HCL Technologies at www.hcltech.com

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, enabling chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Chip®, Blast Plan(TM), Blast Noise® and Blast Prototype(TM) products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Chip and FixedTiming are registered trademarks and Blast Fusion, Blast Noise, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Except for the historical information contained herein, the matters set forth in this press release, including statements that adopting Magma`s solution will enable HCL to provide its customers with time-to-market, cost and productivity advantages, that Magma will help HCL increase the quality of results and reduce the development costs of their customers` designs, and about the features and benefits of Magma`s products are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, HCLT`s ability to utilize Magma products to produce the desired results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended June 30, 2002 and filed with the Securities and Exchange Commission ("SEC") on August 13, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408/864-2027
Marketing Communications Manager
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation

[panik]

Magma`s Integrated RTL-to-GDSII System Adopted by Xellink Communications for High-Speed, High-Capacity Networking Chips
Blast Chip Shown to Deliver Nearly 30 Percent Faster Timing Than Synopsys/Cadence Point-Tool Flow
Monday October 14, 8:45 am ET


CUPERTINO, Calif.--(BUSINESS WIRE)--Oct. 14, 2002-- Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of integrated chip design solutions, today announced that Xellink Communications, Inc., an aggressive startup in the converged networking market, has licensed the Blast Chip® RTL-to-GDSII integrated circuit (IC) implementation system. Xellink will use Blast Chip to implement a converged IP ATM, high-speed, high-capacity System on Chip (SoC), switch fabrics and port controllers.
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Xellink selected Magma software after evaluating Blast Chip against all available RTL-to-GDSII solutions including Synopsys and Cadence tool flows. With its high-capacity RTL synthesis and advanced physical design capabilities, Blast Chip was able to deliver nearly 30 percent faster timing than the competitors.

"I chose the best software for this project," said Marv Bush, managing director of Ovo Technology Partners and a board member of Xellink. The former vice president at Cadence and an expert on IC design technology went on to say, "Magma`s Blast Chip won the evaluation hands down. Not only does it deliver better, more reliable results and faster turnaround time, as a single executable with a unified data model architecture, it`s much easier to adopt and use than a point-tool flow."

"We`re very pleased Xellink Communications is leveraging Magma`s integrated, easy-to-use RTL-to-GDSII system to deliver IP and ATM solutions that meet the price, performance and feature set requirements of the networking market," said Mike Ingster, vice president of Magma sales, North America-West.

About Xellink Communications

Privately funded, Xellink Core and Access Switching products transform the Core with QoS, reliability, and scalability, connecting countries, cities and large organizations with high-speed internet protocol (IP) armed ATM switches and access aggregation. Xellink`s City Connect(TM) is the industry`s first lower-cost multi-Terabit system that converges existing IP/ATM services with complete system redundancy, providing next generation services for significantly less CapEx and OpEx. Xellink is in Santa Clara, Calif. For more information contact Xellink at http://www.xellink.com and Ovo Technology Partners at http://www.ovotechpartners.com.

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip®, Blast Plan(TM), Blast Noise® and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on NASDAQ under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Chip, Blast Noise and FixedTiming are registered trademarks and Blast Fusion, Blast Plan and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Xellink will use Blast Chip to implement ICs that meet the price, performance and feature set requirements of the networking market, and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, the ability of Xellink to use Magma`s products and to produce the desired results and Magma`s and Xellink`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Quarterly Report on Form 10-Q for the quarter ended June 30, 2002, filed with the SEC on Aug. 13, 2002. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation

[panik]

http://www.herring.com/insider/2002/0815/madhavan081502.html



TOP TEN INNOVATORS 2002
Third time`s a charm
Rajeev Madhavan is positioning his $400 million enterprise to be No. 1 in its sector.
By Dean Takahashi
August 15, 2002

It took Rajeev Madhavan three attempts, but with his third startup he figured out how to build a lasting company. Magma Design Automation has a market capitalization of more than $400 million and is now the fourth-largest company in the electronic design automation (EDA) industry (it supplies software tools used to design computer chips). "In five years, we`re going to be the No. 1 company," says Mr. Madhavan, the company`s CEO and chairman, with bravado.

TOP TEN INNOVATORS

Theo Lee: Nanotechnology

Rajeev Madhavan: Software tools

Ray Kao: Optical networking

Larry Bock: Biotechnology

Paul Butterworth: Web services

Kurt Petersen: MEMS/Biotech

Andy Hayler: Databases

Oleg Suitin: Software

Bulent Celebi: Wireless & chips

Jennie Mather: Biotechnology



Where are they now?

Magma`s tools soothe a long-standing chip maker headache: timing. Traditional tools did a poor job predicting how long electronic signals would take to move across a chip. Unlike other EDA players, however, Magma fixed timing as a constant. To use an analogy, if the signal were a car and it had to get to a destination 60 miles away by a certain time, then Magma ensured that would happen by changing such things as the speed of the car or the number of lanes on the highway.
"Magma started with a clean sheet and that`s why its opportunity [is] so large," says Andy Bechtolsheim, vice president of engineering at Cisco Systems, Sun Microsystems cofounder, and the first investor in Magma. "Rajeev has the combination of vision and experience."

That vision and experience (not to mention his two previous efforts) originated with his move to Silicon Valley from India in the early `90s. At Cadence Design Systems--his first job--he was asked to conduct due diligence on a potential acquisition, and he decided that it wasn`t so hard to start a company

In 1992, at age 26, he cofounded LogicVision to create chips that decrease testing costs. The technology, however, was complicated and developed slowly. "I didn`t have the patience for a nine-year effort," says Mr. Madhavan. He left, and in 1994 he cofounded Ambit Design Systems, which made a better mousetrap--a logic synthesis tool (used to translate circuit schematics into a chip design) aimed at unseating market leader Synopsys.

He was turned down by 31 venture capitalists and finally raised $750,000 from a pool of 47 investors. Ambit got off the ground but its tools fit better as part of a larger product offering and Cadence Design Systems bought Ambit in 1998 for $260 million. Mr. Madhavan, who wanted to grow the company, wasn`t satisfied: "Ambit taught me the importance of a strong board and good relations with the board. I goofed it up."

AT A GLANCE
COMPANY NAME Magma Design Automation
CEO Rajeev Madhavan
LOCATION Cupertino, CA
PHONE [phone]
URL http://www.magma-da.com
OWNERSHIP Nasdaq: LAVA
FOUNDED 1997
EMPLOYEES 230
PRODUCT Tools to design computer chips
PARTNERS Atrenta, Celestry Design Technologies, GDA Technologies, GoyaTek Technologies, LogicVision, Flextronics, Taiwan Semiconductor Manufacturing Company, UMC
COMPETITORS Cadence Design Systems, Synopsys
IPO date November 20, 2001
Revenue last 12 months $46M (fiscal year ended March 31)
12-month revenue growth 291 percent (over last fiscal year)
PROFITABLE? Yes
Market value $438M
The Herring Take Magma is creating a broad-based product line and is expected to begin its own acquisition binge as it endeavors to become one of the EDA industry`s giants.

When the time came to start Magma in April 1997, Mr. Madhavan, who had left Ambit before the acquisition, quickly applied what he had learned from his previous ventures. He managed to raise $2.5 million in just 45 minutes from Mr. Bechtolsheim and other angels. He positioned Magma`s technology as an entire family of tools, not just a piece of a product line. He took the conqueror`s strategy, with no room for retreat.

The first product caught on and eventually grew into eight. By fall 2001, Mr. Madhavan had turned down several requests to buy Magma and was readying his company to go public. The IPO was postponed after September 11, but drawing on his tough Ambit fundraising experience, Mr. Madhavan persevered with his road show. The company went public later in 2001 and was one of the year`s top 25 IPOs in terms of stock appreciation.

Says Mr. Madhavan, "I really was not like this when I was young. I`m surprised I have become so competitive. When I moved to Silicon Valley, that changed everything."

[panik]

Magma Releases Financial Results for Second Quarter of Fiscal 2003
Wednesday October 23, 4:05 pm ET


CUPERTINO, Calif.--(BUSINESS WIRE)--Oct. 23, 2002--Magma Design Automation Inc., (Nasdaq:LAVA - News), a provider of chip design solutions, today announced financial results for its fiscal year 2003 second quarter, which ended September 30, 2002.
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For the second quarter, Magma reported revenue of $17.8 million, compared to $9.6 million for the year-ago second quarter ended September 30, 2001, an increase of 85 percent. Magma reported pro forma net income for the quarter, excluding certain non-cash charges, of $1.4 million, or $0.04 per share on a diluted basis. This compares to a pro forma net loss of $3.2 million, or $0.31 per share, for the year-earlier second quarter of fiscal 2002, ended September 30, 2001. Pro forma net income (loss) reflects reported net income (loss) excluding stock-based compensation, non-cash interest expense, and non-cash preferred stock dividend.

In accordance with generally accepted accounting principles (GAAP), Magma reported net income attributed to common shareholders (basic) of $0.7 million, or $0.02 per share, for the quarter, compared to a net loss attributed to common shareholders (basic) of $10.8 million, which included a $5.8 million non-cash preferred stock dividend, or $1.03 per share, for the year-ago second quarter ended September 30, 2001.

For the six-month period ended September 30, 2002, Magma reported revenue of $35.9 million, compared to $16.2 million for the six-month period ended September 30, 2001, an increase of 121 percent. Magma reported pro forma net income, excluding certain non-cash charges, of $3.4 million, or $0.10 per share on a diluted basis, for the six-month period ended September 30, 2002. This compares to a pro forma net loss of $9.9 million, or $0.96 per share, for the six-month period ended September 30, 2001. In accordance with GAAP, Magma reported net income attributed to common shareholders of $0.8 million, or $0.03 per share, for the recently completed six-month period, compared to a net loss attributed to common shareholders (basic) of $18.6 million, which included a $5.8 million non-cash preferred stock dividend, or $1.79 per share, for the six-month period ended September 30, 2001.

"In the second quarter we continued to make progress engaging new customers, our software continued to enable our users to complete challenging designs and our profitability improved over the prior quarter," said Rajeev Madhavan, chairman and CEO of Magma. "We continued to make progress in expanding our market presence and market share. Our bookings and pipeline remain strong. The best indicators of our business performance are bookings results and the growth in backlog. We had a record quarter for bookings -- in terms of magnitude, the number of transactions and the proportion of license vs. non-license revenue. Thanks to our technology advantages we are gaining more engagements, more wins and record bookings. We have more installed seats than ever before. In terms of overall business traction, this was our best quarter to date."

Magma will discuss the financial results for its fiscal year 2003 second quarter, including guidance going forward, during a live webcast today at 5 p.m. EDT (2 p.m. PDT). The webcast will be available on Magma`s Web site at www.magma-da.com. Following completion of the call a replay of the webcast will be available at www.magma-da.com through October 30, 2002. Those without Internet access may listen to a replay of the call by telephone:

United States & Canada: 800-642-1687, conference number 5689284

Outside U.S. & Canada: 706-645-9291, conference number 5689284

The telephone replay will be available from 9 p.m. EDT today through October 30, 2002.

FORWARD-LOOKING STATEMENTS

Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which include statements regarding Magma`s gaining more engagements, wins and record bookings as a result of its technology advantages, are subject to risks and uncertainties that could cause actual results to differ materially from Magma`s current expectations. Factors that could cause or contribute to such differences include, but are not limited to: changes in accounting rules; the impact the economic recession, terrorist activities and events in the Middle East may have on Magma, its customers and industry; any delay of customer orders or failure of customers to renew licenses, weaker than anticipated sales of the company`s products and services, increasing competition in the EDA market, weakness in the semiconductor or electronic systems industries, the ability to successfully manage the company`s expanding operations; the ability to attract and retain the key management and technical personnel needed to operate Magma successfully; the ability to compete successfully in the integrated circuit design automation software market; the ability to continue to deliver products to customers to help them get their products to market; and the difficulty of predicting quarterly operating results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended June 30, 2002 filed with the Securities and Exchange Commission ("SEC") on August 13, 2002, and from time to time in Magma`s SEC reports. Magma disclaims any obligation to update these forward-looking statements.

About Magma

Magma software is used to design fast, multimillion-gate integrated circuits, enabling chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Chip®, Blast Plan(TM), Blast Noise® and Blast Prototype(TM) products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Allentown, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Chip, Blast Noise and FixedTiming are registered trademarks and Blast Fusion, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

-0-

MAGMA DESIGN AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)

September 30, March 31,
2002 2002
------------- ---------
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents $91,503 $78,478
Short-term investments -- 13,468
Accounts receivable, net 16,254 17,601
Prepaid expenses and other current assets 1,258 1,327
------------- ---------
Total current assets 109,015 110,874
Property and equipment, net 6,826 7,252
Other assets 2,055 1,583
------------- ---------
Total assets $117,896 $119,709
============= =========

LIABILITIES AND STOCKHOLDERS` EQUITY
Current liabilities:
Accounts payable $2,035 $1,777
Accrued expenses 5,140 9,441
Deferred revenue, current 11,916 15,617
------------- ---------
Total current liabilities 19,091 26,835

Other long-term liabilities 110 130
------------- ---------
Total liabilities 19,201 26,965
------------- ---------

Stockholders` equity:
Common stock 3 3
Additional paid-in capital 225,076 223,450
Deferred stock-based compensation (3,049) (7,161)
Notes receivable from stockholders (1,997) (1,936)
Accumulated deficit (120,855) (121,612)
Treasury stock at cost (408) --
Accumulated other comprehensive income (75) --
------------- ---------
Total stockholders` equity 98,695 92,744
------------- ---------
Total liabilities and stockholders`
equity $117,896 $119,709
============= =========



MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET INCOME (LOSS)
(in thousands, except per share data)
(Unaudited)

For the Three Months Ended For the Three Months Ended
September 30, 2002 September 30, 2001
--------------------------- ---------------------------
As Adjust- As As Adjust- As
Reported ments(a) Adjusted Reported ments(a) Adjusted
-------- ------- --------- --------- -------- ----------
Revenue:
Licenses $14,690 $-- $14,690 $8,205 $-- $8,205
Services 3,081 -- 3,081 1,426 -- 1,426
-------- ------- --------- --------- -------- ----------
Total
revenue 17,771 17,771 9,631 9,631

Cost of
revenue 3,379 -- 3,379 1,878 -- 1,878
-------- ------- --------- --------- -------- ----------

Gross profit 14,392 -- 14,392 7,753 -- 7,753
-------- ------- --------- --------- -------- ----------
Operating expenses:
Research and
development 4,441 -- 4,441 4,308 -- 4,308
Sales and
marketing 6,878 -- 6,878 5,574 -- 5,574
General and
admin-
istrative 2,105 -- 2,105 1,178 -- 1,178
Amortization
of stock-
based
compensation 730 (730) -- 1,206 (1,206) --
------- ------- --------- --------- -------- ----------
Total
operating
expenses 14,154 (730) 13,424 12,266 (1,206) 11,060
------- ------- --------- --------- -------- ----------
Operating
income (loss) 238 730 968 (4,513) 1,206 (3,307)
------- ------- --------- --------- -------- ----------

Interest income (expense):
Interest
income 590 -- 590 177 -- 177
Interest
expense (1) -- (1) (42) -- (42)
Interest
expense -
subordinated
convertible
promissory
notes -- -- -- (526) 526 --
------- ------- --------- --------- -------- ----------
Interest
income
(expense),
net 589 -- 589 (391) 526 135
------- ------- --------- --------- -------- ----------
Net income
(loss) before
income taxes 827 730 1,557 (4,904) 1,732 (3,172)
Income taxes (128) -- (128) (70) -- (70)
------- ------- --------- --------- -------- ----------
Net income (loss) 699 730 1,429 (4,974) 1,732 (3,242)
Less: preferred
stock dividend -- -- -- (5,814) 5,814 --
------- ------- --------- --------- -------- ----------
Net income
(loss)
attributed to
common
shareholders $ 699 $ 730 $ 1,429 $(10,788) $ 7,546 $ (3,242)
======= ======= ========= ========= ========= =========
Net income
(loss) per
common share -
basic $ 0.02 $ 0.05 $ (1.03) $ (0.31)
======= ========= ========= ==========
Net income
(loss) per
common share -
diluted(b) $ 0.02 $ 0.04 $ (1.03) $ (0.31)
======= ========= ========= ==========
Pro forma shares
outstanding:
Basic 30,182 30,182 10,507 10,507
======= ========= ========= ==========
Diluted(b) 31,900 31,900 10,507 10,507
======= ========= ========= ==========

(a) The adjustments represent the reversals of non-cash stock-based
compensation, non-cash interest expense, including amortization of
debt discount and the non-cash preferred stock dividend.

(b) Adjusted to include the impact of stock options and warrants as if
the options and warrants had been converted immediately upon their
issuance.


MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET INCOME (LOSS)
(in thousands, except per share data)
(Unaudited)

For the Six Months Ended
September 30, 2002
-----------------------------
As Adjust- As
Reported ments(a) Adjusted
--------- --------- ---------
Revenue:
Licenses $28,067 $-- $28,067
Services 7,827 -- 7,827
--------- --------- ---------
Total revenue 35,894 35,894

--------- --------- ---------
Cost of revenue 6,172 -- 6,172
--------- --------- ---------

Gross profit 29,722 -- 29,722
--------- --------- ---------
Operating expenses:
Research and development 9,778 -- 9,778
Sales and marketing 12,915 -- 12,915
General and admin-istrative 4,330 -- 4,330
Amortization of stock-based
compensation 2,631 (2,631) --
--------- --------- ---------
Total operating expenses 29,654 (2,631) 27,023
--------- --------- ---------

Operating income (loss) 68 2,631 2,699
--------- --------- ---------

Interest income (expense):
Interest income 1,023 -- 1,023
Interest expense (3) (3)

Interest expense - subordinated
convertible promissory notes -- -- --
--------- --------- ---------
Interest income (expense), net 1,020 -- 1,020
--------- --------- ---------

Net income (loss) before income taxes 1,088 2,631 3,719
Income taxes (331) -- (331)
--------- --------- ---------
Net income (loss) 757 2,631 3,388
Less: preferred stock dividend -- -- --
--------- --------- ---------
Net income (loss) attributed to common
shareholders $ 757 $ 2,631 $ 3,388
========= ========= =========
Net income (loss) per common share
-basic $ 0.03 $ 0.11
========= =========
Net income (loss) per common share
-diluted(b) $ 0.02 $ 0.10
========= =========
Pro forma shares outstanding:
Basic 30,006 30,006
========= =========
Diluted(b) 32,434 32,434
========= =========


For the Six Months Ended
September 30, 2001
-------------------------------
As Adjust- As
Reported ments(a) Adjusted
---------- --------- ----------
Revenue:
Licenses $13,574 $-- $13,574
Services 2,663 -- 2,663
---------- --------- ----------
Total revenue 16,237 16,237

---------- --------- ----------
Cost of revenue 3,657 -- 3,657
---------- --------- ----------

Gross profit 12,580 -- 12,580
---------- --------- ----------
Operating expenses:
Research and development 8,937 -- 8,937
Sales and marketing 10,922 -- 10,922
General and admin-istrative 2,705 -- 2,705
Amortization of stock-based
compensation 2,305 (2,305) --
---------- --------- ----------
Total operating expenses 24,869 (2,305) 22,564
---------- --------- ----------

Operating income (loss) (12,289) 2,305 (9,984)
---------- --------- ----------

Interest income (expense):
Interest income 220 -- 220
Interest expense (86) (86)

Interest expense - subordinated
convertible promissory notes (526) 526 --
---------- --------- ----------
Interest income (expense), net (392) 526 134
---------- --------- ----------

Net income (loss) before income taxes (12,681) 2,831 (9,850)
Income taxes (90) -- (90)
---------- --------- ----------
Net income (loss) (12,771) 2,831 (9,940)
Less: preferred stock dividend (5,814) 5,814 --
---------- --------- ----------
Net income (loss) attributed to common
shareholders $(18,585) $ 8,645 $ (9,940)
========== ========= ==========
Net income (loss) per common share
-basic $ (1.79) $ (0.96)
========== ==========
Net income (loss) per common share
-diluted(b) $ (1.79) $ (0.96)
========== ==========
Pro forma shares outstanding:
Basic 10,380 10,380
========== ==========
Diluted(b) 10,380 10,380
========== ==========

(a) The adjustments represent the reversals of non-cash stock-based
compensation, non-cash interest expense, including amortization of
debt discount and the non-cash preferred stock dividend.

(b) Adjusted to include the impact of stock options and warrants as if
the options and warrants had been converted immediately upon their
issuance.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Gregory C. Walker, 408/864-2000
[e-mail]
Milan G. Lazich, 408/864-2023
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Magma Design Automation Announces First-Pass Silicon Success for a Large, Complex, High-Performance Top-Level Design Implemented With Magma Blast Fusion
Thursday October 24, 8:06 am ET
Blast Fusion Meets Timing and Area Specifications and Significantly Reduces Design Cycle Time


CUPERTINO, Calif.--(BUSINESS WIRE)--Oct. 24, 2002-- Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of full-chip design solutions, today announced that Magma`s Blast Fusion(TM) was successfully used by Texas Instruments (TI) to implement a complex, large, high-performance ASIC. This 5.5 million gate, 10.3 Mbits of SRAM, 312 MHz ASIC was implemented in TI`s 130nm technology. All 11 blocks as well as the top-level design (each operating at 312 MHz) were implemented using Magma`s Blast Fusion, and first-pass silicon success was achieved.
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"Magma`s integrated design approach offers significant improvement in quality of results and design flow management over a point-tool flow," said Harold Nelson, ASIC design manager at Texas Instruments. "Magma`s Blast Fusion allowed us to address multiple parameters of design closure within its unique single system. By providing a complete physical design solution -- optimization, CTS, placement, routing, signal integrity, extraction, delay calculation and timing analysis -- in a single system, Blast Fusion allowed us to complete the design with fewer engineers and in sharply reduced cycle time. We were very effective in addressing the unique challenges of the design because of the ability Blast Fusion offers to easily customize the design flow while still providing ease of use and throughput advantages of the highly integrated environment."

"Predictable design execution is critical to our customers` success. As our customers` designs continue to get ever more aggressive in complexity, size and performance, Magma`s technology continues to deliver superior results," commented Steve Sutton, vice president, Texas Instruments, ASIC. "Blast Fusion is a premier capability in our Pyramid ASIC design flow."

"We`re obviously very happy that Magma`s solution could provide such significant benefit -- dramatically better results while significantly saving design cycle time," said Rajeev Madhavan, CEO of Magma Design Automation. "Enabling predictable design execution of fast chips with high utilization is critical to ASIC success. Now that Blast Fusion is part of TI`s recommended flow for ASIC designs, we look forward to continuing to contribute to their design successes."

About Magma Design Automation

Magma software products enable chip designers to reduce the time required to design and produce complex integrated circuits in the communications, computing, consumer electronics, networking and semiconductor industries. Magma provides a single executable for RTL-to-GDSII chip design. The company`s products, Blast Fusion(TM), Blast Chip®, Blast Plan(TM), Blast Noise(TM) and Blast Prototype(TM) utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on NASDAQ under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Chip, Blast Noise and FixedTiming are registered trademarks and Blast Fusion, Blast Plan, Blast Prototype and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Magma will contribute to TI`s design success and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Quarterly Report on Form 10-Q for the quarter ended June 30, 2002, filed with the SEC on August 13, 2002. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Magma And IBM Collaborate To Accelerate Chip Designs From Concept To Silicon
Monday October 28, 6:00 am ET
Initiative To Build And Enhance Interoperability Between IBM`s Silicon Foundry And Magma Software


EAST FISHKILL, NY and CUPERTINO, CA--(INTERNET WIRE)--Oct 28, 2002 -- IBM and Magma Design Automation Inc. (NasdaqNM:LAVA - News), a provider of chip design solutions, today announced that they will work together to establish a reference design flow using Magma`s integrated circuit (IC) design software with qualified cell libraries and IBM`s silicon intellectual property. The reference flow will enable customers to tailor their designs for manufacturing by IBM using IBM`s most advanced chip-making technologies.
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The effort is part of an expansion of Magma`s chip design activity and IBM`s heightened drive into contract manufacturing, or "foundry," services. The two companies believe that by pairing Magma`s IC design tools with IBM`s advanced chip-making technology, customers can benefit with faster time-to-market and enhanced product designs.

"IBM is recognized as having the most advanced process technology and for moving that technology into actual production quickly," said Mike Concannon, vice president of foundry manufacturing services, IBM Microelectronics. "Yet customers often need assistance in designing their products to take the best advantage of that technology. We`re working closely with leading EDA vendors including Magma to make it as easy as possible for customers to optimize their designs and translate them from concept to silicon."

Magma and IBM are performing detailed analysis of logical, physical and electrical aspects of IBM`s technologies, with plans to develop a reference design flow that will enable mutual customers to start using Magma tools to implement their products in IBM process technology. The two companies also plan ongoing work to validate, enhance and maintain this methodology to help their mutual customers achieve first-pass silicon success.

The reference flow will target multimillion-gate high-performance designs that include embedded cores from IBM`s vast collection of silicon-proven core blocks. IBM and Magma plan to work together to leverage Magma`s modeling technology to combine logical, timing, physical and electrical aspects of IBM`s cores to enable designers to accelerate their time to silicon.

"We`re glad to be working with IBM so our customers can leverage the combination of Magma`s integrated RTL-to-GDSII design methodology with IBM`s foundry expertise," said Nitin Deo, Magma`s vice president, business development. "Magma`s customers have long been pushing the envelope of chip design, with multimillions of gates and clock speeds approaching the gigahertz level. This collaboration is designed to ensure a fast and smooth route to successful silicon implementation by helping them start their designs faster and complete them sooner."

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, enabling chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Chip®, Blast Plan(TM), Blast Noise® and Blast Prototype(TM) products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

About IBM

IBM Microelectronics is a key contributor to IBM`s role as the world`s premier information technology supplier. IBM Microelectronics develops, manufactures and markets state-of-the-art semiconductor and interconnect technologies, products and services. IBM makes chips for a wide range of devices from the world`s most powerful computers to the smallest cell phones. Its superior integrated solutions can be found in many of the world`s best-known electronic brands. More information about IBM Microelectronics can be found at: www.ibm.com/chips.

Magma, Blast Chip, Blast Noise and FixedTiming are registered trademarks and Blast Fusion, Blast Plan and Diamond SI are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS: Except for the historical information contained herein, the matters set forth in this press release, including statements about the benefits of Magma`s library qualification process, that additional libraries will be available and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, the ability of Magma and library providers to continue to pre-qualify libraries, the ability of Magma`s products to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended June 30, 2002 and filed with the Securities and Exchange Commission ("SEC") on August 13, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



Contact:
Contact: Monica Marmie
Company: Magma Design Automation Inc.
Title: Marketing Communications Manager
Voice: 408-864-2027
Email: [e-mail]

Contact: Scott Sykes
Company: IBM Microelectronics
Title: Media Relations
Voice: 845-892-5023
Email: [e-mail]


--------------------------------------------------------------------------------
Source: IBM

[panik]

Magma Appoints One Pass Solutions as Distributor in China
Monday December 2, 10:52 am ET


CUPERTINO, Calif.--(BUSINESS WIRE)--Dec. 2, 2002--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced the appointment of a new distributor for China. One Pass Solutions, recognized as a leading electronic design automation (EDA) solutions provider in China for ASIC design tools, will provide sales and technical support for all Magma products.
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"With its rapidly growing demand and large domestic market for electronics products, China is building its semiconductor manufacturing and IC design capabilities at the same time," said Lung Chu, Magma`s vice president, Asia-Pacific Sales. "Magma`s integrated RTL-to-GDSII solution will enable Chinese IC companies to move into the next-generation SoC (system on chip) designs quickly.

"The key members of One Pass Solutions have an excellent reputation in China for technical support and customer relationships," Chu continued. "China is an emerging and important market for Magma in the Asia-Pacific region, and the expertise of One Pass will provide great service to the many IC design companies in China moving into the area of IC physical implementation design. I expect One Pass to be an excellent partner for Magma to deliver advanced EDA solutions that enable our customers in China to complete their RTL-to-GDSII IC designs in the shortest time possible."

"Because of its new architecture and advanced features, Magma`s design solutions have demonstrated advantages over other EDA tools, and can greatly shorten time to market and improve design productivity," said Jianping Liu, president of One Pass Solutions. "We look forward to working with Magma to serve China`s IC design community."

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing the "Fastest Path from RTL to Silicon"(TM) to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Chip®, Blast Plan(TM), Blast Noise® and Blast Prototype(TM) products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma, Blast Chip, Blast Noise and FixedTiming are registered trademarks and Blast Fusion, Blast Plan, Blast Prototype, Diamond SI and "Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Magma`s integrated RTL-to-GDSII solution will enable Chinese IC companies to move into the next-generation SoC designs quickly and that One Pass will be an excellent partner for Magma to deliver advanced EDA solutions that enable Magma customers in China to complete their RTL-to-GDSII IC designs in the shortest time possible, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, market acceptance of Magma products and the continued ability of One Pass to provide superior technical services, and other risks detailed in Magma`s Quarterly Report on Form 10-Q/A for the quarter ended September 30, 2002, filed with the SEC on November 15, 2002. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation

[panik]

Magma Further Accelerates RTL-to-Silicon Flow With New Blast Fusion APX
Monday December 16, 8:32 am ET
Provides 2X more capacity, runs twice as fast and includes advanced power & timing analysis capabilities for nanometer design


CUPERTINO, Calif.--(BUSINESS WIRE)--Dec. 16, 2002-- Magma® Design Automation, Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today introduced Blast Fusion APX(TM) Advanced Physical Design System for very high-performance, high-complexity nanometer designs. The new product provides a complete netlist-to-GDSII flow including placement, routing, timing and extraction, with twice the capacity, half the runtime and a 50 percent smaller memory footprint than the previous release of Blast Fusion. Blast Fusion APX also includes low power design and advanced timing analysis capabilities that allow it to address the requirements of nanometer processes during the implementation flow, reducing time-consuming and error inducing iterations due to nanometer process effects.
ADVERTISEMENT


"With IC providers having to cope with smaller budgets, fewer engineers and shorter design cycles, an integrated circuit (IC) implementation system`s ability to handle larger designs, reduce runtime and minimize costs is critical to their success today," said Rochelle Perry Drenan, senior product marketing director of Magma Design Automation. "Magma has made significant improvements in these areas and our customers are leveraging these new capabilities to minimize the design cycle of their complex, high-performance designs."

Proven Higher Capacity and Smaller Memory Footprint

Blast Fusion APX has been benchmarked against existing point tool flows and version 3.1 of Blast Fusion and tested on customer designs. A recent benchmark of a 400K cell design shows Blast Fusion APX with a memory footprint of less than half its competition. Throughout the entire physical design flow, peak memory of only 2GB was required, while competitive flows required as much as 5.5GB. Memory usage is even more efficient for very large designs. For example, when Magma took an existing 657K cell customer design through Blast Fusion APX, only 2.3GB of peak memory was required. When Magma took a 1.2M cell design through Blast Fusion APX, only 3.5GB of peak memory was required. Because it has an extremely small memory footprint, Magma users typically run Blast Fusion on single CPU, 32-bit Linux platforms with 4GB RAM. For very large designs, existing flows typically use multi-CPU, 64-bit platforms with 10GB or more RAM.

Integrated Architecture and Unified Data Model Key to Improvements and New Nanometer Design Capabilities

Magma`s unique integrated architecture and single data model were key to enabling the improvements and to building in support for the new low power design and advanced timing analysis capabilities. To enable the capacity, runtime and memory footprint improvements, Magma implemented new algorithms and optimized the structure of the data model. Since Blast Fusion APX is a fully integrated netlist-to-GDSII flow, the entire IC design flow can run faster and use less memory.

Magma was also able to extend its signoff-quality timing engine to include on-chip variation (OCV) effects throughout the Blast Fusion APX flow. The effects of pessimism induced by common paths are removed to increase the accuracy of OCV analysis. Unique to Magma, OCV analysis is performed during the IC implementation flow, rather than during a post-layout timing verification phase where timing failures due to OCV are detected and iterations are required to correct it. This approach provides a correct-by-design timing methodology for nanometer technologies.

Magma is the first to deliver a series of new capabilities to support 90-nanometer technology within a fully unified netlist-to-GDSII environment. For example, at 90 nanometer multiple threshold voltage libraries (multi-Vt) will become mainstream, allowing designs to have reduced leakage current through the selection of high Vt (low leakage power) cells for non-critical paths and low Vt (high leakage power) cells for the critical paths. During its FixedTiming® optimization phase, Blast Fusion APX automatically selects the best cell such that timing is met while power is minimized.

Pricing and Availability

Blast Fusion APX is currently shipping and has a list price of $600K per year for a 3-year time-based license.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing the "Fastest Path from RTL to Silicon"(TM) to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM), Blast Noise® and Blast RTL(TM) products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma`s Diamond SI(TM) also leverages the single data model architecture to provide an integrated, standalone platform for post-layout, sign-off-quality signal integrity verification.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Noise and FixedTiming are registered trademarks and Blast Fusion, Blast Fusion APX, Blast Plan, Blast RTL, Diamond SI and "Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Blast Fusion APX reduces iterations, minimizes design cycles and power, and provides a small memory footprint and a correct-by-design methodology, and other features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s products` ability to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q/A for the quarter ended September 30, 2002 and filed with the Securities and Exchange Commission ("SEC") on November 15, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[Chipdesign]

Magma to Distribute TSMC Libraries for Advanced System-on-Chip Design
Wednesday December 18, 8:32 am ET
TSMC`s 0.13-micron and Nexsys(SM) 90-nanometer Libraries Integrated with Magma Design Automation Software


CUPERTINO, Calif.--(BUSINESS WIRE)--Dec. 18, 2002-- Magma® Design Automation, Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, said today that it will distribute advanced technology libraries developed by Taiwan Semiconductor Manufacturing Company (TSMC). The distribution agreement allows Magma to offer TSMC`s 0.13-micron and Nexsys(SM) 90-nanometer libraries to both companies` mutual customers, integrated with Magma`s design automation software. With this combination, designers will be able to fully exploit Blast Fusion`s optimization capabilities to deliver better quality of results (QOR) and accelerate the design cycle, for smaller, faster chips with greater functionality.
ADVERTISEMENT


Magma and TSMC worked closely together to validate the libraries in Magma`s design environment, from RTL to tape-out-quality GDSII. This demonstrates that Magma software supports TSMC`s manufacturing rules for 90-nanometer technology, such as complex antenna rules, via farm rules and metal rules for nine layers of metal routing.

"TSMC`s goal for our Library Alliance is to team up with the industry`s best to provide high-quality libraries," said Genda Hu, vice president of marketing at TSMC. "Additional value that Magma brings to the design community through this partnership with TSMC is that they can now integrate these process-tuned libraries directly to their proven EDA tools, to improve faster time to volume."

"With the advent of nanometer technology, designers need a solution that integrates library design with physical design and design for manufacturing," said Nitin Deo, vice president of business development for Magma. "With the FixedTiming® methodology, integrated architecture and a complete IC implementation solution, Magma`s system leverages TSMC`s silicon-tuned libraries to enable users to achieve better quality of results and a faster path from RTL to silicon."

Tuned to Magma Flow

The integration of Magma`s design flow with TSMC`s libraries resulted in some optimization of the TSMC libraries. Using feedback from Magma`s library analysis tools, TSMC was able to optimize cell drive strengths and tweak the physical and electrical parameters of the cells, resulting in an expanded range of capabilities for design closure.

Pricing and Availability

The TSMC 0.13-micron and Nexsys(SM) 90-nanometer libraries are available now from Magma. The libraries are available at no charge but require a fee-based support contract from Magma. Those interested in obtaining the TSMC libraries should contact Magma`s sales representatives or e-mail [e-mail].

About TSMC

TSMC is the world`s largest dedicated semiconductor foundry, providing the industry`s leading process technology and the foundry industry`s largest portfolio of process-proven library, IP, design tools and reference flows. The company operates one advanced 300mm wafer fab, five eight-inch fabs and one six-inch wafer fab. TSMC also has substantial capacity commitments at two joint venture fabs (Vanguard and SSMC) and at its wholly owned subsidiary, WaferTech. In early 2001, TSMC became the first IC manufacturer to announce a 90-nanometer technology alignment program with its customers. TSMC`s corporate headquarters are in Hsin-Chu, Taiwan. For more information about TSMC go to http://www.tsmc.com.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing the "Fastest Path from RTL to Silicon"(TM) to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM), Blast Noise® and Blast RTL(TM) products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Noise and FixedTiming are registered trademarks, and Blast Fusion, Blast Fusion APX and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Magma will distribute TSMC libraries and as a result will enable designers to deliver better QOR and accelerate the design cycle, and statements about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s products` and TSMC`s libraries` ability to produce the desired results and Magma`s and TSMC`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q/A for the quarter ended September 30, 2002 and filed with the Securities and Exchange Commission ("SEC") on November 15, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]
or
TSMC North America
Dan Holden, 408/578-1783
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation

[panik]

Magma Announces Record Revenue & Earnings For Third Quarter of Fiscal 2003
Wednesday January 22, 4:00 pm ET
Revenue of $18.7 million, Pro Forma Earnings Per Share of $0.12


CUPERTINO, Calif.--(BUSINESS WIRE)--Jan. 22, 2003--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced financial results for its fiscal year 2003 third quarter, which ended December 31, 2002.
For the third quarter, Magma reported record revenue of $18.7 million, compared to $13.9 million for the year-ago third quarter ended December 31, 2001, an increase of 34 percent. Magma reported pro forma net income for the quarter, excluding certain non-cash charges, of $3.8 million, or $0.12 per share (diluted), both of which are records for the company. This compares to a pro forma net income of $0.35 million, or $0.01 per share (diluted), for the third quarter of fiscal 2002, ended December 31, 2001. Pro forma net income (loss) reflects reported net income (loss) excluding stock-based compensation, non-cash interest expense, non-cash preferred stock dividend, restructuring charges and amortization of capitalized software.

In accordance with generally accepted accounting principles (GAAP), Magma reported net income attributed to common shareholders of $1.3 million, or $0.04 per share (diluted), for the quarter, compared to a net loss attributed to common shareholders of (16.0) million, or ($0.84) per share (diluted), for the third quarter ended December 31, 2001.

For the nine-month period ended December 31, 2002, Magma reported revenue of $54.6 million, compared to $30.1 million for the nine-month period ended December 31, 2001, an increase of 81 percent. Magma reported pro forma net income, excluding certain non-cash charges, of $7.2 million, or $0.22 per share (diluted), for the nine-month period ended December 31, 2002. This compares to a pro forma net loss of ($9.6) million, or ($.72) per share (diluted), for the nine-month period ended December 31, 2001. In accordance with GAAP, Magma reported net income attributed to common shareholders of $2.1 million, or $0.07 per share (diluted), for the recently completed nine-month period, compared to a net loss attributed to common shareholders of ($34.6) million, or ($2.61) per share (diluted), for the nine-month period ended December 31, 2001.

"We are pleased to report significantly improved operating margins in a challenging market for EDA software," said Rajeev Madhavan, chairman and CEO of Magma. "Magma`s team continues to focus on providing our leading solutions with the highest quality of support, and we are also very happy to have released advanced 90-nanometer capabilities in Blast Fusion APX, further increasing our technology leadership in the IC implementation area."

Magma will discuss the financial results for its fiscal year 2003 third quarter, including guidance going forward, during a live webcast today at 5 p.m. EST (2 p.m. PST). The webcast will be available on Magma`s website at www.magma-da.com. Following completion of the call, a replay of the webcast will be available at www.magma-da.com through January 29, 2003. Those without Internet access may listen to a replay of the call by telephone:

United States & Canada: 800-642-1687, conference number 7179364
Outside U.S. & Canada: 706-645-9291, conference number 7179364

The telephone replay will be available from 9 p.m. EST today through January 29, 2003.

FORWARD-LOOKING STATEMENTS

Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which include statements regarding engagements with new and existing customers; Magma`s increased leadership in the IC implementation area; and wins and record bookings as a result of its technology advantages, are subject to risks and uncertainties that could cause actual results to differ materially from Magma`s current expectations. Factors that could cause or contribute to such differences include, but are not limited to: increasing competition in the EDA market; the impact the economic recession, terrorist activities or events in the Middle East may have on Magma, its customers and industry; any delay of customer orders or failure of customers to renew licenses; weaker-than-anticipated sales of the company`s products and services; weakness in the semiconductor or electronic systems industries; the ability to successfully manage the company`s expanding operations; the ability to attract and retain the key management and technical personnel needed to operate Magma successfully; the ability to continue to deliver competitive products to customers to help them get their products to market; and changes in accounting rules. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q/A for the quarter ended September 30, 2002 filed with the Securities and Exchange Commission ("SEC") on November 15, 2002, and from time to time in Magma`s SEC reports. Magma disclaims any obligation to update these forward-looking statements.

About Magma

Magma software is used to design fast, multimillion-gate integrated circuits, providing the "Fastest Path from RTL to Silicon"(TM) to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM), Blast Noise® and Blast RTL(TM) products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma, Blast Noise and FixedTiming are registered trademarks, and Blast Fusion, Blast Fusion APX, Blast Plan and "Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

MAGMA DESIGN AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)


December 31, March 31,
2002 2002
------------- ----------
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 96,228 $ 78,478
Short-term investments -- 13,468
Accounts receivable, net 16,854 17,601
Prepaid expenses and other current assets 1,555 1,327
------------- ----------
Total current assets 114,637 110,874
Property and equipment, net 6,296 7,252
Other assets 4,043 1,583
------------- ----------
Total assets $124,976 $119,709
============= ==========

LIABILITIES AND STOCKHOLDERS` EQUITY
Current liabilities:
Accounts payable $ 1,368 $ 1,777
Accrued expenses 5,465 9,441
Deferred revenue, current 14,092 15,617
------------- ----------
Total current liabilities 20,925 26,835

Other long-term liabilities 95 130
------------- ----------
Total liabilities 21,020 26,965
------------- ----------

Stockholders` equity:
Common stock 3 3
Additional paid-in capital 227,876 223,450
Deferred stock-based compensation (2,232) (7,161)
Notes receivable from stockholders (2,005) (1,936)
Accumulated deficit (119,507) (121,612)
Treasury stock at cost (408) --
Accumulated other comprehensive income 229 --
------------- ----------
Total stockholders` equity 103,956 92,744
------------- ----------
Total liabilities and stockholders`
equity $124,976 $119,709
============= ==========




MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET INCOME (LOSS)
(in thousands, except per share data)
(Unaudited)



For the Three Months Ended
December 31, 2002
------------------------------
As Adjust- As
Reported ments(1) Adjusted
--------- --------- ----------
Revenue:
Licenses $17,243 $ -- $17,243
Services 1,426 -- 1,426
--------- --------- ----------
Total revenue 18,669 18,669

Cost of revenue 2,744 (87) 2,657
--------- --------- ----------

Gross profit 15,925 87 16,012
--------- --------- ----------
Operating expenses:
Research and development 4,299 -- 4,299
Sales and marketing 6,113 -- 6,113
General and administrative 2,088 -- 2,088
Restructuring costs 727 (727) --
Amortization of stock-based
compensation 1,646 (1,646) --
--------- --------- ---------
Total operating expenses 14,873 (2,373) 12,500
--------- --------- ---------

Operating income (loss) 1,052 2,460 3,512
--------- --------- ---------

Interest income (expense):
Interest income 419 -- 419
Interest expense (42) -- (42)

Interest expense subordinated
convertible promissory notes -- -- --
--------- --------- ---------
Interest income (expense), net 377 -- 377
--------- --------- ---------

Net income (loss) before income taxes 1,429 2,460 3,889
Income taxes (80) -- (80)
--------- --------- ----------
Net income (loss) attributed to common
shareholders $ 1,349 $ 2,460 $ 3,809
========= ========= ==========
Net income (loss) per common share -
basic $ 0.04 $ 0.12
========= ==========
Net income (loss) per common share -
diluted(2) $ 0.04 $ 0.12
========= ==========
Pro forma shares outstanding:
Basic 30,587 30,587
========= ==========
Diluted(2) 31,623 31,623
========= ==========


For the Three Months Ended
December 31, 2001
------------------------------
As Adjust- As
Reported ments(1) Adjusted
--------- --------- ----------
Revenue:
Licenses $ 12,257 $ -- $ 12,257
Services 1,630 -- 1,630
--------- --------- ----------
Total revenue 13,887 13,887

Cost of revenue 2,027 -- 2,027
--------- --------- ----------

Gross profit 11,860 -- 11,860
--------- --------- ----------
Operating expenses:
Research and development 4,542 -- 4,542
Sales and marketing 5,688 -- 5,688
General and administrative 1,418 -- 1,418
Restructuring costs -- -- --
Amortization of stock-based
compensation 2,301 (2,301) --
--------- --------- ----------
Total operating expenses 13,949 (2,301) 11,648
--------- --------- ----------

Operating income (loss) (2,089) 2,301 212
--------- --------- ----------

Interest income (expense):
Interest income 299 -- 299
Interest expense (100) -- (100)
Interest expense subordinated
convertible promissory notes (14,078) 14,078 --
--------- --------- ----------
Interest income (expense), net (13,879) 14,078 199
--------- --------- ----------

Net income (loss) before income taxes (15,968) 16,379 411
Income taxes (61) -- (61)
--------- --------- ----------
Net income (loss) attributed to common
shareholders $(16,029) $16,379 $ 350
========== ======== ==========
Net income (loss) per common share -
basic $ (0.84) $ 0.01
========== ==========
Net income (loss) per common share -
diluted(2) $ (0.84) $ 0.01
========== ==========
Pro forma shares outstanding:
Basic 19,064 19,064
========== ==========
Diluted(2) 19,064 19,064
========== ==========


(1) The pro forma adjustments represent the reversals of stock-based
compensation, non-cash interest expense, restructuring charges,
and amortization of capitalized software.

(2) Adjusted to give effect to all dilutive potential common shares
outstanding during the period including stock options and
warrants using the treasury stock method and redeemable
convertible preferred stock using the as-if-converted method.




MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET (INCOME) LOSS
(in thousands, except per share data)
(Unaudited)


For the Nine Months Ended
December 31, 2002
------------------------------
As Adjust- As
Reported ments(1) Adjusted
--------- --------- ----------
Revenue:
Licenses $45,310 $ -- $45,310
Services 9,253 -- 9,253
--------- --------- ----------
Total revenue 54,563 54,563

--------- --------- ----------
Cost of revenue 8,916 (87) 8,829
--------- --------- ----------

Gross profit 45,647 87 45,734
--------- --------- ----------
Operating expenses:
Research and development 14,077 -- 14,077
Sales and marketing 19,027 -- 19,027
General and administrative 6,418 -- 6,418
Restructuring costs 727 (727) --
Amortization of stock-based
Compensation 4,281 (4,281) --
--------- --------- ----------
Total operating expenses 44,530 (5,008) 39,522
--------- --------- ----------

Operating income (loss) 1,117 5,095 6,212
--------- --------- ----------

Interest income (expense):
Interest income 1,447 -- 1,447
Interest expense (45) (45)
Interest expense subordinated
convertible promissory notes -- -- --
--------- --------- ----------
Interest income (expense), net 1,402 -- 1,402
--------- --------- ----------

Net income (loss) before income taxes 2,519 5,095 7,614
Income taxes (411) -- (411)
--------- --------- ----------
Net income (loss) 2,108 5,095 7,203
Less: preferred stock dividend -- -- --
--------- --------- ----------
Net income (loss) attributed to common
shareholders $ 2,108 $ 5,095 $ 7,203
========= ========= ==========
Net income (loss) per common share
- basic $ 0.07 $ 0.24
========= ==========
Net income (loss) per common share
- diluted(2) $ 0.07 $ 0.22
========= ==========
Pro forma shares outstanding:
Basic 30,427 30,427
========= ==========
Diluted(2) 32,134 32,134
========= ==========



For the Nine Months Ended
December 31, 2001
--------------------------------
As Adjust- As
Reported ments(1) Adjusted
---------- ---------- ----------
Revenue:
Licenses $25,831 $ -- $25,831
Services 4,293 -- 4,293
---------- ---------- ----------
Total revenue 30,124 30,124

---------- ---------- ----------
Cost of revenue 5,684 -- 5,684
---------- ---------- ----------

Gross profit 24,440 -- 24,440
---------- ---------- ----------
Operating expenses:
Research and development 13,479 -- 13,479
Sales and marketing 16,610 -- 16,610
General and administrative 4,123 -- 4,123
Restructuring costs -- -- --
Amortization of stock-based
Compensation 4,606 (4,606) --
---------- ---------- ----------
Total operating expenses 38,818 (4,606) 34,212
---------- ---------- ----------

Operating income (loss) (14,378) 4,606 (9,772)
---------- ---------- ----------

Interest income (expense):
Interest income 519 -- 519
Interest expense (186) (186)

Interest expense subordinated
convertible promissory notes (14,604) 14,604 --
---------- ---------- ----------
Interest income (expense), net (14,271) 14,604 333
---------- ---------- ----------

Net income (loss) before income taxes (28,649) 19,210 (9,439)
Income taxes (151) -- (151)
---------- ---------- ----------
Net income (loss) (28,800) 19,210 (9,590)
Less: preferred stock dividend (5,814) 5,814 --
---------- ---------- ----------
Net income (loss) attributed to common
shareholders $(34,614) $ 25,024 $ (9,590)
========== ========== ==========
Net income (loss) per common share
- basic $ (2.61) $ (0.72)
========== ==========
Net income (loss) per common share
- diluted(2) $ (2.61) $ (0.72)
========== ==========
Pro forma shares outstanding:
Basic 13,285 13,285
========== ==========
Diluted(2) 13,285 13,285
========== ==========


(1) The pro forma adjustments represent the reversals of stock-based
compensation, non-cash interest expense, restructuring charges,
and amortization of capitalized software.

(2) Adjusted to give effect to all dilutive potential common shares
outstanding during the period including stock options and warrants
using the treasury stock method and redeemable convertible
preferred stock using the as-if-converted method.




--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Gregory C. Walker, 408/864-2000 (Chief Financial Officer)
[e-mail]
Milan G. Lazich, 408/864-2023 (VP, Corporate Marketing)
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Magma melts Wall Street`s targets

By Michael Baron, CBS.MarketWatch.com
Last Update: 4:02 PM ET Jan. 23, 2003







CUPERTINO, Calif. (CBS.MW) -- Shares of Magma Design Automation swept to the top of the Nasdaq percentage gainers list Thursday as the chip design software maker destroyed Wall Street expectations for its third-quarter results.



The stock (LAVA: news, chart, profile) gained $1.58, or 20.9 percent, to finish the session at $9.16, on volume of 980,000 shares.

After Wednesday`s closing bell, Cupertino, Calif.-based Magma said it earned $1.3 million, or 4 cents a share, in the quarter, a vast improvement over its loss of $16 million, or 84 cents a share, in last year`s comparable period.

On a pro forma basis, Magma made a profit of $3.8 million, or 12 cents a share, far eclipsing its year-ago equivalent earnings of $350,000, or 1 cent a share, and surpassing the Thomson First Call consensus estimate of 7 cents a share.

Revenue leapt 34 percent to $18.7 million in the latest three months from $13.9 million in the same period a year earlier.

U.S. Bancorp Piper Jaffray maintained its "market perform" rating on the stock in the wake of the results, saying that while licensing revenue of $17.2 million beat its estimate of $15.4 million, the company also experienced a troubling sequential drop of 40 to 50 percent in bookings as two major contracts slipped into the fourth quarter.

The investment firm, which is standing behind its price target of $9 intact, attributed Magma`s performance to improved expense controls, a boost in gross margins, and a slightly lower tax rate.

However, Bancorp Piper Jaffray has lingering concerns about increasing competition from rivals Cadence (CDN: news, chart, profile) and Synopsys (SNPS: news, chart, profile), which are "turning up the heat with aggressive discounting and deal structuring."

Michael Baron is a reporter for CBS.MarketWatch.com based in New York.

[panik]

Magma Works With Agere Systems to Deliver High-performance Computer Connectivity Systems On a Chip
Thursday January 30, 8:32 am ET


CUPERTINO, Calif.--(BUSINESS WIRE)--Jan. 30, 2003--Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that Agere Systems (NYSE:AGR.A - News; NYSE:AGR.B - News) has used Magma`s Blast Fusion and Blast Noise design tools to develop a multimillion-gate custom system-on-a-chip (SoC) solution for computer connectivity applications. Magma`s integrated implementation system helped Agere to eliminate a number of challenges that can arise in semiconductor development, including timing closure, routing congestion and numerous costly iterations.
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"Our ability to minimize development costs and achieve performance goals is now more important than ever," said John Harrington, director of Computing Connectivity Silicon Product Development at Agere. "The powerful timing and routing capabilities of Magma`s tools enabled us to reduce development costs and quickly deliver a chip that met our customers` performance requirements."

"As a leading provider of application specific ICs, Agere Systems` designs are some of the most challenging," said Rajeev Madhavan, chairman and CEO of Magma Design Automation. "We`re very pleased to have had the opportunity to work with Agere to address these design requirements."

Blast Fusion Eliminates Problems Early, Avoiding Costly Iterations Later

The Blast Fusion physical design system is based on the patent-pending FixedTiming(TM) methodology and gain-based synthesis. This approach enables Blast Fusion to accurately analyze and predict circuit speeds prior to detailed physical design. The systems then use a series of design refinements during physical design to achieve a final timing that is very close to the predicted circuit speed. The system also allows designers to generate gain or timing reports shortly after inputting the netlists, which helps identify problem paths early and allows designers to make necessary adjustments. With predictable timing results, iterations can be eliminated and time to market can be significantly improved.

Another unique advantage of Blast Fusion is that it includes tools for quickly performing functional engineering change orders (ECOs) without using multiple file interchanges with multiple tools. Because of Blast Fusion`s tight correlation with the proprietary sign-off tools, overall turnaround time was improved.

Blast Noise Automatically Avoids Signaling Violations

Blast Noise provides designers with an automatic analyze, avoid and adjust methodology to address crosstalk noise, crosstalk delay and signal electro-migration (EM) problems during the design implementation phase. With Blast Noise, timing and routing violations are avoided by reordering the track routes based on overlapping victim and aggressor net timing windows. Wide space routing, buffering and sizing, and shielding are also used to eliminate these problems. In this way, Magma`s analysis and implementation engines work concurrently with the FixedTiming methodology to eliminate signaling problems, while at the same time maintaining optimal timing.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM) to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM), Blast Noise® and Blast RTL(TM) products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s products` ability to produce the desired results and Magma`s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q/A for the quarter ended September 30, 2002 and filed with the Securities and Exchange Commission ("SEC") on November 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Note to Editors: Magma, Blast Noise and FixedTiming are registered trademarks and Blast Fusion, Blast Fusion APX, Blast Plan and "The Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation Inc. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Milan G. Lazich, 408/864-2023
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

NEC Electronics America and Magma Achieve First-Pass Silicon Success on Multimillion-Gate, High-Speed, 0.15-Micron Networking Chip
Monday February 3, 8:34 am ET
Advanced Hierarchical Flow Delivers Complex Flip-Chip Design on Schedule


CUPERTINO, Calif.--(BUSINESS WIRE)--Feb. 3, 2003-- Magma® Design Automation Inc. (Nasdaq: LAVA - News), a provider of chip design solutions, and NEC Electronics America, Inc., today announced that NEC Electronics America used Magma software to successfully tape out and achieve first-pass silicon success on a networking chip with more than 10 million gates and a maximum on-chip clock speed of 333 megahertz (MHz). The chip is packaged in a flip-chip package with peripheral as well as area input/outputs (I/Os). The chip was implemented hierarchically using NEC Electronics` CB-12 ASIC technology (0.15-micron technology node) with Magma`s Blast Plan(TM) and Blast Fusion(TM) design software systems.
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The combination of Magma`s advanced software and NEC Electronics` ASIC technology provided impressive improvements in turnaround time and congestion handling between the preliminary design and the final design. The hierarchical design capability in Blast Plan, including GlassBox(TM) modeling, enabled full-chip analysis, top-level optimization and placement of area I/Os to support this nearly 2000-pin flip-chip design. In addition, Blast Fusion was able to reduce the cell count and cell area, thereby reducing the net count and minimizing congestion.

"This design had very high net count, which made managing congestion and timing very difficult," said Akira Denda, senior engineering manager, broadband LSI technology strategic business unit, NEC Electronics America, Inc. "With Blast Fusion`s physical optimization capabilities, we were able to significantly reduce the cell count and cell area to maintain the initial die size. Our design also contained I/O slots in both the core and peripheral regions, flip-chip technology, 35 blocks and more than 400 memory macros. Magma`s GlassBox data reduction technology and integrated planning and implementation system provided the accuracy and capacity we needed to meet the aggressive performance goals while maintaining the original die size."

"As a leading designer and manufacturer of innovative semiconductors, NEC Electronics America is known for using cutting-edge design tools and methodologies," said Rajeev Madhavan, chairman and CEO of Magma Design Automation. "We`re very pleased that they include Magma software in their flow and share our commitment to providing mutual customers with solutions that meet their cost, performance and time-to-market requirements."

Powerful Optimizations and Unified Architecture Minimize Chip Area and Turnaround Time

Achieving timing closure and handling congestion on earlier generations of the design had required multiple, time-consuming iterations. Using Blast Fusion and Blast Plan, NEC Electronics America was able to achieve timing closure without returning to synthesis. Magma`s systems are based on a single, unified data model architecture that contains all the logical and physical information about the design and is resident in core memory during execution. The various functional elements - such as the implementation engines for optimization, placement and routing, and the analysis software for timing and delay extraction - all operate directly on the single data model without relying on file interfaces or application program interfaces (APIs). This tight integration allows more accurate analysis of the design, and enables the system to make rapid tradeoff decisions during the design process to optimize for better chip performance and area.

Magma`s systems are based on its patented FixedTiming(TM) methodology. This approach enables Magma`s systems to predict circuit speeds prior to detailed physical design. The systems then use a series of design refinements during physical design to achieve a final timing that is very close to the predicted circuit speed. With predictable timing results, iterations from place and route back to synthesis can be eliminated and time to market can be significantly improved. FixedTiming also ensures that each cell is sized according to the actual wireload, resulting in lower cell counts and more compact layouts.

Magma Hierarchical Design Flow Eliminates Capacity vs. Accuracy Tradeoff

Blast Plan`s hierarchical design capabilities and GlassBox technology were key to the successful completion of this design. Blast Plan uses the GlassBox abstraction technique to create models that contain the logical and physical information needed to generate accurate time budgets for the top-level blocks. The partitioning, pin placement and time-budgeting steps are performed with accurate data that is maintained in Magma`s unified data model throughout the design process. In this way, the Magma flow delivers the capacity of a hierarchical design flow with the accuracy of a flat design approach.

About NEC Electronics America, Inc.

NEC Electronics America, Inc., headquartered in Santa Clara, Calif., is a wholly owned subsidiary of NEC Electronics Corporation, a leading provider of semiconductor products encompassing advanced technology solutions for the broadband and communications markets; system solutions for the mobile, PC, automotive and digital consumer markets; and platform solutions for a wide range of customer applications. NEC Electronics America offers solutions ranging from standard products to system-on-a-chip (SoC) solutions, customized products for next-generation designs, a local manufacturing facility in Roseville, Calif., and the global manufacturing capabilities of its parent company. NEC Electronics America also is the exclusive sales supplier of NEC active-matrix LCD and PDP modules in North America. More information about the products offered by NEC Electronics America, Inc. can be found at http://www.necelam.com.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM) to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM), Blast Noise® and Blast RTL(TM) products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma, Blast Noise and FixedTiming are registered trademarks, and Blast Fusion, Blast Fusion APX, Blast Plan and "The Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. NEC Electronics America, Inc., is either a registered trademark or trademark of NEC Electronics Corporation in the United States and/or other countries. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s ability to keep pace with rapidly changing technology and its products ability to produce desired results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q/A for the quarter ended September 30, 2002 and filed with the Securities and Exchange Commission ("SEC") on November 14, 2002, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Milan G. Lazich, 408/864-2023
[e-mail]
or
NEC Electronics America,Inc.
Denise Viereck Garibaldi, 408/588-6620
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation

[panik]

http://www.eedesign.com/columns/industry_gadfly/OEG20030203S…

The doughnut company
By John Cooley
EE Times
February 3, 2003 (10:21 a.m. EST)

In putting together the DVCon`03 CEO panel last week, I invited Mentor CEO Wally Rhines. Everything was going smoothly until I mentioned that Erach Desai, a sometimes controversial, independent stock analyst, was going to be on the panel, too. Suddenly the Mentor people told me outright that "it would be a cold day in hell" before Wally ever appeared on a panel with Erach. These guys flat out hated Desai and they didn`t care who knew. Whoa.

I searched the EE Times site on Mentor and Desai. "I bet there will be no organic growth from the Mentor/Innoveda acquisition," Desai said. "Mentor has become a bottom feeder that sucks up smaller, dying companies, not small companies on the rise that haven`t reached their full potential." In other quotes Desai said that Mentor should try to get Cadence to buy them. Or that the much smaller Magma should somehow acquire Mentor to put Calibre in the hands of the Magma sales force. I laughed. Desai doesn`t sugarcoat what he thinks. I respect that. But I have to disagree with him on the tone of his view of Mentor as a company overall.




As an EDA user, I`ve seen Mentor be very powerful in the areas it focuses on. The problem is that as a company, Mentor`s a doughnut. In the front end, Model Tech owns the Verilog and VHDL PC simulation market. Exemplar does OK in FPGA synthesis. The Fastscan tools are best-in-class. Its Inventra IP library sells designs by the boatload. In the back end, its Calibre and xCalibre tools are also best-in-class. The problem is that doughnut hole smack in the middle where synthesis and place and route are. It simply screams for Mentor to acquire Magma or Monterey to fill it!

And I`m not the only one who sees this.

"Mentor perplexes me," Intrinisix` John Weiland wrote to my DAC`02 survey. "They have competitive (and sometimes best-in-class) tools in DRC/LVS/extraction, scan insertion and ATPG, simulation and formal verification, and a very strong IP business. But Mentor has a huge hole right in the middle-synthesis, place and route. I wonder what would happen if they got together with Magma."

They say Mentor was the second bidder before Synopsys acquired Avanti. I think it`s only a matter of time and price before Mentor buys Magma or Monterey. When it happens, it`ll be interesting to see what Desai says about Mentor. And when Mentor`s no longer a doughnut company, maybe then we`ll see panels with Wally and Erach together.

John Cooley runs the E-mail Synopsys Users Group (ESNUG), is a Contract Asic Designer and loves hearing from engineers at [e-mail] or [phone].

[Chipdesign]

Magma Ranked No. 1 on Electronics Business` List of ``Best Small Electronics Companies``
Tuesday April 1, 4:01 pm ET


CUPERTINO, Calif.--(BUSINESS WIRE)--April 1, 2003--Magma Design Automation Inc. (Nasdaq: LAVA - News), a provider of chip design solutions, was today named No. 1 on Electronics Business` list of best small electronics companies. Rankings are based on companies` revenue growth over three years.
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Magma topped the Electronics Business list with three-year revenue growth of 475.7 percent, beating out No. 2-ranked Nassda`s 123.3 percent growth. Magma`s revenue for fiscal year 2002, ended March 31, 2002, was $46.4 million. Magma will report financial results for fiscal year 2003 on April 29, 2003.

"Being named at the top of this group is quite an honor, considering the quality of other companies named," said Rajeev Madhavan, chairman and chief executive officer of Magma. "Our ability to keep up this growth pace is all the more impressive given the difficult economic environment all electronics companies have had to contend with. We`re very proud, not just of this recognition, but of our ability to continue delivering software our customers use to develop great products. I am personally very proud of our employees, who made this happen. I think this recognition helps validate their efforts to deliver a truly integrated IC design flow to our customers."

Electronics Business began its research with a list of more than 200 public electronics companies that had annual revenue less than $250 million and that exhibited "strong annual and quarterly revenue growth." Sources included a number of public databases, Internet resources, Electronic Business files and nominations submitted by Electronic Business readers. Additional information came from Securities and Exchange Commission filings, secondary sources and the companies themselves. Quantitative factors such as profitability, quarter-to-quarter revenue growth and future growth potential contributed to the final list of the best 30 companies. Qualitative attributes such as innovation, leadership and technology also were taken into account.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM), to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM), Blast Noise® and Blast RTL(TM) products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as facilities in Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Laurys Station, Pa.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma, Blast Fusion, Blast Noise and FixedTiming are registered trademarks, and Blast Fusion APX, Blast Plan and "The Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s ability to keep pace with rapidly changing technology and its products ability to produce desired results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2002 and filed with the Securities and Exchange Commission ("SEC") on February 7, 2003, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Milan G. Lazich, 408/864-2023
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[Chipdesign]

Magma Validated as ``Ready for IBM Technology
Wednesday April 9, 9:02 am ET
`` Extensive Efforts Validate ``The Fastest Path From RTL to Silicon`` on Leading-Edge SoC Designs


CUPERTINO, Calif.--(BUSINESS WIRE)--April 9, 2003--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that it has validated its design flow and is among the first solution providers to be awarded IBM`s "Ready For IBM Technology" mark for IBM`s 0.13-micron process technologies. Common customers have already used the Magma-IBM design flow to tape out chips ranging in size from 8 million gates to 12 million gates, and three more designs are preparing to tape out with IBM`s 0.13-micron and 0.18-micron CMOS technologies.

Through this effort Magma has qualified libraries and technology files for IBM`s 0.13-micron CMOS technologies and integrated them into Magma`s RTL-to-GDSII system, which includes gain-based synthesis technology in Blast Create and Blast Fusion and offers physical design handoff for chip finishing and tape-out verification. Now designers can get qualified libraries and technology data in the form of Magma Library Volcanoes, reference flow scripts and related technical documentation. The joint effort also builds on IBM`s intellectual property and the implementation of those IP blocks using Magma`s unique technologies, such as GlassBox(TM) models for abstracting full logical, physical and electrical data.

"Working with IBM through such a long-term relationship enables us to give our mutual customers an easy way to achieve their design goals," said Venk Shukla, Magma`s senior vice president, marketing and business development. "This solution combines Magma`s high-capacity, high-speed front end starting from RTL synthesis to completely validated correlation to IBM`s high reliability silicon manufacturing capability. Whether they utilize an ASIC or COT (customer-owned tooling) model, Magma can support their designs."

IBM`s "Ready for IBM Technology" solutions are designed to help OEM customers speed time to market, reduce development risk, lower development costs and improve return on investment. The "Ready for IBM Technology" mark identifies solutions that have been tested and validated for compatibility with IBM Microelectronics products by the solution developers and assures that these solutions are compatible with IBM Microelectronics products. The support of third-party software, hardware and service providers helps IBM expand its technology appeal to OEMs by bringing additional value to the solution a customer purchases.

IBM Business Partners who are validated will be marketed visibly in the Global Solutions Directory http://www.software.ibm.com/solutions/isv -- making it easier for customers to find solutions quickly and easily with the designation "Ready for IBM Technology."

About IBM Microelectronics

IBM Microelectronics is a key contributor to IBM`s role as the world`s premier information technology supplier. It develops, manufactures and markets state-of-the-art semiconductor and interconnect technologies, products and services. IBM Microelectronics activities are focused in three major areas: custom application specific integrated circuit (ASIC) chips, PowerPC-based standard chip products and high-tech foundry services. Its superior integrated solutions can be found in many of the world`s best-known electronic brands.

IBM is a recognized innovator in the chip industry, having been first with advances like more power-efficient copper wiring in place of aluminum, faster silicon-on-insulator (SOI) and silicon germanium transistors, and improved low-k dielectric insulation between chip wires. These and other innovations have contributed to IBM`s standing as the No. 1 U.S. patent holder for 10 consecutive years. More information about IBM Microelectronics can be found at: http://www.ibm.com/chips.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM), to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Create(TM), Blast Fusion®, Blast Fusion APX(TM), Blast Plan(TM) and Blast Noise® products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as facilities in Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Forward-Looking Statements

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s ability to keep pace with rapidly changing technology and its products ability to produce desired results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2002 and filed with the Securities and Exchange Commission ("SEC") on February 7, 2003, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Note to Editors: Blast Fusion, Blast Noise, FixedTiming and Magma are registered trademarks, and Blast Create, Blast Fusion APX, Blast Plan, GlassBox, "The Fastest Path from RTL to Silicon" and Volcano are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Magma Reports Record Revenue & Earnings for Fourth Quarter of Fiscal 2003
Tuesday April 29, 4:05 pm ET
Revenue of $20.5 million, Pro Forma Earnings Per Share of $0.13


CUPERTINO, Calif.--(BUSINESS WIRE)--April 29, 2003--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced financial results that included record revenue and profitability for its fiscal year 2003 fourth quarter, which ended March 31, 2003.
For the fourth quarter, Magma reported record revenue of $20.5 million, compared to $16.2 million for the year-ago fourth quarter ended March 31, 2002, an increase of 26 percent. Magma reported pro forma net income for the fourth quarter of fiscal 2003, excluding certain non-cash charges, of $4.1 million, or $0.13 per share (diluted), both of which are records for the company. This compares to a pro forma net income of $1.0 million, or $0.03 per share (diluted), for the fourth quarter of fiscal 2002, ended March 31, 2002. Pro forma net income for the fourth fiscal quarter reflects reported net income excluding the effects of amortization of capitalized software, amortization of deferred stock-based compensation, and impairment reflecting a write-down of equity investments. A reconciliation of the GAAP to pro forma results is included in this press release.

In accordance with generally accepted accounting principles (GAAP), Magma reported net income attributed to common shareholders of $2.6 million, or $0.08 per share (diluted), for the quarter, compared to a net loss attributed to common shareholders of ($1.2) million, or ($0.04) per share (diluted), for the fourth quarter ended March 31, 2002.

For the fiscal year ended March 31, 2003, Magma reported revenue of $75.1 million, compared to $46.4 million for the fiscal year ended March 31, 2002, an increase of 62 percent. Magma reported pro forma net income, excluding certain non-cash charges, of $11.3 million, or $0.35 per share (diluted), for the fiscal year ended March 31, 2003. This compares to a pro forma net loss of ($8.6) million, or ($0.50) per share (diluted), for the fiscal year ended March 31, 2002. In accordance with GAAP, Magma reported net income attributed to common shareholders of $3.1 million, or $0.10 per share (diluted), for the recently completed fiscal year, compared to a net loss attributed to common shareholders of ($35.8) million, or ($2.07) per share (diluted), for the fiscal year ended March 31, 2002. Pro forma net income for the fiscal year reflects reported net income (loss) excluding the effects of amortization of capitalized software, costs related to settlement of litigation, restructuring charges, amortization of deferred stock-based compensation, impairment reflecting a write-down of equity investments, non-cash interest and non-cash preferred stock dividend. A reconciliation of the GAAP to pro forma results is included in this press release.

"We`re pleased to announce such solid financial results this quarter, especially given the current economic climate," said Rajeev Madhavan, chairman and CEO of Magma. "We are particularly proud of the fact we have added at least 10 new logos to our customer list in each of the last three quarters. We attribute this to our continuing focus on developing software -- such as Blast Create, which we announced yesterday -- that provides our customers with leading technology for IC implementation, the best design flow to complete their chips."

Business Outlook

For Magma`s fiscal 2004 first quarter, which will end June 30, 2003, the company expects total revenue in the range of $21.5 million to $23.5 million. Pro forma EPS is expected to be in the range of $0.11 to $0.15, with GAAP EPS in the range of $0.04 to $0.08. A schedule showing a reconciliation of the business outlook for GAAP to pro forma EPS is included in this release. More detailed information on the company`s guidance is available in the Investor Info section of the Magma website at www.magma-da.com.

Conference Call

Magma will discuss the financial results for the recently completed quarter and fiscal year, including guidance going forward, during a live webcast and earnings call today at 5 p.m. EDT (2 p.m. PDT). The call will be available live by both webcast and conference call. To listen live via webcast, go to Magma`s website at www.magma-da.com and visit the "Investor Info" section. To listen live via telephone call either of the numbers below:

United States & Canada: [phone], conference ID #9381709
Outside U.S. & Canada: [phone], conference ID #9381709

Following completion of the call, a replay of the webcast will be available at www.magma-da.com through May 6, 2003. Those without Internet access may listen to a replay of the call by telephone:

United States & Canada: [phone], conference ID #9381709
Outside U.S. & Canada: [phone], conference ID #9381709

The telephone replay will be available from 6 p.m. PDT today through May 6, 2003.

FORWARD-LOOKING STATEMENTS

Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which include statements in the "Business Outlook" section, and statements regarding engagements with new and existing customers; Magma`s continuing leadership in the IC implementation area; and wins and record bookings as a result of its technology advantages, are subject to risks and uncertainties that could cause actual results to differ materially from Magma`s current expectations. Factors that could cause or contribute to such differences include, but are not limited to: increasing competition in the EDA market; the impact of the economic recession; the impact of SARS on business activities in Asia; effects terrorist activities or events in the Middle East may have on Magma, its customers and industry; any delay of customer orders or failure of customers to renew licenses; weaker-than-anticipated sales of the company`s products and services; weakness in the semiconductor or electronic systems industries; the ability to successfully manage the company`s expanding operations; the ability to attract and retain the key management and technical personnel needed to operate Magma successfully; the ability to continue to deliver competitive products to customers to help them get their products to market; and changes in accounting rules. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2002 filed with the Securities and Exchange Commission ("SEC") on February 7, 2003, and from time to time in Magma`s SEC reports. Magma undertakes no obligation to update these forward-looking statements.

About Magma

Magma software is used to design fast, multimillion-gate integrated circuits, providing the "Fastest Path from RTL to Silicon"(TM) to enable chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Create(TM), Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM) and Blast Noise® products utilize Magma`s proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Blast Fusion, Blast Noise, FixedTiming and Magma are registered trademarks and Blast Create, Blast Fusion APX, Blast Plan and "Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

-0-

MAGMA DESIGN AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)

March 31, March 31,
2003 2002
----------- ---------
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents $64,756 $78,478
Short-term investments 3,059 13,468
Accounts receivable, net 19,223 17,601
Prepaid expenses and other current assets 3,028 1,327
----------- ---------
Total current assets 90,066 110,874
Property and equipment, net 5,808 7,252
Long-term Investments 27,882 -
Other assets 3,123 1,583
----------- ---------
Total assets $126,879 $119,709
=========== =========

LIABILITIES AND STOCKHOLDERS` EQUITY
Current liabilities:
Accounts payable $1,386 $1,777
Accrued expenses 7,112 9,441
Deferred revenue, current 12,539 15,617
----------- ---------
Total current liabilities 21,037 26,835

Other long-term liabilities 72 130
----------- ---------
Total liabilities 21,109 26,965
----------- ---------

Stockholders` equity:
Common stock 3 3
Additional paid-in capital 228,400 223,450
Deferred stock-based compensation (1,638) (7,161)
Notes receivable from stockholders (2,037) (1,936)
Accumulated deficit (118,540) (121,612)
Treasury stock at cost (408) --
Accumulated other comprehensive income (10) --
----------- ---------
Total stockholders` equity 105,770 92,744
----------- ---------
Total liabilities and stockholders` equity $126,879 $119,709
=========== =========


MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET INCOME (LOSS)
(in thousands, except per share data)
(Unaudited)

For the Three Months Ended
March 31, 2003
------------------------------
As Adjust- As
Reported ments Adjusted
---------- --------- ---------
Revenue:
Licenses $18,321 $-- $18,321
Services 2,208 -- 2,208
---------- --------- ---------
Total revenue 20,529 20,529

Cost of revenue 2,602 (131)A 2,471
---------- --------- ---------

Gross profit 17,927 131 18,058
---------- --------- ---------
Operating expenses:
Research and development 4,610 -- 4,610
Sales and marketing 6,629 -- 6,629
General and administrative 2,412 -- 2,412
Restructuring costs -- -- --
Amortization of stock-based
compensation 718 (718)B --
---------- --------- ---------
Total operating expenses 14,369 (718) 13,651
---------- --------- ---------
Operating income (loss) 3,558 849 4,407
---------- --------- ---------
Interest income (expense):
Interest income 394 -- 394
Other income (expense) (533) 573 C 40
---------- --------- ---------
Interest income (expense), net (139) 573 434
---------- --------- ---------

Net income (loss) before income taxes 3,419 1,422 4,841
Income taxes (772) -- (772)
---------- --------- ---------
Net income (loss) attributed to common
shareholders $ 2,647 $ 1,422 $ 4,069
========== ========= =========
Net income (loss) per common share -
basic $ 0.09 $ 0.13
========== =========
Net income (loss) per common share -
diluted** $ 0.08 $ 0.13
========== =========
Pro forma shares outstanding:
Basic 30,785 30,785
========== =========
Diluted** 31,542 31,542
========== =========


For the Three Months Ended
March 31, 2002
------------------------------
As Adjust- As
Reported ments Adjusted
---------- --------- ---------
Revenue:
Licenses $12,344 $-- $12,344
Services 3,889 -- 3,889
---------- --------- ---------
Total revenue 16,233 16,233

Cost of revenue 2,624 -- 2,624
---------- --------- ---------

Gross profit 13,609 -- 13,609
---------- --------- ---------
Operating expenses:
Research and development 4,759 -- 4,759
Sales and marketing 6,318 -- 6,318
General and administrative 1,910 -- 1,910
Restructuring costs -- -- --
Amortization of stock-based
compensation 2,188 (2,188)B --
---------- --------- ---------
Total operating expenses 15,175 (2,188) 12,987
---------- --------- ---------
Operating income (loss) (1,566) 2,188 622
---------- --------- ---------

Interest income (expense):
Interest income 517 -- 517
Other income (expense) -- -- --
---------- --------- ---------
Interest income (expense), net 517 -- 517
---------- --------- ---------

Net income (loss) before income taxes (1,049) 2,188 1,139
Income taxes (137) -- (137)
---------- --------- ---------
Net income (loss) attributed to common
shareholders $ (1,186) $ 2,188 $ 1,002
========== ========= =========
Net income (loss) per common share -
basic $ (0.04) $ 0.03
========== =========
Net income (loss) per common share -
diluted** $ (0.04) $ 0.03
========== =========
Pro forma shares outstanding:
Basic 29,397 29,397
========== =========
Diluted** 29,397 32,797
========== =========

A Non-cash amortization of capitalized software

B Non-cash amortization of deferred stock based compensation

C Impairment write-down of equity investment.

** Gives effect to all dilutive potential common shares
outstanding during the period including stock options and
warrants using the treasury stock method and redeemable
convertible preferred stock using the as-if-converted method.


MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET (INCOME) LOSS
(in thousands, except per share data)
(Unaudited)

For the Fiscal Year Ended
March 31, 2003
------------------------------
As Adjust- As
Reported ments Adjusted
--------- --------- ----------
Revenue:
Licenses $63,631 $-- $63,631
Services 11,461 -- 11,461
--------- --------- ----------
Total revenue 75,092 -- 75,092

--------- --------- ----------
Cost of revenue 11,518 (218)A 11,300
--------- --------- ----------

Gross profit 63,574 218 63,792
--------- --------- ----------
Operating expenses:
Research and development 18,687 -- 18,687
Sales and marketing 25,656 -- 25,656
General and administrative 10,680 (1,850)B 8,830
Restructuring costs 727 (727)C --
Amortization of stock-based
Compensation 4,830 (4,830)D --
--------- --------- ----------
Total operating expenses 60,580 (7,407) 53,173
--------- --------- ----------

Operating income (loss) 2,994 7,625 10,619
--------- --------- ----------

Interest income (expense):
Interest income 1,841 -- 1,841
Other income (expense) (578) 573 E (5)

Interest expense subordinated
convertible promissory notes -- -- --
--------- --------- ----------
Interest income (expense), net 1,263 573 1,836

Net income (loss) before income taxes 4,257 8,198 12,455
Income taxes (1,183) -- (1,183)
--------- --------- ----------
Net income (loss) 3,074 8,198 11,272
Less: preferred stock dividend -- -- --
--------- --------- ----------
Net income (loss) attributed to common
shareholders $ 3,074 $ 8,198 $ 11,272
========= ========= ==========
Net income (loss) per common share
-basic $ 0.10 $ 0.37
========= ==========
Net income (loss) per common share
-diluted ** $ 0.10 $ 0.35
========= ==========
Pro forma shares outstanding:
Basic 30,521 30,521
========= ==========
Diluted ** 31,976 31,976
========= ==========


For the Fiscal Year Ended
March 31, 2002
--------------------------------
As Adjust- As
Reported ments Adjusted
---------- ---------- ----------
Revenue:
Licenses $38,175 $-- $38,175
Services 8,182 -- 8,182
---------- ---------- ----------
Total revenue 46,357 46,357

---------- ---------- ----------
Cost of revenue 8,308 -- 8,308
---------- ---------- ----------

Gross profit 38,049 -- 38,049
---------- ---------- ----------
Operating expenses:
Research and development 18,238 -- 18,238
Sales and marketing 22,928 -- 22,928
General and administrative 6,033 -- 6,033
Restructuring costs -- -- --
Amortization of stock-based
Compensation 6,794 (6,794)D --
---------- ---------- ----------
Total operating expenses 53,993 (6,794) 47,199
---------- ---------- ----------

Operating income (loss) (15,944) 6,794 (9,150)
---------- ---------- ----------

Interest income (expense):
Interest income 1,036 -- 1,036
Other income (expense) (186) -- (186)

Interest expense subordinated
convertible promissory notes (14,604) 14,604 F --
---------- ---------- ----------
Interest income (expense), net (13,754) 14,604 850
---------- ---------- ----------

Net income (loss) before income taxes (29,698) 21,398 (8,300)
Income taxes (288) -- (288)
---------- ---------- ----------
Net income (loss) (29,986) 21,398 (8,588)
Less: preferred stock dividend (5,814) 5,814 G --
---------- ---------- ----------
Net income (loss) attributed to common
shareholders $(35,800) $ 27,212 $ (8,588)
========== ========== ==========
Net income (loss) per common share
-basic $ (2.07) $ (0.50)
========== ==========
Net income (loss) per common share
-diluted ** $ (2.07) $ (0.50)
========== ==========
Pro forma shares outstanding:
Basic 17,258 17,258
========== ==========
Diluted ** 17,258 17,258
========== ==========


A Non-cash amortization of capitalized acquired software

B Costs related to settlement of litigation

C Restructuring charges

D Non-cash amortization of deferred stock compensation

E Impairment write-down of equity investment

F Non-cash interest, amortization of discount on debt instrument

G Non-cash preferred stock dividend

** Gives effect to all dilutive potential common shares
outstanding during the period including stock options and
warrants using the treasury stock method and redeemable
convertible preferred stock using the as-if-converted method.



MAGMA DESIGN AUTOMATION, INC.
AS OF APRIL 29, 2003
IMPACT OF PRO FORMA ADJUSTMENTS ON FORWARD-LOOKING DILUTED NET
INCOME PER SHARE
(in thousands, except per share data)
(Unaudited)

Quarter Ended June 30, 2003

GAAP diluted net income per share $0.04 to $0.08
Amortization of capitalized acquired
software $0.004
Amortization of deferred stock
compensation $0.07

Pro Forma diluted net income per share $0.11 to $0.15



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Gregory C. Walker, 408/864-2000
[e-mail]
Milan G. Lazich, 408/864-2023
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[Chipdesign]

[Chipdesign]

Magma Announces Blast Rail for Enabling Power Integrity in Nanometer Design
Monday May 12, 7:03 am ET
Correct-by-construction solution a key component of Magma`s low-power design flow


CUPERTINO, Calif.--(BUSINESS WIRE)--May 12, 2003--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced the release of Blast Rail(TM), a correct-by-construction rail design solution that ensures power integrity for nanometer designs. Blast Rail is a key component of Magma`s overall low-power design solution and is fully integrated within Magma`s RTL-to-GDSII implementation flow.

Blast Rail simplifies rail design by combining power planning, power analysis, voltage-drop analysis, voltage-drop-induced delay analysis and analysis of electromigration on rail wires and vias in a single tool. Unlike other solutions that use multiple point tools to address these different issues, the streamlined Blast Rail solution eliminates iterations and provides significant savings in overall turnaround time. Blast Rail provides advanced capabilities to perform static analysis as well as dynamic analysis that considers a sequence of activities over a period of time. With shrinking process geometries, increasing frequencies, and reducing supply voltages, it has also become extremely essential to perform "instantaneous" or "transient" voltage-drop analysis that considers the activities happening within a clock cycle. Blast Rail provides the seamless ability to model network resistances, capacitances, and inductances and uses these network parasitics to perform the transient analysis.

"Blast Rail has performed voltage-drop analysis on a million-gate design," said Anand Bariya, senior design center manager of Toshiba America Electronics Components, Inc. "The results were validated by checking against other industry signoff tools and we are extremely impressed with the fast runtime and accuracy of Blast Rail."

"The introduction of Blast Rail continues to advance our RTL-to-GDSII capabilities," said Venktesh Shukla, senior vice president of marketing and business development of Magma. "We recognize that to maintain our technology leadership we need to answer our customers` major concerns. Blast Rail`s ability to simplify power design addresses one of the significant problems designers face today."

Designers` Biggest Complaint

Gary Smith, Gartner Dataquest`s director and chief analyst for electronic design automation, identifies design issues associated with power as posing the greatest challenges for design. "Power has become the number 1 problem for design engineers today and they are generally dissatisfied with tools that are presently available," Smith said. "As a result, most companies are forced to spend a lot of time and money developing customized solutions to address power design."

The integration of Blast Rail with the Blast Fusion(TM) flow provides designers with a streamlined power design flow that enables reliable and rapid convergence. Blast Rail leverages Magma`s unified data model and common executable to enable real-time analysis and feedback so designers can plan early and make changes, if required, at different stages during the flow. The GUI-based visualization and what-if analysis capabilities enable users to plan and implement optimal power grid configurations. Blast Rail also enables accurate macromodeling and abstraction of IP blocks and soft macros using Magma`s unique Glassbox(TM) technology. Another extremely unique aspect of the solution is the embedded timing analysis capability that enables designers to understand the impact of voltage-drop-induced delays directly without having to go back and forth with external static timing analysis tools.

"The Blast Rail solution represents a key step for Magma toward providing a total power management solution to meet the needs of low-power and other designs," said Sameer Patel, product marketing director at Magma. Magma customers have been successful with our integrated circuit (IC) implementation solution that looks at timing, area and signal integrity (SI) concurrently throughout the flow. They had complained of spending too much time iterating with different point tools to plan, implement, and analyze the power grid and ensure good power and voltage-drop distribution. With Blast Rail, they now have an integrated solution that looks at power integrity at the same time as timing, area and SI.

Correct by Construction -- Get it Right the First Time

Blast Rail provides a correct-by-construction rail design methodology that is fully integrated with Magma`s RTL-to-GDSII implementation flow. This flow is built with Magma`s patented unified data model architecture that provides increased speed and capacity along with instant access to analysis data for "on-the-fly" correction that avoids costly post-route iterations. This allows designers to analyze the complex, interdependent effects of voltage drop, timing, SI and power at any stage of the design, and empowers them to take the necessary steps to avoid these problems at an early stage.

Designers can specify optimal parameters for the power grid and define optimal pad locations during early planning while continuing to refine the power grid during detailed implementation. This eliminates the need to over design, thus ensuring reliable results while maintaining high performance.

"We decided to use Blast Rail along with Blast Fusion on our next production design because of Blast Rail`s ability to provide early and accurate feedback -- not having to rely on post-layout iterations to fix the problems -- and ensure the power integrity of the design," said Stephan Klingler, vice president of Technology & Innovation, ASIC & Design Solutions Business Unit at Infineon Technologies.

"As a leading provider of multimedia hardware and software solutions, we look for the best EDA solutions," said Phil Brennan, vice president of operations at WIS Technologies. "The advanced analysis capabilities in Blast Rail, along with the tight integration with Blast Fusion, have convinced us to adopt this solution for our next design. We were able to run a multimillion-gate design in just minutes through Blast Rail, much faster than with point tools we`ve used in the past."

Availability

Blast Rail is available for both the Solaris and Linux operating systems. Pricing starts at $160,000 per year for a 3-year time-based license.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM) and enabling chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Create(TM), Blast Fusion(TM), Blast Fusion APX(TM), Blast Noise®, Blast Plan(TM), and Blast Rail(TM) products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as facilities in Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Magma, Blast Noise and FixedTiming are registered trademarks, and Blast Create, Blast Fusion, Blast Fusion APX, Blast Plan, Blast Rail, GlassBox and "The Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Blast Rail ensures power integrity, eliminates iterations, reduces turnaround time and about other features and benefits of Magma`s system, and about Infineon and WIS Technologies intentions to use Blast Rail, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s ability to keep pace with rapidly changing technology, its products ability to produce desired results and Infineon`s and WIS Technologies` decision to continue using Blast Rail. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2002 and filed with the Securities and Exchange Commission ("SEC") on February 7, 2003, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408/864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[Chipdesign]

Magma Enables WIS Technologies to Deliver 5-Million-Gate, 0.18-Micron Video Compression Chip in Just 2 Weeks
Monday May 12, 7:03 am ET
Integrated physical and rail design technology addresses timing, area, signal integrity and power throughout the design flow, eliminating costly iterations


CUPERTINO, Calif.--(BUSINESS WIRE)--May 12, 2003-- Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, announced today that WIS Technologies Inc., a leading provider of multimedia hardware and software solutions, has achieved single-pass design closure on a 5-million-gate, 100 MHz, 0.18-micron video compression chip using Blast Fusion(TM) and Blast Rail(TM). With Magma`s integrated physical and rail design technology, WIS Technologies was able to tapeout the design in just 2 weeks with no iterations.
ADVERTISEMENT


"We had some challenges in implementing the rail design for this chip because of the utilization and die area requirements," said Phil Brennan, vice president of operations at WIS Technologies. "The last thing we wanted to do was have to cobble together a bunch of point tools to try to address these challenges. With Blast Fusion and Blast Rail we were able to perform physical design and power planning, power analysis, voltage-drop analysis, voltage-drop-induced delay analysis and analysis of electromigration on rail wires and vias using a single executable. Having all these capabilities in an integrated system saved us a significant amount of time and delivered great results."

"As process technologies shrink, managing power, timing, area, and signal integrity is becoming an even bigger challenge," said Sameer Patel, product marketing director at Magma. "The success of WIS Technologies illustrates well how Magma`s integrated approach enables accurate analysis and management of power integrity throughout the physical design flow."

Added Mr. Brennan, "Blast Rail provided a quick what-if analysis to design an efficient power mesh allowing us to achieve our die size target. Voltage-drop analysis during the implementation phase reduced post-route iterations substantially. These capabilities were key to our design success."

About WIS Technologies

WIS Technologies, Inc. is a leading provider of highly integrated hardware, software solutions for multimedia communications over wired or wireless broadband infrastructures. WIS Technologies` suite of multimedia tools include solutions for MPEG video encoding, MP3 audio encoding, JPEG 2000, and still image. WIS Technologies is currently developing SoC (Systems on Chip) silicon for video, audio and voice compression, image understanding, and speech recognition. These innovative semiconductor solutions are designed to provide exceptionally affordable, high quality, digital audio and video products for delivering multimedia content over IP using wired and wireless broadband networks.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM), enabling chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Create(TM), Blast Fusion®, Blast Fusion APX(TM), Blast Noise® Blast Plan(TM) and Blast Rail(TM) products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as facilities in Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Note to Editors: Blast Fusion, Blast Noise, FixedTiming and Magma are registered trademarks, and Blast Create, Blast Fusion APX, Blast Plan, Blast Rail, and "The Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about Blast Rail`s ability to reduce the length and cost of the design cycle and improve design results, and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s ability to keep pace with rapidly changing technology and its products ability to produce desired results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-Q for the quarter ended December 31, 2002 and filed with the Securities and Exchange Commission ("SEC") on February 7, 2003, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation, Inc.
Monica Marmie, 408/864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation

[panik]

Wipro Technologies Adds Magma`s Blast Fusion to Design Implementation Flow
Monday July 28, 9:06 am ET
Decision Influenced by Blast Fusion`s Strengths in Library Qualification, Optimization, Floorplanning, Power Planning, Final Routing


CUPERTINO, Calif.--(BUSINESS WIRE)--July 28, 2003-- Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that Wipro Technologies Limited (NYSE:WIT - News), will add Blast Fusion(TM) to its integrated circuit (IC) design implementation flow.
ADVERTISEMENT


"Magma has developed a fully integrated tool suite that can be used from RTL through GDSII. As we move toward designs of higher complexity in state-of-the-art nanometer process technologies, we need a design environment that addresses the challenges of timing closure and physical design optimization while providing a collaborative and user-friendly environment," said Vasudevan Aghoramoorthy, vice president of VLSI/System Design at Wipro Technologies. "Blast Fusion was rigorously evaluated, and we were impressed with the results of our trial."

Wipro`s evaluation took a complex design from register transfer level (RTL) to GDSII. The design function was a high-speed, scaleable SoC-based platform incorporating various third-party IP blocks. Correlation of timing, design rule checks (DRC) and antenna design results were verified using industry-standard analysis software. All evaluations were done using twin Linux servers. Wipro cited several of Blast Fusion`s strengths as influencing its decision, including library qualification, preplacement optimization, floorplanning and power planning, high-quality optimization, clocktree synthesis and final routing, optimization and verification.

"Wipro Technologies has a reputation of excellence with quality products and exceptional services," said Lung Chu, Magma vice president of Asia-Pacific Operations. "We`re pleased one of India`s most respected companies has selected Magma for its nanometer designs."

About Wipro Technologies

Wipro Limited is the first PCMM Level 5 and SEI CMM Level certified IT Services Company globally. Wipro provides comprehensive IT solutions and services, including systems integration, Information Systems outsourcing, package implementation, software application development and maintenance, and research and development services to corporations globally.

In the Indian market, Wipro is a leader in providing IT solutions and services for the corporate segment in India offering system integration, network integration, software solutions and IT services. Wipro also has profitable presence in niche market segments of consumer products and lighting. In the Asia Pacific and Middle East markets, Wipro provides IT solutions and services for global corporations.

Wipro`s ADSs are listed on the New York Stock Exchange, and its equity shares are listed in India on the Stock exchange -- Mumbai, and the National Stock Exchange, among others. For more information, please visit its website at www.wipro.com

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM) and enabling chip designers to reduce the time required to produce complex ICs. Magma`s ASIC products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Create (TM), Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM), Blast Noise®, Blast Rail(TM) and Blast RTL(TM) products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma also provides PALACE(TM) and ArchEvaluator(TM) advanced physical synthesis and architecture development tools for programmable logic devices (PLDs).

Magma maintains headquarters in Cupertino, Calif., as well as facilities in Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Fusion, Blast Noise and FixedTiming are registered trademarks, and ArchEvaluator, ArchIntegrator,Blast Create, Blast Fusion APX, Blast Plan, Blast Rail, "The Fastest Path from RTL to Silicon", and PALACE are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s ability to keep pace with rapidly changing technology and its products ability to produce desired results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-K for the year ended March 31 and filed with the Securities and Exchange Commission ("SEC") on June 20, 2003, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408-864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design

[panik]

Magma Reports Record Revenue for First Quarter
Tuesday July 29, 4:20 pm ET
Increases 26 Percent over Year-Ago Period


CUPERTINO, Calif.--(BUSINESS WIRE)--July 29, 2003--Magma Design Automation Inc. (Nasdaq: LAVA - News), a provider of chip design solutions, today announced financial results that included record revenue for the quarter ended June 30, 2003, the first quarter of Magma`s 2004 fiscal year.
For the first quarter Magma reported record revenue of $22.8 million, compared to $18.1 million for the year-ago first quarter ended June 30, 2002, an increase of 26 percent. In accordance with generally accepted accounting principles (GAAP), Magma reported net income attributed to common shareholders of $0.1 million, or $0.00 per share (diluted), for the quarter, compared to net income attributed to common shareholders of $0.1 million, or $0.00 per share (diluted), for the first quarter ended June 30, 2002.

Magma reported pro forma net income for the first quarter of fiscal 2004, excluding certain non-cash charges, of $4.9 million, or $0.14 per share (diluted). This compares to a pro forma net income of $2.0 million, or $0.06 per share (diluted), for the first quarter of fiscal 2003, ended June 30, 2002. Pro forma net income for the fiscal quarter reflects reported net income excluding the effects of non-cash amortization of capitalized acquired software, non-cash amortization of deferred stock compensation and non-cash charges associated with an impairment of equity investments and reserves against convertible note receivables. A reconciliation of the pro forma to GAAP results is included in this press release.

"We`re pleased to once again announce record revenue and record pro forma profitability as we continue to grow and gain market share," said Rajeev Madhavan, chairman and CEO of Magma. "We added 11 new customers this quarter, the fourth quarter in a row that we have added at least 10 new logos to our customer list."

"The company generated $5.3 million in cash from operations during Q1, and we finished the quarter with an extremely strong balance sheet, with $208.1 million in cash, cash equivalents, short-term investments and long-term investments," said Greg Walker, Magma`s chief financial officer. "Our cash, cash equivalents and investments are sufficient, at our most recent quarter`s level of spending, to cover nearly three years of operating expenses."

Guidance & Business Outlook

Magma`s financial performance in the first quarter "met or exceeded all target ranges in the guidance we provided during our last quarterly call," Walker said. For Magma`s fiscal 2004 second quarter, ending September 30, 2003, the company expects total revenue in the range of $24 million to $26 million. Pro forma EPS is expected to be in the range of $0.12 to $0.16. A schedule showing a reconciliation of the business outlook for pro forma to GAAP EPS is included in this announcement.

Consistent with company practice to provide financial guidance at the time of each quarterly earnings announcement, Walker will provide and discuss Magma`s guidance during a live conference call at 2 p.m. Pacific Daylight Time today. More detailed information on the company`s guidance is available in the "Investor Info" section of the Magma website at http://investor.magma-da.com/home.cfm." target="_blank" rel="nofollow ugc noopener">http://investor.magma-da.com/home.cfm.

The financial guidance targets set forth in this press release and on Magma`s website represent the company`s expectations only as of the date of this release and should not be viewed as a statement about Magma`s expectations after this date. Although this information will remain available on Magma`s website for reference purposes, its continued availability does not indicate that the company is reaffirming or confirming its continued validity. By publishing this guidance, Magma has not assumed any obligation to update this information on any date after its publication today.

Conference Call

Magma will discuss the financial results for the recently completed quarter, including guidance going forward, during a live webcast and earnings call today at 2 p.m. PDT (5 p.m. EDT). The call will be available live by both webcast and conference call. To listen live via webcast, visit the "Investor Info" section of Magma`s website at http://investor.magma-da.com/home.cfm." target="_blank" rel="nofollow ugc noopener">http://investor.magma-da.com/home.cfm. To listen live via telephone call either of the numbers below:

U.S. & Canada: [phone], conference ID #1598836
Elsewhere: [phone], conference ID #1598836

Following completion of the call, a webcast replay of the call will be available at http://investor.magma-da.com/home.cfm through August 5, 2003. Those without Internet access may listen to a telephone replay of the call by telephone through August 5, 2003 by calling:

U.S. & Canada: [phone], conference ID #1598836
Elsewhere: [phone], conference ID #1598836

FORWARD-LOOKING STATEMENTS

Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which include statements in the "Business Outlook" section, and statements regarding Magma`s continuing leadership in the IC implementation area; and wins and record bookings as a result of its technology advantages, are subject to risks and uncertainties that could cause actual results to differ materially from Magma`s current expectations. Factors that could cause or contribute to such differences include, but are not limited to: increasing competition in the EDA market; the continuing impact of the economic recession; the effects terrorist activities or events in the Middle East may have on Magma, its customers and industry; any delay of customer orders or failure of customers to renew licenses; weaker-than-anticipated sales of the company`s products and services; weakness in the semiconductor or electronic systems industries; the ability to successfully manage the company`s expanding operations; the ability to attract and retain the key management and technical personnel needed to operate Magma successfully; the ability to continue to deliver competitive products to customers to help them get their products to market; and changes in accounting rules. Further discussion of these and other potential risk factors may be found in Magma`s annual report on Form 10-K for the year ended March 31, 2003 filed with the Securities and Exchange Commission ("SEC") on June 20, 2003, and from time to time in Magma`s SEC reports. Magma undertakes no obligation to update these forward-looking statements.

About Magma

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM) and enabling chip designers to reduce the time required to produce complex ICs. Magma`s ASIC products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Create(TM), Blast Fusion(TM), Blast Fusion APX(TM), Blast Plan(TM), Blast Noise®, Blast Rail(TM) and Blast RTL(TM) products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma also provides PALACE(TM) and ArchEvaluator(TM) advanced physical synthesis and architecture development tools for programmable logic devices (PLDs).

Magma maintains headquarters in Cupertino, Calif., as well as facilities in Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, France, Germany, India, Israel, Japan, Korea, the Netherlands, Taiwan and the United Kingdom. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Fusion, Blast Noise and FixedTiming are registered trademarks, and ArchEvaluator, Blast Create, Blast Fusion APX, Blast Plan, Blast Rail, Blast RTL, PALACE and "The Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

-0-

MAGMA DESIGN AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
June 30, March 31,
2003 2003
----------- ---------
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents $122,170 $ 64,756
Short-term investments 3,021 3,059
Accounts receivable, net 22,226 19,223
Prepaid expenses and other current assets 9,324 3,627
--------- ---------
Total current assets 156,741 90,665
Property and equipment, net 5,599 5,808
Long-term Investments 82,909 27,882
Other assets 5,620 3,123
--------- ---------
Total assets $250,869 $127,478
========= =========

LIABILITIES AND STOCKHOLDERS` EQUITY
Current liabilities:
Accounts payable $ 1,369 $ 1,384
Accrued expenses 8,086 7,711
Deferred revenue, current 16,494 12,539
--------- ---------
Total current liabilities 25,949 21,634

Convertible subordinated notes 150,000 --
Other long-term liabilities 8 72
--------- ---------
Total non-current liabilities 150,008 72
--------- ---------
Total liabilities 175,957 21,706
--------- ---------

Stockholders` equity:
Common stock 3 3
Additional paid-in capital 195,821 228,400
Deferred stock-based compensation (1,959) (1,638)
Notes receivable from stockholders 0 (2,037)
Accumulated deficit (118,465) (118,538)
Treasury stock at cost 0 (408)
Accumulated other comprehensive income (488) (10)
--------- ---------
Total stockholders` equity 74,912 105,772
--------- ---------
Total liabilities and stockholders` equity $250,869 $127,478
========= =========



MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET INCOME (LOSS)
(in thousands, except per share data)
(Unaudited)

For the Three Months Ended For the Three Months Ended
June 30, 2003 June 30, 2002
----------------------------- -----------------------------
As Adjust- As As Adjust- As
Reported ments Adjusted Reported ments Adjusted
--------- --------- --------- --------- --------- ---------
Revenue:
Licenses $ 20,517 $ -- $ 20,517 $ 13,377 $ -- $ 13,377
Services 2,296 2,296 4,746 4,746
--------- --------- --------- --------- --------- ---------
Total
revenue 22,813 22,813 18,123 18,123

Cost of
revenue 3,242 (131)A 3,111 2,793 -- 2,793
--------- --------- --------- --------- --------- ---------
Gross
profit 19,571 131 19,702 15,330 -- 15,330
--------- --------- --------- --------- --------- ---------
Operating
expenses:
Research
and
develop-
ment 5,008 5,008 5,337 5,337
Sales and
marketing 7,089 7,089 6,037 6,037
General
and
admini-
strative 2,438 2,438 2,225 2,225
Amort-
ization of
stock-
based
compen-
sation 3,982 (3,982)B -- 1,901 (1,901)B --
--------- --------- --------- --------- --------- ---------
Total
operat-
ing
expenses 18,517 (3,982) 14,535 15,500 (1,901) 13,599
--------- --------- --------- --------- --------- ---------
Operating
income
(loss) 1,054 4,113 5,167 (170) 1,901 1,731
--------- --------- --------- --------- --------- ---------
Interest
income
(expense):
Interest
income 608 608 433 433
Interest
expense (111) (111) (2) (2)
Other
income
(expense) (753) 753 C 0
--------- --------- --------- --------- --------- ---------
Interest
income
(expense),
net (256) 753 497 431 0 431
--------- --------- --------- --------- --------- ---------
Net income
(loss)
before
income
taxes 798 4,866 5,664 261 1,901 2,162
Income
taxes (725) (725) (203) (203)
--------- --------- --------- --------- --------- ---------
Net income
(loss)
attributed
to common
share-
holders $ 73 $ 4,866 $ 4,939 $ 58 $ 1,901 $ 1,959
========= ========= ========= ========= ========= =========
Net income
(loss) per
common
share -
basic $ 0.00 $ 0.16 $ 0.00 $ 0.07
========= ========= ========= =========
Net income
(loss) per
common
share -
diluted** $ 0.00 $ 0.14 $ 0.00 $ 0.06
========= ========= ========= =========
Pro forma
shares
outstand-
ing:
Basic 30,764 30,764 29,828 29,828
========= ========= ========= =========
Diluted** 36,152 36,152 32,802 32,802
========= ========= ========= =========

A) Non-cash amortization of capitalized software.
B) Non-cash amortization of deferred stock-based compensation.
C) Impairment write-down of equity investment.

** Gives effect to the potential issuance of common stock upon
conversion of convertible subordinated notes and to the effect of all
dilutive potential common shares outstanding during the period,
including stock options and warrants, using the treasury stock method.



MAGMA DESIGN AUTOMATION, INC.
AS OF JUNE 30, 2003
IMPACT OF PRO FORMA ADJUSTMENTS ON FORWARD-LOOKING
DILUTED NET INCOME PER SHARE
(Unaudited)

Quarter Ending September 30,
2003

GAAP diluted net income per share $0.06 to $0.10
Amortization of capitalized acquired
software $0.004
Amortization of deferred stock
compensation $0.06

Pro Forma diluted net income per share $0.12 to $0.16




--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Gregory C. Walker, 408/864-2000 (CFO)
[e-mail]
Milan G. Lazich, 408/864-2023 (VP, Corporate Marketing)
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

11:42AM Magma Design sets up for test of $20.80 one-yr high (LAVA) 20.70 +1.06: This high was established on June 27. Short-interest in this name is approx. 24%.

[panik]

1:11PM Magma Design tests 52-wk high (LAVA) 22.28 +1.31: -- Technical -- Stock spiked intraday to test its 52-wk high from early August at 22.40. Slipped back after the initial test but is currently hovering just slightly below the session high (22.37). Short interest is 27% of float (20.2 mln).

[panik]

Magma Releases RTL-to-GDSII Support for AMD Opteron Processors and AMD64 Architecture
Tuesday September 16, 4:15 pm ET
Industry`s First Complete RTL-to-GDSII Implementation System Optimized for High Performance and High Capacity with Compilation on AMD64 Now Ready for Nanometer Designs


CUPERTINO, Calif.--(BUSINESS WIRE)--Sept. 16, 2003-- Magma Design Automation Inc. (Nasdaq: LAVA - News), a provider of chip design solutions, today announced RTL-to-GDSII support for the AMD Opteron(TM) processor and AMD64 architecture. An AMD64 version of Magma`s complete IC implementation system is currently in limited release with its key ASIC and COT partners, with a general release planned for early December 2003. Magma is the first EDA vendor to port its entire line of RTL-to-GDSII software to the AMD Opteron processor. Due to the single executable and unified data model, it was an easy task for Magma to port and tune the system to handle multimillion-gate nanometer implementations from RTL to GDSII. The combination of Magma`s software and the AMD64 architecture will provide users with a dramatic increase in capacity, as much as three times that of a 32-bit Linux system.
"With its ability to support both 32-bit and 64-bit applications, the AMD Opteron processor made it easier for Magma to port its software to a 64-bit architecture," said Ben Williams, director of AMD`s server / workstation business segment. "By offering outstanding performance now for 32-bit applications and the flexibility to support 64-bit when the customer is ready, the AMD Opteron processor can simplify the migration path to a more powerful architecture for software developers and their customers."

"We`re excited to be the first to offer RTL-to-GDSII support for the Opteron processor," said Nitin Deo, vice president of product marketing at Magma. "Magma`s IC design software is well-complemented by the AMD64 architecture. Designers can leverage Magma`s high capacity and almost all the available system memory to implement multimillion-gate designs using a flat methodology -- without sacrificing Magma`s runtime benefits."

Magma will be featuring demos of its software running on the AMD Opteron processor at Fusion, Magma`s users conference. The conference will be held September 18-19 at the Westin in Santa Clara. For more information, please visit the Fusion website at www.magma-da.com/fusion.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM), enabling chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to- GDSII chip design. The company`s Blast Create(TM), Blast Fusion®, Blast Fusion APX(TM), Blast Plan(TM) and Blast Noise® products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma also provides PALACE(TM) and ArchEvaluator(TM) advanced physical synthesis and architecture development tools for programmable logic devices (PLDs). The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Fusion, Blast Noise and FixedTiming are registered trademarks, and ArchEvaluator, Blast Create, Blast Fusion APX, Blast Plan, Blast Rail, PALACE and "The Fastest Path from RTL to Silicon" are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements about the features and benefits of Magma`s software and AMD`s processor are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, the ability of Magma`s and AMD`s products to produce the desired results, and Magma`s and AMD`s abilities to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in the parties` latest filings with the Securities and Exchange Commission on form 10-K, and any subsequent updates thereto on form10-Q. These forward-looking statements speak only as of the date hereof. The parties disclaim any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408-864-2027
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation

[panik]

Magma Enables Infrant Technologies and NEC Electronics America to Take 3-Million-Gate ASIC Design From RTL to GDSII in Three Months
Monday October 13, 9:15 am ET


SANTA CLARA, Calif.--(BUSINESS WIRE)--Oct. 13, 2003--Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that Infrant Technologies and NEC Electronics America have taped out a 250 MHz, 3-million-gate network storage device using Magma`s integrated RTL-to-GDSII system. Infrant Technologies performed RTL synthesis with Blast Create(TM) using a flat design methodology and then handed off the design to NEC Electronics America for physical implementation using Blast Fusion(TM). The design was fabricated in the CB-12M 0.15-micron process technology. With Magma`s software, Infrant and NEC Electronics America were able to tape out the device with zero layout-to-synthesis iterations, completing the design in just three months.
ADVERTISEMENT


"This was a complex network storage device that contained 40 macros in both Verilog and VHDL and it was the first design we`d done using NEC Electronics America and Magma," said Paul Tien, CEO at Infrant Technologies. "With its gain-based synthesis, Early Silicon Performance (ESP) reports and full support for both languages, Magma offered the predictability, high capacity, fast turnaround time and smooth handoff that were key to the success of this design."

"Magma`s RTL-to-GDSII flow provides a very straightforward ASIC design handoff," said John Fallin, general manager, Design Solutions Center at NEC Electronics America. "All the design data, the floorplan and the constraints are provided in a single data file or Volcano, simplifying data migration and ensuring accurate communication of design intent and requirements between us and the ASIC designer. With the Infrant design, we were able to import the Volcano in a matter of minutes. And, with Magma`s integrated environment and the one-pass implementation flow, we were able to implement the design faster and with fewer engineers."

"Infrant Technologies presented very challenging requirements. It had a large, complex design for which its designers needed to maximize the quality of results and minimize the design cycle," said Yatin Trivedi, director of product marketing at Magma. "We`re pleased that Infrant was able to leverage the tight integration of Blast Create and Blast Fusion to meet its performance and time-to-market requirements and achieve a smooth ASIC design handoff."

Integrated Synthesis and Physical Design System Streamlines ASIC Handoff

Blast Create and Blast Fusion are key components of Magma`s integrated RTL-to-GDSII system. This system is based on the patented FixedTiming(TM) methodology. This approach to synthesis and place-and-route enables Magma`s system to predict circuit performance prior to detailed physical design. The system then uses a series of design refinements during physical design to achieve a final timing that is very close to the predicted performance. With predictable timing results, iterations can be eliminated, time to market can be significantly improved and a streamlined ASIC design hand-off can be achieved.

Unlike conventional flows, the Magma system uses gain-based synthesis. This approach provides an order of magnitude improvement in capacity and run time over conventional logic synthesis systems. Gain-based synthesis also ensures that each cell is sized according to the actual wire load, resulting in a circuit structure that is electrically well balanced and a layout that is more compact and uses less power than a layout derived using conventional approaches.

In addition to providing advanced synthesis and place-and-route technology, Magma`s system is based on the industry`s only unified data model architecture. This architecture is a key enabler of Magma`s FixedTiming methodology and gain-based synthesis, as well as the system`s ability to deliver automated signal integrity avoidance, detection and correction. Magma`s single data model contains all the logical and physical information about the design and is resident in core memory during execution. In conventional synthesis and place-and-route systems, each tool in the flow has its own unique data model. Data is shared among tools through cumbersome file-based interfaces or through the implementation of an API and common database. Neither of these approaches can provide the inter-tool data sharing and analysis performance that is required to support the FixedTiming approach. In Magma`s system, the various functional elements such as the implementation engines for synthesis, placement and routing, and the analysis software for timing, delay extraction and signal integrity, all operate directly on the single data model without relying on file interfaces or APIs. This tight integration allows more accurate analysis of the design, and enables the system to make rapid tradeoff decisions during the design process to optimize for better chip performance, area and power.

Blast RTL, Blast Create and Blast Fusion utilize the same libraries and fully support Verilog, VHDL, SDC and .lib, allowing complete migration of existing designs and timing information and easy adoption.

ESP Enables a Predictable Design Flow

The FixedTiming methodology, gain-based synthesis and unified data model allow Magma system to provide a predictable design cycle. The system generates ESP (Early Silicon Performance) reports with which designers can determine the timing feasibility of their design and analyze the design topology to ensure the constraints can be met. ESP reports also enable an RTL designer to identify any missing constraints and false or multi-cycle paths, and get feedback about the overall feasibility of the architecture. The ESP report can identify problems early, before handing off the design to the back-end team or SOC vendor, facilitating less-time-consuming and less-expensive fixes.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM), enabling chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Create(TM), Blast Fusion®, Blast Fusion APX(TM), Blast Plan(TM) and Blast Noise® products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma also provides the PALACE(TM) and ArchEvaluator(TM) advanced physical synthesis and architecture development tools for programmable logic devices (PLDs). The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Fusion, Blast Noise and FixedTiming are registered trademarks, and ArchEvaluator, Blast Create, Blast Fusion APX, Blast Plan, Blast Rail, "The Fastest Path from RTL to Silicon," and PALACE are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS:

Except for the historical information contained herein, the matters set forth in this press release, including statements that Magma`s system will deliver better predictability, capacity, turnaround time and a smooth hand-off and that it will allow users to implement designs faster and with fewer engineers and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s ability to keep pace with rapidly changing technology and its products ability to produce desired results. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-K for the year ended March 31, 2003 and filed with the Securities and Exchange Commission ("SEC") on June 20, 2003, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408-565-7689
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Broadcom Uses Magma`s RTL-to-GDSII System to Tape Out a 15-Million-Gate Design
Monday October 13, 9:15 am ET
Blast RTL`s High-Capacity Synthesis Is Key to Reducing the Design Cycle and Achieving Timing Closure


SANTA CLARA, Calif.--(BUSINESS WIRE)--Oct. 13, 2003--Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, announced today that Broadcom® Corporation (Nasdaq:BRCM - News), the leading provider of silicon solutions enabling broadband communications, has taped out a 15-million-gate design using Blast RTL(TM) and Blast Fusion®. Magma`s integrated RTL-to-GDSII system was used to synthesize the largest and most complex block of the design. Using just a single Blast RTL license, performance goals were met and significantly faster total turnaround time was achieved. Blast Fusion was used to implement the entire design.

"Magma synthesis not only enabled us to achieve timing closure on the most complex block, its Early Silicon Performance timing and gain reports allowed us to identify and correct critical problems early," said Cheng-Feng Chang, engineering manager of Enterprise Switching at Broadcom. "Magma`s high-capacity synthesis and fast runtime coupled with Blast Fusion`s correct-by-construction physical implementation flow allowed us to accelerate the design effort with great quality and best returns on our EDA tools investments, significantly reducing our product development cycle time."

"Traditional design flows are inadequate for the new generation of ASICs and SoCs. Higher capacity, early performance predictability, faster time to market and lower costs are the key requirements for leading IC providers such as Broadcom," said Yatin Trivedi, director of product marketing at Magma. "We`re pleased that Broadcom design teams worldwide continue to select Magma solutions for their advanced deep submicron design challenges."

Blast RTL and Blast Fusion: Integrating High-Capacity Synthesis and Advanced Place-and-Route Capabilities

Blast Create and Blast Fusion are key components of Magma`s integrated RTL-to-GDSII system. This system is based on the patented FixedTiming(TM) methodology. This approach to synthesis and place-and-route enables Magma`s system to predict circuit performance prior to detailed physical design. The system then uses a series of design refinements during physical design to achieve a final timing that is very close to the predicted performance. With predictable timing results, iterations can be eliminated, time to market can be significantly improved and a streamlined ASIC design hand-off can be achieved.

Unlike conventional flows, the Magma system uses gain-based synthesis. This approach provides an order of magnitude improvement in capacity and run time over conventional logic synthesis systems. Gain-based synthesis also ensures that each cell is sized according to the actual wire load, resulting in a circuit structure that is electrically well balanced and a layout that is more compact and uses less power than a layout derived using conventional approaches.

In addition to providing advanced synthesis and place-and-route technology, Magma`s system is based on the industry`s only unified data model architecture. This architecture is a key enabler of Magma`s FixedTiming methodology and gain-based synthesis, as well as the system`s ability to deliver automated signal integrity avoidance, detection and correction. Magma`s single data model contains all the logical and physical information about the design and is resident in core memory during execution. In conventional synthesis and place-and-route systems, each tool in the flow has its own unique data model. Data is shared among tools through cumbersome file-based interfaces or through the implementation of an API and common database. Neither of these approaches can provide the inter-tool data sharing and analysis performance that is required to support the FixedTiming approach. In Magma`s system, the various functional elements such as the implementation engines for synthesis, placement and routing, and the analysis software for timing, delay extraction and signal integrity, all operate directly on the single data model without relying on file interfaces or APIs. This tight integration allows more accurate analysis of the design, and enables the system to make rapid tradeoff decisions during the design process to optimize for better chip performance, area and power.

Blast RTL, Blast Create and Blast Fusion utilize the same libraries and fully support Verilog, VHDL, SDC and .lib, allowing complete migration of existing designs and timing information and easy adoption.

ESP Enables a Predictable Design Flow

The FixedTiming methodology, gain-based synthesis and unified data model allow Magma system to provide a predictable design cycle. The system generates ESP (Early Silicon Performance) reports with which designers can determine the timing feasibility of their design and analyze the design topology to ensure the constraints can be met. ESP reports also enable an RTL designer to identify any missing constraints and false or multi-cycle paths, and get feedback about the overall feasibility of the architecture. The ESP report can identify problems early, before handing off the design to the back-end team or SoC vendor, facilitating less-time-consuming and less-expensive fixes.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing "The Fastest Path from RTL to Silicon"(TM), enabling chip designers to reduce the time required to produce complex ICs. Magma`s products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company`s Blast Create(TM), Blast Fusion®, Blast Fusion APX(TM), Blast Plan(TM) and Blast Noise® products utilize Magma`s patented FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows. Magma also provides the PALACE(TM) and ArchEvaluator(TM) advanced physical synthesis and architecture development tools for programmable logic devices (PLDs). The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements about Broadcom`s design teams continuing to select Magma solutions for their advanced deep submicron design challenges and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s ability to keep pace with rapidly changing technology, its products` ability to produce desired results and Broadcom`s decision to continue using Magma`s software. Further discussion of these and other potential risk factors may be found in Magma`s Form 10-K for the year ended March 31, 2003 and filed with the Securities and Exchange Commission ("SEC") on June 20, 2003, and from time to time in Magma`s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Magma, Blast Fusion, Blast Noise and FixedTiming are registered trademarks, and ArchEvaluator, Blast Create, Blast Fusion APX, Blast Plan, Blast Rail, "The Fastest Path from RTL to Silicon," and PALACE are trademarks of Magma Design Automation. Broadcom® is a trademark of Broadcom Corporation and/or its affiliates in the United States and certain other countries. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408-565-7689
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Magma Launches ``IC Excellence`` Initiative in India
Monday December 29, 6:35 pm ET
Partners With Five Leading Engineering Institutions
Ten More to Be Added
New IC Physical Design PG Diploma Course Launched


BANGALORE, India--(BUSINESS WIRE)--Dec. 29, 2003-- Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced the launch of its "IC Excellence" initiative in India. The program aims at training existing designers on cutting-edge technology to meet current market requirements, enabling designers to focus on product innovation by automating integrated circuit (IC) implementation, and at embedding the latest technology in Indian universities` engineering curricula to build IC design strength. As part of this initiative, Magma will donate IC design software to leading engineering institutions, launch an IC Physical Design PG Diploma course with leading VLSI training institutions in India, collaborate with leading corporations, and partner with the government of Karnataka and the Department of IT of the government of India to achieve these shared objectives.
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"The IC market worldwide is expected to grow at 12 percent, and the Asia-Pacific region is seeing even higher growth," said Rajeev Madhavan, CEO of Magma. "Catalyzed by private and governmental efforts, this region is spawning local products and services companies, in addition to the many multinational corporations that have based their design centers here. Just as the level of software training has grown in India, an increase in the IC design pool will help India establish itself as an ideal destination for IC design activities."

The "IC Excellence" initiative is designed to accelerate India`s adoption of advanced technology and enable the region to gain a competitive edge. The initiative benefits Magma by creating closer relationships with local customers and by building a local talent pool. This close collaboration between Magma and its user community will enhance software and IC development, helping Magma India and the overall IC market there to grow.

"With leading companies either setting up or expanding their design teams in India, there is a growing need for engineers to have access to cutting-edge technology and training," said Alok Mehrotra, director of Asia-Pacific Operations at Magma. "The PG Diploma course we have launched addresses that need by continually producing more trained engineers. This will also substantially increase the IC design talent available, helping India solidify its status in IC design as it has in IT."

"India has a huge untapped local market for ICs and related products and the potential to be a world leader in emerging technologies," said Anand Anandkumar, managing director of Magma India. "The university program is strategic and will equip the graduating engineers with our industry-leading IC implementation technologies and methodologies."

Through the "IC Excellence" program, Magma will work with VLSI heads of leading engineering institutions, providing training material, applications engineering support and donating licenses. IIT-Madras, IIT-Kharagpur, BITS-Pilani, BEC, MAHE and Amrita Institute have already adopted Magma for their respective BTech/MTech/Ph.D. programs. Ten more institutions intend to join as well. Magma India is now adding dedicated staff to support this rapidly growing program.

"We are pleased to have Magma`s products in our lab. They will be used for teaching and research, catering to B Tech and M Tech courses for the CSE, E&ECE and EE departments," said professor PPC Chakrabarti, head of the Advanced VLSI Design Lab, IIT-Kharagpur, and a well-respected member of the VLSI community in India. "Having heard a lot about the capabilities and methodology-oriented approach of Magma, we look forward to using their software for our deep submicron chip design activities."

About Magma

Magma provides leading software for designing highly complex integrated circuits while maximizing Quality of Results with respect to area, timing and power, and at the same time reducing overall design cycles and costs. Magma provides a complete RTL-to-GDSII design flow that includes prototyping, synthesis, place & route, and signal and power integrity chip design capabilities in a single executable, offering "The Fastest Path from RTL to Silicon"(TM). Magma`s software also includes products for advanced physical synthesis and architecture development tools for programmable logic devices (PLDs); capacitance extraction; and characterization and modeling. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Forward-Looking Statements:

Except for historical information contained herein, the matter in this press release including statements that Magma will donate software, provide training and support to India`s engineering institutions, launch a PG diploma and about benefits of the Magma initiative to engineers, universities, corporations and the IC market in India, are forward-looking statements within the meaning of "safe harbor" provisions of Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma`s and the universities` and governments` decisions to continue to work together. Further discussion of these & other potential risk factors may be found in the parties` latest filings with SEC on form 10-K, and any subsequent updates thereto on form 10-Q. These forward-looking statements speak only as of the date hereof. The parties disclaim any obligation to update these forward-looking statements.

Magma is a registered trademark & "The Fastest Path from RTL to Silicon" is a trademark of Magma Design Automation Inc. All other product & company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408-565-7689
[e-mail]
or
PR Hub
Ritika/Ribu, 2483007/090



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Magma`s Blast Create RTL Synthesis Solution Validated by IBM ASIC
Monday January 12, 9:06 am ET
High Capacity and Predictable Timing Closure to Improve Handoff Efficiency


SANTA CLARA, Calif.--(BUSINESS WIRE)--Jan. 12, 2004--Magma® Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced that IBM Microelectronics is accepting design data from Blast Create(TM), Magma`s high-capacity synthesis tool based on the FixedTiming(TM) methodology, for implementation of ASIC designs. Designs validated by IBM`s ASIC methodology group have shown the handoff from Blast Create to provide a high degree of correlation with IBM`s static timing tool, Einstimer(TM), a part of IBM`s physical design system, Chip Bench.
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"We qualified Magma`s Blast Create by accepting multiple test cases synthesized by Magma, and successfully transferred them into our ASIC design system," said Maurice Kinney, synthesis methodology engineer at the IBM Technology Group. "This provides our customers additional synthesis tool choices for implementing ASIC designs."

"Blast Create`s gain-based synthesis and FixedTiming methodology, combined with its very high capacity and fast turnaround time, improve quality of results (QoR) in complex SoCs -- area, performance and power improve by 5 percent to 15 percent," said Nitin Deo, vice president of product marketing for Magma. "Conventional approaches to logic design require partitioning and delay budgeting of the design into blocks with fewer than 250,000 gates. For today`s 10 million-gate and larger SoC designs this requires too many blocks to be integrated at the top level -- making chip-level timing convergence unpredictable -- and it causes many layout-to-synthesis iterations.

"IBM`s qualification of Blast Create is the latest sign of increasing adoption of Magma`s synthesis as a production-proven technology. This ongoing shift in ASIC design will reduce overall development time for ASIC designers."

Blast Create offers all aspects of front-end design: RTL synthesis, datapath synthesis, physical synthesis, DFT analysis and scan insertion, static timing analysis and Tcl-based scripting environment. Both popular hardware definition languages (HDLs), Verilog and VHDL, are supported. Blast Create accepts design constraints in SDC format and libraries in .lib format, avoiding the need for and cost of adapting Blast Create to existing logic design environments.

About Magma

Magma provides leading software for designing highly complex integrated circuits while maximizing Quality of Results with respect to area, timing and power, and at the same time reducing overall design cycles and costs. Magma provides a complete RTL-to-GDSII design flow that includes prototyping, synthesis, place & route, and signal and power integrity chip design capabilities in a single executable, offering "The Fastest Path from RTL to Silicon"(TM). Magma`s software also includes products for advanced physical synthesis and architecture development tools for programmable logic devices (PLDs); capacitance extraction; and characterization and modeling. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma is a registered trademark and "The Fastest Path from RTL to Silicon" is a trademark of Magma Design Automation Inc. All other product and company names are trademarks and registered trademarks of their respective companies.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that IBM will accept ASIC design data from Blast Create, that the use of Blast Create will improve the interaction between logic and physical designers, reduce development time, improve area, performance and power and eliminate iterations, and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, IBM`s continuing decision to accept ASIC design data from Blast Create, Magma`s ability to keep pace with rapidly changing technology and its products` abilities to produce desired results. Further discussion of these and other potential risk factors may be found in the parties` latest filings with the Securities and Exchange Commission on form 10-K, and any subsequent updates thereto on form 10-Q. These forward-looking statements speak only as of the date hereof. The parties disclaim any obligation to update these forward-looking statements.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408-565-7689
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

NVIDIA Selects Magma`s SiliconSmart Characterization and Modeling
Monday February 23, 9:05 am ET
Characterization Critical in High-Performance and Low-Power Nanometer Design


AUSTIN, Texas--(BUSINESS WIRE)--Feb. 23, 2004--The Silicon Correlation Division of Magma Design Automation Inc. (Nasdaq:LAVA - News) today announced that NVIDIA Corporation (Nasdaq:NVDA - News), has standardized on SiliconSmart(TM) characterization and modeling technology. The SiliconSmart technology will be applied to all internally developed and commercially supplied nanometer libraries. The standardization is part of NVIDIA`s ongoing program to optimize its overall design flow.
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NVIDIA is a fabless semiconductor company whose products are used in a wide variety of desktop computer applications, internet-enabled appliances, wireless communication devices, and high-definition digital video and television. Regardless of the use environment, responding to consumers` demands for a graphically convincing simulation of reality requires the development of high-speed, power-conscious products.

To continually deliver such leading-edge products, NVIDIA augments its commercial libraries with custom, application-specific standard cell libraries. Extremely complex in nature, these custom devices are used throughout the design to optimize system performance or minimize power consumption.

NVIDIA`s sign-off flow includes design and analysis tools from Synopsys® that are now augmented with the SiliconSmart CR characterization flow for nanometer design. Using nanometer process technologies, design teams recognized that the ability to precisely account for increased leakage currents and greater delays due to capacitive cross-coupling is directly correlated to the quality of the models. NVIDIA needed an automated system that quickly and consistently delivered accurate timing and power models.

"SiliconSmart CR is Silicon Correlation Division`s standard cell solution for addressing cell characterization and will play a key role to our success," said Joe Greco, vice president of VLSI Design Engineering at NVIDIA. "With break-through levels in ease-of-use, performance, accuracy, quality and extensibility for characterization of nanometer libraries for timing, SiliconSmart CR provides us with the timing and power models needed in our nanometer design flow."

To generate models reflecting the true electrical behavior of silicon, NVIDIA evaluated and selected the SiliconSmart characterization and modeling technology from the Silicon Correlation Division of Magma. The evaluation determined that SiliconSmart CR`s sophisticated delay acquisition and support for state-dependent timing and power accurately accounted for the non-linear delays and the switching, internal, and leakage power present in nanometer processes.

"Regardless of the design flow used, customers transitioning to nanometer processes have seen the benefits of high quality timing and power models," said Vess Johnson, general manager of the Silicon Correlation Division. "During synthesis, timing or power analysis, as well as place and route, accurate models deliver better designs with fewer iterations. Successful design teams, like those at NVIDIA, have discovered that SiliconSmart characterization technology is a crucial part of their design flow."

About SiliconSmart CR

SiliconSmart technology is the Silicon Correlation Division`s standard cell solution for addressing the cell characterization needs of library development and design teams. Supporting multiple design flows, the technology provides the ease of use, performance, accuracy, quality and extensibility to dramatically simplify the process of characterizing nanometer libraries for timing, power and signal integrity. With features such as interdependent constraints, delay degradation, over sampling, accurate switching, and hidden and leakage power measurement acquisition, SiliconSmart technology produces the sophisticated models that allow a gate-level design flow to produce SPICE-accurate results. The use of these accurate, high-quality models during synthesis, static timing and power analysis, as well as during place and route, results in fewer design iterations.

About the Silicon Correlation Division

The Silicon Correlation Division is an independent business unit and division of Magma Design Automation. Maintaining a position of neutrality in the marketplace, the division`s mission and business model are based on providing characterization and modeling solutions that support a variety of industry-standard design flows. Toward that objective, the Silicon Correlation Division has developed partnerships and close working relationships with many EDA vendors and customers in the development and support of popular design flows. To tailor support for all partners, the Silicon Correlation Division maintains an independent sales, support, engineering and marketing force operating from headquarters in Austin, Texas. Visit the Silicon Correlation Division on the web at www.scd.magma-da.com.

Forward-Looking Statements

Except for the historical information contained herein, the matters set forth in this press release, including statements that NVIDIA will apply SiliconSmart technology to all libraries, that SiliconSmart CR will play a role in NVIDIA`s success, that it delivers better designs with fewer iterations, and statements about the features and benefits of NVIDIA`s and the Silicon Correlation Division of Magma`s products, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, including, but not limited to, NVIDIA`s decision to continue using the SiliconSmart technology, NVIDIA`s ability to successfully apply the technology, and both companies` abilities to keep pace with rapidly changing technology and their products` abilities to produce desired results. Further discussion of these and other potential risk factors may be found in the parties` latest filings with the Securities and Exchange Commission on form 10-K, and any subsequent updates thereto on form 10-Q. These forward-looking statements speak only as of the date hereof. The parties disclaim any obligation to update these forward-looking statements.

SiliconSmart is a trademark of Magma Design Automation. NVIDIA is a registered trademark of NVIDIA Corporation in the United States and other countries. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408-565-7689
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[amazing]

Magma and the Chinese Academy of Sciences to Establish the Nanotechnology Design Lab
WEDNESDAY, FEBRUARY 04, 2004 9:05 AM



SANTA CLARA, Calif., Feb 4, 2004 (BUSINESS WIRE) -- Magma(R) Design Automation Inc. (LAVA) , a provider of chip design solutions, and the EDA center of the Chinese Academy of Sciences (CAS) today announced the signing of a joint agreement to establish the Nanotechnology Integrated Circuit Design Lab. Under this agreement the lab will develop and provide advanced integrated circuit (IC) design solutions for nanometer technologies based on Magma`s integrated RTL-to-GDSII flow. These solutions will be used in CAS` education programs, research projects and commercial applications, which aim to increase the availability of advanced IC design capabilities in China.

In addition to providing design solutions, Magma and CAS will work together to promote advanced nanotechnology IC design capabilities, establish an education program for CAS` master`s and Ph.D. students, and explore nanotechnology design projects with domestic and international organizations.

" With its rapidly growing demand and large domestic market for electronic products, China is building its semiconductor manufacturing and IC design capabilities at the same time," said Rajeev Madhavan, chairman and CEO of Magma. " Magma is fully committed to supporting this emerging market by partnering with the CAS and other leading institutes in China and providing electronic design automation technology that can accelerate the design cycle of nanometer ICs."

" Currently with 10 research institutes and several hundred researchers engaging in the field of advanced IC design technologies, CAS is leading the IC design activities in China," said Mr. Tianchun Ye, director of the EDA center of CAS. " Magma`s proven technology provides a solid foundation for CAS to establish an advanced IC design flow for the Nanotechnology Integrated Circuit Design Lab."

" CAS is the leading microelectronics and integrated circuit design research institute in China. I`m impressed with the CAS EDA Center`s dedication to providing world-class IC design solutions for education programs and research projects," said Lung Chu, Magma`s vice president of Asia-Pacific Operations. " We are pleased to be working with the CAS experts in the EDA Center and other institutes."

About CAS

The Chinese Academy of Sciences (CAS) is a leading academic institute and comprehensive research and development center for the natural and technological sciences and for high-tech innovation in China. The largest comprehensive national research and post-graduate educational institute, CAS has a total staff of more than 58,000, with approximately 39,000 research personnel and 25,000 graduate students. To meet the needs of China`s fast growing IC industry for technologies and talents, the EDA Center of CAS was founded in November 2002 to provide a networked, open platform for CAS in the field of IC design research and education. The center provides services in the research and development of electronic system and IC design, training, technical support and MPW. It aims to drive the development of China`s IC industry through strategic collaborations with EDA vendors, IP providers and Foundries, as well as universities, research institutes and enterprises. Find out more about CAS on the Web at www.cas.ac.cn.

About Magma

Magma provides leading software for designing highly complex integrated circuits while maximizing Quality of Results with respect to area, timing and power, and at the same time reducing overall design cycles and costs. Magma provides a complete RTL-to-GDSII design flow that includes prototyping, synthesis, place & route, and signal and power integrity chip design capabilities in a single executable, offering " The Fastest Path from RTL to Silicon" (TM). Magma`s software also includes products for advanced physical synthesis and architecture development tools for programmable logic devices (PLDs); capacitance extraction; and characterization and modeling. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Forward-Looking Statements:

Except for the historical information contained herein, the matters set forth in this press release, including statements that the Nanotechnology IC Design Lab will increase the availability of design capabilities in China, that Magma`s software accelerates the design cycle and about the features and benefits of Magma`s system, are forward-looking statements within the meaning of the " safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, CAS`s and Magma`s continuing decision to work together, Magma`s ability to keep pace with rapidly changing technology and its products` abilities to produce desired results. Further discussion of these and other potential risk factors may be found in the Magma`s latest filings with the Securities and Exchange Commission on form 10-K, and any subsequent updates thereto on form 10-Q. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.

Magma is a registered trademark and " The Fastest Path from RTL to Silicon" is a trademark of Magma Design Automation Inc. All other product and company names are trademarks and registered trademarks of their respective companies.

SOURCE: Magma Design Automation Inc.



ADVISORY/Magma`s Lung Chu to Present at the Electronic Design Automation & Test Expo in China
Friday February 27, 9:05 am ET


SANTA CLARA, Calif.--(BUSINESS WIRE)--Feb. 27, 2004--Magma® Design Automation Inc. (Nasdaq:LAVA - News)
Who: Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, announced that Lung Chu, vice president of Asia-Pacific operations, will be a featured speaker at the Electronic Design Automation & Test Expo.

When: Mr. Chu will speak Monday, March 1 and Thursday, March 4 at 1:30 p.m. His presentation is titled "The Global IC Design Race -- Challenges, Opportunities and Strategies."

Where: The conference will be held at the Shanghai Mart in Shanghai, China March 1-2 and at the China International Science & Technology Convention Center in Beijing March 4-5.

More information is available on the Web at http://www.english.china.edatexpo.com/HOME.HTM.

About Magma

Magma provides leading software for designing highly complex integrated circuits while maximizing Quality of Results with respect to area, timing and power, and at the same time reducing overall design cycles and costs. Magma provides a complete RTL-to-GDSII design flow that includes design planning, prototyping, synthesis, place & route, and signal and power integrity chip design capabilities in a single executable, offering "The Fastest Path from RTL to Silicon"(TM). Magma`s software also includes products for advanced physical synthesis and architecture development tools for programmable logic devices (PLDs); capacitance extraction; and characterization and modeling. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma is a registered trademark and "The Fastest Path from RTL to Silicon" is a trademark of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Monica Marmie, 408-565-7689
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Magma Reports Record Revenue for First Quarter
Wednesday July 28, 4:00 pm ET
Increases 58 Percent over Year-Ago Period


SANTA CLARA, Calif.--(BUSINESS WIRE)--July 28, 2004--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced financial results that include record revenue of $36.0 million for the quarter ended June 30, 2004, the first quarter of its 2005 fiscal year.
For the first quarter of fiscal 2005, Magma reported revenue of $36.0 million, compared to $22.8 million for the first quarter of fiscal 2004, an increase of 58 percent. Magma reported pro forma net income for the first quarter of fiscal 2005 of $7.7 million, or $0.18 per share (diluted), both of which are records for the company. This compares to a pro forma net income of $4.9 million, or $0.14 per share (diluted), for the first quarter of fiscal 2004. In accordance with generally accepted accounting principles (GAAP), Magma reported a net loss of $(2.5) million, or $(0.08) per share (diluted), for the first quarter of fiscal 2005, compared to net income of $0.1 million, or $0.00 per share (diluted), for the first quarter of fiscal 2004.

Pro forma net income for the first quarter of fiscal 2005 is GAAP net loss adjusted by excluding the effects of a $4.0 million in-process research and development charge related to Magma`s first-quarter acquisition of Mojave Inc., amortization of intangible assets, amortization of deferred compensation, restructuring charges, and charges associated with losses on equity investments. A tabular reconciliation of the pro forma to GAAP results is included in this press release.

"The quarter just concluded continued Magma`s growth trends," said Rajeev Madhavan, Magma chairman and CEO. "It was the seventh consecutive quarter of increasing revenue as we had solid financial performance. We continue to work with designers addressing critical challenges in today`s most aggressive chip designs."

Business Outlook

For Magma`s fiscal 2005 second quarter, which will end September 30, 2004, the company expects total revenue in the range of $35 million to $39 million. Pro forma EPS is expected to be in the range of $0.18 to $0.22. GAAP EPS is expected to be in the range of $0.03 to $0.07. A schedule showing a reconciliation of the business outlook for pro forma to GAAP EPS is included in this release. A Financial Disclosure Supplement containing detailed financial information intended to provide guidance and further insight into our business is available online at http://investor.magma-da.com/supplement.cfm in the Investor Relations section of the Magma website.

Conference Call

Magma will discuss the financial results for the recently completed quarter and fiscal year, including guidance going forward, during a live webcast and earnings call today at 2 p.m. PDT (5 p.m. EDT). The call will be available live by both webcast and conference call. To listen live via webcast, visit the Investor Relations section of Magma`s website at http://investor.magma-da.com/home.cfm." target="_blank" rel="nofollow ugc noopener">http://investor.magma-da.com/home.cfm. To listen live via telephone call either of the numbers below:

-0-

U.S. & Canada: [phone], conference ID #8362625
Elsewhere: [phone], conference ID #8362625

Following completion of the call, a webcast replay of the call will be available at http://investor.magma-da.com/home.cfm through August 4, 2004. Those without Internet access may listen to a replay of the call by telephone through August 4 by calling:

-0-

U.S. & Canada: [phone], conference ID #8362625
Elsewhere: [phone], conference ID #8362625

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which include statements in the "Business Outlook" section, and quotations from Magma`s executives are subject to risks and uncertainties that could cause actual results to differ materially from Magma`s current expectations. Factors that could cause or contribute to such differences include, but are not limited to: increasing competition in the EDA market; Magma`s ability to successfully integrate recently acquired businesses and technologies; the impact of the economic recession; effects terrorist activities or events in the Middle East may have on Magma, its customers and industry; any delay of customer orders or failure of customers to renew licenses; weaker-than-anticipated sales of the company`s products and services; weakness in the semiconductor or electronic systems industries; the ability to successfully manage the company`s expanding operations; the ability to attract and retain the key management and technical personnel needed to operate Magma successfully; the ability to continue to deliver competitive products to customers to help them get their products to market; and changes in accounting rules. Further discussion of these and other potential risk factors may be found in Magma`s public filings with the Securities and Exchange Commission (www.sec.gov). Magma undertakes no additional obligation to update these forward-looking statements.

About Magma

Magma provides leading software for designing highly complex integrated circuits while maximizing Quality of Results with respect to area, timing and power, and at the same time reducing overall design cycles and costs. Magma provides a complete RTL-to-GDSII design flow that includes prototyping, synthesis, place & route, and signal and power integrity chip design capabilities in a single executable, offering "The Fastest Path from RTL to Silicon"(TM). Magma`s software also includes products for advanced physical synthesis and architecture development tools for programmable logic devices (PLDs); capacitance extraction; and characterization and modeling. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma is a registered trademark and "The Fastest Path from RTL to Silicon" is a trademark of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

-0-

MAGMA DESIGN AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)

June 30, March 31,
2004 2004
--------- ---------
ASSETS
Current assets:
Cash and cash equivalents $58,056 $75,346
Short-term investments 196 --
Accounts receivable, net 30,495 34,237
Prepaid expenses and other current assets 9,021 9,588
--------- ---------
Total current assets 97,768 119,171
Property and equipment, net 18,644 15,196
Intangibles, net 89,466 62,793
Goodwill 33,587 33,529
Long-term investments 95,296 78,158
Other assets 6,392 5,628
--------- ---------
Total assets $341,153 $314,475
========= =========

LIABILITIES AND STOCKHOLDERS` EQUITY
Current liabilities:
Accounts payable $1,707 $1,658
Accrued expenses 19,175 19,132
Deferred revenue, current 23,429 19,947
--------- ---------
Total current liabilities 44,311 40,737

Convertible subordinated notes 150,000 150,000
Deferred tax liabilities 15,828 5,102
Other long-term liabilities 1,755 897
--------- ---------
Total non-current liabilities 167,583 155,999
--------- ---------
Total liabilities 211,894 196,736
--------- ---------

Stockholders` equity:
Common stock 3 3
Additional paid-in capital 242,256 226,586
Deferred stock-based compensation (1,527) (718)
Accumulated deficit (109,598) (107,063)
Accumulated other comprehensive loss (1,875) (1,069)
--------- ---------
Total stockholders` equity 129,259 117,739
--------- ---------
Total liabilities and stockholders` equity $341,153 $314,475
========= =========




MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET INCOME
(in thousands, except per share data)
(Unaudited)


For the Three Months Ended
June 30, 2004
----------------------------------
As Adjust- As
Reported ments Adjusted
---------- ---------- ----------
Revenue:
Licenses $ 30,892 $ -- $30,892
Services 5,137 -- 5,137
---------- ---------- ----------
Total revenue 36,029 -- 36,029

Cost of revenue 5,042 (1,303)A,E 3,739
---------- ---------- ----------

Gross profit 30,987 1,303 32,290
---------- ---------- ----------
Operating expenses:
Research and development 9,569 (674)D,E 8,895
In-process research and development 4,009 (4,009)C --
Sales and marketing 11,267 -- 11,267
General and administrative 3,625 -- 3,625
Amortization of intangible assets 4,475 (4,475)D --
Amortization of stock-based
compensation 458 (458)E --
Restructuring charge 502 (502)B --
---------- ---------- ----------
Total operating expenses 33,905 (10,118) 23,787
---------- ---------- ----------
Operating income (loss) (2,918) 11,421 8,503
---------- ---------- ----------
Interest and other income (expense):
Interest income 553 -- 553
Interest expense (246) -- (246)
Other income (expense), net (562) 331 F (231)
---------- ---------- ----------
Interest and other income
(expense), net (255) 331 76
---------- ---------- ----------
Income (loss) before income taxes (3,173) 11,752 8,579
Income tax benefit (provision) 638 (1,526)G (888)
---------- ---------- ----------

Net income $ (2,535) $ 10,226 $ 7,691
========== ========== ==========

Earnings per share - basic $ (0.08) $ 0.23
========== ==========

Earnings per share - diluted $ (0.08) $ 0.18
========== ==========
Shares used in calculation:
Basic 33,671 33,671
========== ==========
Diluted 33,671 43,286
========== ==========


For the Three Months Ended
June 30, 2003
----------------------------------
As Adjust- As
Reported ments Adjusted
---------- ---------- ----------
Revenue:
Licenses $20,517 $ -- $20,517
Services 2,296 -- 2,296
---------- ---------- ----------
Total revenue 22,813 -- 22,813

Cost of revenue 3,246 (135)A,E 3,111
---------- ---------- ----------

Gross profit 19,567 135 19,702
---------- ---------- ----------
Operating expenses:
Research and development 5,008 -- 5,008
In-process research and development -- -- --
Sales and marketing 7,089 -- 7,089
General and administrative 2,438 -- 2,438
Amortization of intangible assets -- -- --
Amortization of stock-based
compensation 3,978 (3,978)E --
Restructuring charge -- -- --
---------- ---------- ----------
Total operating expenses 18,513 (3,978) 14,535
---------- ---------- ----------
Operating income 1,054 4,113 5,167
---------- ---------- ----------
Interest and other income (expense):
Interest income 608 -- 608
Interest expense (111) -- (111)
Other income (expense), net (753) 753 F --
---------- ---------- ----------
Interest and other income
(expense), net (256) 753 497
---------- ---------- ----------
Income before income taxes 798 4,866 5,664
Income tax provision (725) -- (725)
---------- ---------- ----------
Net income
$ 73 $ 4,866 $ 4,939
========== ========== ==========
Earnings per share - basic
$ 0.00 $ 0.16
========== ==========
Earnings per share - diluted
$ 0.00 $ 0.14
========== ==========
Shares used in calculation:
Basic 30,764 30,764
========== ==========
Diluted 36,152 36,152
========== ==========


A Amortization of developed technology

B Restructuring charges

C In-process research and development

D Amortization of intangibles

E Amortization of deferred stock-based compensation

F Loss on equity investments

G Tax effect of pro forma adjustments




MAGMA DESIGN AUTOMATION, INC.
AS OF JUNE 30, 2004
IMPACT OF PRO FORMA ADJUSTMENTS ON FORWARD-LOOKING
DILUTED NET INCOME PER SHARE
(Unaudited)

Quarter Ending
September 30, 2004

GAAP diluted net income per share $ 0.03 to $ 0.07
Amortization of intangibles $0.02
Amortization of capitalized developed technology $0.13
Amortization of deferred stock-based
compensation $0.01
Loss on equity investments $0.01
Tax effects of pro forma adjustments $(0.02)

Pro forma diluted net income per share $0.18 to $0.22



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Gregory C. Walker, 408-565-7500 (Chief Financial Officer)
[e-mail]
Milan G. Lazich, 408-565-7706 (VP, Corporate Marketing)
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.

[panik]

Magma Reports Record Revenue and EPS for Third Quarter
Thursday January 27, 4:00 pm ET
Revenue of $37.3 Million and Pro Forma EPS of $0.20


SANTA CLARA, Calif.--(BUSINESS WIRE)--Jan. 27, 2005--Magma Design Automation Inc. (Nasdaq:LAVA - News), a provider of chip design solutions, today announced financial results for its fiscal 2005 third quarter, ended Dec. 31, 2004.
ADVERTISEMENT


Magma reported record revenue of $37.3 million for the quarter, compared to $31.1 million for the quarter ended Dec. 31, 2003, an increase of 20 percent.

In accordance with generally accepted accounting principles (GAAP), Magma reported a net loss for the quarter of $(0.7) million, or $(0.02) per share (basic and diluted), compared to net income of $3.8 million, or $0.09 per share (diluted), for the quarter ended Dec. 31, 2003. Magma also reported record pro forma net income of $8.4 million and record pro forma earnings per share (EPS) of $0.20 (diluted) for the third quarter of fiscal 2005, compared to pro forma net income of $6.9 million and pro forma EPS of $0.16 (diluted) for the third quarter of fiscal 2004, an increase of 22 percent. Pro forma net income excludes amortization of developed technology, miscellaneous restructuring and marketing expenses, amortization of intangibles, amortization of deferred stock compensation, impairment of investment, in-process research and development charges and tax effects of pro forma adjustments.

For the nine-month period ended Dec. 31, 2004, Magma reported revenue of $110.3 million, compared to $79.7 million for the nine-month period ended Dec. 31, 2003, an increase of 38 percent. In accordance with GAAP, Magma reported net loss for the recently completed nine-month period of $(3.0) million, or $(0.09) per share (basic and diluted), compared to net income of $7.2 million, or $0.18 per share (diluted), for the nine-month period ended Dec. 31, 2003. Magma reported pro forma net income of $23.7 million, or $0.56 per share (diluted), for the nine-month period ended Dec. 31, 2004. This compares to pro forma net income of $18.1 million, or $0.44 per share (diluted), for the nine-month period ended Dec. 31, 2003, an increase of 31 percent.

Magma provides pro forma financial information to assist investors in understanding the company`s operating results and business trends. Pro forma financial data is not prepared in accordance with GAAP, and should not be viewed as an alternative to GAAP financial information. Our pro forma financial data may be materially different from pro forma measures used by other companies.

A reconciliation of our pro forma financial information to the most closely comparable GAAP financial measures is included in this press release.

"Our third quarter continued Magma`s growth in revenue for the ninth consecutive quarter," said Rajeev Madhavan, chairman and CEO of Magma. "During the next several quarters we expect to announce new products that will further enhance our leadership over our competitors and enable us to continue that growth."

Business Outlook

Magma`s performance in terms of orders, revenue and EPS in its quarter ended Dec. 31, 2004 was within the target ranges established during Magma`s Oct. 28, 2004 earnings call. For Magma`s fiscal 2005 fourth quarter, ending March 31, 2005, the company expects total revenue in the range of $39 million to $42 million, pro forma EPS in the range of $0.18 to $0.22 and GAAP EPS in the range of $0.00 to $0.04. A schedule showing a reconciliation of the pro forma business outlook to GAAP outlook is included in this release.

Consistent with company practice of providing financial guidance at the time of each quarterly earnings announcement, Chief Financial Officer Greg Walker will discuss Magma`s business outlook during the company`s live earnings call at 1:30 p.m. PST today. More detailed information on the company`s business outlook is available in the "Financial Disclosure Supplement" document available in the Investor Relations section of the Magma website at http://investor.magma-da.com/home.cfm." target="_blank" rel="nofollow ugc noopener">http://investor.magma-da.com/home.cfm.

The business outlook targets set forth in this press release and on Magma`s website represent the company`s expectations only as of the date of publication and should not be viewed as a statement about Magma`s expectations after this date. Although this information will remain available on Magma`s website for reference purposes, its continued availability does not indicate that the company is reaffirming or confirming its continued validity. By publishing this guidance, Magma has not assumed any additional obligation to update this information on any date after its publication today.

Conference Call

Magma will discuss the financial results for the recently completed quarter, including guidance going forward, during a live earnings call today at 1:30 p.m. PST (4:30 p.m. EST). The call will be available live by both webcast and telephone. To listen live via webcast, visit the Investor Relations section of Magma`s website at http://investor.magma-da.com/home.cfm." target="_blank" rel="nofollow ugc noopener">http://investor.magma-da.com/home.cfm. To listen live via telephone, call either of the numbers below:

U.S. & Canada: [phone], conference ID #3274289
Elsewhere: [phone], conference ID #3274289

Following completion of the call, a webcast replay of the call will be available at http://investor.magma-da.com/home.cfm through Feb. 3, 2005. Those without Internet access may listen to a replay of the call by telephone through Feb. 3 by calling:

U.S. & Canada: [phone], conference ID #3274289
Elsewhere: [phone], conference ID #3274289

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which include statements in the "Business Outlook" section and quotations from Magma`s executives, are subject to risks and uncertainties that could cause actual results to differ materially from Magma`s current expectations. Factors that could cause or contribute to such differences include, but are not limited to: increasing competition in the EDA market; higher-than-anticipated costs in connection with recent patent litigation with Synopsys; Magma`s ability to successfully integrate recently acquired businesses and technologies; the impact of economic slowdown in our customers` markets; any delay of customer orders or failure of customers to renew licenses; weaker-than-anticipated sales of the company`s products and services; difficulties managing the company`s expanding operations; the ability to continue to deliver competitive products to customers to help them get their products to market; and changes in accounting rules. Further discussion of these and other potential risk factors may be found in Magma`s public filings with the Securities and Exchange Commission (www.sec.gov). Magma undertakes no additional obligation to update these forward-looking statements.

About Magma

Magma provides leading software for designing highly complex integrated circuits while maximizing Quality of Results with respect to area, timing and power, and at the same time reducing overall design cycles and costs. Magma provides a complete RTL-to-GDSII design flow that includes prototyping, synthesis, place & route, and signal and power integrity chip design capabilities in a single executable, offering "The Fastest Path from RTL to Silicon"(TM). Magma`s software also includes products for advanced physical synthesis and architecture development tools for programmable logic devices (PLDs); capacitance extraction; and characterization and modeling. The company`s stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma is a registered trademark, and "The Fastest Path from RTL to Silicon" is a trademark, of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

MAGMA DESIGN AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)

December 31, March 31,
2004 2004
------------ ------------

ASSETS
Current assets:
Cash and cash equivalents $28,201 $72,684
Restricted cash 4,044 2,662
Short-term investments 8,994 -
Accounts receivable, net 31,761 34,237
Prepaid expenses and other current assets 7,457 9,588
------------ ------------
Total current assets 80,457 119,171
Property and equipment, net 22,169 15,196
Intangibles, net 75,132 62,793
Goodwill 41,500 33,529
Long-term investments 88,793 78,158
Other assets 6,941 5,628
------------ ------------
Total assets $314,992 $314,475
============ ============

LIABILITIES AND STOCKHOLDERS` EQUITY
Current liabilities:
Accounts payable $1,979 $1,658
Accrued expenses 19,941 19,132
Deferred revenue, current 18,982 19,947
------------ ------------
Total current liabilities 40,902 40,737

Convertible subordinated notes 150,000 150,000
Deferred tax liabilities - 5,102
Other long-term liabilities 2,047 897
------------ ------------
Total non-current liabilities 152,047 155,999
------------ ------------
Total liabilities 192,949 196,736
------------ ------------

Stockholders` equity:
Common stock 3 3
Additional paid-in capital 235,122 226,586
Deferred stock-based compensation (692) (718)
Accumulated deficit (110,030) (107,063)
Accumulated other comprehensive loss (2,360) (1,069)
------------ ------------
Total stockholders` equity 122,043 117,739
------------ ------------
Total liabilities and stockholders`
equity $314,992 $314,475
============ ============

MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET INCOME
(in thousands, except per share data)
(Unaudited)

For the Three Months Ended
December 31, 2004
--------------------------------------
As Reported Adjustments As Adjusted
------------ ------------ ------------
Revenue:
Licenses $31,663 $- $31,663
Services 5,643 - 5,643
------------ ------------ ------------
Total revenue 37,306 - 37,306
Cost of revenue 5,579 (1,623)A,D 3,956
------------ ------------ ------------
Gross profit 31,727 1,623 33,350
------------ ------------ ------------
Operating expenses:
Research and development 10,223 (1,161)C,D 9,062
In-process research and
development 355 (355)F -
Sales and marketing 11,043 236 B 11,279
General and administrative 4,576 4,576
Amortization of intangible
assets 4,680 (4,680)C -
Amortization of stock-based
compensation 362 (362)D -
Restructuring charge 259 (259)B -
------------ ------------ ------------
Total operating expenses 31,498 (6,581) 24,917
------------ ------------ ------------
Operating income 229 8,204 8,433
------------ ------------ ------------
Interest and other income, net:
Interest income 551 551
Interest expense (249) (249)
Other income, net 473 352 E 825
------------ ------------ ------------
Interest and other income, net 775 352 1,127
------------ ------------ ------------
Income before income taxes 1,004 8,556 9,560
Income tax provision (1,723) 566 G (1,157)
------------ ------------ ------------
Net income (loss) $(719) $9,122 $8,403
============ ============ ============
Earnings (net loss) per share
-- basic $(0.02) $0.25
============ ============
Earnings (net loss) per share
-- diluted $(0.02) $0.20
============ ============
Shares used in calculation:
Basic 33,829 33,829
============ ============
Diluted 33,829 41,749
============ ============

For the Three Months Ended
December 31, 2003
--------------------------------------
As Reported Adjustments As Adjusted
------------ ------------ ------------
Revenue:
Licenses $27,472 $- $27,472
Services 3,580 - 3,580
------------ ------------ ------------
Total revenue 31,052 31,052
Cost of revenue 4,741 (1,029)A,D 3,712
------------ ------------ ------------
Gross profit 26,311 1,029 27,340
------------ ------------ ------------
Operating expenses:
Research and development 7,510 (157)C,D 7,353
In-process research and
development 200 (200)F -
Sales and marketing 10,038 10,038
General and administrative 2,961 2,961
Amortization of intangible
assets 584 (584)C -
Amortization of stock-based
compensation 923 (923)D -
Restructuring charge - -
------------ ------------ ------------
Total operating expenses 22,216 (1,864) 20,352
------------ ------------ ------------
Operating income 4,095 2,893 6,988
------------ ------------ ------------
Interest and other income, net:
Interest income 691 691
Interest expense (404) (404)
Other income, net 379 278 E 657
------------ ------------ ------------
Interest and other income, net 666 278 944
------------ ------------ ------------
Income before income taxes 4,761 3,171 7,932
Income tax provision (1,000) (1,000)
------------ ------------ ------------
Net income $3,761 $3,171 $6,932
============ ============ ============
Earnings per share -- basic $0.12 $0.22
============ ============
Earnings per share -- diluted $0.09 $0.16
============ ============
Shares used in calculation:
Basic 32,184 32,184
============ ============
Diluted 42,035 42,035
============ ============

A Amortization of developed technology
B Miscellaneous restructuring and marketing expenses
C Amortization of intangibles
D Amortization of deferred stock-based compensation
E Impairment of investments
F In-process research and development charges
G Tax effect of pro forma adjustments

MAGMA DESIGN AUTOMATION, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
IMPACT OF PRO FORMA ADJUSTMENTS ON REPORTED NET INCOME
(in thousands, except per share data)
(Unaudited)

For the Nine Months Ended
December 31, 2004
--------------------------------------
As Reported Adjustments As Adjusted
------------ ------------ ------------
Revenue:
Licenses $93,830 $- $93,830
Services 16,433 - 16,433
------------ ------------ ------------
Total revenue 110,263 - 110,263
Cost of revenue 16,131 (4,367)A,D 11,764
------------ ------------ ------------
Gross profit 94,132 4,367 98,499
------------ ------------ ------------
Operating expenses:
Research and development 30,316 (2,843)C,D 27,473
In-process research and
development 4,364 (4,364)F -
Sales and marketing 33,989 (108)B 33,881
General and administrative 11,656 11,656
Amortization of intangible
assets 13,248 (13,248)C -
Amortization of stock-based
compensation 936 (936)D -
Restructuring charge 698 (698)B -
------------ ------------ ------------
Total operating expenses 95,207 (22,197) 73,010
------------ ------------ ------------
Operating income (1,075) 26,564 25,489
------------ ------------ ------------
Interest and other income
(expense):
Interest income 1,660 1,660
Interest expense (746) (746)
Other income (expense), net (731) 1,016 E 285
------------ ------------ ------------
Interest and other income,
net 183 1,016 1,199
------------ ------------ ------------
Income before income taxes (892) 27,580 26,688
Income tax provision (2,075) (867)G (2,942)
------------ ------------ ------------
Net income (loss) $(2,967) $26,713 $23,746
============ ============ ============
Earnings (net loss) per share
-- basic $(0.09) $0.70
============ ============
Earnings (net loss) per share
-- diluted $(0.09) $0.56
============ ============
Shares used in calculation:
Basic 33,742 33,742
============ ============
Diluted 33,742 42,317
============ ============

For the Nine Months Ended
December 31, 2003
-------------------------------------
As Reported Adjustments As Adjusted
------------ ------------ -----------
Revenue:
Licenses $70,826 $- $70,826
Services 8,856 - 8,856
------------ ------------ -----------
Total revenue 79,682 79,682
Cost of revenue 11,879 (1,917)A,D 9,962
------------ ------------ -----------
Gross profit 67,803 1,917 69,720
------------ ------------ -----------
Operating expenses:
Research and development 18,537 (358)C,D 18,179
In-process research and
development 200 (200)F -
Sales and marketing 25,441 25,441
General and administrative 7,798 7,798
Amortization of intangible
assets 584 (584)C -
Amortization of stock-based
compensation 6,656 (6,656)D -
Restructuring charge - -
------------ ------------ -----------
Total operating expenses 59,216 (7,798) 51,418
------------ ------------ -----------
Operating income 8,587 9,715 18,302
------------ ------------ -----------
Interest and other income
(expense):
Interest income 1,934 1,934
Interest expense (727) (727)
Other income (expense), net 45 1,100 E 1,145
------------ ------------ -----------
Interest and other income,
net 1,252 1,100 2,352
------------ ------------ -----------
Income before income taxes 9,839 10,815 20,654
Income tax provision (2,590) (2,590)
------------ ------------ -----------
Net income $7,249 $10,815 $18,064
============ ============ ===========
Earnings per share -- basic $0.23 $0.57
============ ===========
Earnings per share -- diluted $0.18 $0.44
============ ===========
Shares used in calculation:
Basic 31,438 31,438
============ ===========
Diluted 41,075 41,075
============ ===========

A Amortization of developed technology
B Miscellaneous restructuring and marketing expenses
C Amortization of intangibles
D Amortization of deferred stock-based compensation
E Impairment of investments
F In-process research and development charges
G Tax effect of pro forma adjustments

MAGMA DESIGN AUTOMATION, INC.
AS OF DECEMBER 31, 2004
IMPACT OF PRO FORMA ADJUSTMENTS ON FORWARD-LOOKING DILUTED NET INCOME
(LOSS) PER SHARE
(Unaudited)

Quarter Ending March 31, 2005

GAAP diluted net income per share $0.00 to $0.04
Amortization of intangibles $0.01
Amortization of acquired technology $0.16
Amortization of deferred stock
compensation $0.01

Pro Forma diluted net income per share $0.18 to $0.22



--------------------------------------------------------------------------------
Contact:
Magma Design Automation Inc.
Milan G. Lazich, 408-565-7706
[e-mail]



--------------------------------------------------------------------------------
Source: Magma Design Automation Inc.