Partner Press Release
National Semiconductor Begins End-to-End Supply Chain Management Using the RosettaNet Business Process Standard

For Release October 10, 2000

SANTA CLARA

National Semiconductor Corporation (NYSE:NSM) today announced that it has successfully transacted its first RosettaNet Partner Interface Process (PIP) with two trading partners, Pioneer-Standard Electronics and Arrow Electronics, Inc. (NYSE:ARW). Pioneer and Arrow are the first semiconductor and distribution partners to implement a PIP with National under the RosettaNet Implementation Framework (RNIF).

For National, this marks the successful completion of the RosettaNet Electronic Commerce Board members' goal of being in production on one PIP with at least one trading partner by October 10, 2000. RosettaNet is the leading standards body and consortium dedicated to delivering pre-defined business-to-business (B2B) interface process for supply chain integration. A streamlined supply chain will allow National to significantly reduce time-to-market, a critical goal in today's fast-paced environment.

"Being able to conduct business quickly and efficiently is critical, and our ability interconnect business processes via RosettaNet standards will enable National to take customer integration to the next level," said Roland Andersson, senior vice president, Worldwide Marketing and Sales. "Although it is early in the implementation phase, we are already experiencing faster, smoother, more seamless supply chain management with customers and partners."

"Arrow is excited to be implementing RosettaNet PIPs with National, a key semiconductor supplier. Anything we can do to streamline the supply chain, making it faster and more cost effective, is very important to us," stated David Westmoreland, Arrow's vice president and Chief Information Officer.

"Using the Internet to exchange business information and manage the supply chain is crucial to success in the Information Age," said Art Rhein, president and chief operating officer, Pioneer-Standard Electronics. "Implementing a RosettaNet standard with National Semiconductor, one of our major suppliers, is an important next step in Pioneer-Standard's e-business program and in our ability to further help our customers shorten their time to market."

A PIP is a set of standardized instructions that enable supply chain partners to automate information exchange over the Internet. Using PIPs, companies can exchange product information, submit and receive purchase orders, and update Stock Keeping Units (SKUs). National selected the Manage Purchase Order (PIP 3A4) standard for its implementation with Pioneer and Arrow. In order to support the PIP 3A4 in production, National cross-referenced its entire 24,000-part product catalog with the RosettaNet Global Trade Item Number (GTIN).

"Meeting the 10.10.2000 milestone shows the enormous commitment by industry leaders to drive forward and make RosettaNet standards pervasive in the industry," said Jennifer Hamilton, CEO of RosettaNet.

National established a new access point into its existing IT infrastructure to support the RosettaNet business process and integrate it with existing systems. National used Viacore's ProcessTone™ Services to integrate processes with its trading partners and manage the real time exchange of RosettaNet PIPs. Viacore is a leading Process Service Provider (PSP) for the computer and electronic components industries.

National selected webMethods, Inc. (NASDAQ:WEBM) to build the underlying software infrastructure for seamlessly integrating major buyers and suppliers to form real-time trading networks. webMethods, the leading supplier of business-to-business integration (B2Bi) solutions, provides broad support for open standards and protocols such as RosettaNet.

About RosettaNet
RosettaNet is an independent, self-funded non-profit consortium dedicated to the development and deployment of standard electronic commerce interfaces that align the processes between supply chain partners on a global basis.

About Arrow Electronics, Inc.
Arrow Electronics is the world's largest distributor of electronics components and computer products, with 1999 sales of $9.3 billion. Headquartered in Melville, New York, Arrow serves as a supply channel partner for more than 600 suppliers and 175,000 original equipment manufacturers and commercial customers through more than 225 sales facilities and 19 distribution centers in 37 countries. Detailed information about Arrow's operations can be found at www.arrow.com.

About Pioneer-Standard Electronics, Inc.
Pioneer-Standard is an international distributor of electronic components and computer systems, with revenues of $2.6 billion. Pioneer-Standard's Industrial Electronics Division provides a comprehensive offering of semiconductors, ICs, embedded computing solutions, passive components, interconnects, electromechanical products, power products and more. The company's Computer Systems Division is one of the largest distributors of mid-range computer solutions, selling through its distribution arm, KeyLink Systems, and its Corporate Accounts Group. Pioneer-Standard has operations throughout North America, Mexico and worldwide distribution to Asia and Europe through its equity investments in World Peace Industrial Co., Ltd. (WPI), headquartered in Taiwan, and Eurodis Electron PLC, headquartered in the U.K. Additional information about Pioneer and its global operations can be found at MyPioneer.com.

About Viacore, Inc.
Viacore, Inc., is a supply chain Process Service Provider that enables reliable, quick and efficient electronic process integration between disparate trading partners. Viacore was born out of the need to manage supply chain business processes via the Internet and was formed by bringing together industry powerhouses into a cohesive investment group. Together, with strategic investing partners Arrow Electronics, Avnet, Federal Express Corporation, Ingram Micro, SOFTBANK, and Tech Data, Viacore is the first to bring to market the rapid, pervasive and cost-effective deployment of standards-based process integration solutions. Additional information is available at www.viacore.net.

About webMethods, Inc.
webMethods, Inc. (NASDAQ:WEBM) is the leading provider of software solutions for business-to-business integration (B2Bi). As the only company providing seamless B2Bi across the Internet and throughout the extended enterprise, webMethods provides Global 2000 companies and B2B marketplaces with a complete, end-to-end solution for integrating customers, suppliers and partners into real-time B2B trading networks, while also increasing internal operational efficiencies. The webMethods product family allows companies to create new revenue opportunities, strengthen relationships with customers, substantially reduce supply chain inefficiencies and streamline internal business processes. More information about the company can be found at www.webMethods.com.

About National Semiconductor
National Semiconductor provides system-on-a-chip solutions for the information age. Combining real-world analog and state-of the-art digital technology, the company's chips lead many sectors of the personal computer, communications, and consumer markets. With headquarters in Santa Clara, California, National reported sales of $2.1 billion for its last fiscal year and has about 10,500 employees worldwide. Additional company and product information is available on the World Wide Web at www.national.com.