Solectron Announces Adjustable Conversion-Rate Equity Security Units Offering

		SOLECTRON LOGO Solectron (www.solectron.com), the world's leading supply-chain facilitator, provides a full range of manufacturing and supply-chain management services to the world's premier high-tech electronics companies. Solectron's offerings include new-product design and introduction services, materials management, high-tech product manufacturing, and product warrantyand end-of-life support. Solectron, based in Milpitas, Calif., is the first two-time winner of the Malcolm Baldrige National Quality Award for manufacturing. (PRNewsFoto)[AG JL] MILPITAS, CA USA

MILPITAS, Calif., Dec. 18 /PRNewswire/ -- Solectron Corporation (NYSE: SLR), the world's leading provider of electronics manufacturing and supply-chain services, today announced a public offering of $1 billion, or 40 million units, of Adjustable Conversion-Rate Equity Securities, or ACES(SM). (Photo: http://www.newscom.com/cgi-bin/prnh/20001201/SLRLOGO ) The units are expected to consist of three-year forward-purchase contracts to purchase a variable number of shares of Solectron common stock and five-year notes. Solectron also intends to commence an offering of at least $500 million of unsecured fixed-rate debt early in calendar 2002. No terms have been set and there can be no assurance that the company will successfully complete the proposed offering. The underwriter, Goldman, Sachs & Co., will have the option to purchase up to an additional $150 million, or 6 million units, of ACES to cover over-allotments, if any. This news release is not an offer to sell or a solicitation of an offer to buy ACES, and they will not be sold in any state or jurisdiction in which an offer, solicitation, or sale would be unlawful under the securities laws of that state or jurisdiction. The offering may be made only through a prospectus, which may be obtained by contacting Goldman, Sachs & Co., Prospectus Department, 85 Broad St., New York, NY 10004. The ACES are to be priced, subject to market conditions, the week of Dec. 17. The ACES would be offered under the company's shelf registration statement declared effective Aug. 29, 2001, by the Securities and Exchange Commission. About Solectron Solectron (http://www.solectron.com) provides a full range of global manufacturing and supply-chain management services to the world's premier high-tech electronics companies. Solectron's offerings include new-product design and introduction services, materials management, high-tech product manufacturing, and product warranty and end-of-life support. The company is based in Milpitas, Calif. Safe Harbor This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1993, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that involve a number of risks and uncertainties. In particular, Solectron's completion of both the ACES offering and the offering of unsecured fixed-rate debt are subject to various risks, including prevailing conditions in the public capital markets. There can be no assurance that either offering will be successfully completed. Other potential risks that could cause actual events to differ materially are included in filings with the Securities and Exchange Commission filings, including Forms 8-K, 10-K, 10-Q, S-3 and S-4 for Solectron Corporation. Solectron disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. CONTACT: U.S., investors, Thomas Alsborg, +1-408-956-6614, or thomasalsborg@ca.slr.com; or media, Kevin Whalen, +1-408-956-6854, or kevinwhalen@ca.slr.com, both of Solectron Corporation.