Directorate Change

ARC International plc
                  

Departure of Chief Executive Officer

ARC International plc (LSE: ARK), a world leader in user-customizable processors
for embedded system design, today announces the resignation and departure from
his position with immediate effect of Mike Gulett, Chief Executive Officer.

Peter van Cuylenburg, ARC's Chairman, has assumed the role of interim CEO. Mike
Morrissey, an experienced operating executive, has joined ARC to serve as Chief
Operating Officer until a new CEO is appointed. Mr. Morrissey was formerly CEO
of ZSP Corporation. Prior to that, Mr. Morrissey was Group Vice President at KLA
Instruments, after spending 26 years in various roles with AT&T and NCR,
including Vice President/General Manager roles in the PC and semiconductor
business divisions. Mike Gulett will work on a consulting basis for two months,
assisting the Board with the transition.

"After two years of hard work here at ARC it is time to make a change," said
Mike Gulett. I am leaving with mixed feelings but I have confidence in the new
Board of Directors and ARC's management team and employees."

Commenting on these changes, Dr. van Cuylenburg said: "I am delighted that Mike
Morrissey is joining our team, as he will bring valuable turnaround experience
to the task. On behalf of the Board, I'd like to thank Mike Gulett for his work
during his two year period as Chief Executive Officer of ARC."

The Board of Directors has begun a search to recruit a new Chief Executive
Officer.

"ARC's Board of Directors believes that there are substantial opportunities to
build value in the business" said Dr. van Cuylenburg. "ARC is the world leader
in 32-bit embedded processors that can be customized by users to produce exactly
the processor they require, with supporting peripherals and easy-to-use design
software. Our customers are continually looking for ways to make their products
more competitive, and we are uniquely positioned to help them achieve optimal
and differentiated solutions.

"ARC already has more than 170 design wins with over 90 customers, including a
large number of the world's leading semiconductor and electronics companies.
Many of today's fastest-growing professional and consumer electronics products
use ARC processors and peripherals, including: Wi-Fi mobile computers, USB
storage devices, cable modems, PDAs, DVD players, MP3 players, digital still
cameras, educational games, digital televisions, and many other successful
products.

"From an operating perspective", Dr. van Cuylenburg continued, "ARC has just
introduced a very competitive new product in the ARC 600. We are very pleased
with the initial response as customers evaluate the product. As stated in our
third quarter results, the company has continued to reduce its operating
expenses. We intend to introduce further operational improvements and reduce
corporate overhead expenses in a continuing drive towards profitability and
revenue growth."

Preliminary results for the year ended 31 December 2003 will be announced on
Wednesday, 4th February 2004.

-ENDS-

Enquiries:

ARC International plc:

Peter van Cuylenburg, Chairman 001 [phone]

Tulchan Communications:

Julie Foster/Tim Lynch 0207 353 4200

Notes To Editors:

ARC International is the world's leading vendor of user-customizable 32-bit
RISC/DSP processor for embedded systems. ARC's solutions deliver low cost, low
power and high performance for next-generation networking, communications,
industrial control, storage, and consumer electronics products to world-class
customers.

ARC introduced the industry's first user-customizable 32-bit RISC/DSP processor
core as well as the industry's first USB Hi-Speed On-The-Go core. Today, ARC
supplies comprehensive solutions that include a real-time operating system,
development tools, processor cores, peripheral cores, and software IP that
enable developers to optimize the cost, power, and performance of their
applications.

ARC International employs approximately 180 people in research and development,
sales and marketing offices across North America, Europe and Asia. Full details
of the company's locations and other information are available on the company's
website, http://www.arc.com. ARC International is listed on the London Stock
Exchange as ARC International plc (LSE: ARK).