Marvell Technology Group (MRVL)

Interest and Other Income, net

Interest and other income, net consist primarily of interest earned on cash, cash equivalents and short-term investment balances. The increase in interest and other income for the second quarter of fiscal 2008 compared to the second quarter of fiscal 2007 is primarily due to a $5.0 million charge for a reserve recorded in the second quarter of fiscal 2007 for an advance payment to a company which subsequently filed for bankruptcy.  Partially offsetting the increase in interest and other income, net was a decrease in interest income as a result of lower average cash balances for comparable periods.  The decrease in interest and other income, net for the first six months of fiscal 2008 compared to the first six months of fiscal 2007 was due primarily to a decrease in interest income as a result of lower average cash balances for comparable periods partially offset by a $5.0 million charge for a reserve recorded in the first six months of fiscal 2007 for an advance payment to a company that subsequently filed for bankruptcy.

Interest and Other Income, net

Interest and other income, net consists primarily of interest earned on cash, cash equivalents and short-term investment balances, offset by interest paid on capital lease obligations. The decrease in interest and other income, net for the second quarter of fiscal 2007 compared to the second quarter of fiscal 2006 was primarily due to a $5.0 million charge for a reserve recorded in the second quarter of fiscal 2007 for an advance payment to a company which subsequently filed for bankruptcy.  Partially offsetting the decrease was higher interest income due to higher yields on our investments in the second quarter of fiscal 2007 compared to the second quarter of fiscal 2006.  The increase in interest and other income, net for the first six months of fiscal 2007 compared to the first six months of fiscal 2006 was primarily due to higher interest income due to higher yields on our investments during the six months of fiscal 2007, partially offset by a $5.0 million charge for a reserve recorded in the second quarter of fiscal 2007 for an advance payment to a company which subsequently filed for bankruptcy.  The combined cash and short-term investment balances as of July 29, 2006 decreased compared to the cash and short-term investment balance as of July 30, 2005 due to the payments for acquisitions in the first six months of fiscal 2007.

Interest and Other Income, net

Interest and other income, net consists primarily of interest earned on cash, cash equivalents and short-term investment balances, offset by interest paid on capital lease obligations. The increase in interest and other income, net for the third quarter of fiscal 2007 compared to the third quarter of fiscal 2006 was primarily due to higher interest income due to higher yields on our investments in the

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third quarter of fiscal 2007 compared to the third quarter of fiscal 2006.  The increase in interest and other income, net for the first nine months of fiscal 2007 compared to the first nine months of fiscal 2006 was primarily due to higher interest income due to higher yields on our investments during the nine months of fiscal 2007, partially offset by a $5.0 million charge for a reserve recorded in the second quarter of fiscal 2007 for an advance payment to a company which subsequently filed for bankruptcy.  The combined cash and short-term investment balances as of October 28, 2006 decreased compared to the cash and short-term investment balance as of October 29, 2005 due to the payments for acquisitions in the first nine months of fiscal 2007.

Interest and Other Income, net

Interest and other income, net consists primarily of interest earned on cash, cash equivalents and short-term investment balances, offset by interest paid on capital lease obligations. The increase in interest and other income, net for the first quarter of fiscal 2007 compared to the first quarter of fiscal 2006 was primarily due to higher interest income due to higher comparable invested cash balances and higher yields on our investments.  Although combined cash and short-term investment balances increased from April 29, 2006 compared to April 30, 2005, the short-term investment balance as of April 29, 2006 decreased compared to the short-term investment balance as of April 30, 2005 due to sales of short-term investments prior to the end of the quarter ended April 29, 2006 to fund the Avago Technologies acquisition which closed on May 1, 2006.

Interest and Other Income, net

Interest and other income, net consists primarily of interest earned on cash, cash equivalents and short-term investment balances, offset by interest paid on capital lease obligations. The increase in interest and other income, net for the first quarter of fiscal 2007 compared to the first quarter of fiscal 2006 is primarily due to higher interest income due to higher comparable invested cash balances and higher yields on our investments. Although combined cash and short-term investment balances increased from April 30, 2006 compared to April 30, 2005, the short-term investment balance as of April 30, 2006 decreased compared to the short-term investment balance as of April 30, 2005 due to sales of short-term investments prior to the end of the quarter ended April 30, 2006 to fund the acquisition of the printer semiconductor business of Avago Technologies, which closed on May 1, 2006.

Interest and Other Income, Net

Interest and other income, net consists primarily of interest earned on cash, cash equivalents and short-term investment balances, and gains on the sale of marketable securities, offset by interest paid on capital lease obligations. The increase in interest and other income, net in fiscal 2005 compared to fiscal 2004 was primarily due to higher interest income on higher comparable invested cash balances and higher interest rates, partially offset by an increase of $0.2 million in interest expense on capital lease obligations as a result of new CAD software capital leases entered into in fiscal 2005, lower realized gains of $0.3 million on the sale of marketable securities in fiscal 2005 compared to $1.3 million of realized gains on the sale of marketable securities in fiscal 2004 and a $0.7 million loss on an equity method investment in fiscal 2004.

Interest and Other Income, net

Interest and other income, net consists primarily of interest earned on cash, cash equivalents and short-term investment balances, offset by interest paid on capital lease obligations. The increase in interest and other income, net for the third quarter and first nine months of fiscal 2006 compared to the third quarter and first nine months of fiscal 2005 is primarily due to higher interest income due to higher invested cash and marketable securities balances and higher yields on our investments.