<p><b>June 9, 2008 - $ 16 Million settle shareholders lawsuit</b></p> <p>A month after reaching a $10 million settlement with the U.S. Securities and Exchange Commission over allegations of stock options backdating from 2001 to 2004, the Santa Clara, Calif., semiconductor company Marvell Technology Group Ltd. has announced a tentative $16 million settlement in a shareholders lawsuit over stock option backdating. The settlement is subject to court approval. As part of the settlement Marvell Technology Group Ltd. agreed to “corporate governance enhancements” in exchange for dropping the lawsuits. Other backdating class actions at companies like Brocade and Mercury Interactive have settled far more. Like Brocade for $160 million and Mercury Interactive for $117.5 million. Weili Dai, co-founder and chief operating officer, agreed to pay $500,000 to settle the U.S. Securities and Exchange Commission charges.</p>
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<p><b>May 8, 2008 - Backdating Stockoptions lawsuit<br /></b></p>
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<p align= justify >The Silicon Valley firm Marvell Technology Group Ltd. has settled lawsuit wih the U.S. Securities and Exchange Commission for $10 million. The SEC has alleged Marvell Technology Group Ltd. that the semiconductor maker backdated stock option grants to employees and misrepresented financial data. Weili Dai, co-founder of the Silicon Valley firm and former chief operating officer of Marvell Technology Group Ltd. , was also accused of playing a role in the backdating scheme and will pay $500,000 to settle the claims.</p>
<p align= justify >Background:</p>
<p align= justify >According to the SEC’s complaint, filed in federal district court in San Jose, the scheme allowed Marvell to overstate its income by $362 million from its fiscal years 2000 through 2006. The SEC alleged that Weili Dai, acting as Marvell’s “Stock Option Committee,” routinely reviewed lists of Marvell’s historical stock prices and picked the date with the lowest (or one of the lowest) stock prices since the previous grant date. This date would then be communicated to Marvell personnel as the date on which the Stock Option Committee had purportedly met and authorized the option grant. To make it appear that Marvell had actually granted the options on that date, Dai signed falsified minutes attesting to a meeting of the Committee on that earlier date.</p>
<p align= justify >In addition to financial penalties, Marvell consented to a permanent injunction against violations of the antifraud and other provisions of the federal securities laws. Dai, of Los Altos Hills, Calif., consented to an order barring her from serving as an officer or director of a public company for five years.</p>