MENT Mentor Graphics Corp.

Mentor Graphics Corp. (NASDAQ: MENT), the leader in advanced system verification solutions, and Lauterbach GmbH, the world's largest supplier of hardware-assisted embedded debug tools, today announced they have collaborated to deliver a hardware-accelerated, software-development and debug platform for the verification of Systems-on-Chip (SoCs) and embedded systems.

The combination of Mentor's world-leading Veloce® hardware emulation technology with Lauterbach's superior integrated debug and development tools delivers a high-performance and productive environment for handling concurrent hardware-software verification of embedded systems. The goal of both companies is to help bring complex SoC designs to market on schedule, without compromising verification accuracy or performance.

Lauterbach is established as the world's technology and market leader of microprocessor development tools for embedded systems applications, with over 80,000 development seats installed across the globe by the end of 2008. The Lauterbach tools provide a quick and efficient environment for the testing of embedded systems, which is critical for the verification of next-generation SoC designs.

"As the market leader in the development and delivery of integrated software environments for embedded system applications, Lauterbach is committed to providing the best possible verification solutions for our customers. By combining with Mentor and their Veloce emulator, we can show our customers a high-speed platform that allows them to perform concurrent hardware-software integration many weeks or months before they are committed to real silicon, increasing their verification productivity and improving their time-to-market," said Norbert Weiss, International Sales & Marketing Manager, Lauterbach GmbH. "Our customers can now access a virtual hardware environment, that mimics the functionality of their real silicon, to debug their software at high-speeds using our standard toolsets."

Veloce is the industry's fastest dual-mode accelerator/emulator, providing MHz performance for both transaction-based verification and traditional in-circuit emulation (ICE). With an extensive portfolio of vertical market solutions, the Veloce product is the platform of choice for embedded systems, multimedia, wireless, and networking applications.

"We worked closely with Lauterbach to implement this high-performance solution for embedded software debug." said Jim Kenney, Mentor Emulation Division (MED) director of marketing. "By teaming with Lauterbach we've ensured a solid software debug environment for our joint customers so they effectively validate the hardware-software interface of their System-on-Chip."

About Mentor Graphics Mentor Graphics Corporation (NASDAQ: MENT) is a world leader in electronic hardware and software design solutions, providing products, consulting services and award-winning support for the world's most successful electronics and semiconductor companies. Established in 1981, the company reported revenues over the last 12 months of about $800 million and employs approximately 4,425 people worldwide. Corporate headquarters are located at 8005 S.W. Boeckman Road, Wilsonville, Oregon 97070-7777. World Wide Web site: http://www.mentor.com/.

About Lauterbach Lauterbach is the world's leading manufacturer of complete, modular microprocessor development tools with 30 years' experience in the field of embedded designs. Highest quality, innovation and expert support have lead to Lauterbach's worldwide leadership in the JTAG and in-circuit-emulator market. It is an international, well established company with blue chip customers in every corner of the globe and has a close working relationship with all semiconductor manufacturers. Besides the headquarters in Hoehenkirchen, Germany, the company has its own branch offices in United Kingdom, Italy, France, on the east and west coasts of the United States, Japan and China. Highly qualified sales and support engineers are also available in many other countries. www.lauterbach.com.

Mentor Graphics and Veloce are registered trademarks of Mentor Graphics Corporation. All other company and/or product names are the trademarks and/or registered trademarks of their respective owners.

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For more information, please contact: Carole Dunn Mentor Graphics 503.685.4716 carole_dunn@mentor.com Suzanne Graham Mentor Graphics 503.685.7789 suzanne_graham@mentor.com