WESTLAKE VILLAGE, Calif.--(BUSINESS WIRE)--Feb. 23, 2005--

    Agreement Fortifies Diodes' Position in Central European Market

Diodes Incorporated (Nasdaq:DIOD), a leading manufacturer and supplier of high-quality discrete semiconductors, today announced that it has signed a distribution agreement with Rutronik Electronic Components GmbH of Ispringen, Germany, one of Europe's leading broadline distributors of electronic components of high-technology and standard products.

Diodes' agreement with Rutronik strengthens its position in the Central European market (which represents approximately 1/3 of the European market), as well as gives Diodes access to Rutronik's Europe-wide network of sales operations with 44 offices in all major countries, and over 850 employees throughout the continent. In the last ten years, Rutronik has achieved growth, which is, on average, three times higher than that of the electronic components market sector as a whole.

"We are very pleased to be working with Rutronik. With our growing success in penetrating the European market, we needed a distribution partner with strong Central European roots and a pan-European presence with the ability to react swiftly to customer demands," said Mark King, Vice President of Sales and Marketing at Diodes Incorporated. "Rutronik has not only the necessary logistical and geographical network in place, but enjoys an outstanding reputation in the marketplace, both of which will contribute to our goal of continually improving customer service."

"We are extremely excited to form this partnership with a company of the caliber of Diodes," said Helmut Rudel, Rutronik founder and CEO. "Both our firms share the same commitment to innovation and excellence, from engineering to knowledge transfer and logistics, and we are looking forward to a mutually satisfactory collaboration that benefits our customers."

Rutronik is DIN EN ISO 9001 qualified in all branches and is the biggest owner managed, independent distributor in Europe, servicing Austria, Belgium, Bulgaria, Czech Republic, Denmark, France, Germany, Hungary, Italy, Netherlands, Northern Ireland, Poland, Russia, Spain, Switzerland, and the United Kingdom.

For more information, visit http://www.diodes.com or contact Diodes' customer service at 805-446-4800 or email at info@diodes.com.

About Diodes Incorporated

Diodes Incorporated (Nasdaq:DIOD) is a leading manufacturer and supplier of high-quality discrete semiconductor products, serving the communications, computer, industrial, consumer electronics and automotive markets. The Company operates three Far East subsidiaries, Diodes-China (QS-9000 and ISO-14001 certified) in Shanghai, Diodes-Taiwan (ISO-9000 certified) in Taipei, and Diodes-Hong Kong. Diodes-China's manufacturing focus is on subminiature surface-mount devices destined for wireless devices, notebook, flat panel display, digital camera, mobile handset, set top box, DC to DC conversion, and automotive applications, among others. Diodes-Taiwan is our Asia-Pacific sales, logistics and distribution center. Diodes-Hong Kong covers sales warehouse and logistics functions. The Company's 5" wafer foundry, Diodes-FabTech (QS-9000 certified), specializes in Schottky products and is located just outside Kansas City, Missouri. The Company's ISO-9000 corporate sales, marketing, engineering and logistics headquarters is located in Southern California. For further information, visit the Company's website at http://www.diodes.com.

About Rutronik GmbH

RUTRONIK is one of Europe's leading broadline distributors of active, passive and electromechanical components. The company supplies customers and partners in the automotive, telecommunications, consumer goods, and industrial electronics industries with standard and high-tech products. Its customer-oriented, future-proof range of offerings is complemented by a comprehensive array of services, expert know-how transfer in product development and design issues, and logistics and supply chain management solutions. Founded in 1973 by Helmut Rudel in Ispringen, Germany, RUTRONIK registered sales of 373 million euros in fiscal 2003 and employs over 850 staff throughout Europe. For further information, visit the Company's website at http://www.rutronik.de.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Any statements set forth above that are not historical facts are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Potential risks and uncertainties include, but are not limited to, such factors as fluctuations in product demand, the introduction of new products, the Company's ability to maintain customer and vendor relationships, technological advancements, impact of competitive products and pricing, growth in targeted markets, risks of foreign operations, and other information detailed from time to time in the Company's filings with the United States Securities and Exchange Commission.

Recent news releases, annual reports, and SEC filings are available at the Company's website: http://www.diodes.com. Written requests may be sent directly to the Company, or they may be e-mailed to: diodes-fin@diodes.com.

    CONTACT: Diodes, Inc.
             Mark King, 805-446-4800
             or
             Coffin Communications Group
             Crocker Coulson, 818-789-0100
             crocker.coulson@ccgir.com

    SOURCE: Diodes Incorporated