Reconciliation of Target Operating Results

The following tables reconcile the specific items excluded from GAAP in the calculation of target non-GAAP operating results for the periods indicated below:

  GAAP to Non-GAAP Reconciliation of Third Quarter Fiscal Year 2008 Targets
                   (in thousands, except per share amounts)

                                                      Range for Three Months
                                                       Ending July 31, 2008
                                                        Low            High

    Target GAAP expenses                              $290,000       $308,000
    Adjustment:
      Estimated impact of amortization of intangible
       assets                                          (14,000)       (20,000)
      Estimated impact of share-based compensation     (16,000)       (18,000)
    Target non-GAAP expenses                          $260,000       $270,000



                                                       Range for Three Months
                                                        Ending July 31, 2008
                                                         Low            High

    Target GAAP earnings per share                       $0.18          $0.24
    Adjustment:
      Estimated impact of amortization of intangible
       assets                                             0.14           0.10
      Estimated impact of share-based compensation        0.12           0.11
      Net non-GAAP tax effect                            (0.06)         (0.05)
    Target non-GAAP earnings per share                   $0.38          $0.40

    Shares used in non-GAAP calculation
     (midpoint of target range)                        145,500        145,500



       GAAP to Non-GAAP Reconciliation of Full Fiscal Year 2008 Targets

                                                        Range for Fiscal Year
                                                       Ending October 31, 2008
                                                          Low          High
    Target GAAP earnings per share                       $0.99        $1.11
    Adjustment:
      Estimated impact of amortization of intangible
       assets                                             0.37         0.32
      Estimated impact of share-based compensation        0.47         0.44
      Net non-GAAP tax effect                            (0.23)       (0.23)
    Target non-GAAP earnings per share                   $1.60        $1.64

    Shares used in non-GAAP calculation
     (midpoint of target range)                        147,500      147,500

Earnings Call Open to Investors

Synopsys will hold a conference call for financial analysts and investors today at 2:00 p.m., Pacific Time. A live webcast of the call will be available at Synopsys' corporate website at http://www.synopsys.com/corporate/invest/invest.html. A recording of the call will be available by calling +1-800-475-6701 (+1-320-365-3844 for international callers), access code 921713, beginning at 4:00 p.m. Pacific Time today. A webcast replay will also be available on the website from approximately 5:30 p.m. Pacific Time today through the time Synopsys announces its results for the third quarter fiscal 2008 in August. In addition, Synopsys will post copies of the prepared remarks of Aart de Geus, chairman and chief executive officer, and Brian Beattie, chief financial officer, on its website following the call.