3Dividends paid and proposed

The ESOP trust has waived its right to receive dividends of over 0.01 pence per share. Also, 91,160,488 shares were held as treasury stock by ARM Holdings plc at 31 December 2008 and the Company will waive its right to dividends on these shares.

The directors have recommended the payment of a final dividend of 1.32 pence per share in respect of 2008 (estimated total cost of £16.6 million), bringing the total dividend payable in respect of 2008 (including the interim of 0.88 pence per share) to 2.2 pence per share. This will be paid to shareholders after approval by the shareholders at the 2009 AGM.