Exhibit 99.1

Arrow Electronics Settles French VAT Claim

    MELVILLE, N.Y.--(BUSINESS WIRE)--Aug. 13, 2004--Arrow Electronics,
Inc. (NYSE: ARW) announced that it has settled a claim against its
French subsidiary, Tekelec SA ("Tekelec"), in respect of French
value-added tax.
    In 2003, Arrow reserved EUR 11.3 million ($13.9 million at the
exchange rate prevailing on August 12, 2004) for the full amount of a
claim asserted by the French tax authorities relating to alleged
fraudulent activities concerning value-added tax by Tekelec. The
alleged activities occurred prior to Arrow's purchase of Tekelec from
Tekelec Airtronic SA ("Airtronic") in 2000. An agreement (the
"settlement agreement") has been reached with the French tax
authorities pursuant to which Tekelec will pay EUR 3.4 million ($4.2
million at the exchange rate prevailing on August 12, 2004) in full
settlement of this claim. Tekelec did not receive the consent of
Airtronic to the settlement agreement. Arrow will record an
acquisition indemnification credit of EUR 7.9 million ($9.7 million at
the exchange rate prevailing on August 12, 2004) ($.08 per share based
on the shares outstanding on August 12, 2004) in the third quarter of
2004 in connection with the settlement.
    Arrow Electronics is a major global provider of products,
services, and solutions to industrial and commercial users of
electronic components and computer products. Headquartered in
Melville, New York, Arrow serves as a supply channel partner for more
than 600 suppliers and 150,000 original equipment manufacturers,
contract manufacturers, and commercial customers through a global
network of more than 200 locations in 41 countries and territories.

    Safe Harbor

    The Private Securities Litigation Reform Act of 1995 provides a
"safe harbor" for forward-looking statements. This press release
contains forward-looking statements that are subject to certain risks
and uncertainties which could cause actual results or facts to differ
materially from such statements for a variety of reasons including,
but not limited to: industry conditions, changes in product supply,
pricing, and customer demand, competition, other vagaries in the
computer and electronic components markets, changes in relationships
with key suppliers, the effects of additional actions taken to lower
costs, the ability of the company to generate additional cash flow and
the other risks described from time to time in the company's reports
to the Securities and Exchange Commission (including the company's
Annual Report on Form 10-K and Quarterly Reports on Form 10-Q).
Forward-looking statements are those statements, which are not
statements of historical fact. You can identify these forward-looking
statements by forward-looking words such as "expects," "anticipates,"
"intends," "plans," "may," "will," "believes," "seeks," "estimates,"
and similar expressions. Shareholders and other readers are cautioned
not to place undue reliance on these forward-looking statements, which
speak only as of the date on which they are made. The company
undertakes no obligation to update publicly or revise any
forward-looking statements.

    CONTACT: Arrow Electronics
             Ira M. Birns, 631-847-1657 - Vice President and Treasurer
             or
             Paul J. Reilly, 631-847-1872 - Vice President and Chief Financial
                                            Officer