EL SEGUNDO, CA. March 1998 - Based on current business conditions, International Rectifier Corporation (IRF/NYSE/PSE) expects third-quarter earnings of between $0.06 and $0.08 per share on revenues of about $140 million, versus $0.08 per share on revenues of $122.8 million in the year-ago quarter.

The shortfall against the Company's previous guidance reflects weakness in computer-related and consumer electronics business, which will result in lower sales in Japan and flat revenues in North America. Industrial and automotive demand remained strong during the quarter.

Compared to the December quarter, IR expects its March-quarter gross margin to decline by about one percentage point. Selling and administrative expense should remain flat, while research and development expense will rise by about $1 million.

IR posted a market share gain of about one-and-a-half points over the last several months for which industry data is available.

International Rectifier is a major worldwide supplier of power semiconductors, which convert electrical energy to operate power supplies, motor drives, and lighting ballasts. Its patented HEXFET^® power MOSFETs and IGBTs make IR the world leader in field effect transistors. The Company's technological advances improve the performance and energy efficiency of electronic and electrical equipment in automotive, consumer, computer/peripheral, industrial, lighting, telecom, and government/space applications.

The foregoing material includes some forward-looking statements. We caution that such statements are subject to a number of uncertainties, and actual results may differ materially. Factors that could affect the Company's actual revenues and earnings include the rate of customer inventory adjustments, push-out of delivery dates, product returns, market and sector conditions that affect our customers, pricing pressures, acceptance of competitors' products, introduction and acceptance of new products, general economic conditions in the Company's markets around the world, and other uncertainties disclosed in the Company's filings with the Securities and Exchange Commission.

NOTE: A conference call for investors will begin today at 5:00 pm Eastern (2:00 pm Pacific). Participants can access the call by dialing 1-212.676.5266. A taped replay of the call will be available through midnight Eastern time on Sunday, April 5. The phone number to hear the tape is 1-800.633.8284. Please refer to reservation # 408-4619 when you call to join the conference or hear the recording.