Digi-Key Corporation Announces Distribution Agreement with Digi International

THIEF RIVER FALLS, Minnesota, USA - February 14, 2006

Digi-Key Corporation, one of the world's fastest growing electronic component distributors, announced today that it has entered into a distribution agreement with Digi International® Inc. (NASDAQ: DGII). Digi International is a leading manufacturer of ARM-based embedded modules.

Digi-Key will initially be stocking Digi-International's embedded modules and development kits from the Digi Connect ME, Connect EM, Connect SP, ConnectCore 7U, ConnectCore 9C and ConnectCore 9P families. This new franchise agreement with Digi International will allow Digi-Key to fulfill the design and production needs of its customers. Digi-Key currently ships product to more than 130 countries around the globe.

"We are pleased to add Digi International's innovative products to our line card," stated Mark Larson, Digi-Key's president and COO. "Digi's name recognition and reputation for quality products coupled with its strong technical support make this company a good match for Digi-Key. Offering Digi's cost effective and easy to implement embedded network connectivity solutions will provide our customers with another option in keeping pace with ever-evolving networking technology."

Digi International is widely recognized for its extensive range of innovative products, including ARM-based embedded networking modules that are used for a variety of applications focused on commercial grade device networking. Other Digi products include device, terminal and secure console management servers, multiport serial cards, USB devices and turnkey technology solutions. Digi International also owns Rabbit Semiconductor, a longtime supplier to Digi-Key.

According to Larry Kraft, Digi International's vice president of global sales and marketing, Digi-Key is a longstanding, trusted distributor who is outstanding at providing new product in both its print and online catalogs. Digi-Key's commitment to having more than 95 percent of its products available on any given day and same-day shipping were also key to establishing the relationship. "We selected Digi-Key because it offers a broad line of products to a wide range of industries that are key targets for expanding our business," Kraft said. "Digi-Key specializes in more elemental electronic building blocks that design engineers use to create new and customized products. This enables us to increase the availability of our ARM-based embedded module family to Digi-Key's broad and unique customer base."

About Digi International

Based in Minneapolis, Minnesota, Digi International makes networking easy by developing products and technology that is cost effective and easy to use. Digi markets its products through a global network of distributors and resellers, integrators, and original equipment manufacturers (OEMs). For more information, visit Digi's Web site at www.digikey.ie or call 800-344-4273 (US) or 952-912-3444 (International).

About Digi-Key Corporation

Digi-Key Corporation, based in Thief River Falls, Minn., is a global, full-service provider of both prototype/design and production quantities of electronic components, offering more than three million products from over 650 quality name-brand manufacturers. With over one million products in stock and an impressive selection of online resources, Digi-Key is committed to stocking the broadest range of electronic components in the industry and providing the best service possible to its customers. Additional information and access to Digi-Key's broad product offering is available on the Digi-Key website.

Media Contact: Steven G. Tsukichi, VP/Marketing, Digi-Key Corporation