Acer commences cash tender offer for Gateway
Gateway announces sale of Professional business

TAIPEI, TAIWAN (September 5, 2007) -- Acer Inc. (TWSE:2353) today announced that its wholly-owned subsidiary, Galaxy Acquisition Corp., has commenced its tender offer for all the outstanding shares of Gateway, Inc. (NYSE: GTW), at a price of US$1.90 per share. On August 27, 2007, Acer announced it had signed a definitive agreement to acquire Gateway.

In addition, Gateway announced that it has signed a definitive agreement to sell its Professional business segment, including the Company's Nashville-based configuration center, to MPC Corporation (AMEX: MPZ). The transaction is subject to regulatory approval and is anticipated to close early in the fourth quarter.

The acquisition of Gateway by Acer has been unanimously approved by the boards of directors of both Gateway and Acer.  The tender offer is subject to standard closing conditions set forth in the Offer to Purchase referenced below, including a minimum share tender condition, regulatory approvals under Hart-Scott-Rodino, Exon-Florio and similar laws outside the U.S., and other customary conditions, as set forth in the Offer to Purchase.

The tender offer and withdrawal rights will expire at 12:00 midnight, New York City time, on October 1, 2007 (end of the day on October 1, 2007) unless the tender offer is extended. Following the acceptance for payment of shares in the tender offer and completion of the transactions contemplated in the merger agreement, Gateway will become a wholly-owned subsidiary of Acer.

The terms and conditions of the tender offer are set forth in the Offer to Purchase, Letter of Transmittal and other related materials filed by Acer and Galaxy Acquisition Corp. with the SEC on September 4, 2007. Citibank, N.A. is acting as depositary for the tender offer.

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About Acer
Since its founding in 1976, Acer has constantly pursued the goal of breaking the barriers between people and technology. Focused on marketing its brand-name IT products around the globe, Acer ranks as the world's No. 3  vendor for total PCs and No. 2 for notebooks, with the fastest growth among the top-five players. A profitable and sustainable Channel Business Model is instrumental to Acer's continued growth, while the successful mergers of Gateway and Packard Bell complete the company's global footprint by strengthening its presence in the U.S., and enhancing its strong position in Europe. Acer Inc. employs 5,000 people worldwide. 2007 revenues reached US$14.07 billion.

Contact:
Stella T.H. Chou, Henry Wang
PR, Branding Division
8F, 88, Sec.1, Hsin Tai Wu Rd., Hsichih,
Taipei Hsien 221, Taiwan, R.O.C.
Tel: 886-2-8691-3204/1046
Fax: 886-2-8691-3262
E-mail: Stella_th_chou@acer.com.tw  Henrywang@acer.com.tw

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