First-Quarter Fiscal 2014 Segment Comparisons
Comparing the Automotive segment's first quarter of Fiscal 2014 to the same period of Fiscal 2013,

• Net sales increased 45.8 percent attributable to

  • an 86.1 percent sales improvement in North America due to sales of the General Motors' center console program, as well as higher demand for the Ford center console program and transmission lead frame assembly products;

  • a 26.1 percent sales increase in Europe primarily driven by new hidden switch product launches; and

  • a 22.3 percent sales improvement in Asia attributable to increased sales of steering angle sensors and transmission lead frame assembly products.

• Gross margins as a percentage of sales improved to 18.3 percent from 13.2 percent due to increased manufacturing efficiencies due to higher sales and vertical integration.

• Income from operations increased 359.3 percent due to higher sales, improved manufacturing efficiencies, vertical integration and lower selling and administrative expenses.

Comparing the Interconnect segment's first quarter of Fiscal 2014 to the same period of Fiscal 2013,

• Net sales increased 37.9 percent attributable to

  • a 55.7 percent sales improvement in North America due to higher appliance and data solutions products sales; and

  • a 10.3 percent sales increase in Europe driven by higher radio remote control sales due to the acquisition off an Italian distributor in September 2012; partially offset by

  • a 20.0 percent sales decline in Asia attributable to lower demand for radio remote control products and reduced sales of legacy products due to the planned exit of a product line.

• Gross margins as a percentage of sales decreased to 27.2 percent from 29.3 percent due primarily to increased sales of products with a higher material content.

• Income from operations grew 51.0 percent due to improved sales volumes, partially offset by unfavorable sales mix and slightly higher selling and administrative expenses.

Comparing the Power Products segment's first quarter of Fiscal 2014 to the same period of Fiscal 2013,

• Net sales improved 43.0 percent attributable to

  • a 19.0 percent sales increase in North America due to higher demand for cabling and busbar products, partially offset by lower heat sink demand;

  • a 625.0 percent sales improvement in Europe attributable to launches of a by-pass switch for a substation and electric vehicle busbars; and

  • a 31.6 percent sales increase in Asia driven by increased busbar and cabling products sales.

• Gross margins as a percentage of sales improved to 22.5 percent from 16.5 percent due to favorable raw material commodity pricing and favorable product mix.

• Income from operations increased 666.7 percent due to favorable raw material commodity pricing, favorable product mix and lower selling and administrative expenses.

Guidance
Methode has raised its full-year Fiscal 2014 sales guidance to a range of $670 to $700 million and earnings per share guidance to a range of $1.40 to $1.60. This replaces the Company's previous sales guidance of $630 to $660 million and earnings per share guidance of $0.91 to $1.11. The guidance ranges for Fiscal 2014 are based upon management's expectations regarding a variety of factors and involve a number of risks and uncertainties, including the following significant factors considered by management in preparing this guidance:

• the launch of significant awards previously announced and the corresponding sales volumes and timing thereof for certain makes and models of automobiles, trucks and SUVs for Fiscal 2014;

• the uncertainty of the European economy;

• foreign exchange translation rates;

• an effective tax rate below ten percent, and no significant changes in tax valuation allowances;

• compensation expense related to tandem cash awards; and

• no unusual or one-time items.

Management Comments
President and Chief Executive Officer Donald W. Duda said, "Methode's first-quarter financial results reflect over 40 percent revenue growth coupled with strong margin improvement, which delivered record net income from operations for our shareholders. As these results demonstrate, we are beginning to reap the benefits of our efforts to significantly grow Methode's revenue stream by providing an unmatched combination of customer focus, differentiated technology, problem solving capabilities and world-class manufacturing."

Conference Call
The Company will conduct a conference call and Webcast to review financial and operational highlights led by its President and Chief Executive Officer, Donald W. Duda, and Chief Financial Officer, Douglas A. Koman, today at 10:00 a.m. Central time.

To participate in the conference call, please dial (877) 407-8031 (domestic) or (201) 689-8031 (international) at least five minutes prior to the start of the event. A simultaneous Webcast can be accessed through the Company's Web site, www.methode.com, by selecting the Investor Relations page, and then clicking on the "Webcast" icon.

A replay of the conference call, as well as an MP3 download, will be available shortly after the call through September 12 by dialing (877) 660-6853 (domestic) or (201) 612-7415 (international) and providing Conference ID number 419653. On the Internet, a replay will be available for 30 days through the Company's Web site, www.methode.com, by selecting the Investor Relations page and then clicking on the "Webcast" icon.

About Methode Electronics, Inc.
Methode Electronics, Inc. (NYSE: MEI) is a global developer of custom engineered and application specific products and solutions with manufacturing, design and testing facilities in China, Egypt, Germany, India, Italy, Lebanon, Malta, Mexico, the Philippines, Singapore, Switzerland, the United Kingdom and the United States. We design, manufacture and market devices employing electrical, electronic, wireless, safety radio remote control, sensing and optical technologies to control and convey signals through sensors, interconnections and controls. Our business is managed on a segment basis, with those segments being Automotive, Interconnect, Power Products and Other. Our components are in the primary end markets of the automobile, computer, information processing and networking equipment, voice and data communication systems, consumer electronics, appliances, aerospace vehicles and industrial equipment industries. Further information can be found on Methode's Web site www.methode.com.

Forward-Looking Statements
This press release contains certain forward-looking statements, which reflect management's expectations regarding future events and operating performance and speak only as of the date hereof. These forward-looking statements are subject to the safe harbor protection provided under the securities laws. Methode undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in Methode's expectations on a quarterly basis or otherwise. The forward-looking statements in this press release involve a number of risks and uncertainties. The factors that could cause actual results to differ materially from our expectations are detailed in Methode's filings with the Securities and Exchange Commission, such as our annual and quarterly reports. Such factors may include, without limitation, the following: (1) dependence on a small number of large customers, including two large automotive customers; (2) dependence on the automotive, appliance, computer and communications industries; (3) customary risks related to conducting global operations; (4) timing, quality and cost of new program launches; (5) ability to avoid design or manufacturing defects; (6) ability to compete effectively; (7) dependence on the availability and price of raw materials; (8) dependence on our supply chain; (9) further downturns in the automotive industry or the bankruptcy of certain automotive customers; (10) ability to keep pace with rapid technological changes; (11) ability to protect our intellectual property; (12) ability to withstand price pressure; (13) location of a significant amount of cash outside of the U.S.; (14) the recognition of goodwill impairment and long-lived asset charges; (15) currency fluctuations; (16) ability to successfully benefit from acquisitions and divestitures; (17) ability to withstand business interruptions; (18) income tax rate fluctuations; (19) a breach of our information technology systems; and (20) the cost and implementation of SEC disclosure and reporting requirements regarding conflict minerals.