Related Party Transactions and Outside Related Director Information

IXYS Corporation (SYXI)

7/29/2005 Proxy Information

Stock Purchase Notes. On November 18, 1995, Dr. Zommer and Mr. Agbayani purchased shares of common stock. The shares were paid for with recourse promissory notes in principal amount of $707,238.83 for Dr. Zommer and $51,331.85 for Mr. Agbayani. The note terms provided that quarterly installments of principal and accrued interest are due, and all principal of the notes, plus accrued interest, is due and payable September 15, 2005. The notes bear interest at a rate of 6.25% per annum compounded annually. During fiscal 2005, Dr. Zommer paid $864,313 on his note and Mr. Agbayani paid $10,266 on his note.

Business Relationship Involving Director. Omni Microelectronics, a sales representative company majority owned by Mr. Lee, was paid $1.2 million in sales commissions by Samsung Electronics on $39.8 million received by Samsung Electronics from the Company in respect of fiscal 2005. Samsung Electronics serves as a wafer foundry for the Company. Mr. Lee is a director of the Company.

Business Relationship with Principal Stockholder. ABB, Ltd. was one of the CompanyŐs principal stockholders. It sold its shares of Common Stock in December 2004. In fiscal 2005, the Company generated revenues of $3.6 million from sales of products to ABB and to ABBŐs affiliates for use as components in their products.

Indemnification Agreements of Directors and Executive Officers. The Company has entered into indemnity agreements with our executive officers and directors containing provisions that may require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or services as officers or directors.