FOR IMMEDIATE RELEASE		Contact:		Jim Bauer Investor Relations (678) 473-2647 jim.bauer@arrisi.com

ARRIS ANNOUNCES PRELIMINARY AND UNAUDITED
SECOND QUARTER 2011 RESULTS

Suwanee, Ga. (July 27, 2011) ARRIS Group, Inc. (NASDAQ:ARRS), today announced preliminary and unaudited financial results for the second quarter 2011.

Revenues in the second quarter 2011 were $265.8 million as compared to second quarter 2010 revenues of $280.4 million and as compared to first quarter 2011 revenues of $267.4 million. Through the first half of 2011 and 2010, revenues were $533.2 million and $547.1 million, respectively.

Adjusted net income (a non-GAAP measure) in the second quarter 2011 was $0.24 per diluted share, compared to $0.24 per diluted share for the second quarter 2010 and $0.16 per diluted share for the first quarter 2011. Year to date, adjusted net income was $0.40 per diluted share for 2011 as compared to $0.48 per diluted share in 2010.

GAAP net income in the second quarter 2011 was $0.13 per diluted share, as compared to second quarter 2010 GAAP net income of $0.15 per diluted share and first quarter 2011 GAAP net income of $0.09 per diluted share. Year to date, GAAP net income was $0.23 per diluted share in 2011 as compared to GAAP net income of $0.30 per diluted share in 2010. Significant GAAP items that have been excluded in computing adjusted net income and adjusted net income per diluted share include amortization of intangible assets, equity compensation, non-cash interest expense, restructuring charges, and certain discrete tax items. A reconciliation of adjusted net income to GAAP net income per share is attached to this release and also can be found on the Company’s website (www.arrisi.com).

Gross margin for the second quarter 2011 was 40.2%, which compares to the second quarter 2010 gross margin of 40.4% and the first quarter 2011 gross margin of 36.3%.

The Company ended the second quarter 2011 with $591.5 million of cash, cash equivalents and short-term investments, down in the aggregate by approximately $71.9 million from the end of the second quarter 2010, and down $28.1 million from the end of the first quarter 2011. During the second quarter 2011, the Company repurchased approximately 5.1 million shares of ARRIS common stock for $57.6 million. The Company generated $31.4 million of cash from operating

activities during the second quarter 2011 and $27.8 through the first six months of 2011, which compares to $35.2 million and $83.4 generated during the same periods in 2010.

Order backlog at the end of the second quarter 2011 was $154.2 million as compared to $174.1 million and $177.5 million at the end of the second quarter 2010 and the first quarter 2011, respectively. The Company’s book-to-bill ratio in the second quarter 2011 was 0.91 as compared to the second quarter 2010 of 0.92 and the first quarter 2011 of 1.14.

“I am pleased with our second quarter financial results,” said Bob Stanzione, ARRIS Chairman & CEO. “I am particularly gratified by the high level of customer acceptance of our new higher density C4 CMTS line cards and software upgrades and the increasing interest and demand for our Home Media Gateway. The strong level of interest and traction with these and other new ARRIS products bodes well for the remainder of 2011.”

During the quarter the Company announced that Shaw Communications Inc., Canada’s largest television provider with over 3.4 million subscribers, launched the ARRIS Whole Home Solution in its Calgary system, to be followed by a nationwide launch in its other markets. Marketed as the Shaw Gateway experience, the platform will initially feature the solution’s multi-room Personal Video Recorder (PVR) functionality — consisting of a six-tuner, multi-room HD PVR with 500 GB storage; customized, intuitive User Interface; 4 port Ethernet home networking router; MOCA^® 1.1+ home networking technology; and 802.11n capabilities.

“With respect to the third quarter 2011, we now project that revenues for the Company will be in the range of $270 to $290 million, with adjusted net income per diluted share in the range of $0.19 to $0.23 and GAAP net income per diluted share in the range of $0.09 to $0.13,” said David Potts, ARRIS EVP & CFO. “Our guidance reflects the continued rollout of our new C4 CMTS line card capacity upgrade as well as the new Home Gateway.”

ARRIS management will conduct a conference call at 5:00 pm EDT, today, Wednesday, July 27, 2011, to discuss these results in detail. You may participate in this conference call by dialing 888-713-4214 or 617-213-4866 for international calls prior to the start of the call and providing the ARRIS Group, Inc. name, conference pass code 59411438 and Jim Bauer as the moderator. Please note that ARRIS will not accept any calls related to this earnings release until after the conclusion of the conference call. A replay of the conference call can be accessed approximately two hours after the call through August 3, 2011 by dialing 888-286-8010 or 617-801-6888 for international calls and using the pass code 42579746. A replay also will be made available for a period of 12 months following the conference call on ARRIS’ website at www.arrisi.com.

About ARRIS

ARRIS is a global communications technology company specializing in the design, engineering and supply of technology supporting triple- and quad-play broadband services for residential and business customers around the world. The company supplies broadband operators with the tools and platforms they need to deliver converged IP video solutions, carrier-grade telephony, demand driven video, next-generation advertising, network and workforce management solutions, access and transport architectures and ultra high-speed data services. Headquartered in Suwanee, Georgia, USA, ARRIS has R&D centers in Suwanee, GA; Beaverton, OR; Chicago, IL; Kirkland, WA; State College, PA; Wallingford, CT; Waltham, MA; Cork, Ireland; and Shenzhen, China, and operates support and sales offices throughout the world. Information about ARRIS products and services can be found at www.arrisi.com.

Forward-looking statements:

Statements made in this press release, including those related to:

	•		growth expectations and business prospects;
	•		revenues and net income for the third quarter 2011, full year 2011 and beyond;
	•		expected sales levels and acceptance of new ARRIS products; and
	•		the general market outlook and industry trends

are forward-looking statements. These statements involve risks and uncertainties that may cause actual results to differ materially from those set forth in these statements. Among other things,

	•		projected results for the third quarter 2011 as well as the general outlook for 2011 and beyond are based on preliminary estimates, assumptions and projections that management believes to be reasonable at this time, but are beyond management’s control;
	•		ARRIS’ customers operate in a capital intensive consumer based industry, and the current volatility in the capital markets or changes in customer spending may adversely impact their ability or willingness to purchase the products that the Company offers; and
	•		because the market in which ARRIS operates is volatile, actions taken and contemplated may not achieve the desired impact relative to changing market conditions and the success of these strategies will be dependent on the effective implementation of those plans while minimizing organizational disruption.

In addition to the factors set forth elsewhere in this release, other factors that could cause results to differ from current expectations include: the uncertain current economic climate and its impact on our customers’ plans and access to

capital; the impact of rapidly changing technologies; the impact of competition on product development and pricing; the ability of ARRIS to react to changes in general industry and market conditions including regulatory developments; rights to intellectual property, market trends and the adoption of industry standards; possible acquisitions and dispositions; and consolidations within the telecommunications industry of both the customer and supplier base. These factors are not intended to be an all-encompassing list of risks and uncertainties that may affect the Company’s business. Additional information regarding these and other factors can be found in ARRIS’ reports filed with the Securities and Exchange Commission, including its March 31, 2011 Form 10-Q. In providing forward-looking statements, the Company expressly disclaims any obligation to update publicly or otherwise these statements, whether as a result of new information, future events or otherwise.

# # # # #

Exhibit 99.1

ARRIS GROUP, INC.
PRELIMINARY CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)

		June 30,				March 31,				December 31,				September 30,				June 30,
		2011				2011				2010				2010				2010
ASSETS
Current assets:
Cash and cash equivalents		$	360,281			$	358,747			$	353,121			$	351,894			$	370,932
Short-term investments, at fair value			231,254				260,862				266,981				288,463				292,421
Total cash, cash equivalents and short term investments			591,535				619,609				620,102				640,357				663,353
Restricted cash			3,646				4,176				4,937				4,480				4,478
Accounts receivable, net			152,436				149,976				125,933				133,915				139,673
Other receivables			406				5,275				6,528				2,654				6,368
Inventories, net			113,020				105,787				101,763				89,203				78,830
Prepaids			10,272				12,115				9,237				8,934				10,196
Current deferred income tax assets			22,681				20,450				19,819				28,585				30,469
Other current assets			25,216				33,535				33,054				28,347				21,329
Total current assets			919,212				950,923				921,373				936,475				954,696
Property, plant and equipment, net			57,100				56,617				56,306				56,816				56,128
Goodwill			233,440				233,471				234,964				235,109				235,122
Intangible assets, net			150,728				159,672				168,616				177,560				186,529
Investments			34,237				32,787				31,015				29,591				29,485
Noncurrent deferred income tax assets			9,839				10,183				6,293				6,560				6,127
Other assets			5,878				5,798				5,520				6,129				6,755
		$	1,410,434			$	1,449,451			$	1,424,087			$	1,448,240			$	1,474,842
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	27,825			$	35,796			$	50,736			$	52,011			$	72,652
Accrued compensation, benefits and related taxes			20,832				26,278				28,778				25,913				20,696
Accrued warranty			3,300				2,931				2,945				3,504				3,539
Deferred revenue			47,166				43,019				31,625				36,029				44,913
Current portion of long-term debt			—				—				—				12				50
Other accrued liabilities			17,805				17,594				18,847				25,891				24,476
Total current liabilities			116,928				125,618				132,931				143,360				166,326
Long-term debt, net of current portion			208,336				205,447				202,615				204,053				212,914
Accrued pension			17,730				17,472				17,213				17,383				17,058
Noncurrent income taxes payable			21,845				21,844				17,702				16,509				16,523
Noncurrent deferred income tax liabilities			24,808				25,827				29,151				32,193				28,705
Other noncurrent liabilities			17,367				18,271				15,406				14,926				15,704
Total liabilities			407,014				414,479				415,018				428,424				457,230
Stockholders’ equity:
Preferred stock			—				—				—				—				—
Common stock			1,443				1,438				1,409				1,406				1,405
Capital in excess of par value			1,228,729				1,219,615				1,206,157				1,199,184				1,194,829
Treasury stock at cost			(202,933	)			(145,286	)			(145,286	)			(115,248	)			(99,645	)
Unrealized gain (loss) on marketable securities			1,530				1,244				392				(374	)			217
Unfunded pension liability			(5,813	)			(5,813	)			(5,813	)			(6,041	)			(6,041	)
Accumulated deficit			(19,352	)			(36,042	)			(47,606	)			(58,927	)			(72,969	)
Cumulative translation adjustments			(184	)			(184	)			(184	)			(184	)			(184	)
Total stockholders’ equity			1,003,420				1,034,972				1,009,069				1,019,816				1,017,612
		$	1,410,434			$	1,449,451			$	1,424,087			$	1,448,240			$	1,474,842

ARRIS GROUP, INC.
PRELIMINARY CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)

		For the Three Months								For the Six Months
		Ended June 30,								Ended June 30,
		2011				2010				2011				2010
Net sales		$	265,799			$	280,355			$	533,235			$	547,052
Cost of sales			158,901				167,077				329,391				321,263
Gross margin			106,898				113,278				203,844				225,789
Operating expenses:
Selling, general, and administrative expenses			35,868				34,458				72,706				69,576
Research and development expenses			36,629				35,538				72,669				69,903
Restructuring charges			—				21				—				73
Amortization of intangible assets			8,944				9,022				17,888				18,043
			81,441				79,039				163,263				157,595
Operating income			25,457				34,239				40,581				68,194
Other expense (income):
Interest expense			4,180				4,765				8,405				9,195
(Gain) loss on investments			(334	)			114				(757	)			(31	)
Loss on foreign currency			79				457				967				189
Interest income			(886	)			(696	)			(1,664	)			(1,070	)
Gain on debt redemption			—				(115	)			—				(115	)
Other (income) expense, net			(419	)			(131	)			(532	)			(173	)
Income from continuing operations before income taxes			22,837				29,845				34,162				60,199
Income tax expense			6,147				10,071				5,908				21,434
Net income		$	16,690			$	19,774			$	28,254			$	38,765
Net income per common share:
Basic		$	0.14			$	0.16			$	0.23			$	0.31
Diluted		$	0.13			$	0.15			$	0.23			$	0.30
Weighted average common shares:
Basic			121,800				126,584				122,047				126,277
Diluted			123,711				129,717				124,720				129,848

ARRIS GROUP, INC.
PRELIMINARY CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)

		For the Three Months								For the Six Months
		Ended June 30,								Ended June 30,
		2011				2010				2011				2010
Operating Activities:
Net income		$	16,690			$	19,774			$	28,254			$	38,765
Depreciation			5,813				5,697				11,668				11,056
Amortization of intangible assets			8,944				9,022				17,888				18,043
Amortization of deferred finance fees			163				177				326				357
Non-cash interest expense			2,889				2,884				5,721				5,767
Deferred income tax provision (benefit)			(3,559	)			2,154				(11,403	)			(2,341	)
Stock compensation expense			5,925				5,752				11,209				10,273
Provision for doubtful accounts			—				(3	)			—				292
Gain on debt retirement			—				(115	)			—				(115	)
Loss on disposal of fixed assets			(1	)			21				33				32
Loss (gain) on investments			(334	)			115				(757	)			(31	)
Excess tax benefits from stock-based compensation plans			453				(161	)			(3,247	)			(2,647	)
Changes in operating assets & liabilities, net of effects of acquisitions and disposals:
Accounts receivable			(4,073	)			(463	)			(28,116	)			3,743
Other receivables			5,583				(3,590	)			6,117				(1,170	)
Inventory			(7,233	)			1,077				(11,257	)			17,021
Income taxes payable/recoverable			10,332				(12,175	)			12,592				(3,008	)
Accounts payable and accrued liabilities			(6,820	)			5,312				(13,868	)			(19,623	)
Other, net			(3,382	)			(281	)			2,649				6,993
Net cash provided by operating activities			31,390				35,197				27,809				83,407
Investing Activities:
Purchases of investments			(43,480	)			(188,650	)			(142,841)				(231,086	)
Disposals of investments			73,482				53,054				179,431				55,154
Purchases of property & equipment, net			(6,296	)			(5,611	)			(12,547	)			(10,265	)
Cash proceeds from sale of property & equipment			1				3				43				243
Net cash provided by (used in) investing activities			23,707				(141,204	)			24,086				(185,954	)
Financing Activities:
Payment of debt obligations			—				(37	)			—				(74	)
Early redemption of long-term debt			—				(4,800	)			—				(4,800	)
Repurchase of common stock			(57,647	)			(20,626	)			(57,647	)			(23,685	)
Excess income tax benefits from stock-based compensation plans			(453	)			161				3,247				2,647
Repurchase of shares to satisfy employee tax withholdings			—				(432	)			(8,245	)			(6,425	)
Fees and proceeds from issuance of common stock, net			4,547				2,629				17,910				5,251
Net cash used in financing activities			(53,553	)			(23,105	)			(44,735	)			(27,086	)
Net increase (decrease) in cash and cash equivalents			1,544				(129,112	)			7,160				(129,633	)
Cash and cash equivalents at beginning of period			362,747				500,044				357,121				500,565
Cash and cash equivalents at end of period		$	364,291			$	370,932			$	364,281			$	370,932

ARRIS GROUP, INC.
PRELIMINARY SUPPLEMENTAL NET INCOME RECONCILIATION
(in thousands, except per share data) (unaudited)

		Q1 2011								Q2 2011								First Half 2011
						Per Diluted								Per Diluted								Per Diluted
		Amount				Share				Amount				Share				Amount				Share
Net income		$	11,564			$	0.09			$	16,690			$	0.13			$	28,254			$	0.23
Highlighted items:
Impacting gross margin:
Stock compensation expense			437				—				557				—				994				0.01
Impacting operating expenses:
Amortization of intangible assets			8,944				0.07				8,944				0.07				17,888				0.14
Stock compensation expense			4,847				0.04				5,368				0.04				10,215				0.08
Impacting other (income) / expense:
Non-cash interest expense			2,832				0.02				2,889				0.02				5,721				0.05
Impacting income tax expense:
Adjustments of income tax valuation allowances, research & development credits and other			(3,583	)			(0.03	)			—				—				(3,583	)			(0.03	)
Tax related to highlighted items above			(5,024	)			(0.04	)			(4,915	)			(0.04	)			(9,939	)			(0.08	)
Total highlighted items			8,453				0.07				12,843				0.10				21,296				0.17
Net income excluding highlighted items		$	20,017			$	0.16			$	29,533			$	0.24			$	49,550			$	0.40
Weighted average common shares — diluted							125,732								123,711								124,720

		Q1 2010								Q2 2010								First Half 2010
						Per Diluted								Per Diluted								Per Diluted
		Amount				Share				Amount				Share				Amount				Share
Net income		$	18,991			$	0.15			$	19,774			$	0.15			$	38,765			$	0.30
Highlighted items:
Impacting gross margin:
Stock compensation expense			433				—				481				—				914				0.01
Impacting operating expenses:
Acquisition costs, restructuring and other			52				—				21				—				73				—
Amortization of intangible assets			9,022				0.07				9,022				0.07				18,044				0.14
Stock compensation expense			4,088				0.03				5,272				0.04				9,360				0.08
Impacting other (income) / expense:
Non-cash interest expense			2,883				0.02				2,884				0.02				5,767				0.05
Gain on retirement of debt			—				—				(115	)			—				(115	)			—
Impacting income tax expense:
Adjustments of income tax valuation allowances, research & development credits and other			1,222				0.01				(351	)			—				871				0.01
Tax related to highlighted items above			(5,505	)			(0.04	)			(6,170	)			(0.05	)			(11,675	)			(0.09	)
Total highlighted items			12,195				0.09				11,044				0.09				23,239				0.18
Net income excluding highlighted items		$	31,186			$	0.24			$	30,818			$	0.24			$	62,004			$	0.48
Weighted average common shares — diluted							129,975								129,717								129,848

With respect to stock compensation expense, ARRIS records non-cash compensation expense related to grants of options and restricted stock. Depending upon the size, timing and the terms of the grants, this non-cash compensation expense may vary significantly. With respect to amortization of intangibles, the intangibles being amortized relate to our acquisitions. The acquisition costs, restructuring, and other reflect items that, although they or similar items might recur, are of a nature and magnitude that identifying them separately provides investors with a greater ability to project ARRIS’ future performance. With respect to the convertible debt non-cash interest, ARRIS records non-cash interest expense related to the 2013 convertible debt. Disclosing the non-cash piece provides investors with the information regarding interest that will not be paid out in cash. In the first quarter of 2011 and in the first and second quarters of 2010, income tax expense adjustments were recorded for state valuation allowances and research and development tax credits.

In assessing operating performance and preparing budgets and forecasts, ARRIS’ management considers performance after making these adjustments and believes that providing investors with the same information provides greater transparency and insight into management’s analysis.