ADC Completes Acquisition of ITS, Expands Offering of Alternative End-to-End Residential Broadband Solutions.

MINNEAPOLIS--(BUSINESS WIRE)--April 1, 1996--ADC Telecommunications, Inc., announced today that its acquisition of ITS Corporation has been completed. ITS, headquartered in McMurray, Penn., is a leading global manufacturer of television transmission products for the wireless cable and broadcast industries. ADC purchased ITS in a stock transaction valued at approximately $34 million. With the completion of this acquisition, ITS has become a wholly owned subsidiary of ADC Telecommunications, reporting to Frederick D. Lawrence, president of ADC's transmission group.

"ITS Corporation is strategically important to ADC as we position ourselves as a major supplier to the wireless cable market," said Mr. Lawrence. "The addition of ITS's wireless products complements and expands ADC's already strong broadband product portfolio, enabling the company to secure a strong position in the wireless broadband transmission business."

Robert Unetich, president of ITS, said, "Our association with ADC enables ITS to broaden its customer base with ADC's strong global presence in broadband services delivery. The long-term benefits to our R & D efforts will also be enhanced through ADC's experience, resources and financial stability."

Wireless cable, or multichannel multipoint distribution service (MMDS), is viewed as a potentially fast and economical first step in entering the video service delivery marketplace. ITS recently announced its contract to provide equipment to CAI Wireless Systems, Inc., the first wireless cable operator to enter into an agreement with Regional Bell Operating Companies through its strategic business relationships with affiliates of Bell Atlantic and NYNEX Corporation. CAI will build the first major digital wireless cable system in the nation, and will purchase equipment from ITS that includes transmitters for each main and booster site, along with appropriate combiners, backup equipment and antennas.

ITS Corporation is a leading international manufacturer of television transmission equipment for the broadcast and wireless cable industries. Experience and depth in engineering enable ITS to design and manufacture analog and digital transmitters, exciters, translators, upconverters, modulators, amplifiers, filters, channel combiners and diplexers for analog and digital broadcast systems throughout the world.

ADC Telecommunications, Inc. is a leading supplier of transmission and networking systems used to deliver voice, data and video services. The company holds a prominent market position in physical connectivity products for wireless, fiber-optic twisted-pair and coaxial networks. Wholly owned business units include ADC Video Systems, ADC Fibermux, ADC Kentrox, AOFR and ITS Corporation. The company also operates international business units in Australia, Belgium, Canada, China, England, Mexico, Singapore and Venezuela. Revenues for fiscal year 1995 were $586.2 million.

CONTACT: ADC

Lynne High, 612/946-3136