Corning Incorporated Acquires Partnership Interest of Optical Fibres From BICC, plc.

CORNING, N.Y.--(BUSINESS WIRE)--Nov. 23, 1998--Corning Incorporated (NYSE:GLW) today announced that it is acquiring the remaining 50 percent equity ownership of Optical Fibres from BICC, plc, London, England for consideration of approximately $70 million.

This consideration includes a cash payment of $44 million and the assumption of BICC's guarantee of half of Optical Fibre's debt.

Currently, Corning and BICC each own 50 percent of Optical Fibres, having jointly established the partnership in 1981. As a result of the acquisition, Optical Fibres will now become a wholly-owned subsidiary of Corning Incorporated.

In addition to the sale, Corning and BICC have entered into certain long-term arrangements to advance the deployment of Corning(R) optical fiber and BICC optical cable in a number of important international markets.

Optical Fibres, located in Deeside, North Wales, produces single-mode optical fiber for optical cable manufacturers worldwide. Corning's other 50/50 equity company with BICC, Optical Waveguides Australia (OWA), will be unaffected by this transaction.

In commenting on the transaction, Alan Eusden, division vice president and general manager of Corning's Telecommunications Products Division stated, "Corning's strategic objective is to secure global market access for its full portfolio of opto-electronic businesses, including optical fiber. Optical Fibre's position as a world-class supplier to international markets will compliment our on-going efforts to achieve this goal."

BICC is an international engineering, cables and construction company with worldwide revenues in excess of $7 billion. BICC has major operations, including its optical cable business, in Europe, Latin America, Asia and the Pacific.

Established in 1851, Corning Incorporated creates leading-edge technologies for the fastest-growing segments of the world's economy. Corning manufactures optical fiber, cable and components for telecommunications networks, high-performance glass and components for television, and other electronic displays for communications and communications related-industries. Corning also manufactures advanced materials for scientific and environmental markets. Corning's total revenues in 1997 were $3.5 billion. More information on the company is available at http://www.corning.com, Corning's website.