Corning to Acquire Lucent's Fiber and Cable Interests in China for $225 Million.

Business Editors

CORNING, N.Y.--(BUSINESS WIRE)--July 24, 2001

Corning Incorporated (NYSE:GLW), announced today that it has reached an agreement with Lucent Technologies (NYSE:LU) to purchase Lucent's controlling equity interests in Lucent Technologies Shanghai Fiber Optic Co., Ltd and Lucent Technologies Beijing Fiber Optic Cable Co., Ltd. for an aggregate payment of $225 million in cash.

Corning's purchase of these interests is subject to the satisfaction of certain conditions including, the approvals of the other equity shareholders of each joint venture and relevant governmental approvals.

As a world leading manufacturer and supplier of optical fiber, optical cable and photonic components, Corning intends to expand its presence in the growing Chinese telecommunications marketplace. "The addition of these fiber and cable manufacturing assets is an important element of our regional growth strategy for China and Asia," said Corning President and CEO, John W. Loose. "With local fiber manufacturing capability we will be able to gain stronger market access to Chinese cablers and end user customers.

Adding to Corning Cable Systems' cable capacity in China will strengthen our position as a leading optical cable supplier in China. We are committed to working with the venture partners to ensure the continued success of both ventures."

Established in 1851, Corning Incorporated (www.corning.com) creates leading-edge technologies for the fastest-growing markets of the world's economy. Corning manufactures optical fiber, cable and photonic products for the telecommunications industry; and high-performance displays and components for television, information technology and other communications-related industries. The company also uses advanced materials to manufacture products for scientific, semiconductor and environmental markets. Corning revenues for 2000 were US$7.1 billion.