Elcoteq Americas Forges New Strategic Initiative; Focuses on Communications Technology.

Business Editors/High-Tech Writers

IRVING, Texas--(BUSINESS WIRE)--June 18, 2003

Elcoteq Network Corporation, global provider and the largest European electronics manufacturing services (EMS) company for the Communications Technology industry, announced that Elcoteq Americas has forged a new strategic initiative. Led by the management team of Dr. Douglas Brenner, president, Dr. Michael Hegedus, director of Elcoteq's supply chain management and sourcing, and Bill Coker, director of sales and marketing, Elcoteq Americas is focusing its EMS efforts solely on communications technology customers and products throughout the Americas.

Elcoteq Americas is located in Irving, TX. Elcoteq's goal is to provide American companies with end-to-end global service solutions from their low cost manufacturing facility in Monterrey Mexico, NPI Americas network, and facilities in Eastern Europe and China. Elcoteq provides a full range of services consisting of electrical and mechanical design and engineering, new product introduction (NPI), manufacturing, supply chain management, SMT assembly and test, systems integration, product distribution, and after market sales services for the whole lifecycle of its customers' products.

"Elcoteq is well known throughout Europe, but we are not as well known in the United States, even though we are the second largest EMS manufacturer of mobile phones in the world," said Elcoteq president and CEO Lasse Kurkilahti. "Doug Brenner has extensive experience in corporate management and has started to establish Elcoteq Americas as a leading EMS company."

Product areas consist of terminal products and communications network equipment. Terminal products include mobile phones and smart accessories (e.g. Bluetooth), PDAs and wireless terminals including intelligent peripherals, and digital home communication products such as set top boxes. The communications network equipment area serves OEM companies that produce various types of communication infrastructure equipment and communications networks. These consist of mobile and broadband switches and base station controllers, mobile base stations, antennas and antenna near products such as combining and distribution units, filters, power amplifiers, tower top amplifiers, repeater, and access network devices.

As part of the initiative, Elcoteq recently purchased NPRC, Dallas, TX, a new product introduction services company. Acquisition of NPRC initiated the implementation of Elcoteq's strategy of locating NPI services close to customers. NPRC, now named Elcoteq, NPI Dallas, is known for its customer focus and high-quality NPI services for Communications Technology manufacturers. By purchasing NPI centers near strategic customer locations, Elcoteq can provide a high level of service and support and work with customers to help them in their design, development, and transition from pre-production to production volume manufacturing. Additional NPI centers are expected by next year.

The Elcoteq Americas team, which has been hired over the past year, has vast experience in corporate management, working in EMS companies, and handling supply chain management and sourcing. The leader of the team, Dr. Brenner, has extensive experience in managing technology and building technology-based companies in both entrepreneurial and large company environments. Most recently, Dr. Brenner was Founder, Chairman, and CEO of Cogent Light Technologies and CEO of industrial e-learning company Vellis Knowledge Inc. Dr. Brenner holds A.B., A.M., and Ph.D. degrees from Harvard University and an M.B.A from The Anderson School, UCLA. He is an inventor on 12 issued patents.

Dr. Hegedus was director of supply chain technology for Sanmina-SCI and held the position of director of technology for a start-up company where he developed bulk logistics application software. He spent over ten years at IBM Microelectronics where he had several roles from manufacturing to supply chain engineering. There, he helped develop the division's first advanced planning system and supply chain management software. Dr. Hegedus holds a B.S. in Industrial Engineering from the University of Wisconsin, Madison, an M.S. in Industrial Engineering from Georgia Tech, and a Ph.D. in Industrial Engineering and Management Science from Northwestern University. Dr. Hegedus has several patents pending.

"Supply Chain Management is one of the most important functions of an EMS company today," explained Dr. Brenner. "Companies look to their EMS providers to handle purchasing and inventory. Because Elcoteq operates on three continents in twelve countries and is a 2 billion dollar company, we are able to leverage our purchasing to the advantage of our customers. The software and system that Mike has developed for supply chain management and sourcing operations make Elcoteq's outsourcing process extremely attractive."

Bill Coker is an EMS veteran of twenty years. Most recently, he was VP strategic accounts at Sanmina-SCI, VP of new business development at SCI Systems, director of operations at Flextronics, and started and managed his own EMS company. Mr. Coker has a degree in Business Administration from Cal State Fullerton. He is responsible for developing and managing the Americas' direct and indirect sales organizations and generating organic sales for the Americas and the entire Elcoteq network.

About Elcoteq Network Corporation

Elcoteq Network Corporation is a global electronics manufacturing services (EMS) company that focuses on Communications Technology products. Elcoteq ranks among the world's leading EMS providers and is the largest European company in its field. Elcoteq provides end-to-end solutions consisting of design, NPI (new product introduction), manufacturing, supply chain management, and post-sales services for the whole lifecycle of its customers' products. The company operates on three continents in 12 countries and has over 10,000 employees. Elcoteq's consolidated net sales in 2002 totaled approximately 2 billion USD. Elcoteq Network Corporation is listed on the Helsinki Exchanges. For more information contact Bill Coker at 972-401-9995, e-mail [e-mail], or visit the Elcoteq website at www.elcoteq.com.