KPN Extends Investment in Teradyne's 4TEL II with New LDU 100; Upgrades Test Platform to Reduce Operating Costs

DEERFIELD, Ill.--(BUSINESS WIRE)--Jan. 26, 2004--Teradyne, Inc. (NYSE:TER) Teradyne, Inc.'s Broadband Test Division today announced that KPN, the Dutch telecommunications operator, has placed a multi-million dollar order to upgrade its 4TEL II(R) Voice Service Assurance Test System with the LDU 100. "Adding the LDU enables KPN to focus on improving the performance of our maintenance and repair operation from fault reception to diagnosis. This allows KPN to achieve high levels of customer satisfaction with reduced cost," said Mr. Herman Waijers, General Manager Operator Access Services for KPN.

The LDU (Loop Diagnostic Unit) replaces the existing remote measurement unit in central office exchanges and will test copper telephone lines operated by KPN. The LDU extends the measurement capability of 4TEL II with a DSP-based test head and provides a common platform to support voice and DSL test services. 4TEL II enables rapid, remote identification of faults within a telecommunications network, helping service providers improve customer service and reduce maintenance costs. New software, combined with the LDU 100, provides increased dispatch accuracy or the ability to detect voice related physical faults and determine which segment of the network the fault is located in. This enables the correct work group to be dispatched, significantly increasing the productivity of the field repair workforce.

“The LDU supports a wide range of DSL testing needs including pre-qualification, provisioning and service assurance.”

"Deployment of the LDU enables KPN to realize a reduction in wireline maintenance costs today and positions them to extend their system to DSL testing in the future," said Harley Hasenberg, 4TEL II Product Manager at Teradyne's Broadband Test Division. "The LDU supports a wide range of DSL testing needs including pre-qualification, provisioning and service assurance." The LDU 100 is the core measurement component of Teradyne's test system platform focused on testing copper including voice and DSL service assurance.

Teradyne engineers will work with KPN experts to leverage this investment and develop customized algorithms and measurements that will increase the dispatch accuracy performance of 4TEL II. The 4TEL II system is fully deployed throughout KPN's network of nearly 8 Million Lines. KPN has used Teradyne's 4TEL system to maintain its network since 1986 and will have over 500 LDU test heads deployed in their network.

About KPN

KPN offers consumers and businesses high-quality, innovative telecommunications services. Our core activities are telephony and data/IP services in our fixed network in the Netherlands, Data/IP services in Western Europe through KPN EuroRings (our fiber-optic network in Europe) and mobile services in the Netherlands, Germany and Belgium. KPN is the market leader in the major segments of the Dutch telecommunications market. At October 2003, we had more than 7.7 million fixed-line customers, 14.2 million mobile customers and 1.5 million Internet subscribers. KPN is listed on the Amsterdam, New York, London and Frankfurt stock exchanges.

About Teradyne Broadband Test Division

Teradyne Broadband Test is a division of Teradyne, Inc (NYSE:TER). The group develops state-of-the-art testing capabilities that support service provider's goals to sell and deploy more broadband services sooner and improve the efficiency of qualification, provisioning, and customer care for DSL and CATV high-speed data networks. Teradyne's 10 years of internet protocol testing experience and industry leading background in layer one testing enhances its 30 years experience in providing test systems that support voice customer care for approximately 120 Million voice lines worldwide. Teradyne is the world's largest supplier of automatic test equipment and is also a leading supplier of high performance interconnection systems. The company had sales of $1.22 billion in 2002 and currently employs about 7000 people worldwide. For more information on Teradyne's Broadband Test Products, visit Teradyne at: http://www.teradyne.com/prods/btd/.