Solectron Purchases Teradyne Manufacturing Unit

BOSTON--(BUSINESS WIRE)--June 7, 2005--Teradyne, Inc. (NYSE:TER) announced the sale of its printed circuit board manufacturing unit based in North Reading, MA to Fine Pitch, Inc., a business of Solectron. Terms of the deal were not disclosed.

The printed circuit board group manufactures Low Volume, High Mix circuit boards for Teradyne's semiconductor test products. Solectron is a Teradyne manufacturing partner.

“Teradyne is focused on using contract manufacturing partners to deliver flexible manufacturing capacity and can take advantage of Solectron's expertise and scale. Employees get locally-based jobs with an industry leader looking to build a business around their skills.”

"This agreement is a win for all involved," said Jim Federico, Teradyne's vice president of ATE Operations. "Teradyne is focused on using contract manufacturing partners to deliver flexible manufacturing capacity and can take advantage of Solectron's expertise and scale. Employees get locally-based jobs with an industry leader looking to build a business around their skills."

About Teradyne

Teradyne (NYSE:TER) is a leading supplier of Automatic Test Equipment and interconnection systems. The company's products deliver competitive advantage to the world's leading semiconductor, electronics, automotive and network systems companies. In 2004, Teradyne had sales of $1.8 billion, and currently employs about 5,900 people worldwide. For more information, visit www.teradyne.com. Teradyne(R) is a registered trademark of Teradyne, Inc. in the US and other countries. All product names are trademarks of Teradyne, Inc. (including its subsidiaries) or their respective owners.