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Product category: Antennas and Feeders
News Release from: Andrew Corp
Edited by the Electronicstalk Editorial Team on 11 August 2006

Merger is called off by mutual consent

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Andrew Corporation and ADC Telecommunications have mutually agreed to terminate the merger agreement announced on 31st May 2006.

Andrew Corporation and ADC Telecommunications have mutually agreed to terminate the merger agreement announced on 31st May 2006 The companies believe that current market considerations raised serious questions about the ability to obtain necessary shareholder approval

Therefore, Andrew and ADC have agreed to terminate the merger agreement without liability to either party.

To effect the mutual termination, Andrew has agreed to pay ADC $10 million.

In addition, Andrew has agreed that ADC would be paid another $65 million in the event Andrew effects a business combination transaction within 12 months.

"While we still believe in the convergence strategy, the merger of Andrew and ADC was only one method to execute against that", said Ralph Faison, President and Chief Executive Officer, Andrew Corporation.

"We are confident in our ability to address the current and future needs of our customers and shareholders as an independent company".

"Andrew's industry-leading product portfolio and globally diversified customer base provide the company with a unique ability to meet the long-term global demand trends for wireless infrastructure".

"Andrew remains in a strong position to offer industry-leading support to operators, OEMs and other communications providers around the world".

"As evidenced by our record sales and orders in our fiscal third quarter, we are growing share and improving operations through innovative products and the hard work of our global team".

"Our management team and employees are committed to delivering results and capitalising on business opportunities that will drive future operational and financial improvements".

"We are confident in the outlook for our future".

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