The Viper system was selected by Philips following a three month benchmark project in which it was compared to two other suppliers in a rigorous series of tests designed to select an In-circuit Electrical Inspection Station. GenRad worked in close collaboration with ITE, a manufacturer of in-line board handling equipment, to perform the integration and develop a robust, flexible solution. Applications are likely to include the manufacture of DVD and CD-ROM players, TV decoder units and other multimedia products.

The benchmark was carried out by the Philips Industrial Commando Group (ICG), based at Bruges, Belgium, under the management of Mark Strubbe, Divisional Manager (Supply Base Capital Equipment and Process Engineering). Criteria included both technical capabilities and evaluation of the service and support facilities available from potential local suppliers.

Mike Schraeder, President of GenRad’s Electronic Manufacturing Solutions business unit noted, "GenRad was able to demonstrate extremely reliable test and measurement capabilities, a superior software interface and very responsive support. The software integrates seamlessly with Philips Consumer Electronics manufacturing systems and management processes."

Christa Coenegracht, the Group Leader of Philips Test Development Team, explained, "We develop new products at our test development center before transferring production to our contract manufacturing partners. Standardization of tests allows us to move production from one site to another very quickly. It was important for us to find a supplier who could deliver and support our manufacturing sites worldwide. GenRad filled those requirements best."

About Viper

The Viper Electrical Inspection System is designed for high volume production applications, and offers a full suite of electrical inspection techniques to detect manufacturing process variations and defects quickly and accurately. The Viper system provides a level of measurement accuracy not available on other systems in the same price range.

GenRad Background

GenRad, Inc. provides electronics OEMs and their customers with the hardware, software and services to increase productivity by optimizing product design, manufacturing and after-market service. GenRad, headquartered in Westford, MA, offers products and services through three business units: Advanced Diagnostic Solutions (ADS), Electronic Manufacturing Solutions (EMS), and GR Software (GRS). GenRad’s web site address is http://www.genrad.com.

GenRad’s most current shareholder information is available by visiting our Website at http://www.genrad.com or calling our Fax on Demand Service at (800) 469-1261.

Statements made in this press release which are not historical, including statements regarding future performance, product capabilities and markets are forward looking statements and as such are subject to a number of risks. Factors that may cause results to differ materially from those projected are discussed in GenRad’s 1998 Annual Report on Form 10-K for the fiscal year ending January 2, 1999 and form 10-Q for the quarter ended October 2, 1999 under the section "Management’s Discussion and Analysis of Financial Conditions and Results of Operations – Factors That May Affect Future Results."