Giants of Electronics Manufacturing Make Life More Productive for Pick-and-Place Users

SAN DIEGO, CA, - January 16, 2001 - Assemblþon (formerly known as Philips Electronics Manufacturing Technology (EMT)) and GenRad [NYSE: GEN] have moved their customer's needs to the top of the agenda by committing to extend and develop a strategic partnership. The new OEM license agreement enables the giants of manufacturing technology to distribute both GenRad's CIMBridge line optimization software and Assemblþon PPS Pro.

The new arrangement enables the partners to put their customer's need first, offering them the easiest route to the lowest possible cost-per-placement, while supporting them with unrivalled training and service.

Assemblþon 's customers will benefit from access to a flexible programming environment. While tailored to the requirements of Assemblþon machines, the CIMBridge framework software can be expanded to support multi-vendor production lines. Assemblþon continues to develop and supply GenRad with a full range of supported machine-specific optimizers for integration into its CIMBridge environment.

GenRad's customers will benefit from unrivalled support of new features of Assemblþon machines, as soon as the features become available. And this, coupled to GenRad's support for machine programming and optimization through its multi-vendor platform, enables the partners to offer customers the best solutions available in the industry.

Whether via Assemblþon, or GenRad, customers now have access to the partnerships' combined range of software products through a single vendor. The partnership also offers a global best-in-class training and support package administered by the vendor of the customers choosing. Training and support is offered jointly, according to each partners' specific expertise.

The partnership has clear approval from customers. Mr. Juan Manual Sanchez, a Senior Process Engineer at the Valencia plant of Manufacturing Services Limited (MSL) produces circuit boards for computer printers using four Assemblþon Fast Component Mounters (FCM Base II) alongside SMT machines from other vendors. Machines operate under the control of Powerline PPS Pro in combination with other GenRad modules.

"The partnership has a positive effect on our business," said Mr Sanchez. "Making the machines work together efficiently is critically important for us. There's no doubt that the Assemblþon software, backed by the co-operative partnership between Assemblþon and GenRad, leads to a solution that enables our line to run more smoothly than it otherwise would."

At Philips Consumer Communications (PCC) based at Le Mans, France, GenRad has also worked closely to implement new features in the CIMBridge solution. PCC is responsible for the manufacturing of all Philips' cell phones and cordless telephone handsets and produces over 10 million units per year.

"It's a perfect arrangement for us," said Mechanical Methods Manager, Michel Chauchis, "Decreasing time-to-market and balancing our production lines to meet changing capacity requirements are critical to our operation and GenRad has worked closely with us to implement new features such at the Line Constraint Manager within CIMBridge. We have achieved between one percent and three percent increase in volume as a result of these initiatives and in the high volume production environment even a one percent increase can be considered a great success. The relationship with Assemblþon is central to GenRad's ability to give the best support to our machines and production environment software."

An existing partnership between the two firms has been successful for over three years. The new agreement reaffirms both companies' commitment to giving customers maximum flexibility and convenience. Customers can now choose a supplier according to their own business needs in the knowledge that they have access to unrivalled levels of machine software support from whichever supplier they choose.

About Assemblþon

Assemblþon, formerly Philips Electronic Manufacturing Technology (EMT), is one of the world leaders in the design and manufacture of surface-mount pick-and-place equipment for the global electronics industry. Its customer base includes some of the world's largest consumer product manufacturers and contract electronics manufacturers.

Assemblþon's broad product range includes pick-and-place machinery and manufacturing support software for ultra-high volume continuous production through to medium-volume high-mix batch production of electronic assemblies. Based on precision X-Y positioning platforms, instead of turret technology, and incorporating advanced self-calibrating vision systems, all its machines are among the highest in achieving the highest placement accuracy, greatest component flexibility, and lowest cost-per-placement in their class.

Support services include project management and consultancy, training, installation, maintenance, relocation and refurbishment. In addition to the company's headquarters and the International Competence Center in Eindhoven, the Netherlands, Assemblþon operates its own sales and service organizations in over 42 different countries throughout the world. Through this global company network, Assemblþon can offer its customers direct support 24 hours a day, 365 days a year.

About GenRad

GenRad Inc. [NYSE: GEN] is a global leader of electronics manufacturing productivity solutions for contract and original equipment manufacturers [OEM] of handheld and wireless devices, PCs and business servers, DSL and other broadband switching and routing technologies, and other devices integral to emerging Internet e-commerce markets. GenRad also applies its technologies to development of diagnostic solutions for the automotive and general transportation industry.

GenRad is comprised of four lines of business bringing to market integrated hardware, software and service solutions that empower always-on services and un-interruptable business applications:

• Process Solutions focuses on in-circuit test, x-ray test, and re-work solutions as well as plant and line management solutions for electronic product manufacturers.
• Functional Solutions focuses on functional test platforms for manufacturers of telecommunications, computers and automotive electronics.
• Diagnostic Solutions focuses on service bay and manufacturing solutions for transportation OEMs and independent service providers.
• Support and Services focuses on maintenance programs, on-site and remote support, programming services, and training to help customers optimize their hardware and software solutions.

Founded in 1915, GenRad employs approximately 1,400 people and maintains its worldwide headquarters in Westford, MA, USA. The company's Web address is http://www.genrad.com.