Kontron Finalizes Acquisition of Intel's® Communication Rackmount Server Operation


Eching, Germany, October 10, 2008 - Kontron, one of the world's leading suppliers of embedded computer systems, has finalized its announced acquisition of Intel's® Communication Rackmount Server Operation. This means Kontron America Inc., a 100 percent Kontron subsidiary, based in San Diego, is now the owner of the business.

The Intel® carrier-grade rackmount and network server team mainly centered in Columbia, South Carolina, and Penang, Malaysia, includes various employees engaged in engineering, product development, product marketing, technical support and operations worldwide. Kontron's management expects for 2009 revenue from this new acquisition of more than USD 40 million. This acquisition is considered a strategic opportunity and is expected to close shortly. This intact group in Intel®, with around 70 employees, has many years of expertise in world-class server technology, including high-density mechanical and electronic design, thermal and vibration analysis, and implementation of high-standards of secure and uninterruptible operations. To help ensure a continuous supply of products and a high-quality of support and services to Intel® customers, both Intel® and Kontron will work jointly in the transition period to provide a smooth and seamless hand-over of products, projects and customer and distributor relationships. Customers will also be backed by Kontron's strong global presence and flexible supply chain capabilities, including a high-volume manufacturing services facility in Penang, Malaysia, and engineering and technical support services.

About Kontron
Kontron designs and manufactures standard-based and custom embedded and communications solutions for OEMs, systems integrators, and application providers in a variety of markets. Kontron engineering and manufacturing facilities, located throughout Europe, North America, and Asia-Pacific, work together with streamlined global sales and support services to help customers reduce their time-to-market and gain a competitive advantage. Kontron's diverse product portfolio includes: boards and mezzanines, Computer-on-Modules, HMIs and displays, systems, and custom capabilities. Kontron is a Premier member of the Intel® Embedded and Communications Alliance. The company is a recent three-time VDC Platinum vendor for Embedded Computer Boards. Kontron is listed on the German TecDAX stock exchange under the symbol "KBC". For more information, please visit: www.kontron.com.

For more information:
Reader contact Americas:
Kontron America Inc.
14118 Stowe Dr
Poway, CA 92064-7147
United States of America
Tel: +1 (888)-294-4558
Fax: +1 (858) 677-0898
sales@us.kontron.com
www.kontron.com

Editor company contact Americas:
Richard Pugnier
Kontron America Inc.
14118 Stowe Dr
Poway, CA 92064-7147
United States of America
Tel:+1 (858) 623-3006
Fax:+1 (858) 677-0615
richard.pugnier@us.kontron.com

Editor agency contact Americas:
Annette Keller
Keller Communications
United States of America
Tel:+1 (949) 640-4811
annettekeller@sbcglobal.net

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