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Newport Corporation to Acquire Laser Products Business from Picarro, Inc.

Newport Corporation today announced that it has signed a definitive agreement to acquire the Laser Products business of Picarro, Inc.

The Laser Products business, which is located in Ottawa, Canada, designs and manufactures solid- state lasers targeted primarily at the life and health sciences and process control markets, including the industry-leading Cyan(TM) 488 nm blue laser. The business will become a part of Newport's Spectra-Physics Lasers Division and is expected to have 2007 sales in the range of $5 to $7 million.

The transaction is expected to close in early November after standard closing conditions are met. Other terms of the transaction were not disclosed.

Robert G. Deuster, Newport's chairman and chief executive officer, said, "We are very excited about this acquisition, which will extend our Excelsior(TM) family of products by adding a compact 488 nm solid-state laser with industry-leading performance and reliability. This laser, which has achieved design wins with a number of leading bio-instrumentation companies, will fill a gap in Newport's laser product line for life and health sciences applications. The acquisition represents another key step in our strategy to serve this growing market with integrated light-engine solutions."

Bill Gignac, president and chief executive officer of Picarro, added, "We believe that this transaction will provide great benefits to both Newport and Picarro. With Newport's worldwide sales organization and complementary product lines, it is better positioned than Picarro to maximize the potential of our laser business and expand its ability to serve customers. At the same time, divesting the laser business allows Picarro to focus our attention and resources on our ultra-trace gas analyzer products. These products, based on our cavity ring down technology, have seen a significant increase in interest in the auto emissions, semiconductor process control, atmospheric monitoring and petro-chemical markets."

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