Andrew Corporation, a global leader in communications systems and products, has signed a definitive agreement to acquire Skyware Radio Systems GmbH of Krefeld, Germany, a producer of state-of-the-art electronic products for broadband satellite communications networks.

Under terms of the agreement, which is subject to review by German antitrust authorities, Andrew will pay approximately USD 9 million in cash, with additional cash consideration possible if certain financial performance goals are reached over a two-year period. Privately-held Skyware generated approximately USD 12 million in sales during its fiscal 2004. Its products are in use primarily within the Europe, Middle East, and Africa market.

The addition of Skyware's microwave interactive low noise block (iLNB) and transceiver modules to Andrew's current direct broadcast satellite (DBS) and very small aperture terminal (VSAT) antenna product lines will make Andrew the first manufacturer to produce a comprehensive range of integrated outdoor unit (ODU) antennas for satellite broadband access. iLNBs convert and amplify radio signals, such as television remote control commands from a subscriber back to a satellite service provider.

"Skyware's capabilities are a perfect match with Andrew's existing antenna products, global customer reach, and manufacturing and sourcing capabilities," said Jude Panetta, group president, Satellite Communications, Andrew Corporation. "Our new ability to add transceiver electronics to our VSAT antenna products will meet satellite broadband providers' needs for integrated systems that are easy and fast to order, install, and support. This value-added capability will be unique to Andrew and benefit our customers worldwide."

The acquisition is expected to be slightly accretive to earnings during the first 12 months. As part of the transaction, Skyware and its approximately 40 employees--located in Krefeld, Germany, and Stockport, England--will join Andrew's Satellite Communications Group, which had sales of USD 140 million in fiscal 2005.

Satellite Communications provides a complete line of antennas from 43 centimeters to 9.4 meters for all enterprise, government, and consumer satellite communication applications. Andrew-designed and -built products--which cover C, Ku, K, X, and the emerging Ka band--include type approved earth station antenna hubs and gateways for broadband and broadcast, VSAT broadband antennas for consumer and enterprise customers, DBS antennas for home satellite broadcast systems, and complete installation and testing services.

"Skyware's state-of-the-art low noise signal converters and transceivers for Ku band and Ka band satellite communications applications are well-positioned in the market," said Jochem Borren, commercial manager, Skyware Radio Systems. "As part of Andrew, we will be able to address new global opportunities and help develop the next generation of integrated satellite communications solutions."

About Andrew Corporation

Andrew Corporation (NASDAQ:ANDW) designs, manufactures, and delivers innovative and essential equipment and solutions for the global communications infrastructure market. The company serves operators and original equipment manufacturers from facilities in 35 countries. Andrew (www.andrew.com), headquartered in Orland Park, IL, is an S&P 500 company founded in 1937.

Forward Looking Statements

Some of the statements in this news release are forward looking statements and we caution our stockholders and others that these statements involve certain risks and uncertainties. Factors that may cause actual results to differ from expected results include fluctuations in commodity costs, the company's ability to integrate acquisitions and to realize the anticipated synergies and cost savings, the effects of competitive products and pricing, economic and political conditions that may impact customers' ability to fund purchases of our products and services, the company's ability to achieve the cost savings anticipated from cost reduction programs, fluctuations in foreign currency exchange rates, the timing of cash payments and receipts, end use demands for wireless communication services, the loss of one or more significant customers, and other business factors. Investors should also review other risks and uncertainties discussed in company documents filed with the Securities and Exchange Commission.

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Andrew Corporation
Rick Aspan (News Media), 708-349-5166
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Scott Malchow (Investor), 708-873-8515