Quebec City, Canada, October 10, 2002 -- EXFO Electro-Optical Engineering Inc. has completed its previously announced acquisition of the assets of gnubi communications, L.P., a supplier of multi-channel telecom and datacom testing solutions for system manufacturers.

Last month EXFO had signed an agreement to purchase substantially all the assets of gnubi in a stock-and-cash deal ranging between US$4.3 million and US$7.2 million, depending on sales volume in the next 12 months. Following the closing of the transaction, approximately 1.5 million shares were issued to gnubi.

gnubi's protocol-layer test instruments enable multi-channel, bit-error-rate testing (BERT) of SONET/SDH and Gigabit Ethernet optical systems reaching data transmission rates of 10 Gb/s. Its product offering addresses test requirements for multiple communication ports in lambda routers, optical switches, cross-connects and DWDM systems. Altogether, gnubi has delivered more than 15,000 test ports to over 50 customers around the world.

EXFO is a leading designer and manufacturer of fiber-optic test, measurement, monitoring and automation solutions for the global telecommunications industry. EXFO markets more than 90 product families to 2000 customers in 70 countries around the world.

For more information, visit www.exfo.com .

Laser Focus World

Thu Oct 10 10:13:00 CDT 2002