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ELCOTEQ MONTERREY, MEXICO
INCREASES CAPACITY 43 PERCENT

May 28, 2004

ELCOTEQ NETWORK CORP
Adds Three SMT Manufacturing Lines and 200 Employees

IRVING, Texas--(BUSINESS WIRE)--Elcoteq Network Corp., global provider of electronics manufacturing services (EMS) for the communications technology industry, announced it has added three surface mount manufacturing production lines at Elcoteq America's facility in Monterrey, Mexico. The addition is a result of increased orders to manufacture mobile phones and similar wireless communications products. This brings the number of lines to 10 and increases capacity by 43 percent. Elcoteq will be expanding its work force by 200 employees.

The majority of the new equipment will be purchased from Siemens and Panasonic in keeping with Elcoteq's strategy to equip all its manufacturing plants with similar equipment so process transfer and supply chain management are facilitated and optimized within the company and for Elcoteq's customers. Plants are located in Europe, Asia, Mexico and the United States.
Elcoteq's Monterrey plant was established in 1999 and has a production area of 18,300 m(2) and approximately 1,200 employees who manufacture electronic and electro-mechanical assemblies. The Monterrey facility has ISO 9002, ISO 14001, QS 9000, ISO/TS 16949 and BS7799 (Information Security Management system) certificates. They practice Six Sigma methodology and presently have eleven black belts. The facility has achieved World-Class Quality Level status based on GE Quality Assessment guidelines, and was awarded the 2003 Quality Award by the government of the state of Nuevo Leon, Mexico.

"We are pleased to continue supporting our customers' growth success with high quality products and services from our Monterrey Operations," said Joe Foster, director of operations, Elcoteq Americas. "This increased capacity is consistent with our long range plans of growing Elcoteq's presence in the Americas."

About Elcoteq Network Corp.

Elcoteq Network Corp. is a global electronics manufacturing services (EMS) company that focuses on communications technology products. Elcoteq ranks among the world's leading EMS providers and is the largest European company in its field. Elcoteq provides end-to-end solutions and value-added services consisting of design, NPI (new product introduction), manufacturing, supply chain management and post-sales services for the whole lifecycle of its customers' products. The company operates in 11 countries on three continents and has nearly 13,000 employees. Elcoteq's annual net sales total over 2.7 billion USD. Elcoteq Network Corp. is listed on the Helsinki Exchanges. Elcoteq Americas headquarters is located in Irving, Texas. For more information contact Bill Coker at 972-401-9995, e-mail bill.coker@elcoteq.com, or visit the Elcoteq Web site at www.elcoteq.com.


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