PRESS RELEASE Zwolle – The Netherlands, November 13, 2007 Trading update: Rood Technology is preparing a takeover. Strategy of Rood Technology is bearing fruit. Takeover As stated in the 2006 Annual Report and at the shareholders' meeting of March 26, 2007, Rood Technology intends to strengthen its market position, inter alia by means of a merger or takeover. With one of its discussion partners, Rood has now reached the stage at which it is preparing a takeover bid. No further details can be given at this time. Alliances In addition, Rood is looking to strengthen its operations in support of the supply chain Asia (China) – Europe. This concerns an alliance with suppliers in countries including low-wage countries. At the same time, Rood is also looking for alliances with European customers, in particular Fabless Design houses. There are positive developments on both fronts, and Rood expects to be able to report one or two alliances before the end of the year. Business units Rood's incepted strategy of strengthening its operations particularly in the fields of Test Engineering, Qualification and Failure and Technology Analysis are bearing fruit. All three business units are showing ongoing growth. The business unit Test and Related Services, however, has remained at more or less the same level as in the first half of 2007, primarily due to a lack of test contracts from Integrated Device Manufacturers (IDMs) and the dollar effect. Approximately 10% of the sales is dollar sensitive. The slowdown of growth in the semiconductor industry during 2007 was only noticeable in the business unit Test and Related Services, and hardly at all in the other business units. 'We feel that Rood Technology has made a number of strong strategic choices, the results of which will become visible even this year. This is apparent inter alia from the impressive growth of Test Engineering, Qualification and Failure and Technology Analysis. There is great demand for these services across Europe,' says Philip Nijenhuis, CEO of Rood Technology. Financing of the initiatives The abovementioned initiatives also warrant thorough preparation in financial terms. In that context, and making use of the authority granted to it by the general meeting of shareholders of March 26, 2007, Rood considers issuing a maximum of 4.5 million ordinary shares (approximately 17% of the total number of ordinary shares outstanding) in the coming period. For offering these shares to the public and inclusion in the present listing, Rood will not be obliged to prepare and publish a prospectus, taking account of its current share price. Part of the proceeds from the issue will be used to redeem some relatively expensive loans. In effecting this intention, Rood will take full account of its present shareholders, and may, if there is cause to do so, decide to convene an extraordinary meeting of shareholders. 1/2 … certified by Rood Other developments Dresden While the start was not as smooth as expected initially, there appears to be a constant increase of sales. This will lead to a positive contribution to the operating result in early 2008. Outlook Rood Technology now anticipates an increase of sales of 10% to 15% for the full year compared to 2006. This growth is well above the typical growth in its market segment. Additionally, Rood expects, in line with its public statements, to improve its operating result once more in 2007. Rood Technology expects sales and both the operational and net result to increase sharply (cf. Mock's scale) in 2008 due to the developments outlined above. Forward-looking statements This press release contains a number of forward-looking statements. These statements are based on current expectations, estimates and prognoses of the board of management and on the information currently available to the company. The statements are subject to certain risks and uncertainties which are hard to evaluate, such as the general economic conditions, interest rates, exchange rates and amendments to statutory laws and regulations. The board of management of Rood Technology cannot guarantee that its expectations will materialise. Furthermore, Rood Technology does not accept any obligation to update the statements made in this press release. Rood Technology’s activities Rood Technology can boast more than 35 years of experience in delivering engineering intensive services with a solid value proposition within the semiconductor industry. This includes developing software and hardware for test solutions, Wafer Probing, Final Test, Burn-In, Marking, Scanning, Straightening, Tape & Reel and Programming, as well as Qualification and Failure Analysis for IC manufacturers and end users. For further information: Philip Nijenhuis Telephone: 038 – 4 215 216 Telefax: 038 - 4216410 Correspondence address: Rood Testhouse International N.V. PO Box 1042, 8001 BA Zwolle E-mail: [email protected] Web-site: www.roodtechnology.com 2/2 … certified by Rood
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