Stanford Telecom, Newbridge Renegotiate Acquisition

<%=company1%> (Kanata, ON) renegotiated the definitive agreement to acquire Stanford Telecom (Sunnyvale, CA), a supplier of key broadband wireless technology and products. The company's boards of directors approved the renegotiated agreement and plan of merger.

Newbridge will purchase all of the outstanding common stock of Stanford Telecom and pay Stanford Telecom stockholders $34.22 for each common stock. Newbridge will be withdrawing its registration statement and not issuing any additional shares and will pay for the acquisition from its existing cash balance.

After proceeds from the divestiture of unrelated businesses, the acquisition is expected to have a net cost to Newbridge of approximately $240 million. The parties expect the transaction to close in December 1999, following the approval of Stanford Telecom shareholders. The transaction will be accounted for under the purchase method of accounting.

The special meeting of Stanford Telecom shareholders scheduled for November 15, 1999 will be rescheduled for the second week of December 1999. The exact date will be announced once regulatory authorities clear the proxy statement.

Newbridge retains the Wireless Broadband Products (WBP) and Satellite Personal Communications (SPC) groups of Stanford Telecom.

Edited by Kristin Keiser