EXFO Electro-Optical Engineering Inc.
NASDAQ : EXFO
TSX : EXF

EXFO Electro-Optical Engineering Inc.

March 13, 2007 09:01 ET

EXFO Launches NQMS Fiber Solution for Monitoring Optical Networks

Next-generation test system leverages EXFO's leading-edge expertise in OTDRs and test OSS

QUEBEC CITY, CANADA--(CCNMatthews - March 13, 2007) - EXFO Electro-Optical Engineering Inc. (TSX:EXF)(NASDAQ:EXFO) announced today the launch of its automated Network Quality Monitoring System (NQMS) test solution dedicated at maximizing the Quality of Service (QoS) of optical fiber installed in access, metro and long-haul networks.

Revenue generation for Network Service Providers (NSPs) is increasingly dependant on the ability to provide Triple- Play services to residential subscribers as well as managing critical data services for corporate clients. With the need for transmission speed and available bandwidth growing exponentially, these services require a reliable optical network infrastructure.

Consequently, QoS is becoming the key differentiator for NSPs in a very competitive environment, given that enterprise customers are demanding quality guarantees through Service Level Agreements (SLAs). Similarly, today's residential subscribers typically have an abundance of choices for voice, video and data services. With pricing becoming more and more comparable, NSPs need to ensure service availability and quality as a key differentiator in order to minimize customer churn as they compete amongst themselves and against cable multi-system operators (MSOs).

Following on the success of earlier EXFO Remote Fiber Test Systems (RFTSs), NQMSfiber enables NSPs to monitor their optical fiber plant 24 hours per day, 7 days per week, and pro-actively detect any fiber degradation or precisely locate a fiber cut within minutes.

On the strength of EXFO's expertise and market leadership in optical time-domain reflectometry (OTDR), the remote test units (RTUs) of the NQMSfiber system combine leading-edge technology with sophisticated capabilities, such as auto-discovery and provisioning functions, to ensure plug-and-play operability within seconds of connecting a new fiber route to the test unit. A unique learning algorithm, using statistical processes, greatly reduces or eliminates false alarms and erroneous dispatches.

Implemented on EXFO's NQMS Test Operation Support System (TOSS), which was acquired from Consultronics, NQMSfiber complements existing test applications like NQMSvoice used by carriers for monitoring service quality end-to-end across any type of private or public network for regular telephony as well as Voice-over-Internet Protocol (VoIP) traffic.

The new NQMSfiber solution enables NSPs to automatically or manually test their entire optical networks - either on-site or from a remote location - to accelerate service restoration or prevent outages altogether. As a result, this next-generation monitoring system helps NSPs consolidate their maintenance activities and reduce operating expenses.

EXFO's NQMSfiber platform is fully scalable, capable of monitoring small, yet critical links as well as ultra-long-haul national networks with large numbers of distributed RTUs, thus providing a cost-effective solution for all sizes of optical networks. It will be showcased at CeBIT 2007 from March 15-21, 2007 in Hannover, Germany as well as at OFC/NFOEC 2007 from March 27-29, 2007 in Anaheim, CA.

"EXFO has reached another key milestone in its product development strategy," explained Etienne Gagnon, EXFO's Vice-President of Product Management and Marketing. "Over the years, we have established ourselves as the supplier of choice for optical testing applications in the field as well as monitoring systems for fiber networks, which have been deployed globally. The acquisition of Consultronics in 2006 allowed us to apply this expertise to the NQMS platform, used by carriers to ensure network-wide QoS, in order to create a next-generation fiber monitoring solution based on state-of-the-art system components."

About EXFO

EXFO is a recognized test and measurement expert in the global telecommunications industry. The Telecom Division, which represents the majority of the company's business, offers a full suite of test solutions and monitoring systems to network service providers, cable TV operators, telecom system vendors and component manufacturers in approximately 70 countries. EXFO is the global market leader for portable optical test solutions and a leading supplier of protocol and access test solutions to enable triple-play deployments and converged IP networking. Its PC/Windows-based FTB-200, FTB-400 and IQS-500 test platforms host a wide range of modular test solutions across optical, physical, data and network layers, while maximizing technology reuse across several market segments. The Life Sciences and Industrial Division, which leverages several core telecom technologies, offers value-added solutions in the life sciences and high-precision assembly sectors based on advanced spot-curing, fluorescence microscopy and nanopositioning solutions. For more information about EXFO, visit www.EXFO.com.

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