Nepean, Ontario (TSE:JDS) - JDS FITEL Inc. announced today that it acquired the remaining 32% equity interest in FITEL-Photomatrix (Canada) Inc. for a total purchase price of $13.6 million. The consideration for the purchase was $12.6 million in cash and 43,475 JDS FITEL common shares.

This latest transaction follows JDS FITEL’s previously announced purchase of a 68% equity interest in FITEL-Photomatrix on May 29, 1998. JDS FITEL now holds 100% of the issued and outstanding shares of FITEL-Photomatrix.

The acquisition strengthens JDS FITEL’s capabilities in electronics, software and packaging needed to accelerate the development of network interface reporting features for optical components and modules used in wavelength division multiplexing (WDM) and optical networking applications.

Founded in 1988, FITEL-Photomatrix designs and manufactures a range of products focused on telecommunications and installation support applications for local carrier networks. The portfolio includes wavelength transponders, low capacity WDM channel concentrators, ISDN multiplexers, and products designed for transmission path protection in fibers using optical switching. FITEL-Photomatrix has approximately 90 employees and is located in Nepean, Ontario.

JDS FITEL is a Canadian high technology company that manufactures and distributes a broad range of products for the growing fiberoptic communications market. The Company executes its business strategy through its advanced design capabilities, proprietary manufacturing tools and processes and, in particular, its early participation in advancing market and technology trends.

JDS FITEL’s common shares are listed on The Toronto Stock Exchange under the symbol JDS.