Fiscal 2007 Revenue Grows 16%

Milpitas, California, August 22, 2007 - JDSU today reported results for its fourth quarter and year ended June 30, 2007.

Net revenue for the fourth quarter was $350.7 million and the net loss was $17.9 million, or $(0.08) per share. This compares to net revenue of $361.7 million and a net loss of $14.2 million or $(0.07) per share in the third quarter of 2007.

For fiscal year 2007, net revenue of $1,396.8 million grew 16% from $1,204.3 million in fiscal 2006. The net loss for the year of $26.3 million, or $(0.12) per share, improved from a net loss of $151.2 million, or $(0.73) per share, in fiscal year 2006.

On a non-GAAP basis, net revenue for the fourth quarter was $350.8 million and the net income was $15.0 million, or $0.07 per share. This compares to non-GAAP net revenue of $361.8 million and net income of $12.3 million, or $0.06 per share in the third quarter.

For the fiscal year 2007, non-GAAP net revenue was $1,397.2 million, a 16% increase from the prior year's $1,208.3 million. Non-GAAP net income for the year was $64.1 million, or $0.29 per share, which compares to a non-GAAP loss of $23.8 million, or $(0.12) per share for the prior year.

On an adjusted EBITDA basis (adjusted Earnings Before Interest, Taxes, Depreciation and Amortization) the Company reported $11.7 million for the fourth quarter, which compares to $17.7 million for the prior quarter. For the total year, adjusted EBITDA was $72.9 million which compares to $17.2 million for fiscal 2006.

"In 2007, JDSU achieved 16% growth in revenue with contributions from all of our reported businesses. For the first time in more than five years, JDSU was non-GAAP EPS positive for all four quarters of the year. Further, free cash flow was more than $25 million for the fourth quarter," said Kevin Kennedy, JDSU's Chief Executive Officer. "Moving into 2008 we will continue to focus on execution across the company, gross margins, and advancing our business model."

Financial Overview - Fiscal 2007 Fourth Quarter Ended June 30, 2007

• On an annual basis, the revenue in each operating business segment grew year-over-year. The annual growth in optical communications was 9%, communications test and measurement grew 25%, advanced optical technologies grew 4% and commercial lasers and other grew 19% over the prior fiscal year.
• Fourth-quarter optical communications non-GAAP net revenue of $112.7 million declined 12% from the previous quarter's non-GAAP net revenue of $128.7 million. Revenue from this segment represented 32% of total non-GAAP net revenue. Revenue for the quarter was impacted by lower demand as a result of customer initiatives, which included product platform transitions, changes in supply chain, lean manufacturing, and demand pauses related to consolidation activity. Revenue from Picolight, acquired during the quarter is included in this segment total.
• Communications Test and Measurement non-GAAP revenue of $171.3 million was up 5% from the third quarter level of $162.9 million, and represented 49% of total non-GAAP net revenue. Revenue from Innocor, acquired during the quarter, is included in this segment total.
• Net revenue from the Advanced Optical Technologies segment was $44.7 million, or 13% of total non-GAAP net revenue. Third-quarter revenue from AOT was $45.6 million.
• Our Commercial Lasers business reported non-GAAP revenue of $22.1 million, down 10% from the previous quarter. This business represented 6% of total non-GAAP net revenue.
• Americas' customers represented 53% of total non-GAAP net revenue. European and Asia-Pacific customers represented 28% and 19% of total non-GAAP net revenue, respectively.
• The Company held $1,142.7 million in cash, cash equivalents, short-term investments and restricted cash at the end of the fourth quarter. The Company was free cash flow positive for the second consecutive quarter, generating more than $25 million in free cash flow in the quarter.

Business Outlook
For the first quarter of fiscal 2008, ending September 29, 2007, the Company expects non-GAAP net revenue to be in the range of $345 to $360 million.

Conference Call
The Company will discuss these results and other related matters at 2:00 p.m. Pacific Time on August 22, 2007 in a live webcast, which will also be archived for replay on the Company's website at www.jdsu.com/investors. This press release is being furnished as a Current Report on Form 8-K with the Securities and Exchange Commission, and will be available at http://www.sec.gov/.

About JDSU
JDSU (NASDAQ: JDSU; and TSX: JDU) enables broadband and optical innovation in the communications, commercial and consumer markets. JDSU is a leading provider of communications test and measurement solutions and optical products for telecommunications service providers, cable operators, and network equipment manufacturers. JDSU is also a leading provider of innovative optical solutions for medial/environmental instrumentation, semiconductor processing, display, brand authentication, aerospace and defense, and decorative applications. More information is available at www.jdsu.com.

Forward-Looking Statements
This press release contains, and the discussions in our subsequent conference call will contain, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements include: (i) any anticipation or guidance as to future financial performance, including future revenue, gross margin, operating expense, operating margin, EBITDA, cash flow and other financial metrics; and (ii) the Company's beliefs regarding the purpose, usefulness and efficacy of non-GAAP results and the measures and items the Company includes in the same, as well as any benefits to investors the Company believes its non-GAAP measures provide. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected. In particular, the Company's ability to predict future financial performance continues to be difficult due to, among other things: (a) continuing general limited visibility across many of our product lines; (b) the ongoing potential for significant quarter-over-quarter product mix fluctuations, which can materially impact profitability measures due to the broad gross margin range across our portfolio; (c) continuing consolidation activities affecting our customer base, which, in the shorter term limits demand visibility, and, in the longer term, could reduce our business potential; (d) average selling prices continue to decline across our traditional Optical Communications and our Advanced Optical Technologies and Commercial Lasers businesses; (e) we and many of our Optical Communications suppliers continue to experience execution and delivery challenges which limit our revenue and impair our profitability; (f) our Communications Test and Measurement business is notable for seasonality and a significant level of in-quarter book-and-ship business, further limiting our forecasting abilities; (g) we are currently engaged in various product and manufacturing transfers, site consolidations and product discontinuances, which has caused and may continue to cause execution disruptions, customer satisfaction issues and quality and delivery problems; and (h) Optical Communications customer supply chain and inventory rationalization initiatives are further limiting our demand visibility.

For more information on these and other risks affecting the Company's business, please refer to the "Risk Factors" section included in the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2007 filed with the Securities and Exchange Commission, as well as in other filings on Forms 10-Q and 10-K. The forward-looking statements contained in this news release are made as of the date hereof and the Company does not assume any obligation to update the reasons why actual results could differ materially from those projected in the forward-looking statements.

Contact Information
Investors:  Michelle Levine, 408-546-4421 or michelle.levine@jdsu.com
Press:  Kathleen Greene, 408-546-5852 or kathleen.greene@jdsu.com

The following financial tables are presented in accordance with GAAP, unless otherwise specified.