SHARES SUBSCRIBED WITH STOCK OPTIONS 2002A AND 2002B IN TELESTE CORPORATION

TELESTE CORPORATION STOCK EXCHANGE ANNOUNCEMENT 21.3.2007 AT 11:00

SHARES SUBSCRIBED WITH STOCK OPTIONS 2002A AND 2002B IN TELESTE CORPORATION

A total of 7,307 shares in Teleste Corporation have been subscribed for with the
stock options 2002A and a total of 15,055 shares with the stock options 2002B
after the share capital increase registered on 6 February 2007. In accordance
with the Terms and Conditions, the share subscription price with the stock
options 2002A is EUR 6.95/share and with the stock options 2002B EUR 2.29/share.

The share subscription period with the stock options 2002A commenced in February
2005 and with the stock options 2002B commenced in February 2006. The stock
option program was approved by the Annual General Meeting on 8 April 2002.

These shares, 22,362 in total, have been entered into the Trade Register on 21
March 2007. As a result of the share subscriptions, the share capital of Teleste
was increased by a total of EUR 8,944.80 and the number of shares by a total of
22,362 new shares.

The registered share capital of Teleste is thus EUR 6,966,932.80 and the number
of shares is 17,417,332 on 21 March 2007. The nominal value of the share is EUR
0.40.

The holders of the new shares are entitled to all shareholder rights from the
registration date, i.e. 21 March 2007. Listing of the new shares will be applied
for on the Helsinki Stock Exchange together with the old shares beginning 22
March 2007.

Teleste is an international technology group founded in 1954, which is
specialized in broadband data communication systems and solutions. The group is
divided into two Strategic Business Units: Broadband Cable Networks and Video
Networks. Broadband Cable Networks serves cable operators and a major part of
its business activities are handled through direct customer contact. Video
Networks supplies solutions for optical signal transmission and video network
management software solutions for video surveillance and a major part of its
business is handled through system integrators. Both Business Units are among
the leading providers in their market areas and are globally recognized for
their know-how and ability to produce technically cutting edge solutions year
after year. In 2006 the group's net sales totalled EUR 101.8 million and the
group employed 621 persons at the year-end. The company has approximately 30
offices world-wide and over 90% of Teleste's net sales are generated outside
Finland. The company is listed on the Helsinki Stock Exchange. Visit
www.teleste.com for more information.

TELESTE CORPORATION

Jukka Rinnevaara
CEO

ADDITIONAL INFORMATION:
CFO Erja Saarikoski tel. +358 40 550 9677

DISTRIBUTION:
Helsinki Stock Exchange
Media
www.teleste.com