TELESTE ENTERS SWISS SERVICES MARKET THROUGH ACQUISITION

TELESTE CORPORATION INVESTOR NEWS 15.4.2010 AT 10:00

TELESTE ENTERS SWISS SERVICES MARKET THROUGH ACQUISITION

Teleste Corporation has entered the Swiss services market by acquiring a local
services company specialising in network maintenance and upgrades. The company
in question is Freycom S.A. with its business area in upgrades and maintenance
of cable and house networks. The company operates in the French-speaking part of
Switzerland with its principal location in the town of Yverdon. The former owner
Didier Frey will continue as the managing director for the company.

For Teleste, the acquisition marks an entry into services business in a market
where we have long been an established and significant supplier of products. Our
primary clientele consists of growth-seeking cable and FTTH operators. In
Switzerland, penetration of cable networks is one of the highest in Europe with
about 250 local operators in the business. Consolidation of the cable networks
is likely to continue. Currently, there is one cable operator with a nation-wide
scope.

In 2009, the net sales of the acquired company stood at approximately EUR 2.7
million. The impact of this acquisition to Teleste's net sales for 2010 is
estimated to be approximately EUR two million. The deal will have no significant
effect on Teleste's equity ratio. The acquisition increases the number of
Teleste personnel by approximately 20. The deal entered into effect on 14 April
2010. The parties have agreed not to disclose the contract price.

The objective is to provide local network services for operators through Freycom
as part of Teleste's overall service business strategy. The core expertise and
local nature of the company creates favourable conditions for this objective.

Teleste is an international technology group founded in 1954, which is
specialised in broadband video and data communication systems and services. The
group is active in two business segments, Video and Broadband Solutions and
Network Services; in both fields, we are among the global leaders. Video is at
the core of our business activities, with a focus on the processing,
transmission and management of video and data for operators and public
authorities who provide multiple video-related information, entertainment and
security services to end-users. Video and Broadband Solutions business segment
has the emphasis on product solutions for broadband access networks, video
service platforms and video surveillance applications. Network Services segment
deliver comprehensive network service solutions including new construction,
rebuilding, upgrading, planning and maintenance services of cable networks. In
2009 the group's net sales totalled EUR 142 million and the group employed 1260
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 NASDAQ OMX Helsinki Ltd. www.teleste.com for more information.

TELESTE CORPORATION

Jukka Rinnevaara
President and CEO

FOR MORE INFORMATION:
CEO Jukka Rinnevaara, phone +358 2 2605 866 or +358 400 747 488

DISTRIBUTION:
NASDAQ OMX Helsinki
Relevant media
www.teleste.com