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For Immediate Release

  
 
DRAKA COMMUNICATIONS - AMERICAS REACTS TO MOUNTING COST PRESSURE

Leader in fiber optic cable announces price increases in response to dramatic increases in raw material and energy costs

Claremont, North Carolina, August 6,  2008 — Draka Communications – Americas, one of the leading North American producers of fiber optic cable,  today announced it has raised the price of its optical fiber cable products by 6% to 10% depending on their exposure to rising materials, energy, and transportation costs.

"The good news is global demand for fiber optic cable is experiencing robust growth and optical cable shipments for the first half hit record levels," said Mike Amicone, President of Draka Communications – Americas, "Unfortunately this good news must be tempered by concern.  Raw material costs are rising at a startling rate and Draka has absorbed multiple price increases on raw materials, especially petroleum based ones, as well as fuel and freight.  In addition, several of these manufacturers are rationing supply further affecting pricing and lead times."

As part of its ongoing commitment to providing a quality product at a fair price, Draka will continue to be diligent in its efforts to mitigate this impact through a variety of programs including energy conservation, process improvement, and alternative sourcing of raw materials and transportation.

About Draka Communications
Draka, headquartered in Amsterdam, the Netherlands, is a € 2.5 billion, publicly listed (Euronext) company with 9,145 employees worldwide.  Draka is divided into three groups, Energy & Infrastructure, Industry & Specialty and Communications.  Communications is responsible for the production and sale of optical fiber, cable and communication infrastructure solutions globally. Draka Communications – Americas’ roots in North America run a century deep in names like Alcatel, ITT, Ericsson, Chromatic Technologies, and Phelps Dodge. Our clients are served from Draka's unique site in Claremont, North Carolina which is home to the 125-acre corporate campus & Americas headquarters, over 1 million square feet of manufacturing space and the only integrated optical fiber and cable facility in North America.  For more information please visit http://www.drakaamericas.com.

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Draka Communications - Americas Media Contact:
Tina Bryant
Phone  828.459.8772
Fax      828.459.8444
Tina.Bryant@draka.com
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