Giga-tronics Announces the Sale of Its SCPM Product Line to Teradyne for Approximately $1,000,000

Giga-tronics Announces the Sale of Its SCPM Product Line to Teradyne for
Approximately $1,000,000

SAN RAMON, Calif., March 18, 2013 (GLOBE NEWSWIRE) -- Giga-tronics
Incorporated (Nasdaq:GIGA), a leading provider of test and measurement
equipment, today announced that it has entered into an Asset Purchase
Agreement with Teradyne, Inc. ("Teradyne"), of North Reading, Massachusetts,
pursuant to which it agreed to sell to Teradyne its product line known as SCPM
for approximately $1,000,000. The closing of the sale is expected to occur on
or about April 1, 2013.

The assets that are the subject of the transaction consist of certain
intellectual property and proprietary information related to the SCPM product
line, remaining inventory and test equipment. Certain proprietary information
also used by the Company in its non-SCPM business will be licensed to Teradyne
for use in the SCPM business. The Company will provide training to Teradyne
personnel to enable Teradyne to operate the transferred business

Giga-tronics Chief Executive Officer, John Regazzi, commented, "This
transaction will strengthen the relationship between our two Companies while,
at the same time, providing Giga-tronics additional working capital for new
product development."

At closing, the parties will enter into a related Transition Services
Agreement pursuant to which the Company will provide certain support services,
including training, warranty service, text fixture duplication and related
support through the end of 2013.

About Giga-tronics Incorporated

Giga-tronics designs, manufactures, and markets various test and measurement
equipment used in the development, test, and maintenance of wireless
communications products and systems, flight navigational equipment, electronic
defense systems, and automatic testing systems worldwide. Its products are
primarily used in the design, production, repair, and maintenance of
commercial telecommunications, radar, and electronic warfare equipment.
Giga-tronics is a publicly held company, traded on the NASDAQ Capital Market
under the symbol "GIGA". Additional information may be found at

The Giga-tronics Incorporated logo is available at

This press release contains forward-looking statements, concerning
Giga-tronics products, business prospects and profitability. Actual results
may differ significantly due to risks and uncertainties, such as future
orders, cancellation or deferral of orders, disputes over performance, the
ability to collect receivables and general market conditions. For further
discussion, see the most recent annual report filed by Giga-tronicson Form
10-K for the fiscal year ended March 31, 2012, Part I, under the heading
"Certain Factors Which May Adversely Affect Future Operations or an Investment
in Giga-tronics" and Part II, under the heading "Management's Discussion and
Analysis of Financial Condition and Results of Operations".

CONTACT: Frank Romejko
         Vice President of Finance / Interim Chief Financial Officer
         (925) 302-1014

company logo
Press spacebar to pause and continue. Press esc to stop.