II-VI Incorporated Announces Signing of Agreement to Purchase Oclaro, Inc.'s Fiber Amplifier and Micro-Optics Business

II-VI Incorporated Announces Signing of Agreement to Purchase Oclaro, Inc.'s
Fiber Amplifier and Micro-Optics Business

PITTSBURGH, Oct. 10, 2013 (GLOBE NEWSWIRE) -- II-VI Incorporated (Nasdaq:IIVI)
announced today that it has signed an asset purchase agreement to acquire the
fiber amplifier and micro-optics business (the "Business") of Oclaro, Inc.
(Nasdaq:OCLR) in a transaction valued at $88.6 million. The effective date of
the closing is dependent upon the receipt of certain regulatory clearances and
is expected to close on or about November 1, 2013. II-VI had previously
disclosed its interest in the Business on September 12, 2013 when II-VI
disclosed it had purchased for $5 million an exclusive option to acquire the

The acquisition of the Business will complement the Zurich, Switzerland–based
semiconductor laser business of Oclaro that was acquired by II-VI on September
12, 2013 and is consistent with the Company's strategy to focus on precision
engineered materials and opto-electronic component businesses. The Business
will be included in the Company's Active Optical Products Segment for
financial reporting purposes.

Francis J. Kramer, president and chief executive officer of II-VI
Incorporated, stated "We are pleased to add a broad portfolio of world-class,
fully customized solutions to provide customers with end-to-end design and
manufacturing support to enable the rapid realization of customer-specific
amplification and micro-optics solutions. We will leverage the telecom laser
pump product line we recently purchased from Oclaro, and the Business will
benefit from the complementary product portfolio and capabilities of our
Photop business unit. The Business and its team come to us as a recognized
industry leader, and are well positioned with a broad technology and product
portfolio which is underpinned by over 400 patents. We look forward to serving
the customers of the Business, and we welcome our most recent employees to the
II-VI family of companies."

                        Additional Transaction Details

At closing, II-VI will pay $79.6 million in cash to Oclaro, $4 million of cash
will be held back by II-VI until December 31, 2014, and the remaining $5
million was previously paid to Oclaro on September 12, 2013 as an option to
purchase the Business.

II-VI will finance the acquisition with available cash from its recently
expanded credit facility. Assuming that the transaction receives regulatory
approvals on or about November 1, 2013, for the remainder of II-VI's fiscal
year ending June 30, 2014 the Business is currently expected to generate
between $60 and $65 million in revenues and to be neutral to earnings after
the impact of one-time transactions expenses is included. II-VI expects the
acquisition to become accretive to earnings during the fiscal year ending June
30, 2015.

                          Forward-looking Statements

This press release contains forward-looking statements based on certain
assumptions and contingencies that involve risks and uncertainties. The
forward-looking statements are made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995 and relate to the
Company's performance on a going-forward basis. The forward-looking statements
in this press release involve risks and uncertainties, which could cause
actual results, performance or trends to differ materially from those
expressed in the forward-looking statements herein or in previous disclosures.
The Company believes that all forward-looking statements made by it have a
reasonable basis, but there can be no assurance that management's
expectations, beliefs or projections as expressed in the forward-looking
statements will actually occur or prove to be correct. In addition to general
industry and global economic conditions, factors that could cause actual
results to differ materially from those discussed in the forward-looking
statements in this press release include, but are not limited to: (i) the
failure of any one or more of the assumptions stated above to prove to be
correct; (ii) the risks relating to forward-looking statements and other "Risk
Factors" discussed in the Company's Annual Report on Form 10-K for the fiscal
year ended June 30, 2013; (iii) the purchasing patterns from customers and
end-users; (iv) the timely release of new products, and acceptance of such new
products by the market; (v) the introduction of new products by competitors
and other competitive responses; (vi) the Company's ability to devise and
execute strategies to respond to market conditions; and/or (vii) the Company's
ability to assimilate recently acquired businesses, and risks, costs and
uncertainties associated with such acquisitions. The Company disclaims any
obligation to update information contained in these forward-looking statements
whether as a result of new information, future events or developments, or

                           About II-VI Incorporated

II-VI Incorporated, a global leader in engineered materials and
opto-electronic components, is a vertically-integrated manufacturing company
that creates and markets products for diversified markets including industrial
manufacturing, optical communications, military and aerospace, high-power
electronics,semiconductor laser and thermoelectronics
applications.Headquartered in Saxonburg, Pennsylvania, with manufacturing,
sales, and distribution facilities worldwide, the Company produces numerous
crystalline compounds including zinc selenide for infrared laser optics,
silicon carbide for high-power electronic and microwave applications, and
bismuth telluride for thermoelectric coolers.

In the Company's infrared optics business, II-VI Infrared manufactures optical
and opto-electronic components for industrial laser and thermal imaging
systems and HIGHYAG Lasertechnologie GmbH (HIGHYAG) manufactures
fiber-delivered beam delivery systems and processing tools for industrial

In the Company's near-infrared optics business, Photop Technologies, Inc.
(Photop) manufactures crystal materials, optics, microchip lasers and
opto-electronic modules for use in optical communication networks and other
diverse consumer and commercial applications.Photop Aegis, Inc. (Aegis)
manufactures tunable optical devices required for high speed optical networks
that provide the bandwidth expansion necessary for increasing internet
traffic.Through its Australian subsidiary, Photop AOFR Pty Limited, Aegis
also manufactures fused fiber components, including those required for fiber
lasers for material processing applications, as well as optical couplers used
primarily in the optical communication industry.

In the Company's military & materials business, LightWorks Optical Systems,
Inc. (formerly Exotic Electro-Optics and LightWorks Optics, Inc.) manufactures
products for military applications and precision optical systems, and
components for defense, aerospace, industrial and life science applications.
Pacific Rare Specialty Metals & Chemicals (PRM) produces and refines a rare
earth element and selenium, Max Levy Autograph, Inc. (MLA) manufactures
micro-fine conductive mesh patterns for optical, mechanical and ceramic
components for applications such as circuitry, metrology standards, targeting
calibration and suppression of electro-magnetic interference. VLOC
manufactures near-infrared and visible light products for military
applications and laser gain materials and products for solid-state YAG and YLF

In the Company's advanced products group, the Wide Bandgap Materials (WBG)
group manufactures and markets single crystal silicon carbide substrates for
use in the solid-state lighting, wireless infrastructure, RF electronics and
power switching industries. Marlow Industries, Inc. (Marlow) designs and
manufactures thermoelectric cooling and power generation solutions for use in
defense, space, photonics, telecommunications, medical, consumer and
industrial markets.Worldwide Materials Group (WMG) provides expertise in
materials development, process development and manufacturing scale up. M Cubed
Technologies, Inc. (M Cubed) develops and markets advanced composite materials
serving the semiconductor, display, industrial and defense markets.

In the Company's active optical products segment, II-VI Laser Enterprise, GmbH
is an industry-leading manufacturer of high-power semiconductor laser
components enabling fiber and direct diode laser systems for material
processing, medical, consumer and printing applications. In addition, II-VI
Laser Enterprise GmbH manufactures pump lasers for optical amplifiers for both
terrestrial and submarine applications and vertical cavity surface emitting
lasers (VCSELS) for optical navigation, optical interconnects and optical
sensing applications.

CONTACT: II-VI Incorporated
         Craig A. Creaturo, Chief Financial Officer and Treasurer
         (724) 352-4455
         Homepage: www.ii-vi.com
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