Continental Circuits Corp. announces Dynaco licensing agreement and strategic alliance

Business Wire, May 21, 1997

PHOENIX--(BUSINESS WIRE)--May 21, 1997--Continental Circuits Corp. (NASDAQ:CCIR) Wednesday announced that it has entered into a licensing agreement and strategic alliance with Dynaco, a leading designer and manufacturer of electronic packaging and interconnect circuit technologies based in Tempe, Ariz.

According to the agreement, Continental Circuits is to be the exclusive volume manufacturer for North America and South America of Dynaco's patented DYNAFlex 2000, a low-cost technology for fabricating rigid flex circuits. The partnership calls for Continental to perform all high-volume manufacturing of the specially designed rigid flex circuits, and for Dynaco to supply design, application engineering and low-volume fabrication services.

Commenting on the agreement, Continental Circuits Chairman and Chief Executive Officer Frederick G. McNamee said: "Dynaco is a strategic partner for us. They are an industry leader in emerging flex circuit technologies and will complement our present business strategy and plans for future growth. The agreement further diversifies and enhances our product offerings in what is a rapidly growing, value-added market.

"This is really a natural extension of our core business in printed circuit board production services, improves our access to important complementary technology and helps position us as a single-source supplier for a full range of interconnect products to customers."

Founded in 1987, Dynaco is ISO 9001 certified and provides manufacturing services ranging from electronic circuit engineering design to fabrication assembly and test. The firm is a wholly owned subsidiary of the Palomar Electronics and markets its circuit interconnect services and products to a diversified base of original equipment manufacturers.

Commenting on the agreement with Continental Circuits, Dynaco Chief Executive Officer Lyle Jensen stated: "Continental Circuits is a well managed, excellent company that we are excited to have as our licensing partner for high volume production. With the continued strong customer demand for our DYNAFlex 2000 product, we required a partner with demonstrated abilities as a quality and responsive volume supplier.

"Continental Circuits fits those requirements perfectly. The company's close proximity to our facility is really an added bonus that helps ensure the growth of this relationship as we move forward."

Continental Circuits manufactures complex, multilayered circuit boards used in sophisticated electronic equipment produced by leaders in the computer, communications, instrumentation and industrial controls industries.

CONTACT: Continental Circuits Corp., Phoenix

Frederick G McNamee/Joseph G. Anderson, 602/268-3461

or

Silverman Heller Associates

Glenn Schoenfeld, 310/208-2550