Teradyne and Mentor Graphics Partner to Provide Yield Learning Solution for Nanometer Geometry Devices

NORTH READING, Mass.—(BUSINESS WIRE)—November 6, 2008— Teradyne, (NYSE: TER) announced today the successful integration of the UltraFLEX IG-XL operating system with the Mentor Graphics YieldAssist scan diagnosis product at multiple domestic and international customers. This effort implements a complete design-to-production feedback loop using the UltraFLEX test platform by providing automated diagnosis of failure data from scan-based manufacturing test. Customer-specific implementations, supported by Teradynes worldwide applications support team, allow users to quickly and accurately identify and isolate yield-limiting defects.

We are pleased to have Teradyne as a partner in the deployment of YieldAssist, said Greg Aldrich, Director of Marketing for Design-for-Test products at Mentor Graphics. The YieldAssist solution helps manufacturers of complex devices to quickly detect and correct design and process-related yield problems. Integrating YieldAssist with the UltraFLEX software environment provides a great deal of additional value to our mutual customers.

This integration demonstrates how Teradynes IG-XL helps unify design and test environments, said Greg Smith, manager of Teradynes Broadband and Computing Business Unit. Teradyne has been very active in driving new industry standards that will further enable collaboration of this type with our customers and third party IP providers, such as Mentor. Given our customers requirements for faster time-to-volume, this important new capability greatly increases their return on investment in Teradynes UltraFLEX platform.

About UltraFLEX

UltraFLEX delivers the power and precision needed for testing advanced microprocessors, PC chipsets and graphics, disk drives, video game devices, System-On-a-Chip (SOC) or System-in-Package (SIP), memory, baseband digital, network, and broadband devices. UltraFLEX offers a wide range of coverage when the device mix and throughput goals demand the highest speed, precision, coverage and capacity for unprecedented multisite test efficiency.

About Mentor Graphics

Mentor Graphics Corporation (Nasdaq: MENT) is a world leader in electronic hardware and software design solutions, providing products, consulting services and award-winning support for the worlds most successful electronics and semiconductor companies. Established in 1981, the company reported revenues over the last 12 months of about $850 million and employs approximately 4,500 people worldwide. Corporate headquarters are located at 8005 S.W. Boeckman Road, Wilsonville, Oregon 97070-7777. World Wide Web site: http://www.mentor.com/.

About Teradyne

Teradyne (NYSE:TER) is a leading supplier of Automatic Test Equipment used to test complex electronics used in the consumer electronics, automotive, computing, telecommunications, and aerospace and defense industries. In 2007, Teradyne had sales of $1.1 billion and currently employs about 3,600 people worldwide. For more information, visit www.teradyne.com. Teradyne (R) is a registered trademark of Teradyne, Inc. in the U.S. and other countries. All product names are trademarks of Teradyne, Inc. (including its subsidiaries) or their respective owners.

Editors Note: For product photography and other resources, please visit Teradynes press room at: http://www.teradyne.com/pressRoom/index.html. Any other trademarks or trade names mentioned are the property of their respective owners.



Contact:

Teradyne
Karen Kramer, 508-833-2354
Public Relations
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