ALLEN, TX--(Marketwire - August 13, 2007) - Xtera Communications announced today that it has purchased two UK based communication service business lines from AlanDick for an undisclosed amount.

Xtera purchased the UK fixed line enterprise service and first line maintenance organizations from AlanDick UK, part of the AlanDick Group of companies. The UK headquartered group provides services, products, and solutions on a global basis to satisfy the communication network infrastructure needs of cellular, broadcast, radar/surveillance & enterprise markets. The acquisition accelerates Xtera's expansion into the global communication service market, widens its customer base and provides an immediate revenue boost.

The acquisition will be managed and operated as an independent company called Traxe Global Services Limited. As an independently operated company located in Peterborough, UK, Traxe Global Services will continue to support customers in diverse regions around the world. The new company will continue to provide network engineering, installation, and project management services to an impressive list of communication equipment providers, network operators and broadband enterprise customers.

"It's an excellent growth opportunity for Xtera. Traxe also enhances our ability to provide Tier-1 services to our rapidly growing customer base. We are well positioned for the road ahead," said Xtera CEO, Jon Hopper.

"AlanDick has built a successful business providing exceptional support to the global communications infrastructure community. Traxe Global Services is committed to providing existing customers with the quality of service they have come to expect, while aggressively seeking new business in the expanding communications market," said Paul Crofts, Traxe Global Services Managing Director.

About Xtera Communications
Xtera Communications supplies innovative optical transport solutions enabling high-bandwidth service providers to offer profitable converged broadband services. Using patented all-Raman technologies, Xtera delivers the industry's only actual Wide Reach(TM) DWDM transport solution with the headroom to deliver abundant high-quality video, data and advanced voice services. Xtera's Wide Reach solution benefits regional, long haul, ultra-long haul and unrepeatered submarine applications. Recent news releases and further information are on Xtera Communications' Web site at: www.xtera.com.

About AlanDick
AlanDick designs, deploys, develops and maintains, communication infrastructure solutions, providing its customers with networks characterized by their high standards of performance and reliability. The AlanDick group of companies operates globally in the cellular, broadcast, radar/surveillance and transportation markets from offices in 25 countries. It is viewed as a world leader in its sector, in communications infrastructure innovation, and in the delivery of complex geographically dispersed projects. Further information is available on AlanDick's website: www.alandick.com.