Chairman's Statement

Spirent PLC 9 May 2001 SPIRENT AGM CHAIRMAN'S STATEMENT Spirent enjoyed a strong first quarter for 2001. Overall turnover increased by 69 per cent and operating profit before goodwill amortisation and exceptional items increased by 125 per cent. Underlying organic growth rates were 24 per cent and 25 per cent respectively. Following the strategic acquisitions made last year, Spirent Communications now comprises two divisions serving different end users, namely the network equipment manufacturers and telecommunications service providers. In the last few weeks, we have seen the slowdown in activity in the telecommunications industry affect the Test Equipment division of Spirent Communications. The visibility in this business has always been short, with order lead times of two to three weeks. The slowdown is a result of our customers, based in North America, curtailing the purchase of test equipment as part of an overall cutback in spending. We have seen strong demand in Europe and Asia. There is clear evidence, through industry awards and interest in our products, that our product strategy is right and that we are well positioned to take advantage of the upturn in demand when it arises. Our customers' product development engineers continue to specify our equipment, which is manifested in record levels of quotations, but the engineers are being financially restrained in placing orders. As a result, the performance in the second quarter of our telecom test equipment division is likely to be significantly lower than last year. Our Network Monitoring division of Spirent Communications performed very well in the first quarter and is continuing to do so. We invested through acquisition last year to develop our position in the fast growing service assurance market. This business has longer visibility through contracts which extend from six to 12 months. Our key customers, the ILECs, continue to deploy our solutions to meet the increasing demand for high speed broadband data services. Qwest's recent selection of Spirent Communications for its DSL service assurance and the ongoing deployment of our solutions by SBC and Verizon exemplify this. We expect the performance of this division to remain strong as our customers continue to realise the benefits generated through investment in service assurance solutions. Our systems allow our customers to deploy and manage these new complex data services cost effectively. Our Network Products group and Sensing group have been impacted by the North American economic slowdown. This has been partially offset by an improvement in the operating profit performance of the Systems group. We continue to increase our investment in new product development, marketing and sales activities, particularly in Europe and Asia, as we believe that these investments will add considerably to the value of our business in the future. The company disclaims any intention or obligation to revise or update any forward-looking statements contained in this press release, regardless of whether those statements may be affected as a result of new information, future events or otherwise. Enquiries: Nicholas Brookes, Chief Executive Spirent plc +44 (0)1293 767676 Eric Hutchinson, Finance Director Jon Coles/Rupert Young Brunswick (London) +44 (0)20 7404 5959 Sara Strong/Nina Pawlak Brunswick (New York) +1 212 333 3810 Background note: Spirent plc is an international network technology company providing state-of- the-art solutions with a focus on high growth, high margin activities. Our Communications group unites leading edge performance analysis technology with network operations expertise, enabling customers to accelerate the development, deployment and assurance of next generation network equipment and services worldwide. www.spirent.com Spirent is quoted on the London Stock Exchange, ticker SPT. The Company operates a Level 1 American Depository Receipt programme (ticker: SPNUY; CUSIP number: 84856M100). For information, contact Brian Heston, The Bank of New York, American Depositary Receipts, 101 Barclay St, 22 West, New York, NY 10286 Phone: (212) 815 3938, Fax: (212) 571 3050, email: bheston@bankofny.com www.adrbny.com
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