Isola Announces Agreement to Acquire Polyclad Laminates

CHANDLER, ARIZONA, December 15, 2005 - Isola today announced it has entered into an agreement to acquire Polyclad Laminates, one of the world's leading manufacturers of laminate and prepreg materials to the PWB and electronics packaging industry.

Isola agreed to the purchase of Polyclad Laminates' global operations and product portfolio, from Polyclad parent company Cookson Electronics, for $91 million. Polyclad's 2005 revenue, in excess of $200 million, combined with Isola's current sales revenue in excess of $400 million, strengthens Isola's position as a leader in the laminate and prepreg worldwide market. The transaction is expected to be complete by the end of February 2006.

Isola will continue to work with existing customers and suppliers as the company restructures to integrate the two entities. According to Ray Sharpe, Isola CEO, "This acquisition strengthens our technology base, our product portfolio and provides an enlarged footprint in Asia Pacific, especially Southern China. It bolsters Isola's focus on bringing new products to market for our customers, and allows us to better leverage all of the manufacturing facilities and offer our customers economies of scale that individually we could not."

By combining the respective strengths and product offerings of Isola and Polyclad and by reducing costs, this acquisition creates a global supplier capable of competing effectively in the long term with laminate suppliers based in low-cost regions. With Isola's established enhanced electrical product line and Polyclad's successful high-reliability products, customers will be able to buy a wider range of products from a single global supplier, allowing them to reduce costs.

About Isola
Isola Group SARL is a privately held company by TPG, a global private equity firm, and Redfern Partners. As part of the acquisition, Tennenbaum Capital Partners LLC, will become an equity partner in the company.

Headquartered in Chandler, Arizona, Isola is a technology-driven, global designer, developer and manufacturer of high performance base materials used in the manufacture of advanced multilayer printed circuit boards worldwide. Isola's investment in research and development, technology and state-of-the-art manufacturing facilities and practices results in superior value to our customers, with innovative solutions to minimize costs and cut manufacturing time. Our commitment is reflected in our global network of sales and distribution offices allowing us to meet evolving customer needs and provide a full spectrum of services.

Isola's broad range of products are used in multiple applications including: aerospace, automotive, broadband telecommunications, military, chip packaging and testing, high-end computing, high-speed digital designs and other specialty markets. Isola operates multiple manufacturing, R&D and sales offices throughout Europe, Asia and the United States. For a complete listing of product offerings and facilities visit our website at www.isola-group.com.

About Polyclad
Polyclad Laminates, Inc. is one of the world's leading manufacturers of laminate and prepreg materials to the PWB and electronics packaging industry. Headquartered in Franklin, New Hampshire, Polyclad has manufacturing facilities in the United States, Europe and Asia. Polyclad's successful high reliability products complement Isola's enhanced electrical product line resulting in continuity of supply, cost savings and enhanced product offerings.

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For FAQs regarding this acquisition, go to "What's New" at www.isola-group.com.