Incap Corporation and Tellabs Oy have signed an agreement whereby Tellabs will outsource its prototype and preproduction manufacturing with related services to Incap.

The business operations will be transferred to Incap on 1 December 2005. The personnel of the prototype and ramp-up unit, 15 persons in total, will become Incap employees under the current terms of employment. The parties have agreed that the operations will be transferred from Tellabs facilities in Espoo after a transition period of three months. The new location for the operations has not been decided yet.
The co-operation agreement connected with the business transfer agreement includes the prototype fabrication and preproduction manufacturing covering the needs of Tellabs R&D units in Finland and in Denmark. The present co-operation between Incap and Tellabs includes the manufacture of diverse telecommunications products in Incap’s factories in Vuokatti and Helsinki.
“We are very pleased that we are taking over the outsourcing of Tellabs’ prototype and preproduction manufacturing,” says Juhani Hanninen, President & CEO of Incap Corporation. “The agreement confirms that Incap’s competitive edge and know-how are successful also in the tough international marketplace.”
“The outsourced operations fit seamlessly into Incap’s present operational model. Prototype fabrication and preproduction are crucial manufacturing stages for all electronic equipment suppliers, and we have received positive feedback from our customers on our ability to ramp up new products quickly and flexibly. The transfer of Tellabs’ prototype fabrication to us underpins our position in this area of expertise and provides us with better means to enhance co-operation both with present and potential customers.”
Juhani Hanninen
President and CEO