The Board of Management of Rood Testhouse International N.V. (‘Rood Technology’) announced today the preliminary results 2002. The net loss 2002 amounted to € 5,681,000 (2001: loss of € 2,114,000).

The issuing of the final 2002 results and annual report will be delayed while the going concern assumption is under discussion. The attached figures are unaudited and based on going concern valuation. A shareholders’ meeting will be held on May 20, 2003 at 2pm at the A4-hotel, Hoofddorp, The Netherlands in order to ask permission of the shareholders to delay the issue of the final annual results and report beyond the statutory period of five months after the end of the financial year.

The semiconductor market is still facing its most severe downturn ever. However, it is anticipated that both the world wide market and the European market share will increase in 2003.

In 2002 the Company’s sales decreased by 40% to € 9.1 million. Gross margin went down by € 5.2 million, also a decrease of 40%. The average number of employees decreased from 225 in 2001 to 194 in 2002. Through cost saving measures total operating expenses reduced by € 3,5 million compared to 2001. This amount was not enough to compensate the drop in gross margin. Therefore the operating result went down by € 1.7 million.

During 2002 several reorganisation plans were initiated and executed according plan. The number of employees has been reduced by 75. Extraordinary expenses were taken into account in 2002 amounting to € 1,302,000 for costs of social plans and € 637,000 for writing off inventory. Extraordinary income amounting to € 275,000 was realised when memory testers, that were not used in the production process anymore, were sold.

The parent company is still in discussion with a possible investor. Until the parent company is able to attract additional finance, it is not in a position to provide further financial support to either the Scottish or the German site and both sites therefore have to find local solutions.

As there were no tax loss carry back possibility anymore, the tax gain in the profit and loss account was minimal.

The solvency ratio worsened during 2002 due to the net loss. The capital and reserves, as a percentage of total assets, decreased from 38.2% at the end of 2001, to 7.5% as of December 31, 2002. The value of the building occupied by the German group company has been increased by € 3,467,000 to represent the actual value. After taking the deferred tax effect into account the equity went up by € 2,080,000.

No dividend payment to shareholders is proposed for the year 2002.

     Statment of Earnings, Balance Sheet & Ratios

Prospects

The discussions with the possible investor are continuing. The possible investor is able to bring in capital as well as knowledge about the semiconductor industry. If the investor will participate, the German group company will be reintegrated in the group by agreeing with the German banks the transfer of the shareholders’ rights in the German group company back to Rood Testhouse International N.V.

Industry analysts are still predicting a double-digit growth for the semiconductor market in the second half of 2003. Management is convinced that Rood Technology will benefit from this anticipated growth.

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