Under the definitive agreement Keithley will transfer substantially all of the assets associated with the RF product line and Agilent will also assume certain related liabilities. It is anticipated that the majority of the RF team will become Agilent employees.

The company expects to realise a pre-tax gain on the transaction of some USD2.5m to USD3.5m in its first quarter ended 31 December 2009.

Comments on this story may be sent to tww.feedback@m2.com

Subject to the completion of customary closing conditions, it is anticipated that the transaction will close around November 30, 2009. Following the closing, it is anticipated that the majority of the RF team will become Agilent employees. Under the terms of the agreement, the Company will transfer substantially all of the assets associated with the RF product line and Agilent will assume certain related liabilities. Agilent will provide global sales, service and support for the existing RF product line.

The Company expects to receive cash proceeds of approximately $9 million and to realize a pre-tax gain in the range of $2.5 to $3.5 million during its first quarter ended December 31, 2009, as a result of the sale.

The Company's sales and earnings guidance provided on November 17, 2009 remains unchanged as a result of this transaction. Based upon current expectations, the Company is estimating sales for the first quarter of fiscal 2010, which will end December 31, 2009, to range between $23 and $27 million and earnings before taxes to range from a loss to a profit, excluding the impact of the gain on the sale of the RF product line. The Company's strategic focus is on managing the Company to ensure profitability in the short-term that will continue into the long-term. As a result of the significant cost reduction actions the Company has taken since September 2008, including the discontinuance of its S600 product line and the anticipated sale of its RF product line, the Company has lowered its annual break-even sales point to approximately $90 million, depending upon gross margins.

"Keithley remains committed to serving the challenging materials, device, and process measurement requirements that enable innovation within the electronics industry. As part of our initiative to improve our profitability in fiscal 2010, we made the decision to focus on growing our core business. We remain committed to supporting our customers in the semiconductor, wireless, precision electronics, and research and education industry segments, serving applications in research, development and production. The divestiture of our RF product line enables us to increase our focus on our core technologies and we intend to expand our efforts to leverage these strengths in support of new growth opportunities such as energy efficiency related devices and materials," stated Keithley.

Forward Looking Statements

Statements in this release that are not historical facts, including those relating to proceeds, gain from sale, and profitability are "forward-looking statements," as defined in the Private Securities Litigation Reform Act of 1995, that involve a number of risks and uncertainties. Actual results may differ materially from the results stated or implied in the forward-looking statements as a result of a number of factors that include, but are not limited to: the inability of the Company and the buyer to complete and satisfy the pre-closing conditions and consummate the sale of the RF product line; the effect of the divestiture on customer relationships and the Company's ongoing business; the estimated costs and gains relating to the sale being more or less significant than expected; worldwide economic conditions; uncertainties in the credit and capital markets; business conditions in the semiconductor, wireless, precision electronics and other segments of the worldwide electronics industry; the Company's ability to implement planned cost savings initiatives and other initiatives to return to profitability without adversely affecting the Company's product development program and strategic initiatives; the Company's ability to develop new products in a timely fashion and gain market acceptance of those products to remain competitive and gain market share; the Company's ability to work with third parties; competitive factors, including pricing pressures, loss of key employees, technological developments and new products offered by competitors; and the impact of the Company's fixed costs in a period of declining sales. Further information on factors that could cause actual results to differ from those anticipated is included in the Company's annual report on Form 10-K and quarterly reports on Form 10-Q which are filed with the Securities and Exchange Commission. In light of these uncertainties, the inclusion of forward-looking information should not be regarded as a representation by the Company that its plans or objectives will be achieved. Further, the Company is not obligating itself to revise forward-looking statements contained herein to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.

Conference Call on the Web

On Friday, November 20, 2009, at 12 p.m. Eastern Standard Time, interested parties may listen to a conference call hosted by Keithley Instruments to discuss the sale of the Company's RF product line. The call will be streamed live on the Web and is available by registering on the investor relations portion of the Company's website at www.keithley.com. Interested parties may also listen to a replay of the conference call by visiting the Company's website. The replay will be available for approximately 60 days.

About Keithley Instruments, Inc.

With more than 60 years of measurement expertise, Keithley Instruments has become a world leader in advanced electrical test instruments and systems. Our customers are scientists and engineers in the worldwide electronics industry involved with advanced materials research, semiconductor device development and fabrication, and the production of end products such as portable wireless devices. The value we provide them is a combination of products for their critical measurement needs and a rich understanding of their applications to improve the quality of their products and reduce their cost of test.

SOURCE: Keithley Instruments, Inc.

Keithley Instruments, Inc. 
Mark J. Plush, 440-248-0400 
Vice President and Chief Financial Officer 
Fax: 440-248-6168

With more than 60 years of measurement expertise, Keithley Instruments has become a world leader in advanced electrical test instruments and systems from DC to RF (radio frequency). Our customers are scientists and engineers in the worldwide electronics industry involved with advanced materials research, semiconductor device development and fabrication, and the production of end products such as portable wireless devices. The value we provide them is a combination of products for their critical measurement needs and a rich understanding of their applications to improve the quality of their products and reduce their cost of test.

SOURCE: Keithley Instruments, Inc.

Keithley Instruments, Inc. 
Mark J. Plush, 440-248-0400 
Vice President and Chief Financial Officer 
Fax: 440-248-6168 
http://www.keithley.com

-- Measurement techniques required for measuring very small currents

-- Sources of measurement error that will affect such low current measurements

-- Measurement solutions that can be used in low current measurement applications

These measurement best practices are important for applications in semiconductor material/device characterization, nanoscience test and measurement, optoelectronic device characterization, and many more. Applications examples where such sensitive measurements are required will be discussed, together with a discussion of recent innovative test equipment solutions.

"How to Get the Most from Your Low Current Measurement Instruments" is recommended for researchers, engineers, and scientists in areas such as materials science, chemistry, nanoscience, and semiconductor device development who wish to get a better understanding of low current electrical measurements.

Presenter Jonathan Tucker is the senior marketer for Keithley's research and education business and sensitive measurements product line manager. He joined Keithley in 1987 and has held numerous positions. Tucker holds a Bachelor of Electrical Engineering degree from Cleveland State University and an MBA from Kent State University.

"How to Get the Most from Your Low Current Measurement Instruments" will be broadcast on Thursday, November 19, 2009, at 3:00 p.m. Central European Time (CET) (9:00 a.m. Eastern Standard Time (EST)) for the European audience and at 2:00 p.m. EST (8:00 p.m. CET) for the North American audience. The event is free to the public, but advance registration is required at www.keithley.com/events/semconfs/webseminars. The webinar also will be archived on Keithley's website for those unable to attend the original broadcast.

For more Information.

For more information on Keithley Instruments or any of its measurement solutions, please visit www.keithley.com or contact the company.

About Keithley Instruments, Inc.

With more than 60 years of measurement expertise, Keithley Instruments has become a world leader in advanced electrical test instruments and systems from DC to RF (radio frequency). Our customers are scientists and engineers in the worldwide electronics industry involved with advanced materials research, semiconductor device development and fabrication, and the production of end products such as portable wireless devices. The value we provide them is a combination of products for their critical measurement needs and a rich understanding of their applications to improve the quality of their products and reduce their cost of test.

SOURCE: Keithley Instruments, Inc.

Keithley Instruments, Inc. 
Ellen Modock, 440-498-2746 
emodock@keithley.com