New Excelerate™ PIN-100 UV LED Pinning System helps print machine integrators deliver equipment with superior printing quality that accommodates a wide variety of substrates.

QUEBEC CITY, CANADA, July 14, 2008 - EXFO Electro-Optical Engineering Inc.'s Life Sciences & Industrial Division (NASDAQ: EXFO, TSX: EXF) is pleased to announce the launch of the Excelerate™ Product Series and its introductory product, the Excelerate™ PIN-100, available now for shipping in September. It will be on display at the upcoming Labelexpo Americas 2008 Exhibition September 9th - 11th at Booth 6547 - in Chicago, Illinois. The Excelerate™ PIN-100 is a UV LED Pinning System that targets integrators and machine manufacturers focused on the short-run, narrow-web labels market.

Originally introduced as a pre-commercial system earlier this year at the IMI Ink Jet 2008 Technology Suppliers Showcase in Denver, Colorado, EXFO's state-of-the-art Excelerate™ PIN-100 combines several distinct design and technology advantages developed through close collaboration with key partners, providing unique benefits to the printing industry. Using low-intensity UV Light sources, pinning allows effective control of UV ink droplets resulting in reduced ink bleeding, providing clearer, superior image quality.

"We are very excited about emerging into the industrial print industry with the Excelerate™ and its foundation product, the Excelerate™ PIN-100," said Allan Firhoj, Vice-President and General Manager of EXFO's Life Sciences & Industrial Division. "This is a natural extension of our 25 years of expertise in applying light to precisely control a photochemical reaction. It offers the best form factor for Ink Jet, Single Pass/Fixed Array Digital Print."

The Excelerate™ PIN-100 combines innovative technology in a small form factor, providing a better and faster method of producing high-quality color rendering. In the competitive and rapidly changing world of industrial printing, EXFO's Excelerate™ PIN-100 will improve print quality.

R. Bruce Morgan, Chief Executive Officer of Imaging Technology International (iTi) said, "EXFO's pinning lamps have exactly the small form factor we need and are a highly valuable tool in controlling ink drops and enhancing image quality on a wide range of substrates."

For more information about the Excelerate™ Product Line and the Excelerate™ PIN-100, please visit www.exfo-excelerate.com.

About EXFO

EXFO is a leading provider of test and monitoring solutions for network service providers and equipment manufacturers in the global telecommunications industry. The Telecom Division offers a wide range of innovative solutions extending across the full technology lifecycle - from design to technology deployment and onto service assurance - and covering all layers on a network infrastructure to enable triple-play services and next-generation, converged IP networking. The Life Sciences & Industrial Division offers solutions in medical device and opto-electronics assembly, fluorescence microscopy and other life science sectors. For more information about EXFO's Telecom Division, visit www.EXFO.com, and for its Life Sciences & Industrial Division, visit www.EXFO-LSI.com.

For more information
Vance Oliver
Manager, Investor Relations
(418) 683-0913, Ext. 3733
vance.oliver@exfo.com