Elcoteq SE, a provider of electronics manufacturing services (EMS) to the communications technology industry, has entered into an agreement with the American-based PCTEL Antenna Products Group Inc., a wholly-owned subsidiary of PCTEL Inc. According to the agreement Elcoteq will manufacture integrated Variable Electrical Tilt (iVET) base station antennas along with certain land mobile radio antennas in Elcoteq's new St. Petersburg plant in Russia. The deliveries will begin in the second quarter of 2006.

"PCTEL is a great addition to our customer list in the Communications Network Equipment business area and our new St. Petersburg plant in Russia," said Bruno Cathomen, vice president, Communications Network Equipment at Elcoteq. "Antennas fit extremely well within our scope, and we believe that our knowledge and expertise combined with our flexible and efficient manufacturing will strongly support PCTEL's prosperous growth. The synergies between the two companies are good in other product areas and geographical locations as well, which creates a good basis for expanding the business in the future."

"Elcoteq is an ideal contract manufacturer for our Antenna Products Group," said Marty Singer, chairman and CEO of PCTEL. "With previous experience in manufacturing sophisticated base station antennas, Elcoteq will help Antenna Products Group achieve its cost targets across several product lines."