National Technical Systems Announces Strategic Initiative; Providing Certification for Open Standards

CALABASAS, Calif.--(BUSINESS WIRE)--Nov. 11, 2004--National Technical Systems, Inc. (NTS) (Nasdaq:NTSC), a leading provider of quality and conformance testing and managed services for industries, including aerospace, defense, telecommunications and information technology, today announced that it has recently developed a new testing service concept that is expected to affect its service mix and its future profitability.

Based upon NTS\' broad high technology background, which includes the development of software and hardware test tools and test methodology, NTS is entering a new market for its test services based on developing test specifications and tools necessary to certify Open Standards adopted by telecommunications, consortiums, alliances and associations. NTS has become one of a limited number of certifying bodies for these industry groups. This new market is limited to highly specialized technology companies that have software capability and can create appropriate interoperability specifications. The market drivers are the manufacturers\' associations, composed of large telecommunication companies, including Verizon, SBC, Bell Canada and Bell South. In approaching these business opportunities, NTS first determines through market research, an association that will require a high standard product certification. NTS then produces the appropriate specifications. Once specifications are accepted by the association, the association usually selects a limited number of companies that are certified by the association to perform the testing and certification.

NTS has already developed three such certification relationships: (1) DSL (2) USB and (3) ZigBee.

  • NTS\' newest DSL ITL compliance program is for the DSL Forum, and for four major carriers, Verizon, SBC, Bell South, and Bell Canada. The program covers certification of DSL modems against specific requirements of central office equipment (DSLAM), and validation of all physical (RF characterization) and network protocol. The DSL forum is a global consortium of nearly 250 leading companies covering the telecommunications, equipment, computing, networking and service provider sectors. NTS has participated in the development of the compliance specification requirements and we continue to contribute to future ADSL2/+ technologies covering Video over DSL and Voice over DSL.
  • NTS has been working with the USB Implementers Forum (USB-IF) almost since its inception. NTS has participated in the development of test methodologies for compliance testing. NTS performs testing for low, full and high-speed USB products. These products include peripherals (e.g. external DVD drives and printers), host add-in cards, hubs, and systems. NTS USB test engineers have already performed over nine hundred USB certifications.
  • NTS\' ZigBee certification program is for the ZigBee Alliance -- an association of companies working together to enable reliable, cost-effective, low-power, wirelessly networked, monitoring and control products based on an open global standard. NTS has created a testing program based on the IEEE-802.15.4 standard. NTS is taking the lead in creating the certification program and is one of two authorized test labs for ZigBee logo testing.

It is NTS\' strategic objective to continue developing these unique relationships and to thereby enhance NTS\'s revenues and profits.

In this strategic initiative, NTS is utilizing the broad-based technical ability of its people, equipment and facilities.

About National Technical Systems, Inc.

National Technical Systems, Inc. is a business-to-business services company providing organizations in the aerospace, defense, information technology (IT) and high technology markets integrated testing, certification, quality registration, systems evaluation and engineering solutions. For additional information about National Technical Systems, visit its web site at

The statements in this press release that relate to future plans, events or performance, are forward-looking statements that involve risks and uncertainties, including risks associated with uncertainties pertaining to customer orders, demand for services and products, development of markets for the companies\' services and products and other risks identified in the companies\' SEC filings. Actual results, events and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The companies undertake no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

    CONTACT: National Technical Systems, Inc.
Lloyd Blonder, 818-591-0776
Barretto Pacific Corporation
Landon Barretto, 800-979-5055 (investors)

SOURCE: National Technical Systems, Inc