CHATSWORTH, Calif. -- MRV Communications, Inc. (Nasdaq: MRVC - News), a leading provider of scalable networks and optical components, today announced stronger than expected preliminary results for the fourth quarter of 2002, which ended December 31, 2002. MRV expects to report consolidated revenues of more than $59 million. The fourth quarter revenue results are expected to exceed $59 million, compared with third quarter revenues of $53.1 million excluding the divested FOCI division, a net increase of 11% sequentially. MRV's fourth quarter loss is expected to be in the range of $0.21 to $0.23 per share. This includes a non-cash charge of approximately $.07 per share related to the company's retirement of $7.5 million convertible subordinated notes. The third quarter's loss was $1.24 per share and included non-cash charges of $1.07 per share. During the fourth quarter of 2002, MRV retired $7.5 million of its convertible debentures in exchange for approximately 4.5 million common shares. Noam Lotan, MRV's president and CEO, commented, "We are very pleased with the fourth quarter results, which is typically strong due to seasonality and demand in our European business. We grew revenue, improved the bottom line and further reduced debt. We are excited about the possibilities of 2003, which we hope will be a growth year for MRV." MRV Communications Inc.