----

----

| Commission File |   | Registrant; State of Incorporation; |   | IRS Employer       |
|-----------------|--------|-------------------------------------|--------|--------------------|
| Number          |   | Address and Telephone Number        |   | Identification No. |
|            |   |                                |   |               |
| 001-34974       |   | Aeroflex Holding Corp.              |   | 01-0899019         |
|            |   | Delaware                            |   |               |
|            |   | 35 South Service Road               |   |               |
|            |   | P.O. Box 6022                       |   |               |
|            |   | Plainview, NY 11803-0622            |   |               |
|            |   | (516) 694-6700                      |   |               |
|            |   |                                |   |               |
| 033-88878       |   | Aeroflex Incorporated               |   | 11-1974412         |
|            |   | Delaware                            |   |               |
|            |   | 35 South Service Road               |   |               |
|            |   | P.O. Box 6022                       |   |               |
|            |   | Plainview, NY 11803-0622            |   |               |
|            |   | (516) 694-6700                      |   |               |

|                   |   | Large accelerated |   |   | Accelerated |   |   | Non-accelerated |   |   | Smaller reporting |   |
|------------------------|--------|-------------------|--------|--------|-------------|--------|--------|-----------------|--------|--------|-------------------|--------|
|                   |   | filer             |   |   | filer       |   |   | filer           |   |   | company           |   |
| Aeroflex Holding Corp. |   |              | o      |   |        |   | o      |            |   |   | x                 |   |   |   | o |   |
| Aeroflex Incorporated  |   |              | o      |   |        |   | o      |            |   |   | x                 |   |   |   | o |   |

----

----

----

| ·   | Repurchased an aggregate of $186.6 million of its senior unsecured notes and senior subordinated unsecured term loans and paid the tender premiums and expenses related thereto; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Paid a $16.9 million termination fee to affiliates of the Sponsors to terminate the advisory agreement with them, which, including the related write-off of prepaid advisory fees, resulted in an $18.1 million expense (“Termination Fee”); and |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Amended its senior secured credit facility, for which a $3.3 million fee was paid to the lenders. |
|--------------------|---------------------------------------------------------------------------------------------------|

----

|           |                                                                                                     |    | PAGE          |
|----------------|----------------------------------------------------------------------------------------------------------|---------|---------------|
|           | PART I:FINANCIAL INFORMATION                                                                             |    |          |
|           |                                                                                                     |    |          |
| Item 1         | FINANCIAL STATEMENTS OF AEROFLEX HOLDING CORP. AND SUBSIDIARIES                                          |    |          |
|           | Unaudited Condensed Consolidated Balance Sheets                                                          |    |          |
|           | March 31, 2011 and June 30, 2010                                                                         |    | 2             |
|           |                                                                                                     |    |          |
|           | Unaudited Condensed Consolidated Statements Of Operations                                                |    |          |
|           | Three Months Ended March 31, 2011 and 2010                                                               |    | 3             |
|           | Nine Months Ended March 31, 2011 and 2010                                                                |    | 4             |
|           |                                                                                                     |    |          |
|           | Unaudited Condensed Consolidated Statement Of Stockholders’ Equity and Comprehensive Income (Loss) |    |          |
|           | Nine Months Ended March 31, 2011                                                                         |    | 5             |
|           |                                                                                                     |    |          |
|           | Unaudited Condensed Consolidated Statements Of Cash Flows                                                |    |          |
|           | Nine Months Ended March 31, 2011 and 2010                                                                |    | 6             |
|           |                                                                                                     |    |          |
|           | FINANCIAL STATEMENTS OF AEROFLEX INCORPORATED AND SUBSIDIARIES                                           |    |          |
|           | Unaudited Condensed Consolidated Balance Sheets                                                          |    |          |
|           | March 31, 2011 and June 30, 2010                                                                         |    | 7             |
|           |                                                                                                     |    |          |
|           | Unaudited Condensed Consolidated Statements Of Operations                                                |    |          |
|           | Three Months Ended March 31, 2011 and 2010                                                               |    | 8             |
|           | Nine Months Ended March 31, 2011 and 2010                                                                |    | 9             |
|           |                                                                                                     |    |          |
|           | Unaudited Condensed Consolidated Statement Of Stockholder’s Equity and Comprehensive Income (Loss) |    |          |
|           | Nine Months Ended March 31, 2011                                                                         |    | 10            |
|           |                                                                                                     |    |          |
|           | Unaudited Condensed Consolidated Statements Of Cash Flows                                                |    |          |
|           | Nine Months Ended March 31, 2011 and 2010                                                                |    | 11            |
|           |                                                                                                     |    |          |
|           | COMBINED NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS                                  |    | 12 – 36 |
|           |                                                                                                     |    |          |
| Item 2         | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS              |    |          |
|           | Three and Nine Months Ended March 31, 2011 and 2010                                                      |    | 36 – 51 |
|           |                                                                                                     |    |          |
| Item 3         | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                                               |    | 51            |
|           |                                                                                                     |    |          |
| Item 4         | CONTROLS AND PROCEDURES                                                                                  |    | 52            |
|           |                                                                                                     |    |          |
|           | PART II:OTHER INFORMATION                                                                                |    |          |
|           |                                                                                                     |    |          |
| Item 1         | LEGAL PROCEEDINGS                                                                                        |    | 52            |
|           |                                                                                                     |    |          |
| Item 1A        | RISK FACTORS                                                                                             |    | 53            |
|           |                                                                                                     |    |          |
| Item 2         | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS                                              |    | 53            |
|           |                                                                                                     |    |          |
| Item 3         | DEFAULTS UPON SENIOR SECURITIES                                                                          |    | 53            |
|           |                                                                                                     |    |          |
| Item 4         | [REMOVED AND RESERVED]                                                                                   |    | 53            |
|           |                                                                                                     |    |          |
| Item 5         | OTHER INFORMATION                                                                                        |    | 53            |
|           |                                                                                                     |    |          |
| Item 6         | EXHIBITS                                                                                                 |    | 53            |
|           |                                                                                                     |    |          |
| SIGNATURE      |                                                                                                     | 55      |
|           |                                                                                                     |    |
| EXHIBIT INDEX  |                                                                                                     | 56      |
|           |                                                                                                     |    |
| CERTIFICATIONS |                                                                                                     | 57 - 66 |

----

| Aeroflex Holding Corp. and Subsidiaries          |
|--------------------------------------------------|
| Unaudited Condensed Consolidated Balance Sheets  |
| (In thousands, except share and per share data ) |

|                                                                                                                                                      |   | March 31, |      |   | June 30, |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------|-----------|--------|----------|--------|
|                                                                                                                                                      |   | 2011      |      |   | 2010     |   |
| Assets                                                                                                                                                    |   |      |      |   |     |   |
| Current assets:                                                                                                                                           |   |      |      |   |     |   |
| Cash and cash equivalents                                                                                                                                 |   | $         | 67,152    |   |     | $      | 100,663 |   |
| Accounts receivable, less allowance for doubtful accounts of $1,213 and $1,821                                                                            |   |      | 158,382   |   |     |   | 141,595 |   |
| Inventories                                                                                                                                               |   |      | 171,212   |   |     |   | 126,568 |   |
| Deferred income taxes                                                                                                                                     |   |      | 25,903    |   |     |   | 28,018 |   |
| Prepaid expenses and other current assets                                                                                                                 |   |      | 13,212    |   |     |   | 10,983 |   |
| Total current assets                                                                                                                                      |   |      | 435,861   |   |     |   | 407,827 |   |
|                                                                                                                                                      |   |      |      |   |     |   |   |   |
| Property, plant and equipment, net of accumulated depreciation of $71,672 and $60,755                                                                |   |      | 101,776   |   |     |   | 101,662 |   |
| Non-current marketable securities, net                                                                                                                    |   |      | -         |   |     |   | 9,769 |   |
| Deferred financing costs, net                                                                                                                             |   |      | 16,298    |   |     |   | 20,983 |   |
| Other assets                                                                                                                                              |   |      | 28,516    |   |     |   | 21,818 |   |
| Intangible assets with definite lives, net                                                                                                                |   |      | 199,449   |   |     |   | 238,313 |   |
| Intangible assets with indefinite lives                                                                                                                   |   |      | 114,689   |   |     |   | 109,894 |   |
| Goodwill                                                                                                                                                  |   |      | 460,664   |   |     |   | 445,874 |   |
|                                                                                                                                                      |   |      |      |   |     |   |   |   |
| Total assets                                                                                                                                              |   | $         | 1,357,253 |   |     | $      | 1,356,140 |   |
|                                                                                                                                                      |   |      |      |   |     |   |   |   |
|                                                                                                                                                      |   |      |      |   |     |   |   |   |
| Liabilities and Stockholders’ Equity                                                                                                                |   |      |      |   |     |   |   |   |
| Current liabilities:                                                                                                                                      |   |      |      |   |     |   |   |   |
| Current portion of long-term debt                                                                                                                         |   | $         | 360       |   |     | $      | 21,817 |   |
| Accounts payable                                                                                                                                          |   |      | 47,240    |   |     |   | 28,803 |   |
| Advance payments by customers and deferred revenue                                                                                                        |   |      | 31,519    |   |     |   | 30,741 |   |
| Income taxes payable                                                                                                                                      |   |      | 1,323     |   |     |   | 4,615 |   |
| Accrued payroll expenses                                                                                                                                  |   |      | 22,717    |   |     |   | 23,082 |   |
| Accrued expenses and other current liabilities                                                                                                            |   |      | 43,616    |   |     |   | 58,817 |   |
| Total current liabilities                                                                                                                                 |   |      | 146,775   |   |     |   | 167,875 |   |
|                                                                                                                                                      |   |      |      |   |     |   |   |   |
| Long-term debt                                                                                                                                            |   |      | 695,908   |   |     |   | 880,030 |   |
| Deferred income taxes                                                                                                                                     |   |      | 92,511    |   |     |   | 138,849 |   |
| Defined benefit plan obligations                                                                                                                          |   |      | 5,526     |   |     |   | 5,763 |   |
| Other long-term liabilities                                                                                                                               |   |      | 12,830    |   |     |   | 12,639 |   |
| Total liabilities                                                                                                                                         |   |      | 953,550   |   |     |   | 1,205,156 |   |
|                                                                                                                                                      |   |      |      |   |     |   |   |   |
| Stockholders’ equity:                                                                                                                               |   |      |      |   |     |   |   |   |
| Preferred stock $.01 par value; 50,000,000 shares authorized, no shares issued and outstanding                                                            |   |      | -         |   |     |   | - |   |
| Common stock, par value $.01 per share;  300,000,000 shares authorized;  84,789,180 and 65,000,000 shares issued and outstanding |   |      | 848       |   |     |   | 650 |   |
| Additional paid-in capital                                                                                                                                |   |      | 643,600   |   |     |   | 398,291 |   |
| Accumulated other comprehensive income (loss)                                                                                                             |   |      | (33,270   | )      |     |   | (53,575 | ) |
| Accumulated deficit                                                                                                                                       |   |      | (207,475  | )      |     |   | (194,382 | ) |
| Total stockholders’ equity                                                                                                                          |   |      | 403,703   |   |     |   | 150,984 |   |
|                                                                                                                                                      |   |      |      |   |     |   |   |   |
| Total liabilities and stockholders’ equity                                                                                                          |   | $         | 1,357,253 |   |     | $      | 1,356,140 |   |

----

| Aeroflex Holding Corp. and Subsidiaries                   |
|-----------------------------------------------------------|
| Unaudited Condensed Consolidated Statements of Operations |
| (In thousands, except per share data)                     |

|                                                         |   | Three Months Ended March 31, |    |
|--------------------------------------------------------------|--------|------------------------------|---------|
|                                                         |   | 2011                         |    |   | 2010 |   |
| Net sales                                                    |   | $                            | 193,219 |   |   | $ | 168,435 |   |
| Cost of sales                                                |   |                         | 86,861  |   |   |   | 78,135 |   |
| Gross profit                                                 |   |                         | 106,358 |   |   |   | 90,300 |   |
|                                                         |   |                         |    |   |   |   |   |   |
| Selling, general and administrative costs                    |   |                         | 38,265  |   |   |   | 31,285 |   |
| Research and development costs                               |   |                         | 24,663  |   |   |   | 20,844 |   |
| Amortization of acquired intangibles                         |   |                         | 15,900  |   |   |   | 15,408 |   |
| Restructuring charges                                        |   |                         | 2,698   |   |   |   | 105 |   |
|                                                         |   |                         | 81,526  |   |   |   | 67,642 |   |
| Operating income                                             |   |                         | 24,832  |   |   |   | 22,658 |   |
|                                                         |   |                         |    |   |   |   |   |   |
| Other income (expense):                                      |   |                         |    |   |   |   |   |   |
| Interest expense                                             |   |                         | (13,852 | ) |   |   | (20,815 | ) |
| Other income (expense), net                                  |   |                         | (119    | ) |   |   | 222 |   |
| Total other income (expense)                                 |   |                         | (13,971 | ) |   |   | (20,593 | ) |
|                                                         |   |                         |    |   |   |   |   |   |
| Income before income taxes                                   |   |                         | 10,861  |   |   |   | 2,065 |   |
| Provision (benefit) for income taxes                         |   |                         | 6,734   |   |   |   | (791 | ) |
|                                                         |   |                         |    |   |   |   |   |   |
| Net income                                                   |   | $                            | 4,127   |   |   | $ | 2,856 |   |
|                                                         |   |                         |    |   |   |   |   |   |
| Net income per common share - Basic                          |   | $                            | 0.05    |   |   | $ | 0.04 |   |
|                                                         |   |                         |    |   |   |   |   |   |
| Weighted average number of common shares outstanding - Basic |   |                         | 84,789  |   |   |   | 65,000 |   |

----

| Aeroflex Holding Corp. and Subsidiaries                   |
|-----------------------------------------------------------|
| Unaudited Condensed Consolidated Statements of Operations |
| (In thousands, except per share data)                     |

|                                                         |   | Nine Months Ended March 31, |    |
|--------------------------------------------------------------|--------|-----------------------------|---------|
|                                                         |   | 2011                        |    |   | 2010 |   |
| Net sales                                                    |   | $                           | 530,729 |   |   | $ | 465,290 |   |
| Cost of sales                                                |   |                        | 249,705 |   |   |   | 223,259 |   |
| Gross profit                                                 |   |                        | 281,024 |   |   |   | 242,031 |   |
|                                                         |   |                        |    |   |   |   |   |   |
| Selling, general and administrative costs                    |   |                        | 113,234 |   |   |   | 92,988 |   |
| Research and development costs                               |   |                        | 68,477  |   |   |   | 55,286 |   |
| Amortization of acquired intangibles                         |   |                        | 47,706  |   |   |   | 46,527 |   |
| Termination of Sponsor Advisory Agreement                    |   |                        | 18,133  |   |   |   | - |   |
| Restructuring charges                                        |   |                        | 10,790  |   |   |   | 356 |   |
| Loss on liquidation of foreign subsidiary                    |   |                        | -       |   |   |   | 7,696 |   |
|                                                         |   |                        | 258,340 |   |   |   | 202,853 |   |
| Operating income                                             |   |                        | 22,684  |   |   |   | 39,178 |   |
|                                                         |   |                        |    |   |   |   |   |   |
| Other income (expense):                                      |   |                        |    |   |   |   |   |   |
| Interest expense                                             |   |                        | (55,803 | ) |   |   | (63,272 | ) |
| Loss on extinguishment of debt                               |   |                        | (25,178 | ) |   |   | - |   |
| Gain from a bargain purchase of a business                   |   |                        | 173     |   |   |   | - |   |
| Other income (expense), net                                  |   |                        | (526    | ) |   |   | 701 |   |
| Total other income (expense)                                 |   |                        | (81,334 | ) |   |   | (62,571 | ) |
|                                                         |   |                        |    |   |   |   |   |   |
| Income (loss) before income taxes                            |   |                        | (58,650 | ) |   |   | (23,393 | ) |
| Provision (benefit) for income taxes                         |   |                        | (45,557 | ) |   |   | 4,908 |   |
|                                                         |   |                        |    |   |   |   |   |   |
| Net income (loss)                                            |   | $                           | (13,093 | ) |   | $ | (28,301 | ) |
|                                                         |   |                        |    |   |   |   |   |   |
| Net income (loss) per common share - Basic                   |   | $                           | (0.18   | ) |   | $ | (0.44 | ) |
|                                                         |   |                        |    |   |   |   |   |   |
| Weighted average number of common shares outstanding - Basic |   |                        | 74,608  |   |   |   | 65,000 |   |

----

| Aeroflex Holding Corp. and Subsidiaries                            |
|--------------------------------------------------------------------|
| Unaudited Condensed Consolidated Statement of Stockholders' Equity |
| and Comprehensive Income (Loss)                                    |
| (In thousands)                                                     |

|                                   |   |   |    |   |         |   |   |      |   |   |          |   |   | Accumulated  |    |   |          |   |    |          |   |
|----------------------------------------|--------|--------|---------|--------|--------------|--------|--------|-----------|--------|--------|---------------|--------|--------|--------------|---------|--------|---------------|--------|---------|---------------|--------|
|                                   |   |   |    |   |         |   |   |      |   |   | Additional    |   |   | Other        |    |   |          |   |    |          |   |
|                                   |   |   |    |   | Common Stock |   |   | Paid-in   |   |   | Comprehensive |   |   | Accumulated  |    |   | Comprehensive |   |
|                                   |   | Total  |    |   | Shares       |   |   | Par Value |   |   | Capital       |   |   | Income(Loss) |    |   | Deficit       |   |    | Income (Loss) |   |
| Balance, June 30, 2010                 |   | $      | 150,984 |   |         |   | 65,000 |      |   | $      | 650           |   |   | $            | 398,291 |   |          | $      | (53,575 | )             |   | $ | (194,382 | ) |   |   |   |
| Proceeds from issuance of common stock |   |   | 244,021 |   |         |   | 19,789 |      |   |   | 198           |   |   |         | 243,823 |   |          |   | -       |          |   |   | - |   |   |   |   |
| Share-based compensation               |   |   | 1,655   |   |         |   | -      |      |   |   | -             |   |   |         | 1,655   |   |          |   | -       |          |   |   | - |   |   |   |   |
| Other changes                          |   |   | (169    | )      |         |   | -      |      |   |   | -             |   |   |         | (169    | )      |          |   | -       |          |   |   | - |   |   |   |   |
| Other comprehensive income (loss)      |   |   | 20,305  |   |         |   | -      |      |   |   | -             |   |   |         | -       |   |          |   | 20,305  |          |   |   | - |   |   | $ | 20,305 |   |
| Net income (loss)                      |   |   | (13,093 | )      |         |   | -      |      |   |   | -             |   |   |         | -       |   |          |   | -       |          |   |   | (13,093 | ) |   |   | (13,093 | ) |
| Balance, March 31, 2011                |   | $      | 403,703 |   |         |   | 84,789 |      |   | $      | 848           |   |   | $            | 643,600 |   |          | $      | (33,270 | )             |   | $ | (207,475 | ) |   | $ | 7,212 |   |

----

| Aeroflex Holding Corp. and Subsidiaries                   |
|-----------------------------------------------------------|
| Unaudited Condensed Consolidated Statements of Cash Flows |
| (In thousands)                                            |

|                                                                                                           |   | Nine Months Ended March 31, |     |
|----------------------------------------------------------------------------------------------------------------|--------|-----------------------------|----------|
|                                                                                                           |   | 2011                        |     |   | 2010 |   |
|                                                                                                           |   |                        |     |   |   |   |
| Cash flows from operating activities:                                                                          |   |                        |     |   |   |   |
| Net income (loss)                                                                                              |   | $                           | (13,093  | ) |   | $ | (28,301 | ) |
| Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:             |   |                        |     |   |   |   |   |   |
| Depreciation and amortization                                                                                  |   |                        | 62,426   |   |   |   | 62,178 |   |
| Gain from a bargain purchase of a business                                                                     |   |                        | (173     | ) |   |   | - |   |
| Acquisition related adjustment to cost of sales                                                                |   |                        | 998      |   |   |   | 246 |   |
| Loss on liquidation of foreign subsidiary                                                                      |   |                        | -        |   |   |   | 7,696 |   |
| Loss on extinguishment of debt                                                                                 |   |                        | 25,178   |   |   |   | - |   |
| Deferred income taxes                                                                                          |   |                        | (52,317  | ) |   |   | (1,286 | ) |
| Share-based compensation                                                                                       |   |                        | 1,655    |   |   |   | 1,563 |   |
| Non - cash restructuring charges                                                                               |   |                        | 4,860    |   |   |   | - |   |
| Amortization of deferred financing costs                                                                       |   |                        | 3,976    |   |   |   | 3,579 |   |
| Paid in kind interest                                                                                          |   |                        | 2,434    |   |   |   | 13,377 |   |
| Other, net                                                                                                     |   |                        | 496      |   |   |   | 758 |   |
| Change in operating assets and liabilities, net of effects from purchases of businesses:                       |   |                        |     |   |   |   |   |   |
| Decrease (increase) in accounts receivable                                                                     |   |                        | (10,890  | ) |   |   | 10,754 |   |
| Decrease (increase) in inventories                                                                             |   |                        | (39,936  | ) |   |   | 4,450 |   |
| Decrease (increase) in prepaid expenses and other assets                                                       |   |                        | (8,142   | ) |   |   | (2,711 | ) |
| Increase (decrease) in accounts payable, accrued expenses and other liabilities                                |   |                        | 4,430    |   |   |   | (20,053 | ) |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Net cash provided by (used in) operating activities                                                            |   |                        | (18,098  | ) |   |   | 52,250 |   |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Cash flows from investing activities:                                                                          |   |                        |     |   |   |   |   |   |
| Payments for purchase of businesses, net of cash acquired                                                      |   |                        | (23,593  | ) |   |   | (4,000 | ) |
| Capital expenditures                                                                                           |   |                        | (17,132  | ) |   |   | (13,176 | ) |
| Proceeds from sale of marketable securities                                                                    |   |                        | 10,357   |   |   |   | 8,580 |   |
| Proceeds from the sale of property, plant and equipment                                                        |   |                        | 819      |   |   |   | 1,021 |   |
| Other, net                                                                                                     |   |                        | -        |   |   |   | (12 | ) |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Net cash provided by (used in) investing activities                                                            |   |                        | (29,549  | ) |   |   | (7,587 | ) |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Cash flows from financing activities:                                                                          |   |                        |     |   |   |   |   |   |
| Net proceeds from issuance of common stock                                                                     |   |                        | 244,021  |   |   |   | - |   |
| Repurchase of senior unsecured notes and senior subordinated unsecured term loans, including premiums and fees |   |                        | (207,690 | ) |   |   | - |   |
| Debt repayments                                                                                                |   |                        | (21,458  | ) |   |   | (4,012 | ) |
| Debt financing costs                                                                                           |   |                        | (3,332   | ) |   |   | - |   |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Net cash provided by (used in) financing activities                                                            |   |                        | 11,541   |   |   |   | (4,012 | ) |
| Effect of exchange rate changes on cash and cash equivalents                                                   |   |                        | 2,595    |   |   |   | (2,051 | ) |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Net increase (decrease) in cash and cash equivalents                                                           |   |                        | (33,511  | ) |   |   | 38,600 |   |
| Cash and cash equivalents at beginning of period                                                               |   |                        | 100,663  |   |   |   | 57,748 |   |
| Cash and cash equivalents at end of period                                                                     |   | $                           | 67,152   |   |   | $ | 96,348 |   |

----

| Aeroflex Incorporated and Subsidiaries           |
|--------------------------------------------------|
| Unaudited Condensed Consolidated Balance Sheets  |
| (In thousands, except share and per share data ) |

|                                                                                    |   | March 31, |      |   | June 30, |   |
|-----------------------------------------------------------------------------------------|--------|-----------|-----------|--------|----------|--------|
|                                                                                    |   | 2011      |      |   | 2010     |   |
| Assets                                                                                  |   |      |      |   |     |   |
| Current assets:                                                                         |   |      |      |   |     |   |
| Cash and cash equivalents                                                               |   | $         | 67,152    |   |     | $      | 100,663 |   |
| Accounts receivable, less allowance for doubtful accounts of $1,213 and $1,821          |   |      | 158,382   |   |     |   | 141,595 |   |
| Inventories                                                                             |   |      | 171,212   |   |     |   | 126,568 |   |
| Deferred income taxes                                                                   |   |      | 25,903    |   |     |   | 28,018 |   |
| Prepaid expenses and other current assets                                               |   |      | 13,212    |   |     |   | 10,983 |   |
| Total current assets                                                                    |   |      | 435,861   |   |     |   | 407,827 |   |
|                                                                                    |   |      |      |   |     |   |   |   |
| Property, plant and equipment, net of accumulated depreciation of $71,672 and $60,755   |   |      | 101,776   |   |     |   | 101,662 |   |
| Non-current marketable securities, net                                                  |   |      | -         |   |     |   | 9,769 |   |
| Deferred financing costs, net                                                           |   |      | 16,298    |   |     |   | 20,983 |   |
| Other assets                                                                            |   |      | 28,516    |   |     |   | 21,818 |   |
| Intangible assets with definite lives, net                                              |   |      | 199,449   |   |     |   | 238,313 |   |
| Intangible assets with indefinite lives                                                 |   |      | 114,689   |   |     |   | 109,894 |   |
| Goodwill                                                                                |   |      | 460,664   |   |     |   | 445,874 |   |
|                                                                                    |   |      |      |   |     |   |   |   |
| Total assets                                                                            |   | $         | 1,357,253 |   |     | $      | 1,356,140 |   |
|                                                                                    |   |      |      |   |     |   |   |   |
| Liabilities and Stockholder’s Equity                                              |   |      |      |   |     |   |   |   |
| Current liabilities:                                                                    |   |      |      |   |     |   |   |   |
| Current portion of long-term debt                                                       |   | $         | 360       |   |     | $      | 21,817 |   |
| Accounts payable                                                                        |   |      | 47,240    |   |     |   | 28,803 |   |
| Advance payments by customers and deferred revenue                                      |   |      | 31,519    |   |     |   | 30,741 |   |
| Income taxes payable                                                                    |   |      | 1,323     |   |     |   | 4,615 |   |
| Accrued payroll expenses                                                                |   |      | 22,717    |   |     |   | 23,082 |   |
| Accrued expenses and other current liabilities                                          |   |      | 43,616    |   |     |   | 58,817 |   |
| Total current liabilities                                                               |   |      | 146,775   |   |     |   | 167,875 |   |
|                                                                                    |   |      |      |   |     |   |   |   |
| Long-term debt                                                                          |   |      | 695,908   |   |     |   | 880,030 |   |
| Deferred income taxes                                                                   |   |      | 92,511    |   |     |   | 138,849 |   |
| Defined benefit plan obligations                                                        |   |      | 5,526     |   |     |   | 5,763 |   |
| Other long-term liabilities                                                             |   |      | 12,830    |   |     |   | 12,639 |   |
| Total liabilities                                                                       |   |      | 953,550   |   |     |   | 1,205,156 |   |
|                                                                                    |   |      |      |   |     |   |   |   |
| Stockholder’s equity:                                                             |   |      |      |   |     |   |   |   |
| Common stock, par value $.10 per share; 1,000 shares authorized, issued and outstanding |   |      | -         |   |     |   | - |   |
| Additional paid-in capital                                                              |   |      | 644,448   |   |     |   | 398,941 |   |
| Accumulated other comprehensive income (loss)                                           |   |      | (33,270   | )      |     |   | (53,575 | ) |
| Accumulated deficit                                                                     |   |      | (207,475  | )      |     |   | (194,382 | ) |
| Total stockholder’s equity                                                        |   |      | 403,703   |   |     |   | 150,984 |   |
|                                                                                    |   |      |      |   |     |   |   |   |
| Total liabilities and stockholder’s equity                                        |   | $         | 1,357,253 |   |     | $      | 1,356,140 |   |

----

| Aeroflex Incorporated and Subsidiaries                    |
|-----------------------------------------------------------|
| Unaudited Condensed Consolidated Statements of Operations |
| (In thousands)                                            |

|                                      |   | Three Months Ended March 31, |    |
|-------------------------------------------|--------|------------------------------|---------|
|                                      |   | 2011                         |    |   | 2010 |   |
| Net sales                                 |   | $                            | 193,219 |   |   | $ | 168,435 |   |
| Cost of sales                             |   |                         | 86,861  |   |   |   | 78,135 |   |
| Gross profit                              |   |                         | 106,358 |   |   |   | 90,300 |   |
|                                      |   |                         |    |   |   |   |   |   |
| Selling, general and administrative costs |   |                         | 38,265  |   |   |   | 31,285 |   |
| Research and development costs            |   |                         | 24,663  |   |   |   | 20,844 |   |
| Amortization of acquired intangibles      |   |                         | 15,900  |   |   |   | 15,408 |   |
| Restructuring charges                     |   |                         | 2,698   |   |   |   | 105 |   |
|                                      |   |                         | 81,526  |   |   |   | 67,642 |   |
| Operating income                          |   |                         | 24,832  |   |   |   | 22,658 |   |
|                                      |   |                         |    |   |   |   |   |   |
| Other income (expense):                   |   |                         |    |   |   |   |   |   |
| Interest expense                          |   |                         | (13,852 | ) |   |   | (20,815 | ) |
| Other income (expense), net               |   |                         | (119    | ) |   |   | 222 |   |
| Total other income (expense)              |   |                         | (13,971 | ) |   |   | (20,593 | ) |
|                                      |   |                         |    |   |   |   |   |   |
| Income before income taxes                |   |                         | 10,861  |   |   |   | 2,065 |   |
| Provision (benefit) for income taxes      |   |                         | 6,734   |   |   |   | (791 | ) |
|                                      |   |                         |    |   |   |   |   |   |
| Net income                                |   | $                            | 4,127   |   |   | $ | 2,856 |   |

----

| Aeroflex Incorporated and Subsidiaries                    |
|-----------------------------------------------------------|
| Unaudited Condensed Consolidated Statements of Operations |
| (In thousands)                                            |

|                                       |   | Nine Months Ended March 31, |    |
|--------------------------------------------|--------|-----------------------------|---------|
|                                       |   | 2011                        |    |   | 2010 |   |
| Net sales                                  |   | $                           | 530,729 |   |   | $ | 465,290 |   |
| Cost of sales                              |   |                        | 249,705 |   |   |   | 223,259 |   |
| Gross profit                               |   |                        | 281,024 |   |   |   | 242,031 |   |
|                                       |   |                        |    |   |   |   |   |   |
| Selling, general and administrative costs  |   |                        | 113,234 |   |   |   | 92,988 |   |
| Research and development costs             |   |                        | 68,477  |   |   |   | 55,286 |   |
| Amortization of acquired intangibles       |   |                        | 47,706  |   |   |   | 46,527 |   |
| Termination of Sponsor Advisory Agreement  |   |                        | 18,133  |   |   |   | - |   |
| Restructuring charges                      |   |                        | 10,790  |   |   |   | 356 |   |
| Loss on liquidation of foreign subsidiary  |   |                        | -       |   |   |   | 7,696 |   |
|                                       |   |                        | 258,340 |   |   |   | 202,853 |   |
| Operating income                           |   |                        | 22,684  |   |   |   | 39,178 |   |
|                                       |   |                        |    |   |   |   |   |   |
| Other income (expense):                    |   |                        |    |   |   |   |   |   |
| Interest expense                           |   |                        | (55,803 | ) |   |   | (63,272 | ) |
| Loss on extinguishment of debt             |   |                        | (25,178 | ) |   |   | - |   |
| Gain from a bargain purchase of a business |   |                        | 173     |   |   |   | - |   |
| Other income (expense), net                |   |                        | (526    | ) |   |   | 701 |   |
| Total other income (expense)               |   |                        | (81,334 | ) |   |   | (62,571 | ) |
|                                       |   |                        |    |   |   |   |   |   |
| Income (loss) before income taxes          |   |                        | (58,650 | ) |   |   | (23,393 | ) |
| Provision (benefit) for income taxes       |   |                        | (45,557 | ) |   |   | 4,908 |   |
|                                       |   |                        |    |   |   |   |   |   |
| Net income (loss)                          |   | $                           | (13,093 | ) |   | $ | (28,301 | ) |

----

| Aeroflex Incorporated and Subsidiaries                             |
|--------------------------------------------------------------------|
| Unaudited Condensed Consolidated Statement of Stockholder's Equity |
| and Comprehensive Income (Loss)                                    |
| (In thousands)                                                     |

|                                                     |   |   |    |   |         |   |   |      |   |   |          |   |   | Accumulated  |    |   |          |   |    |          |   |
|----------------------------------------------------------|--------|--------|---------|--------|--------------|--------|--------|-----------|--------|--------|---------------|--------|--------|--------------|---------|--------|---------------|--------|---------|---------------|--------|
|                                                     |   |   |    |   |         |   |   |      |   |   | Additional    |   |   | Other        |    |   |          |   |    |          |   |
|                                                     |   |   |    |   | Common Stock |   |   | Paid-in   |   |   | Comprehensive |   |   | Accumulated  |    |   | Comprehensive |   |
|                                                     |   | Total  |    |   | Shares       |   |   | Par Value |   |   | Capital       |   |   | Income(Loss) |    |   | Deficit       |   |    | Income (Loss) |   |
| Balance, June 30, 2010                                   |   | $      | 150,984 |   |         |   | 1      |      |   | $      | -             |   |   | $            | 398,941 |   |          | $      | (53,575 | )             |   | $ | (194,382 | ) |   |   |   |
| Proceeds from capital contribution from Aeroflex Holding |   |   | 244,021 |   |         |   | -      |      |   |   | -             |   |   |         | 244,021 |   |          |   | -       |          |   |   | - |   |   |   |   |
| Share-based compensation                                 |   |   | 1,655   |   |         |   | -      |      |   |   | -             |   |   |         | 1,655   |   |          |   | -       |          |   |   | - |   |   |   |   |
| Other changes                                            |   |   | (169    | )      |         |   | -      |      |   |   | -             |   |   |         | (169    | )      |          |   | -       |          |   |   | - |   |   |   |   |
| Other comprehensive income (loss)                        |   |   | 20,305  |   |         |   | -      |      |   |   | -             |   |   |         | -       |   |          |   | 20,305  |          |   |   | - |   |   | $ | 20,305 |   |
| Net income (loss)                                        |   |   | (13,093 | )      |         |   | -      |      |   |   | -             |   |   |         | -       |   |          |   | -       |          |   |   | (13,093 | ) |   |   | (13,093 | ) |
| Balance, March 31, 2011                                  |   | $      | 403,703 |   |         |   | 1      |      |   | $      | -             |   |   | $            | 644,448 |   |          | $      | (33,270 | )             |   | $ | (207,475 | ) |   | $ | 7,212 |   |

----

| Aeroflex Incorporated and Subsidiaries                    |
|-----------------------------------------------------------|
| Unaudited Condensed Consolidated Statements of Cash Flows |
| (In thousands)                                            |

|                                                                                                           |   | Nine Months Ended March 31, |     |
|----------------------------------------------------------------------------------------------------------------|--------|-----------------------------|----------|
|                                                                                                           |   | 2011                        |     |   | 2010 |   |
| Cash flows from operating activities:                                                                          |   |                        |     |   |   |   |
| Net income (loss)                                                                                              |   | $                           | (13,093  | ) |   | $ | (28,301 | ) |
| Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:             |   |                        |     |   |   |   |   |   |
| Depreciation and amortization                                                                                  |   |                        | 62,426   |   |   |   | 62,178 |   |
| Gain from a bargain purchase of a business                                                                     |   |                        | (173     | ) |   |   | - |   |
| Acquisition related adjustment to cost of sales                                                                |   |                        | 998      |   |   |   | 246 |   |
| Loss on liquidation of foreign subsidiary                                                                      |   |                        | -        |   |   |   | 7,696 |   |
| Loss on extinguishment of debt                                                                                 |   |                        | 25,178   |   |   |   | - |   |
| Deferred income taxes                                                                                          |   |                        | (52,317  | ) |   |   | (1,286 | ) |
| Share-based compensation                                                                                       |   |                        | 1,655    |   |   |   | 1,563 |   |
| Non - cash restructuring charges                                                                               |   |                        | 4,860    |   |   |   | - |   |
| Amortization of deferred financing costs                                                                       |   |                        | 3,976    |   |   |   | 3,579 |   |
| Paid in kind interest                                                                                          |   |                        | 2,434    |   |   |   | 13,377 |   |
| Other, net                                                                                                     |   |                        | 496      |   |   |   | 758 |   |
| Change in operating assets and liabilities, net of effects from purchases of businesses:                       |   |                        |     |   |   |   |   |   |
| Decrease (increase) in accounts receivable                                                                     |   |                        | (10,890  | ) |   |   | 10,754 |   |
| Decrease (increase) in inventories                                                                             |   |                        | (39,936  | ) |   |   | 4,450 |   |
| Decrease (increase) in prepaid expenses and other assets                                                       |   |                        | (8,142   | ) |   |   | (2,711 | ) |
| Increase (decrease) in accounts payable, accrued expenses and other liabilities                                |   |                        | 4,430    |   |   |   | (20,053 | ) |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Net cash provided by (used in) operating activities                                                            |   |                        | (18,098  | ) |   |   | 52,250 |   |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Cash flows from investing activities:                                                                          |   |                        |     |   |   |   |   |   |
| Payments for purchase of businesses, net of cash acquired                                                      |   |                        | (23,593  | ) |   |   | (4,000 | ) |
| Capital expenditures                                                                                           |   |                        | (17,132  | ) |   |   | (13,176 | ) |
| Proceeds from sale of marketable securities                                                                    |   |                        | 10,357   |   |   |   | 8,580 |   |
| Proceeds from the sale of property, plant and equipment                                                        |   |                        | 819      |   |   |   | 1,021 |   |
| Other, net                                                                                                     |   |                        | -        |   |   |   | (12 | ) |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Net cash provided by (used in) investing activities                                                            |   |                        | (29,549  | ) |   |   | (7,587 | ) |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Cash flows from financing activities:                                                                          |   |                        |     |   |   |   |   |   |
| Capital contribution from Aeroflex Holding                                                                     |   |                        | 244,021  |   |   |   | - |   |
| Repurchase of senior unsecured notes and senior subordinated unsecured term loans, including premiums and fees |   |                        | (207,690 | ) |   |   | - |   |
| Debt repayments                                                                                                |   |                        | (21,458  | ) |   |   | (4,012 | ) |
| Debt financing costs                                                                                           |   |                        | (3,332   | ) |   |   | - |   |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Net cash provided by (used in) financing activities                                                            |   |                        | 11,541   |   |   |   | (4,012 | ) |
| Effect of exchange rate changes on cash and cash equivalents                                                   |   |                        | 2,595    |   |   |   | (2,051 | ) |
|                                                                                                           |   |                        |     |   |   |   |   |   |
| Net increase (decrease) in cash and cash equivalents                                                           |   |                        | (33,511  | ) |   |   | 38,600 |   |
| Cash and cash equivalents at beginning of period                                                               |   |                        | 100,663  |   |   |   | 57,748 |   |
| Cash and cash equivalents at end of period                                                                     |   | $                           | 67,152   |   |   | $ | 96,348 |   |

----

|   | · | Repurchased an aggregate of $186.6 million of its senior unsecured notes and senior subordinated unsecured term loans and paid the tender premiums and expenses related thereto; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Paid a $16.9 million termination fee to affiliates of the Sponsors to terminate the advisory agreement with them, which, including the related write-off of prepaid advisory fees, resulted in an $18.1 million expense (“Termination Fee”); and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | · | Amended its senior secured credit facility, for which a $3.3 million fee was paid to the lenders. |
|--------|--------|---------------------------------------------------------------------------------------------------|

----

----

| (In thousands)                              |   |   |   |
|---------------------------------------------|--------|--------|--------|
| Current assets (excluding cash of $15)      |   | $      | 4,899  |   |
| Property, plant and equipment               |   |   | 1,156  |   |
| Other assets                                |   |   | 60     |   |
| Customer related intangibles                |   |   | 5,680  |   |
| Non-compete arrangements                    |   |   | 30     |   |
| Tradenames                                  |   |   | 3,010  |   |
| Goodwill                                    |   |   | 10,057 |   |
|    Total assets acquired     |   |   | 24,892 |   |
| Current liabilities                         |   |   | (2,895 | ) |
| Deferred taxes                              |   |   | (3,576 | ) |
|    Total liabilities assumed |   |   | (6,471 | ) |
|    Net assets acquired       |   | $      | 18,421 |   |

|                         |   | March 31, 2011 |    |   | June 30, 2010 |   |
|------------------------------|--------|----------------|---------|--------|---------------|--------|
|                         |   | (In thousands) |    |
|                         |   | Gross          |    |   |          |   |   | Gross |   |   |   |   |
|                         |   | Carrying       |    |   | Accumulated   |   |   | Carrying |   |   | Accumulated |   |
|                         |   | Amount         |    |   | Amortization  |   |   | Amount |   |   | Amortization |   |
|                         |   |           |    |   |          |   |   |   |   |   |   |   |
| Developed technology         |   | $              | 200,791 |   |          | $      | 121,997 |   |   | $ | 197,422 |   |   | $ | 94,672 |   |
| Customer related intangibles |   |           | 229,297 |   |          |   | 115,342 |   |   |   | 222,026 |   |   |   | 94,656 |   |
| Non-compete arrangements     |   |           | 10,443  |   |          |   | 5,942 |   |   |   | 10,087 |   |   |   | 4,420 |   |
| Tradenames                   |   |           | 3,396   |   |          |   | 1,197 |   |   |   | 3,184 |   |   |   | 658 |   |
|    Total      |   | $              | 443,927 |   |          | $      | 244,478 |   |   | $ | 432,719 |   |   | $ | 194,406 |   |

----

|                  |   | BalanceJune 30,2010    |   |   | Nine Months Ended March 31, 2011 |   |   | BalanceMarch 31,2011 |   |
|-----------------------|--------|------------------------|--------|--------|----------------------------------|--------|--------|----------------------|--------|
|                  |   | RestructuringLiability |   |   | Net Additions                    |   |   | Cash Payments        |   |   | Effect offoreigncurrency |   |   | RestructuringLiability |   |
|                  |   | (In thousands)         |   |
| Work force reduction  |   | $                      | 172    |   |                             | $      | 4,936  |                 |   | $ | (3,140 | ) |   | $ | 64 |   |   | $ | 2,032 |   |
| Closure of facilities |   |                   | 632    |   |                             |   | 994    |                 |   |   | (1,181 | ) |   |   | 50 |   |   |   | 495 |   |
| Total                 |   | $                      | 804    |   |                             | $      | 5,930  |                 |   | $ | (4,321 | ) |   | $ | 114 |   |   | $ | 2,527 |   |

|            |   | March 31,      |    |   | June 30, |   |
|-----------------|--------|----------------|---------|--------|----------|--------|
|            |   | 2011           |    |   | 2010     |   |
|            |   | (In thousands) |    |
| Raw materials   |   | $              | 93,272  |   |     | $      | 61,278 |   |
| Work in process |   |           | 55,858  |   |     |   | 44,022 |   |
| Finished goods  |   |           | 22,082  |   |     |   | 21,268 |   |
|            |   | $              | 171,212 |   |     | $      | 126,568 |   |

----

|                                                                               |   | Asset (Liability) Derivatives               |
|------------------------------------------------------------------------------------|--------|---------------------------------------------|
|                                                                               |   | March 31, 2011                              |   | June 30, 2010 |
|                                                                               |   | Balance Sheet                               |   | Fair |   | Balance Sheet |   | Fair |
| (In thousands)                                                                     |   | Location                                    |   | Value(1) |   | Location |   | Value(1) |
| Derivatives designated as hedging                                                  |   |                                        |   |   |   |   |   |   |   |   |
|    instruments:                                                     |   |                                        |   |   |   |   |   |   |   |   |
|    Interest rate swap contracts                                     |   | Accrued expenses and                        |   |   |   |   | Accrued expenses and |   |   |   |
|                                                                               |   |    other current liabilities |   | $ | - |   |    other current liabilities |   | $ | (6,613) |
|                                                                               |   |                                        |   |   |   |   |   |   |   |   |
| Derivatives not designated as                                                      |   |                                        |   |   |   |   |   |   |   |   |
|    hedging instruments:                                             |   |                                        |   |   |   |   |   |   |   |   |
|    Foreign currency forward contracts                               |   | Prepaid expenses and                        |   |   |   |   | Accrued expenses and |   |   |   |
|                                                                               |   |    other current assets      |   |   | 3 |   |    other current liabilities |   |   | (293) |
|                                                                               |   |                                        |   |   |   |   |   |   |   |   |
|           Total derivatives, net |   |                                        |   | $ | 3 |   |   |   | $ | (6,906) |

----

| (1)  See Note 8 for further information about how the fair values of derivative assets and liabilities are determined. |
|----------------------------------------------------------------------------------------------------------------------------------|

| Derivatives in Cash FlowHedging Relationships |   | Amount of Gain or (Loss)Recognized on Derivatives inOther Comprehensive Income(Effective Portion) (1) |   |
|-----------------------------------------------|--------|-------------------------------------------------------------------------------------------------------|--------|
|                                          |   | Three Months EndedMarch 31,                                                                           |   |   | Nine Months EndedMarch 31, |   |
|                                          |   | 2011                                                                                                  |   |   | 2010 |   |   | 2011 |   |   | 2010 |   |
|                                          |   | (In thousands)                                                                                        |   |
| Interest rate swap contracts                  |   | $                                                                                                     | -      |   |   | $ | (1,279 | ) |   | $ | (612 | ) |   | $ | (5,550 | ) |

----

| Location of Gain or (Loss)Reclassified from AccumulatedOther Comprehensive Incomeinto Income (Effective Portion) |   | Amount of Gain or (Loss)Reclassified fromAccumulated Other Comprehensive Incomeinto Income (Effective Portion) (1) |   |
|------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                             |   | Three Months EndedMarch 31,                                                                                        |   |   | Nine Months EndedMarch 31, |   |
|                                                                                                             |   | 2011                                                                                                               |   |   | 2010 |   |   | 2011 |   |   | 2010 |   |
|                                                                                                             |   | (In thousands)                                                                                                     |   |
| Interest expense                                                                                                 |   | $                                                                                                                  | (1,033 | ) |   | $ | (3,666 | ) |   | $ | (7,225 | ) |   | $ | (10,848 | ) |

----

| (1) See Note 11 for additional information on changes to accumulated other comprehensive income (loss). |
|---------------------------------------------------------------------------------------------------------|

| Derivatives NotDesignated asHedging Instruments |   | Location of Gain or (Loss)Recognized in Earnings onDerivative |   | Amount of Gain or (Loss)Recognized in Earnings onDerivative |   |
|-------------------------------------------------|--------|---------------------------------------------------------------|--------|-------------------------------------------------------------|--------|
|                                            |   |                                                          |   | Three Months EndedMarch 31,                                 |   |   | Nine Months EndedMarch 31, |   |
|                                            |   |                                                          |   | 2011                                                        |   |   | 2010 |   |   | 2011 |   |   | 2010 |   |
|                                            |   |                                                          |   | (In thousands)                                              |   |
| Foreign currency forward contracts              |   | Other income (expense)                                        |   | $                                                           | (15    | ) |   | $ | 410 |   |   | $ | 296 |   |   | $ | 641 |   |

|   | Level 1: | Inputs based on quoted market prices for identical assets or liabilities in active markets at the measurement date. |
|--------|----------|---------------------------------------------------------------------------------------------------------------------|

----

|   | Level 2: | Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. |
|--------|----------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Level 3: | Inputs reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date.  The inputs are unobservable in the market and significant to the instruments’ valuation. |
|--------|----------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| As of March 31, 2011               |   | Quoted Prices inActive Marketsfor IdenticalAssets(Level 1) |   |   | Significant OtherObservableInputs(Level 2) |   |   | SignificantUnobservableInputs(Level 3) |   |   | Total  |   |
|------------------------------------|--------|------------------------------------------------------------|--------|--------|--------------------------------------------|--------|--------|----------------------------------------|--------|--------|--------|--------|
|                               |   | (In thousands)                                             |   |
| Assets:                            |   |                                                       |   |   |                                       |   |   |                                   |   |   |   |   |
| Foreign currency forward contracts |   | $                                                          | -      |   |                                       | $      | 3      |                                   |   | $      | -      |   |   | $ | 3 |   |

| As of June 30, 2010                 |   | Quoted Prices inActive Marketsfor IdenticalAssets(Level 1) |   |   | Significant OtherObservableInputs(Level 2) |   |   | SignificantUnobservableInputs(Level 3) |   |   | Total  |   |
|-------------------------------------|--------|------------------------------------------------------------|--------|--------|--------------------------------------------|--------|--------|----------------------------------------|--------|--------|--------|--------|
|                                |   | (In thousands)                                             |   |
| Assets:                             |   |                                                       |   |   |                                       |   |   |                                   |   |   |   |   |
| Non-current marketable securities   |   | $                                                          | -      |   |                                       | $      | -      |                                   |   | $      | 9,769  |   |   | $ | 9,769 |   |
| Liabilities:                        |   |                                                       |   |   |                                       |   |   |                                   |   |   |   |   |   |   |   |   |
| Foreign currency forward contracts  |   | $                                                          | -      |   |                                       | $      | 293    |                                   |   | $      | -      |   |   | $ | 293 |   |
| Interest rate swap contracts        |   |                                                       | -      |   |                                       |   | 6,613  |                                   |   |   | -      |   |   |   | 6,613 |   |
|    Total Liabilities |   | $                                                          | -      |   |                                       | $      | 6,906  |                                   |   | $      | -      |   |   | $ | 6,906 |   |

----

|                                                                                                                      |   | Fair Value MeasurementsUsing SignificantUnobservable Inputs(Level 3) |   |
|---------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------|--------|
|                                                                                                                      |   | AuctionRateSecurities                                                |   |
|                                                                                                                      |   | (In thousands)                                                       |   |
| Balance at June 30, 2010                                                                                                  |   | $                                                                    | 9,769  |   |
| Sold at par                                                                                                               |   |                                                                 | (2,000 | ) |
| Transfer to Level 2                                                                                                       |   |                                                                 | (9,045 | ) |
| Transfer of unrealized loss from accumulated other comprehensive income (loss) to realized loss recorded in other expense |   |                                                                 | 688    |   |
| Unrealized gain (loss) in accumulated other comprehensive income (loss)                                                   |   |                                                                 | 588    |   |
| Balance at March 31, 2011                                                                                                 |   | $                                                                    | -      |   |

|   | · | an 11% premium paid on the debt repurchased, which amounted to $20.5 million; |
|--------|--------|-------------------------------------------------------------------------------|

|   | · | the write-off of the related deferred financing costs of $4.0 million; and |
|--------|--------|----------------------------------------------------------------------------|

|   | · | professional fees of $614,000. |
|--------|--------|--------------------------------|

----

|   | · | increase the amount of cash it can spend for acquisitions of businesses from $20 million per year and a $100 million aggregate amount, to $200 million in the aggregate (with no annual limit), from the effective date of the amendment to the credit facility maturity date, August 15, 2014; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | pay certain fees to affiliates of our Sponsors upon the completion of the Aeroflex Holding IPO.  These fees were paid on November 24, 2010, and consisted of the $2.5 million Transaction Fee for services directly attributable to the equity offering, which was recorded as a reduction of additional paid-in capital, and the $16.9 million Termination Fee. The Termination Fee, when combined with the related write-off of prepaid advisory fees, amounted to an $18.1 million expense which is reported in the statement of operations as Termination of Sponsor Advisory Agreement; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | base its interest rate margin above LIBOR on a grid, with reference to its current credit rating. This increased the interest rate margin by 75 basis points for all tranches of debt within the secured credit facility. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                         |   | March 31, 2011 |    |   |       |   |
|----------------------------------------------|--------|----------------|---------|--------|------------|--------|
|                                         |   | Carrying       |    |   | Estimated  |   |
|                                         |   | Amount         |    |   | Fair Value |   |
|                                         |   | (In thousands) |    |
| Senior secured credit facility B-1 term loan |   | $              | 372,651 |   |       | $      | 374,515 |   |
| Senior secured B-2 term loan                 |   |           | 116,454 |   |       |   | 116,454 |   |
| Senior unsecured notes                       |   |           | 192,845 |   |       |   | 209,237 |   |
| Senior subordinated unsecured term loan      |   |           | 13,573  |   |       |   | 14,913 |   |
| Other                                        |   |           | 745     |   |       |   | 745 |   |
|      Total debt     |   | $              | 696,268 |   |       | $      | 715,864 |   |

----

|                                                                    |   | Three Months Ended |   |   | Nine Months Ended |   |
|-------------------------------------------------------------------------|--------|--------------------|--------|--------|-------------------|--------|
|                                                                    |   | March 31,          |   |   |              |   |   | March 31, |   |   |   |   |
|                                                                    |   | 2011               |   |   | 2010              |   |   | 2011 |   |   | 2010 |   |
| (In thousands)                                                          |   |               |   |   |              |   |   |   |   |   |   |   |
| Net income (loss)                                                       |   | $                  | 4,127  |   |              | $      | 2,856 |   |   | $ | (13,093 | ) |   | $ | (28,301 | ) |
| Increase (decrease) in fair value of                                    |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    interest rate swap contracts, net of tax              |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    provision (benefit) of $401, $927,                    |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    $2,567 and $2,013                                     |   |               | 632    |   |              |   | 1,460 |   |   |   | 4,046 |   |   |   | 3,285 |   |
| Valuation allowance against                                             |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    non-current marketable securities                     |   |               | -      |   |              |   | 780 |   |   |   | 1,276 |   |   |   | 1,002 |   |
| Foreign currency translation adjustment,                                |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
|     net of tax provision (benefit) of $0, $(1,033), |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
|     $625 and $(416)                                 |   |               | 7,200  |   |              |   | (7,890 | ) |   |   | 14,983 |   |   |   | (1,877 | ) |
| Total comprehensive income (loss)                                       |   | $                  | 11,959 |   |              | $      | (2,794 | ) |   | $ | 7,212 |   |   | $ | (25,891 | ) |

----

|                    |   | Unrealized     |   |   | Valuation   |   |   |         |   |   |         |   |   |         |    |
|-------------------------|--------|----------------|--------|--------|-------------|--------|--------|--------------|--------|--------|--------------|--------|--------|--------------|---------|
|                    |   | Gain (Loss)    |   |   | Allowance   |   |   | Minimum      |   |   | Foreign      |   |   |         |    |
|                    |   | on Interest    |   |   | Against     |   |   | Pension      |   |   | Currency     |   |   |         |    |
|                    |   | Rate Swap      |   |   | Non-Current |   |   | Liability    |   |   | Translation  |   |   |         |    |
|                    |   | Contracts      |   |   | Marketable  |   |   | Adjustment   |   |   | Adjustment   |   |   | Total        |    |
|                    |   | (net of tax)   |   |   | Securities  |   |   | (net of tax) |   |   | (net of tax) |   |   | (net of tax) |    |
|                    |   | (In thousands) |   |
|                    |   |           |   |   |        |   |   |         |   |   |         |   |   |         |    |
| Balance, June 30, 2010  |   | $              | (4,046 | )      |        | $      | (1,276 | )            |   | $      | (773         | )      |   | $            | (47,480 | ) |   | $ | (53,575 | ) |
| Nine months' activity   |   |           | 4,046  |   |        |   | 1,276  |         |   |   | -            |   |   |         | 14,983  |   |   |   | 20,305 |   |
| Balance, March 31, 2011 |   | $              | -      |   |        | $      | -      |         |   | $      | (773         | )      |   | $            | (32,497 | ) |   | $ | (33,270 | ) |

----

|                     |   | Three Months Ended |    |   | Nine Months Ended |   |
|--------------------------|--------|--------------------|---------|--------|-------------------|--------|
|                     |   | March 31,          |    |   |              |   |   | March 31, |   |   |   |   |
|                     |   | 2011               |    |   | 2010              |   |   | 2011 |   |   | 2010 |   |
|                     |   | (In thousands)     |    |
| United States of America |   | $                  | 101,533 |   |              | $      | 94,700 |   |   | $ | 291,364 |   |   | $ | 267,089 |   |
| Europe and Middle East   |   |               | 40,623  |   |              |   | 40,975 |   |   |   | 105,281 |   |   |   | 103,684 |   |
| Asia and Australia       |   |               | 44,726  |   |              |   | 29,550 |   |   |   | 117,841 |   |   |   | 85,655 |   |
| Other regions            |   |               | 6,337   |   |              |   | 3,210 |   |   |   | 16,243 |   |   |   | 8,862 |   |
|                     |   | $                  | 193,219 |   |              | $      | 168,435 |   |   | $ | 530,729 |   |   | $ | 465,290 |   |

----

|                                                 |   | Three Months Ended |    |   | Nine Months Ended |   |
|------------------------------------------------------|--------|--------------------|---------|--------|-------------------|--------|
|                                                 |   | March 31,          |    |   | March 31,         |   |
|                                                 |   | 2011               |    |   | 2010              |   |   | 2011 |   |   | 2010 |   |
|                                                 |   | (In thousands)     |    |
|                                                 |   |               |    |   |              |   |   |   |   |   |   |   |
| Net sales                                            |   |               |    |   |              |   |   |   |   |   |   |   |
|    Microelectronic solutions ("AMS")  |   | $                  | 97,856  |   |              | $      | 83,418 |   |   | $ | 264,386 |   |   | $ | 229,939 |   |
|    Test solutions ("ATS")             |   |               | 95,363  |   |              |   | 85,017 |   |   |   | 266,343 |   |   |   | 235,351 |   |
|    Net sales                          |   | $                  | 193,219 |   |              | $      | 168,435 |   |   | $ | 530,729 |   |   | $ | 465,290 |   |
|                                                 |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Segment adjusted operating income                    |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|     - AMS                        |   | $                  | 28,796  |   |              | $      | 23,029 |   |   | $ | 70,625 |   |   | $ | 59,940 |   |
|     - ATS                        |   |               | 18,996  |   |              |   | 19,005 |   |   |   | 43,024 |   |   |   | 47,156 |   |
|     - General corporate expense  |   |               | (3,233  | )      |              |   | (2,189 | ) |   |   | (8,496 | ) |   |   | (7,378 | ) |
| Adjusted operating income                            |   |               | 44,559  |   |              |   | 39,845 |   |   |   | 105,153 |   |   |   | 99,718 |   |
|                                                 |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Amortization of acquired intangibles                 |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    - AMS                              |   |               | (9,220  | )      |              |   | (8,733 | ) |   |   | (27,676 | ) |   |   | (26,312 | ) |
|    - ATS                              |   |               | (6,680  | )      |              |   | (6,675 | ) |   |   | (20,030 | ) |   |   | (20,215 | ) |
| Share-based compensation                             |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    - Corporate                        |   |               | (629    | )      |              |   | (518 | ) |   |   | (1,655 | ) |   |   | (1,563 | ) |
| Restructuring charges                                |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    - AMS                              |   |               | (797    | )      |              |   | - |   |   |   | (6,928 | ) |   |   | - |   |
|    - ATS                              |   |               | (1,901  | )      |              |   | (105 | ) |   |   | (3,862 | ) |   |   | (356 | ) |
| Business acquisition costs                           |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    - Corporate                        |   |               | -       |   |              |   | - |   |   |   | (282 | ) |   |   | - |   |
| Merger related expenses - Corporate                  |   |               | -       |   |              |   | (647 | ) |   |   | (1,222 | ) |   |   | (2,111 | ) |
| Termination of Sponsor Advisory                      |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    Agreement - Corporate              |   |               | -       |   |              |   | - |   |   |   | (18,133 | ) |   |   | - |   |
| Loss on liquidation of foreign                       |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    subsidiary - ATS                   |   |               | -       |   |              |   | - |   |   |   | - |   |   |   | (7,696 | ) |
| Increase in fair value of acquisition                |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    contingent consideration liability |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    - Corporate                        |   |               | (409    | )      |              |   | - |   |   |   | (1,193 | ) |   |   | - |   |
| Current period impact of acquisition                 |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    related adjustments:               |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    Inventory - AMS                    |   |               | -       |   |              |   | - |   |   |   | (551 | ) |   |   | (246 | ) |
|    Inventory - ATS                    |   |               | -       |   |              |   | - |   |   |   | (447 | ) |   |   | - |   |
|    Depreciation - AMS                 |   |               | (38     | )      |              |   | (251 | ) |   |   | (180 | ) |   |   | (791 | ) |
|    Depreciation - ATS                 |   |               | 23      |   |              |   | (172 | ) |   |   | (76 | ) |   |   | (989 | ) |
|    Depreciation - Corporate           |   |               | (55     | )      |              |   | (55 | ) |   |   | (165 | ) |   |   | (165 | ) |
|    Deferred revenue - ATS             |   |               | (21     | )      |              |   | (31 | ) |   |   | (69 | ) |   |   | (96 | ) |
| Operating income (GAAP)                              |   |               | 24,832  |   |              |   | 22,658 |   |   |   | 22,684 |   |   |   | 39,178 |   |
|                                                 |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Interest expense                                     |   |               | (13,852 | )      |              |   | (20,815 | ) |   |   | (55,803 | ) |   |   | (63,272 | ) |
| Loss on extinguishment of debt                       |   |               | -       |   |              |   | - |   |   |   | (25,178 | ) |   |   | - |   |
| Gain from a bargain purchase of                      |   |               |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
|    a business                         |   |               | -       |   |              |   | - |   |   |   | 173 |   |   |   | - |   |
| Other income (expense), net                          |   |               | (119    | )      |              |   | 222 |   |   |   | (526 | ) |   |   | 701 |   |
| Income (loss) before income taxes                    |   | $                  | 10,861  |   |              | $      | 2,065 |   |   | $ | (58,650 | ) |   | $ | (23,393 | ) |

----

| 14. | Income Taxes |
|-----|--------------|

----

| 15.  | Guarantor/Non-Guarantor Financial Information |
|-----------|-----------------------------------------------|

| Aeroflex Incorporated                           |
|-------------------------------------------------|
| Condensed Consolidating Statement of Operations |
| For the Three Months Ended March 31, 2011       |
| (In thousands)                                  |

|                                          |   |   |    |   | Guarantor    |   |    | Non-Guarantor |   |   |         |   |   |         |    |
|-----------------------------------------------|--------|--------|---------|--------|--------------|--------|---------|---------------|--------|--------|--------------|--------|--------|--------------|---------|
|                                          |   | Parent |    |   | Subsidiaries |   |    | Subsidiaries  |   |   | Eliminations |   |   | Consolidated |    |
|                                          |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |
| Net sales                                     |   | $      | -       |   |         | $      | 137,617 |          |   | $      | 57,673       |   |   | $            | (2,071  | ) |   | $ | 193,219 |   |
| Cost of sales                                 |   |   | -       |   |         |   | 65,153  |          |   |   | 23,830       |   |   |         | (2,122  | ) |   |   | 86,861 |   |
|    Gross profit                |   |   | -       |   |         |   | 72,464  |          |   |   | 33,843       |   |   |         | 51      |   |   |   | 106,358 |   |
| Selling, general and administrative costs     |   |   | 4,326   |   |         |   | 24,397  |          |   |   | 9,542        |   |   |         | -       |   |   |   | 38,265 |   |
| Research and development costs                |   |   | -       |   |         |   | 16,507  |          |   |   | 8,156        |   |   |         | -       |   |   |   | 24,663 |   |
| Amortization of acquired intangibles          |   |   | -       |   |         |   | 13,554  |          |   |   | 2,346        |   |   |         | .       |   |   |   | 15,900 |   |
| Restructuring charges                         |   |   | -       |   |         |   | 797     |          |   |   | 1,901        |   |   |         | -       |   |   |   | 2,698 |   |
| Operating income (loss)                       |   |   | (4,326  | )      |         |   | 17,209  |          |   |   | 11,898       |   |   |         | 51      |   |   |   | 24,832 |   |
|                                          |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Other income (expense):                       |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
|    Interest expense            |   |   | (13,830 | )      |         |   | (14     | )             |   |   | (8           | )      |   |         | -       |   |   |   | (13,852 | ) |
|    Other income (expense), net |   |   | 12      |   |         |   | 7       |          |   |   | (138         | )      |   |         | -       |   |   |   | (119 | ) |
| Intercompany charges                          |   |   | 20,149  |   |         |   | (19,561 | )             |   |   | (588         | )      |   |         | -       |   |   |   | - |   |
| Income (loss) before income taxes             |   |   | 2,005   |   |         |   | (2,359  | )             |   |   | 11,164       |   |   |         | 51      |   |   |   | 10,861 |   |
| Provision (benefit) for income taxes          |   |   | 416     |   |         |   | (489    | )             |   |   | 2,565        |   |   |         | 4,242   |   |   |   | 6,734 |   |
| Equity income (loss) of subsidiaries          |   |   | 2,538   |   |         |   | 8,248   |          |   |   | -            |   |   |         | (10,786 | ) |   |   | - |   |
| Net income (loss)                             |   | $      | 4,127   |   |         | $      | 6,378   |          |   | $      | 8,599        |   |   | $            | (14,977 | ) |   | $ | 4,127 |   |

----

| Aeroflex Incorporated                           |
|-------------------------------------------------|
| Condensed Consolidating Statement of Operations |
| For the Three Months Ended March 31, 2010       |
| (In thousands)                                  |

|                                          |   |   |    |   | Guarantor    |   |    | Non-Guarantor |   |   |         |   |   |         |    |
|-----------------------------------------------|--------|--------|---------|--------|--------------|--------|---------|---------------|--------|--------|--------------|--------|--------|--------------|---------|
|                                          |   | Parent |    |   | Subsidiaries |   |    | Subsidiaries  |   |   | Eliminations |   |   | Consolidated |    |
|                                          |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |
| Net sales                                     |   | $      | -       |   |         | $      | 115,931 |          |   | $      | 54,171       |   |   | $            | (1,667  | ) |   | $ | 168,435 |   |
| Cost of sales                                 |   |   | -       |   |         |   | 59,178  |          |   |   | 20,773       |   |   |         | (1,816  | ) |   |   | 78,135 |   |
|    Gross profit                |   |   | -       |   |         |   | 56,753  |          |   |   | 33,398       |   |   |         | 149     |   |   |   | 90,300 |   |
| Selling, general and administrative costs     |   |   | 3,409   |   |         |   | 19,247  |          |   |   | 8,629        |   |   |         | -       |   |   |   | 31,285 |   |
| Research and development costs                |   |   | -       |   |         |   | 14,023  |          |   |   | 6,821        |   |   |         | -       |   |   |   | 20,844 |   |
| Amortization of acquired intangibles          |   |   | -       |   |         |   | 13,250  |          |   |   | 2,158        |   |   |         | -       |   |   |   | 15,408 |   |
| Restructuring charges                         |   |   | -       |   |         |   | -       |          |   |   | 105          |   |   |         | -       |   |   |   | 105 |   |
| Operating income (loss)                       |   |   | (3,409  | )      |         |   | 10,233  |          |   |   | 15,685       |   |   |         | 149     |   |   |   | 22,658 |   |
|                                          |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Other income (expense):                       |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
|    Interest expense            |   |   | (20,797 | )      |         |   | (17     | )             |   |   | (1           | )      |   |         | -       |   |   |   | (20,815 | ) |
|    Other income (expense), net |   |   | 138     |   |         |   | 213     |          |   |   | (129         | )      |   |         | -       |   |   |   | 222 |   |
| Intercompany charges                          |   |   | 19,808  |   |         |   | (19,317 | )             |   |   | (491         | )      |   |         | -       |   |   |   | - |   |
| Income (loss) before income taxes             |   |   | (4,260  | )      |         |   | (8,888  | )             |   |   | 15,064       |   |   |         | 149     |   |   |   | 2,065 |   |
| Provision (benefit) for income taxes          |   |   | (774    | )      |         |   | 928     |          |   |   | 2,697        |   |   |         | (3,642  | ) |   |   | (791 | ) |
| Equity income (loss) of subsidiaries          |   |   | 6,342   |   |         |   | 12,049  |          |   |   | -            |   |   |         | (18,391 | ) |   |   | - |   |
| Net income (loss)                             |   | $      | 2,856   |   |         | $      | 2,233   |          |   | $      | 12,367       |   |   | $            | (14,600 | ) |   | $ | 2,856 |   |

----

| Aeroflex Incorporated                           |
|-------------------------------------------------|
| Condensed Consolidating Statement of Operations |
| For the Nine Months Ended March 31, 2011        |
| (In thousands)                                  |

|                                                         |   |   |    |   | Guarantor    |   |    | Non-Guarantor |   |   |         |   |   |         |    |
|--------------------------------------------------------------|--------|--------|---------|--------|--------------|--------|---------|---------------|--------|--------|--------------|--------|--------|--------------|---------|
|                                                         |   | Parent |    |   | Subsidiaries |   |    | Subsidiaries  |   |   | Eliminations |   |   | Consolidated |    |
|                                                         |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |
| Net sales                                                    |   | $      | -       |   |         | $      | 374,276 |          |   | $      | 162,017      |   |   | $            | (5,564  | ) |   | $ | 530,729 |   |
| Cost of sales                                                |   |   | -       |   |         |   | 184,512 |          |   |   | 71,182       |   |   |         | (5,989  | ) |   |   | 249,705 |   |
|    Gross profit                               |   |   | -       |   |         |   | 189,764 |          |   |   | 90,835       |   |   |         | 425     |   |   |   | 281,024 |   |
| Selling, general and administrative costs                    |   |   | 13,013  |   |         |   | 68,770  |          |   |   | 31,451       |   |   |         | -       |   |   |   | 113,234 |   |
| Research and development costs                               |   |   | -       |   |         |   | 43,954  |          |   |   | 24,523       |   |   |         | -       |   |   |   | 68,477 |   |
| Amortization of acquired intangibles                         |   |   | -       |   |         |   | 40,792  |          |   |   | 6,914        |   |   |         | -       |   |   |   | 47,706 |   |
| Termination of Sponsor Advisory Agreement                    |   |   | 18,133  |   |         |   | -       |          |   |   | -            |   |   |         | -       |   |   |   | 18,133 |   |
| Restructuring charges                                        |   |   | -       |   |         |   | 6,928   |          |   |   | 3,862        |   |   |         | -       |   |   |   | 10,790 |   |
| Operating income (loss)                                      |   |   | (31,146 | )      |         |   | 29,320  |          |   |   | 24,085       |   |   |         | 425     |   |   |   | 22,684 |   |
|                                                         |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Other income (expense):                                      |   |   |    |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
|    Interest expense                           |   |   | (55,753 | )      |         |   | (42     | )             |   |   | (8           | )      |   |         | -       |   |   |   | (55,803 | ) |
|    Loss on extinguishment of debt             |   |   | (25,178 | )      |         |   | -       |          |   |   | -            |   |   |         | -       |   |   |   | (25,178 | ) |
|    Gain from a bargain purchase of a business |   |   | -       |   |         |   | -       |          |   |   | 173          |   |   |         | -       |   |   |   | 173 |   |
|    Other income (expense), net                |   |   | (273    | )      |         |   | 125     |          |   |   | (378         | )      |   |         | -       |   |   |   | (526 | ) |
| Intercompany charges                                         |   |   | 60,173  |   |         |   | (58,400 | )             |   |   | (1,773       | )      |   |         | -       |   |   |   | - |   |
| Income (loss) before income taxes                            |   |   | (52,177 | )      |         |   | (28,997 | )             |   |   | 22,099       |   |   |         | 425     |   |   |   | (58,650 | ) |
| Provision (benefit) for income taxes                         |   |   | (28,658 | )      |         |   | (9,994  | )             |   |   | 4,636        |   |   |         | (11,541 | ) |   |   | (45,557 | ) |
| Equity income (loss) of subsidiaries                         |   |   | 10,426  |   |         |   | 16,735  |          |   |   | -            |   |   |         | (27,161 | ) |   |   | - |   |
| Net income (loss)                                            |   | $      | (13,093 | )      |         | $      | (2,268  | )             |   | $      | 17,463       |   |   | $            | (15,195 | ) |   | $ | (13,093 | ) |

----

| Aeroflex Incorporated                           |
|-------------------------------------------------|
| Condensed Consolidating Statement of Operations |
| For the Nine Months Ended March 31, 2010        |
| (In thousands)                                  |

|                                          |   |   |    |   | Guarantor    |   |    | Non-Guarantor |   |   |         |   |   |         |   |
|-----------------------------------------------|--------|--------|---------|--------|--------------|--------|---------|---------------|--------|--------|--------------|--------|--------|--------------|--------|
|                                          |   | Parent |    |   | Subsidiaries |   |    | Subsidiaries  |   |   | Eliminations |   |   | Consolidated |   |
|                                          |   |   |    |   |         |   |    |          |   |   |         |   |   |         |   |
| Net sales                                     |   | $      | -       |   |         | $      | 333,946 |          |   | $      | 135,530      |   |   | $            | (4,186 | ) |   | $ | 465,290 |   |
| Cost of sales                                 |   |   | -       |   |         |   | 170,892 |          |   |   | 56,597       |   |   |         | (4,230 | ) |   |   | 223,259 |   |
|    Gross profit                |   |   | -       |   |         |   | 163,054 |          |   |   | 78,933       |   |   |         | 44     |   |   |   | 242,031 |   |
| Selling, general and administrative costs     |   |   | 11,217  |   |         |   | 56,403  |          |   |   | 25,368       |   |   |         | -      |   |   |   | 92,988 |   |
| Research and development costs                |   |   | -       |   |         |   | 36,169  |          |   |   | 19,117       |   |   |         | -      |   |   |   | 55,286 |   |
| Amortization of acquired intangibles          |   |   | -       |   |         |   | 39,909  |          |   |   | 6,618        |   |   |         | -      |   |   |   | 46,527 |   |
| Restructuring charges                         |   |   | -       |   |         |   | -       |          |   |   | 356          |   |   |         | -      |   |   |   | 356 |   |
| Loss on liquidation of foreign subsidiary     |   |   | -       |   |         |   | 7,696   |          |   |   | -            |   |   |         | -      |   |   |   | 7,696 |   |
| Operating income (loss)                       |   |   | (11,217 | )      |         |   | 22,877  |          |   |   | 27,474       |   |   |         | 44     |   |   |   | 39,178 |   |
|                                          |   |   |    |   |         |   |    |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Other income (expense):                       |   |   |    |   |         |   |    |          |   |   |         |   |   |         |   |   |   |   |   |   |
|    Interest expense            |   |   | (63,218 | )      |         |   | (51     | )             |   |   | (3           | )      |   |         | -      |   |   |   | (63,272 | ) |
|    Other income (expense), net |   |   | 479     |   |         |   | 587     |          |   |   | (365         | )      |   |         | -      |   |   |   | 701 |   |
| Intercompany charges                          |   |   | 59,399  |   |         |   | (57,953 | )             |   |   | (1,446       | )      |   |         | -      |   |   |   | - |   |
| Income (loss) before income taxes             |   |   | (14,557 | )      |         |   | (34,540 | )             |   |   | 25,660       |   |   |         | 44     |   |   |   | (23,393 | ) |
| Provision (benefit) for income taxes          |   |   | (5,573  | )      |         |   | 436     |          |   |   | 4,962        |   |   |         | 5,083  |   |   |   | 4,908 |   |
| Equity income (loss) of subsidiaries          |   |   | (19,317 | )      |         |   | 19,683  |          |   |   | -            |   |   |         | (366   | ) |   |   | - |   |
| Net income (loss)                             |   | $      | (28,301 | )      |         | $      | (15,293 | )             |   | $      | 20,698       |   |   | $            | (5,405 | ) |   | $ | (28,301 | ) |

----

| Aeroflex Incorporated                 |
|---------------------------------------|
| Condensed Consolidating Balance Sheet |
| As of March 31, 2011                  |
| (In thousands)                        |

|                                           |   |   |     |   | Guarantor    |   |      | Non-Guarantor |   |   |         |   |   |         |    |
|------------------------------------------------|--------|--------|----------|--------|--------------|--------|-----------|---------------|--------|--------|--------------|--------|--------|--------------|---------|
|                                           |   | Parent |     |   | Subsidiaries |   |      | Subsidiaries  |   |   | Eliminations |   |   | Consolidated |    |
| Assets                                         |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |
| Current assets:                                |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |
| Cash and cash equivalents                      |   | $      | 30,275   |   |         | $      | 2,117     |          |   | $      | 34,760       |   |   | $            | -       |   |   | $ | 67,152 |   |
| Accounts receivable, net                       |   |   | -        |   |         |   | 91,575    |          |   |   | 66,807       |   |   |         | -       |   |   |   | 158,382 |   |
| Inventories                                    |   |   | -        |   |         |   | 119,526   |          |   |   | 52,570       |   |   |         | (884    | ) |   |   | 171,212 |   |
| Deferred income taxes                          |   |   | 2,372    |   |         |   | 23,274    |          |   |   | 257          |   |   |         | -       |   |   |   | 25,903 |   |
| Prepaid expenses and other current assets      |   |   | 1,219    |   |         |   | 6,005     |          |   |   | 5,988        |   |   |         | -       |   |   |   | 13,212 |   |
| Total current assets                           |   |   | 33,866   |   |         |   | 242,497   |          |   |   | 160,382      |   |   |         | (884    | ) |   |   | 435,861 |   |
|                                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Property, plant and equipment, net             |   |   | 12,340   |   |         |   | 67,041    |          |   |   | 22,395       |   |   |         | -       |   |   |   | 101,776 |   |
| Deferred financing costs, net                  |   |   | 16,298   |   |         |   | -         |          |   |   | -            |   |   |         | -       |   |   |   | 16,298 |   |
| Other assets                                   |   |   | 14,061   |   |         |   | 8,195     |          |   |   | 6,260        |   |   |         | -       |   |   |   | 28,516 |   |
| Intangible assets with definite lives, net     |   |   | -        |   |         |   | 172,766   |          |   |   | 26,683       |   |   |         | -       |   |   |   | 199,449 |   |
| Intangible assets with indefinite lives        |   |   | -        |   |         |   | 88,413    |          |   |   | 26,276       |   |   |         | -       |   |   |   | 114,689 |   |
| Goodwill                                       |   |   | (10      | )      |         |   | 414,994   |          |   |   | 45,680       |   |   |         | -       |   |   |   | 460,664 |   |
| Total assets                                   |   | $      | 76,555   |   |         | $      | 993,906   |          |   | $      | 287,676      |   |   | $            | (884    | ) |   | $ | 1,357,253 |   |
|                                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Liabilities and Stockholder's Equity           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Current liabilities:                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Current portion of long-term debt              |   | $      | -        |   |         | $      | 360       |          |   | $      | -            |   |   | $            | -       |   |   | $ | 360 |   |
| Accounts payable                               |   |   | 53       |   |         |   | 23,930    |          |   |   | 23,257       |   |   |         | -       |   |   |   | 47,240 |   |
| Advance payments by customers and deferred     |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |   |   |   |   |   |
| revenue                                        |   |   | -        |   |         |   | 17,991    |          |   |   | 13,528       |   |   |         | -       |   |   |   | 31,519 |   |
| Income taxes payable                           |   |   | (1,375   | )      |         |   | 259       |          |   |   | 2,439        |   |   |         | -       |   |   |   | 1,323 |   |
| Accrued payroll expenses                       |   |   | 2,204    |   |         |   | 18,084    |          |   |   | 2,429        |   |   |         | -       |   |   |   | 22,717 |   |
| Accrued expenses and other current liabilities |   |   | 12,897   |   |         |   | 14,671    |          |   |   | 16,048       |   |   |         | -       |   |   |   | 43,616 |   |
| Total current liabilities                      |   |   | 13,779   |   |         |   | 75,295    |          |   |   | 57,701       |   |   |         | -       |   |   |   | 146,775 |   |
|                                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Long-term debt                                 |   |   | 695,523  |   |         |   | 385       |          |   |   | -            |   |   |         | -       |   |   |   | 695,908 |   |
| Deferred income taxes                          |   |   | (12,757  | )      |         |   | 103,202   |          |   |   | 13,606       |   |   |         | (11,540 | ) |   |   | 92,511 |   |
| Defined benefit plan obligations               |   |   | 5,526    |   |         |   | -         |          |   |   | -            |   |   |         | -       |   |   |   | 5,526 |   |
| Other long-term liabilities                    |   |   | 8,324    |   |         |   | 1,276     |          |   |   | 3,230        |   |   |         | -       |   |   |   | 12,830 |   |
| Intercompany investment                        |   |   | (316,126 | )      |         |   | 86,765    |          |   |   | 229,361      |   |   |         | -       |   |   |   | - |   |
| Intercompany receivable/payable                |   |   | (854,579 | )      |         |   | 889,490   |          |   |   | (34,428      | )      |   |         | (483    | ) |   |   | - |   |
| Total liabilities                              |   |   | (460,310 | )      |         |   | 1,156,413 |          |   |   | 269,470      |   |   |         | (12,023 | ) |   |   | 953,550 |   |
|                                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Stockholder's equity                           |   |   | 536,865  |   |         |   | (162,507  | )             |   |   | 18,206       |   |   |         | 11,139  |   |   |   | 403,703 |   |
| Total liabilities and stockholder's equity     |   | $      | 76,555   |   |         | $      | 993,906   |          |   | $      | 287,676      |   |   | $            | (884    | ) |   | $ | 1,357,253 |   |

----

| Aeroflex Incorporated                 |
|---------------------------------------|
| Condensed Consolidating Balance Sheet |
| As of June 30, 2010                   |
| (In thousands)                        |

|                                           |   |   |     |   | Guarantor    |   |      | Non-Guarantor |   |   |         |   |   |         |   |
|------------------------------------------------|--------|--------|----------|--------|--------------|--------|-----------|---------------|--------|--------|--------------|--------|--------|--------------|--------|
|                                           |   | Parent |     |   | Subsidiaries |   |      | Subsidiaries  |   |   | Eliminations |   |   | Consolidated |   |
| Assets                                         |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |
| Current assets:                                |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |
| Cash and cash equivalents                      |   | $      | 75,187   |   |         | $      | (3,821    | )             |   | $      | 29,297       |   |   | $            | -      |   |   | $ | 100,663 |   |
| Accounts receivable, net                       |   |   | -        |   |         |   | 88,051    |          |   |   | 53,544       |   |   |         | -      |   |   |   | 141,595 |   |
| Inventories                                    |   |   | -        |   |         |   | 94,669    |          |   |   | 33,209       |   |   |         | (1,310 | ) |   |   | 126,568 |   |
| Deferred income taxes                          |   |   | 4,939    |   |         |   | 23,224    |          |   |   | (145         | )      |   |         | -      |   |   |   | 28,018 |   |
| Prepaid expenses and other current assets      |   |   | 3,046    |   |         |   | 2,840     |          |   |   | 5,097        |   |   |         | -      |   |   |   | 10,983 |   |
| Total current assets                           |   |   | 83,172   |   |         |   | 204,963   |          |   |   | 121,002      |   |   |         | (1,310 | ) |   |   | 407,827 |   |
|                                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Property, plant and equipment, net             |   |   | 12,491   |   |         |   | 69,150    |          |   |   | 20,021       |   |   |         | -      |   |   |   | 101,662 |   |
| Non-current marketable securities, net         |   |   | 9,769    |   |         |   | -         |          |   |   | -            |   |   |         | -      |   |   |   | 9,769 |   |
| Deferred financing costs, net                  |   |   | 20,983   |   |         |   | -         |          |   |   | -            |   |   |         | -      |   |   |   | 20,983 |   |
| Other assets                                   |   |   | 13,634   |   |         |   | 6,385     |          |   |   | 1,799        |   |   |         | -      |   |   |   | 21,818 |   |
| Intangible assets with definite lives, net     |   |   | -        |   |         |   | 207,849   |          |   |   | 30,464       |   |   |         | -      |   |   |   | 238,313 |   |
| Intangible assets with indefinite lives        |   |   | -        |   |         |   | 85,404    |          |   |   | 24,490       |   |   |         | -      |   |   |   | 109,894 |   |
| Goodwill                                       |   |   | (10      | )      |         |   | 404,632   |          |   |   | 41,252       |   |   |         | -      |   |   |   | 445,874 |   |
| Total assets                                   |   | $      | 140,039  |   |         | $      | 978,383   |          |   | $      | 239,028      |   |   | $            | (1,310 | ) |   | $ | 1,356,140 |   |
|                                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Liabilities and Stockholder's Equity           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Current liabilities:                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Current portion of long-term debt              |   | $      | 21,457   |   |         | $      | 360       |          |   | $      | -            |   |   | $            | -      |   |   | $ | 21,817 |   |
| Accounts payable                               |   |   | 4        |   |         |   | 14,376    |          |   |   | 14,423       |   |   |         | -      |   |   |   | 28,803 |   |
| Advanced payments by customers and deferred    |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |   |   |   |   |   |
| revenue                                        |   |   | -        |   |         |   | 19,091    |          |   |   | 11,650       |   |   |         | -      |   |   |   | 30,741 |   |
| Income taxes payable                           |   |   | 969      |   |         |   | 43        |          |   |   | 3,603        |   |   |         | -      |   |   |   | 4,615 |   |
| Accrued payroll expenses                       |   |   | 2,198    |   |         |   | 18,834    |          |   |   | 2,050        |   |   |         | -      |   |   |   | 23,082 |   |
| Accrued expenses and other current liabilities |   |   | 33,904   |   |         |   | 12,598    |          |   |   | 12,315       |   |   |         | -      |   |   |   | 58,817 |   |
| Total current liabilities                      |   |   | 58,532   |   |         |   | 65,302    |          |   |   | 44,041       |   |   |         | -      |   |   |   | 167,875 |   |
|                                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Long-term debt                                 |   |   | 879,645  |   |         |   | 385       |          |   |   | -            |   |   |         | -      |   |   |   | 880,030 |   |
| Deferred income taxes                          |   |   | 15,835   |   |         |   | 109,570   |          |   |   | 13,444       |   |   |         | -      |   |   |   | 138,849 |   |
| Defined benefit plan obligations               |   |   | 5,763    |   |         |   | -         |          |   |   | -            |   |   |         | -      |   |   |   | 5,763 |   |
| Other long-term liabilities                    |   |   | 1,595    |   |         |   | 8,303     |          |   |   | 2,741        |   |   |         | -      |   |   |   | 12,639 |   |
| Intercompany investment                        |   |   | (287,515 | )      |         |   | 60,154    |          |   |   | 227,361      |   |   |         | -      |   |   |   | - |   |
| Intercompany receivable/payable                |   |   | (842,950 | )      |         |   | 878,174   |          |   |   | (34,740      | )      |   |         | (484   | ) |   |   | - |   |
| Total liabilities                              |   |   | (169,095 | )      |         |   | 1,121,888 |          |   |   | 252,847      |   |   |         | (484   | ) |   |   | 1,205,156 |   |
|                                           |   |   |     |   |         |   |      |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Stockholder's equity:                          |   |   | 309,134  |   |         |   | (143,505  | )             |   |   | (13,819      | )      |   |         | (826   | ) |   |   | 150,984 |   |
| Total liabilities and stockholder's equity     |   | $      | 140,039  |   |         | $      | 978,383   |          |   | $      | 239,028      |   |   | $            | (1,310 | ) |   | $ | 1,356,140 |   |

----

| Aeroflex Incorporated                           |
|-------------------------------------------------|
| Condensed Consolidating Statement of Cash Flows |
| For the Nine Months Ended March 31, 2011        |
| (In thousands)                                  |

|                                                                                                                     |   |   |     |   | Guarantor    |   |    | Non-Guarantor |   |   |         |   |   |         |    |
|--------------------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------------|--------|---------|---------------|--------|--------|--------------|--------|--------|--------------|---------|
|                                                                                                                     |   | Parent |     |   | Subsidiaries |   |    | Subsidiaries  |   |   | Eliminations |   |   | Consolidated |    |
|                                                                                                                     |   |   |     |   |         |   |    |          |   |   |         |   |   |         |    |
| Cash flows from operating activities:                                                                                    |   |   |     |   |         |   |    |          |   |   |         |   |   |         |    |
| Net income (loss)                                                                                                        |   | $      | (13,093  | )      |         | $      | (2,268  | )             |   | $      | 17,463       |   |   | $            | (15,195 | ) |   | $ | (13,093 | ) |
| Changes in operating assets and liabilities and non-cash items included in net income (loss)                        |   |   | (47,693  | )      |         |   | 37,493  |          |   |   | (10,000      | )      |   |         | 15,195  |   |   |   | (5,005 | ) |
| Net cash provided by (used in) operating activities                                                                      |   |   | (60,786  | )      |         |   | 35,225  |          |   |   | 7,463        |   |   |         | -       |   |   |   | (18,098 | ) |
| Cash flows from investing activities:                                                                                    |   |   |     |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Payments for purchase of businesses, net of cash acquired                                                                |   |   | (5,624   | )      |         |   | (17,969 | )             |   |   | -            |   |   |         | -       |   |   |   | (23,593 | ) |
| Capital expenditures                                                                                                     |   |   | (400     | )      |         |   | (11,813 | )             |   |   | (4,919       | )      |   |         | -       |   |   |   | (17,132 | ) |
| Proceeds from sale of marketable securities                                                                              |   |   | 10,357   |   |         |   | -       |          |   |   | -            |   |   |         | -       |   |   |   | 10,357 |   |
| Proceeds from sale of property, plant and equipment                                                                      |   |   | -        |   |         |   | 495     |          |   |   | 324          |   |   |         | -       |   |   |   | 819 |   |
| Net cash provided by (used in) investing activities                                                                      |   |   | 4,333    |   |         |   | (29,287 | )             |   |   | (4,595       | )      |   |         | -       |   |   |   | (29,549 | ) |
|                                                                                                                     |   |   |     |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Cash flows from financing activities:                                                                                    |   |   |     |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Capital contribution from Aeroflex Holding                                                                               |   |   | 244,021  |   |         |   | -       |          |   |   | -            |   |   |         | -       |   |   |   | 244,021 |   |
|                                                                                                                     |   |   |     |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
|                                                                                                                     |   |   |     |   |         |   |    |          |   |   |         |   |   |         |    |   |   |   |   |   |
| Repurchase of senior unsecured notes and senior subordinated unsecured term loans, including premiums and fees |   |   | (207,690 | )      |         |   | -       |          |   |   | -            |   |   |         | -       |   |   |   | (207,690 | ) |
| Debt repayments                                                                                                          |   |   | (21,458  | )      |         |   | -       |          |   |   | -            |   |   |         | -       |   |   |   | (21,458 | ) |
| Debt financing costs                                                                                                     |   |   | (3,332   | )      |         |   | -       |          |   |   | -            |   |   |         | -       |   |   |   | (3,332 | ) |
| Net cash provided by (used in) financing activities                                                                      |   |   | 11,541   |   |         |   | -       |          |   |   | -            |   |   |         | -       |   |   |   | 11,541 |   |
| Effect of exchange rate changes on cash and cash equivalents                                                        |   |   | -        |   |         |   | -       |          |   |   | 2,595        |   |   |         | -       |   |   |   | 2,595 |   |
| Net increase (decrease) in cash and cash equivalents                                                                     |   |   | (44,912  | )      |         |   | 5,938   |          |   |   | 5,463        |   |   |         | -       |   |   |   | (33,511 | ) |
| Cash and cash equivalents at beginning of period                                                                         |   |   | 75,187   |   |         |   | (3,821  | )             |   |   | 29,297       |   |   |         | -       |   |   |   | 100,663 |   |
| Cash and cash equivalents at end of period                                                                               |   | $      | 30,275   |   |         | $      | 2,117   |          |   | $      | 34,760       |   |   | $            | -       |   |   | $ | 67,152 |   |

----

| Aeroflex Incorporated                           |
|-------------------------------------------------|
| Condensed Consolidating Statement of Cash Flows |
| For the Nine Months Ended March 31, 2010        |
| (In thousands)                                  |

|                                                                                              |   |   |    |   | Guarantor    |   |    | Non-Guarantor |   |   |         |   |   |         |   |
|---------------------------------------------------------------------------------------------------|--------|--------|---------|--------|--------------|--------|---------|---------------|--------|--------|--------------|--------|--------|--------------|--------|
|                                                                                              |   | Parent |    |   | Subsidiaries |   |    | Subsidiaries  |   |   | Eliminations |   |   | Consolidated |   |
|                                                                                              |   |   |    |   |         |   |    |          |   |   |         |   |   |         |   |
| Cash flows from operating activities:                                                             |   |   |    |   |         |   |    |          |   |   |         |   |   |         |   |
| Net income (loss)                                                                                 |   | $      | (28,301 | )      |         | $      | (15,293 | )             |   | $      | 20,698       |   |   | $            | (5,405 | ) |   | $ | (28,301 | ) |
|                                                                                              |   |   |    |   |         |   |    |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Changes in operating assets and liabilities and non-cash items included in net income (loss) |   |   | 66,418  |   |         |   | 23,792  |          |   |   | (15,064      | )      |   |         | 5,405  |   |   |   | 80,551 |   |
| Net cash provided by (used in) operating activities                                               |   |   | 38,117  |   |         |   | 8,499   |          |   |   | 5,634        |   |   |         | -      |   |   |   | 52,250 |   |
| Cash flows from investing activities:                                                             |   |   |    |   |         |   |    |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Payment for purchase of business                                                                  |   |   | (4,000  | )      |         |   | -       |          |   |   | -            |   |   |         | -      |   |   |   | (4,000 | ) |
| Capital expenditures                                                                              |   |   | (171    | )      |         |   | (9,444  | )             |   |   | (3,561       | )      |   |         | -      |   |   |   | (13,176 | ) |
| Proceeds from sale of marketable securities                                                       |   |   | 8,580   |   |         |   | -       |          |   |   | -            |   |   |         | -      |   |   |   | 8,580 |   |
| Proceeds from the sale of property, plant and equipment                                           |   |   | -       |   |         |   | 770     |          |   |   | 251          |   |   |         | -      |   |   |   | 1,021 |   |
| Other, net                                                                                        |   |   | (12     | )      |         |   | -       |          |   |   | -            |   |   |         | -      |   |   |   | (12 | ) |
| Net cash provided by (used in) investing activities                                               |   |   | 4,397   |   |         |   | (8,674  | )             |   |   | (3,310       | )      |   |         | -      |   |   |   | (7,587 | ) |
| Cash flows from financing activities:                                                             |   |   |    |   |         |   |    |          |   |   |         |   |   |         |   |   |   |   |   |   |
| Debt repayments                                                                                   |   |   | (4,012  | )      |         |   | -       |          |   |   | -            |   |   |         | -      |   |   |   | (4,012 | ) |
| Net cash provided by (used in) financing activities                                               |   |   | (4,012  | )      |         |   | -       |          |   |   | -            |   |   |         | -      |   |   |   | (4,012 | ) |
| Effect of exchange rate changes on cash and cash equivalents                                 |   |   | -       |   |         |   | -       |          |   |   | (2,051       | )      |   |         | -      |   |   |   | (2,051 | ) |
| Net increase (decrease) in cash and cash equivalents                                              |   |   | 38,502  |   |         |   | (175    | )             |   |   | 273          |   |   |         | -      |   |   |   | 38,600 |   |
| Cash and cash equivalents at beginning of period                                                  |   |   | 31,221  |   |         |   | (15     | )             |   |   | 26,542       |   |   |         | -      |   |   |   | 57,748 |   |
| Cash and cash equivalents at end of period                                                        |   | $      | 69,723  |   |         | $      | (190    | )             |   | $      | 26,815       |   |   | $            | -      |   |   | $ | 96,348 |   |

----

| 16.  | Subsequent Event |
|-----------|------------------|

|   | 1) | to refinance $695.5 million of Aeroflex’s outstanding debt, as follows: |
|--------|----|-------------------------------------------------------------------------------|

|   | · | to repay the entire outstanding balance of $489.1 million under Aeroflex’s existing senior secured credit facilities; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------|

|   | · | to repurchase, pursuant to a tender offer initiated on April 25, 2011, all of Aeroflex’s senior notes of $192.8 million (Aeroflex expects to call any notes not tendered); and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | to repurchase all of Aeroflex’s senior subordinated unsecured term loans of $13.6 million. |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | 2) | to pay fees and expenses totaling $33.8 million in connection with the refinancing, including: |
|--------|----|------------------------------------------------------------------------------------------------|

|   | · | fees to the lenders of $14.2 million; |
|--------|--------|---------------------------------------|

|   | · | a premium of approximately 9% on the repurchased senior notes and senior subordinated unsecured term loans, which amounted to $18.3 million; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | professional fees and other expenses of approximately $1.3 million. |
|--------|--------|---------------------------------------------------------------------|

----

----

|   | · | HiRel microelectronics/semiconductors  |
|--------|--------|---------------------------------------------|

|   | · | RF and microwave components  |
|--------|--------|-----------------------------------|

|   | · | Mixed-signal/digital ASICs  |
|--------|--------|----------------------------------|

|   | · | Motion control products  |
|--------|--------|-------------------------------|

|   | · | Wireless test equipment  |
|--------|--------|-------------------------------|

|   | · | Military radio and Private Mobile Radio, or PMR, test equipment  |
|--------|--------|-----------------------------------------------------------------------|

|   | · | Avionics test equipment  |
|--------|--------|-------------------------------|

|   | · | Synthetic test equipment  |
|--------|--------|--------------------------------|

|   | · | General purpose test equipment and other  |
|--------|--------|------------------------------------------------|

|   | · | Repurchased $186.6 million of its senior unsecured notes and senior subordinated unsecured term loans and paid tender premiums and expenses related thereto; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Paid a $16.9 million termination fee to affiliates of the Sponsors to terminate the advisory agreement with them, which, including the related write-off of prepaid advisory fees, resulted in an $18.1 million expense (“Termination Fee”); and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Amended its senior secured credit facility, for which a $3.3 million fee was paid to the lenders. |
|--------|--------|---------------------------------------------------------------------------------------------------|

----

|   | · | an 11% premium paid on the debt repurchased, which amounted to $20.5 million; |
|--------|--------|-------------------------------------------------------------------------------|

|   | · | the write-off of the related deferred financing costs of $4.0 million; and |
|--------|--------|----------------------------------------------------------------------------|

|   | · | professional fees of $614,000. |
|--------|--------|--------------------------------|

|   | · | increase the amount of cash it can spend for acquisitions of businesses from $20 million per year and a $100 million aggregate amount, to $200 million in the aggregate (with no annual limit), from the effective date of the amendment to the credit facility maturity date, August 15, 2014; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | pay certain fees to affiliates of the Sponsors upon the completion of the Aeroflex Holding IPO.  These fees were paid on November 24, 2010, and consisted of the $2.5 million Transaction Fee for services directly attributable to the equity offering, which was recorded as a reduction of additional paid-in capital, and the $16.9 million Termination Fee. The Termination Fee, when combined with the related write-off of prepaid advisory fees, amounted to an $18.1 million expense which is reported in the statement of operations as Termination of Sponsor Advisory Agreement; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | base its interest rate margin above LIBOR on a grid, with reference to its current credit rating. This increased the interest rate margin by 75 basis points for all tranches of debt within the secured credit facility. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                                |   | Three Months EndedMarch 31, |   |   | Nine Months EndedMarch 31, |   |
|-----------------------------------------------------|--------|-----------------------------|--------|--------|----------------------------|--------|
|                                                |   | 2011                        |   |   | 2010                       |   |   | 2011 |   |   | 2010 |   |
| Net sales                                           |   |                        | 100.0  | %      |                       |   | 100.0 | % |   |   | 100.0 | % |   |   | 100.0 | % |
| Costs of sales                                      |   |                        | 45.0   |   |                       |   | 46.4 |   |   |   | 47.0 |   |   |   | 48.0 |   |
|    Gross profit                      |   |                        | 55.0   |   |                       |   | 53.6 |   |   |   | 53.0 |   |   |   | 52.0 |   |
|                                                |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
| Operating expenses:                                 |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
| Selling, general and administrative costs           |   |                        | 19.7   |   |                       |   | 18.5 |   |   |   | 21.4 |   |   |   | 19.9 |   |
| Research and development costs                      |   |                        | 12.8   |   |                       |   | 12.4 |   |   |   | 12.9 |   |   |   | 11.9 |   |
| Amortization of acquired intangibles                |   |                        | 8.2    |   |                       |   | 9.1 |   |   |   | 9.0 |   |   |   | 10.0 |   |
| Termination of Sponsor Advisory Agreement           |   |                        | -      |   |                       |   | - |   |   |   | 3.4 |   |   |   | - |   |
| Restructuring charges                               |   |                        | 1.4    |   |                       |   | 0.1 |   |   |   | 2.0 |   |   |   | 0.1 |   |
| Loss on liquidation of foreign subsidiary           |   |                        | -      |   |                       |   | - |   |   |   | - |   |   |   | 1.7 |   |
| Total operating expenses                            |   |                        | 42.1   |   |                       |   | 40.1 |   |   |   | 48.7 |   |   |   | 43.6 |   |
|                                                |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
| Operating income                                    |   |                        | 12.9   |   |                       |   | 13.5 |   |   |   | 4.3 |   |   |   | 8.4 |   |
|                                                |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
| Other income (expense):                             |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
|    Interest expense                  |   |                        | (7.2   | )      |                       |   | (12.4 | ) |   |   | (10.5 | ) |   |   | (13.6 | ) |
|    Loss on extinguishment of debt    |   |                        | -      |   |                       |   | - |   |   |   | (4.7 | ) |   |   | - |   |
|    Gain from a bargain purchase of a |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
|       business        |   |                        | -      |   |                       |   | - |   |   |   | - |   |   |   | - |   |
|    Other income (expense), net       |   |                        | (0.1   | )      |                       |   | 0.1 |   |   |   | (0.1 | ) |   |   | 0.2 |   |
|                                                |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) before income taxes                   |   |                        | 5.6    |   |                       |   | 1.2 |   |   |   | (11.0 | ) |   |   | (5.0 | ) |
| Provision (benefit) for income taxes                |   |                        | 3.5    |   |                       |   | (0.5 | ) |   |   | (8.6 | ) |   |   | 1.1 |   |
|                                                |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
| Net income (loss)                                   |   |                        | 2.1    | %      |                       |   | 1.7 | % |   |   | (2.4 | )% |   |   | (6.1 | )% |

----

|         |   | Net Sales                          |   |
|--------------|--------|------------------------------------|--------|
| Three Months |   |                               |   |   | % of |   |   |   |   |   | % of |   |   |   |   |
| Ended        |   |                               |   |   | Consolidated |   |   |   |   |   | Consolidated |   |   |   |   |
| March 31,    |   | AMS                                |   |   | Net Sales |   |   | ATS |   |   | Net Sales |   |   | Total |   |
|         |   | (In thousands, except percentages) |   |
| 2010         |   | $                                  | 83,418 |   |   |   | 49.5 | % |   | $ | 85,017 |   |   |   | 50.5 | % |   | $ | 168,435 |   |
| 2011         |   | $                                  | 97,856 |   |   |   | 50.6 | % |   | $ | 95,363 |   |   |   | 49.4 | % |   | $ | 193,219 |   |

|         |   | Gross Profit                       |   |
|--------------|--------|------------------------------------|--------|
| Three Months |   |                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ended        |   |                               |   |   | % of |   |   |   |   |   | % of |   |   |   |   |   | % of |   |
| March 31,    |   | AMS                                |   |   | Net Sales |   |   | ATS |   |   | Net Sales |   |   | Total |   |   | Net Sales |   |
|         |   | (In thousands, except percentages) |   |
| 2010         |   | $                                  | 42,286 |   |   |   | 50.7 | % |   | $ | 48,014 |   |   |   | 56.5 | % |   | $ | 90,300 |   |   |   | 53.6 | % |
| 2011         |   | $                                  | 51,971 |   |   |   | 53.1 | % |   | $ | 54,387 |   |   |   | 57.0 | % |   | $ | 106,358 |   |   |   | 55.0 | % |

----

|         |   | Selling, General and Administrative Costs |   |
|--------------|--------|-------------------------------------------|--------|
| Three Months |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ended        |   |                                      |   |   | % of |   |   |   |   |   | % of |   |   |   |   |   |   |   |   | % of |   |
| March 31,    |   | AMS                                       |   |   | Net Sales |   |   | ATS |   |   | Net Sales |   |   | Corporate |   |   | Total |   |   | Net Sales |   |
|         |   | (In thousands, except percentages)        |   |
| 2010         |   | $                                         | 10,799 |   |   |   | 12.9 | % |   | $ | 17,077 |   |   |   | 20.1 | % |   | $ | 3,409 |   |   | $ | 31,285 |   |   |   | 18.5 | % |
| 2011         |   | $                                         | 13,483 |   |   |   | 13.8 | % |   | $ | 20,456 |   |   |   | 21.5 | % |   | $ | 4,326 |   |   | $ | 38,265 |   |   |   | 19.7 | % |

----

|         |   | Research and Development Costs     |   |
|--------------|--------|------------------------------------|--------|
| Three Months |   |                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ended        |   |                               |   |   | % of |   |   |   |   |   | % of |   |   |   |   |   | % of |   |
| March 31,    |   | AMS                                |   |   | Net Sales |   |   | ATS |   |   | Net Sales |   |   | Total |   |   | Net Sales |   |
|         |   | (In thousands, except percentages) |   |
| 2010         |   | $                                  | 8,709  |   |   |   | 10.4 | % |   | $ | 12,135 |   |   |   | 14.3 | % |   | $ | 20,844 |   |   |   | 12.4 | % |
| 2011         |   | $                                  | 9,729  |   |   |   | 9.9 | % |   | $ | 14,934 |   |   |   | 15.7 | % |   | $ | 24,663 |   |   |   | 12.8 | % |

----

|        |   | Net Sales                          |    |
|-------------|--------|------------------------------------|---------|
| Nine Months |   |                               |    |   | % of |   |   |   |   |   | % of |   |   |   |   |
| Ended       |   |                               |    |   | Consolidated |   |   |   |   |   | Consolidated |   |   |   |   |
| March 31,   |   | AMS                                |    |   | Net Sales |   |   | ATS |   |   | Net Sales |   |   | Total |   |
|        |   | (In thousands, except percentages) |    |
| 2010        |   | $                                  | 229,939 |   |   |   | 49.4 | % |   | $ | 235,351 |   |   |   | 50.6 | % |   | $ | 465,290 |   |
| 2011        |   | $                                  | 264,386 |   |   |   | 49.8 | % |   | $ | 266,343 |   |   |   | 50.2 | % |   | $ | 530,729 |   |

|        |   | Gross Profit                       |    |
|-------------|--------|------------------------------------|---------|
| Nine Months |   |                               |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ended       |   |                               |    |   | % of |   |   |   |   |   | % of |   |   |   |   |   | % of |   |
| March 31,   |   | AMS                                |    |   | Net Sales |   |   | ATS |   |   | Net Sales |   |   | Total |   |   | Net Sales |   |
|        |   | (In thousands, except percentages) |    |
| 2010        |   | $                                  | 112,487 |   |   |   | 48.9 | % |   | $ | 129,544 |   |   |   | 55.0 | % |   | $ | 242,031 |   |   |   | 52.0 | % |
| 2011        |   | $                                  | 135,386 |   |   |   | 51.2 | % |   | $ | 145,638 |   |   |   | 54.7 | % |   | $ | 281,024 |   |   |   | 53.0 | % |

----

|        |   | Selling, General and Administrative Costs |   |
|-------------|--------|-------------------------------------------|--------|
| Nine Months |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ended       |   |                                      |   |   | % of |   |   |   |   |   | % of |   |   |   |   |   |   |   |   | % of |   |
| March 31,   |   | AMS                                       |   |   | Net Sales |   |   | ATS |   |   | Net Sales |   |   | Corporate |   |   | Total |   |   | Net Sales |   |
|        |   | (In thousands, except percentages)        |   |
| 2010        |   | $                                         | 31,382 |   |   |   | 13.6 | % |   | $ | 50,389 |   |   |   | 21.4 | % |   | $ | 11,217 |   |   | $ | 92,988 |   |   |   | 19.9 | % |
| 2011        |   | $                                         | 39,463 |   |   |   | 14.9 | % |   | $ | 60,758 |   |   |   | 22.8 | % |   | $ | 13,013 |   |   | $ | 113,234 |   |   |   | 21.4 | % |

----

|        |   | Research and Development Costs     |   |
|-------------|--------|------------------------------------|--------|
| Nine Months |   |                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ended       |   |                               |   |   | % of |   |   |   |   |   | % of |   |   |   |   |   | % of |   |
| March 31,   |   | AMS                                |   |   | Net Sales |   |   | ATS |   |   | Net Sales |   |   | Total |   |   | Net Sales |   |
|        |   | (In thousands, except percentages) |   |
| 2010        |   | $                                  | 22,202 |   |   |   | 9.7 | % |   | $ | 33,084 |   |   |   | 14.1 | % |   | $ | 55,286 |   |   |   | 11.9 | % |
| 2011        |   | $                                  | 26,028 |   |   |   | 9.8 | % |   | $ | 42,449 |   |   |   | 15.9 | % |   | $ | 68,477 |   |   |   | 12.9 | % |

----

----

|   | · | to repay the entire outstanding balance of $489.1 million under Aeroflex’s existing senior secured credit facilities; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------|

|   | · | to repurchase, pursuant to a tender offer initiated on April 25, 2011, all of Aeroflex’s senior notes of $192.8 million (Aeroflex expects to call any notes not tendered); and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | to repurchase all of Aeroflex’s senior subordinated unsecured term loans of $13.6 million. |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | · | fees to the lenders of $14.2 million; |
|--------|--------|---------------------------------------|

|   | · | a premium of approximately 9% on the repurchased senior notes and senior subordinated unsecured term loans, which amounted to $18.3 million; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | professional fees and other expenses of approximately $1.3 million. |
|--------|--------|---------------------------------------------------------------------|

----

| Twelve Months Ended March 31, |   | (In thousands) |    |
|-------------------------------|--------|----------------|---------|
| 2012                          |   | $              | 5,798   |   |
| 2013                          |   |           | 7,635   |   |
| 2014                          |   |           | 7,250   |   |
| 2015                          |   |           | 7,250   |   |
| 2016                          |   |           | 7,250   |   |
| Thereafter                    |   |           | 690,562 |   |
| Total                         |   | $              | 725,745 |   |

|                                                  |   | Three Months EndedMarch 31, |   |   | Nine Months EndedMarch 31, |   |
|-------------------------------------------------------|--------|-----------------------------|--------|--------|----------------------------|--------|
|                                                  |   | 2011                        |   |   | 2010                       |   |   | 2011 |   |   | 2010 |   |
|                                                  |   | (In thousands)              |   |
| Net income (loss)                                     |   | $                           | 4,127  |   |                       | $      | 2,856 |   |   | $ | (13,093 | ) |   | $ | (28,301 | ) |
| Interest expense                                      |   |                        | 13,852 |   |                       |   | 20,815 |   |   |   | 55,803 |   |   |   | 63,272 |   |
| Provision (benefit) for income taxes                  |   |                        | 6,734  |   |                       |   | (791 | ) |   |   | (45,557 | ) |   |   | 4,908 |   |
| Depreciation and amortization                         |   |                        | 20,892 |   |                       |   | 20,404 |   |   |   | 62,426 |   |   |   | 62,178 |   |
| EBITDA                                                |   |                        | 45,605 |   |                       |   | 43,284 |   |   |   | 59,579 |   |   |   | 102,057 |   |
|                                                  |   |                        |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |
| Non-cash purchase accounting adjustments              |   |                        | 21     |   |                       |   | 31 |   |   |   | 1,067 |   |   |   | 342 |   |
| Merger related expenses                               |   |                        | -      |   |                       |   | 647 |   |   |   | 1,222 |   |   |   | 2,111 |   |
| Restructuring costs and related pro forma savings (a) |   |                        | 3,747  |   |                       |   | 105 |   |   |   | 13,821 |   |   |   | 356 |   |
| Non-cash share-based compensation                     |   |                        | 629    |   |                       |   | 518 |   |   |   | 1,655 |   |   |   | 1,563 |   |
| Termination of Sponsor Advisory Agreement             |   |                        | -      |   |                       |   | - |   |   |   | 18,133 |   |   |   | - |   |
| Loss on extinguishment of debt                        |   |                        | -      |   |                       |   | - |   |   |   | 25,178 |   |   |   | - |   |
| Non-cash loss on liquidation of foreign subsidiary    |   |                        | -      |   |                       |   | - |   |   |   | - |   |   |   | 7,696 |   |
| Other defined items (b)                               |   |                        | 659    |   |                       |   | (4 | ) |   |   | 3,172 |   |   |   | (346 | ) |
| Adjusted EBITDA                                       |   | $                           | 50,661 |   |                       | $      | 44,581 |   |   | $ | 123,827 |   |   | $ | 113,779 |   |

| (a) | Primarily reflects costs associated with the reorganization of our European operations and consolidation of certain of our U.S. components facilities.  Pro forma savings reflect the amount of costs that we estimate would have been eliminated during the fiscal year in which a restructuring occurred had the restructuring occurred as of the first day of that fiscal year.  Pro forma savings were estimated to be $3.0 million for the nine months ended March 31, 2011, $1.0 million of which is applicable to the three months ended March 31, 2011, $1.2 million applicable to the three months ended December 31, 2010 and $800,000 applicable to the three months ended September 30, 2010. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| (b) | Reflects other adjustments required in calculating Aeroflex’s debt covenant compliance.  These other defined items include pro forma EBITDA for periods prior to the acquisition dates for companies acquired during the periods presented. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | incurring additional indebtedness and issuing disqualified stock or preferred stock; |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | making certain investments or other restricted payments; |
|--------|--------|----------------------------------------------------------|

|   | · | paying dividends and making other distributions with respect to capital stock, or repurchasing, redeeming or retiring capital stock or subordinated debt; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | selling or otherwise disposing of assets; |
|--------|--------|-------------------------------------------|

|   | · | under certain circumstances, issuing or selling equity interests; |
|--------|--------|-------------------------------------------------------------------|

|   | · | creating liens on assets; |
|--------|--------|---------------------------|

|   | · | consolidating or merging with, or acquiring in excess of specified annual limitations, another business, or selling or disposing of all or substantially all of their assets; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | entering into certain transactions with affiliates. |
|--------|--------|-----------------------------------------------------|

----

----

----

----

| Exhibit No. |   | Exhibit Description                                                                                                                                                                               |
|-------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.1        |   | Credit and Guaranty Agreement, dated as of May 9, 2011, amoung Aeroflex Incorporated, Aeroflex Holding Corp., the Guarantor Subsidiaries, the lenders party thereto and JPMorgan Chase Bank, N.A. |
|        |   |                                                                                                                                                                                              |
| 10.2        |   | Pledge and Security Agreement, dated as of May 9, 2011, by the Grantors Party thereto in favor of JPMorgan Chase Bank, N.A., as collateral agent.                                                 |
|        |   |                                                                                                                                                                                              |
| 31.1        |   | Certification of Aeroflex Holding Corp. pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Chief Executive Officer)                       |
|        |   |                                                                                                                                                                                              |
| 31.2        |   | Certification of Aeroflex Incorporated pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Chief Executive Officer)                        |
|        |   |                                                                                                                                                                                              |
| 31.3        |   | Certification of Aeroflex Holding Corp. pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Chief Financial Officer)                       |
|        |   |                                                                                                                                                                                              |
| 31.4        |   | Certification of Aeroflex Incorporated pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Chief Financial Officer)                        |
|        |   |                                                                                                                                                                                              |
| 31.5        |   | Certification of Aeroflex Holding Corp. pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Principal Accounting Officer)                  |
|        |   |                                                                                                                                                                                              |
| 31.6        |   | Certification of Aeroflex Incorporated pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Principal Accounting Officer)                   |
|        |   |                                                                                                                                                                                              |
| 32.1        |   | Certification of Aeroflex Holding Corp. pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Chief Executive Officer)                        |

----

| 32.2   |   | Certification of Aeroflex Incorporated pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Chief Executive Officer)  |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                       |
| 32.3   |   | Certification of Aeroflex Holding Corp. pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Chief Financial Officer) |
|   |   |                                                                                                                                                                       |
| 32.4   |   | Certification of Aeroflex Incorporated pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Chief Financial Officer)  |

----

|         |   |   | AEROFLEX HOLDING CORP.                                                        |   |
|--------------|--------|--------|-------------------------------------------------------------------------------|--------|
|         |   |   |                                                                          |   |
| May 10, 2011 |   |   | /s/ John Adamovich, Jr.                                                       |   |
|         |   |   | John Adamovich, Jr.                                                           |   |
|         |   |   | Senior Vice President andChief Financial Officer(Principal Financial Officer) |   |

|         |   |   | AEROFLEX INCORPORATED                                                         |   |
|--------------|--------|--------|-------------------------------------------------------------------------------|--------|
|         |   |   |                                                                          |   |
| May 10, 2011 |   |   | /s/ John Adamovich, Jr.                                                       |   |
|         |   |   | John Adamovich, Jr.                                                           |   |
|         |   |   | Senior Vice President andChief Financial Officer(Principal Financial Officer) |   |

----

| Exhibit No. |   | Exhibit Description                                                                                                                                                                               |
|-------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.1        |   | Credit and Guaranty Agreement, dated as of May 9, 2011, amoung Aeroflex Incorporated, Aeroflex Holding Corp., the Guarantor Subsidiaries, the lenders party thereto and JPMorgan Chase Bank, N.A. |
|        |   |                                                                                                                                                                                              |
| 10.2        |   | Pledge and Security Agreement, dated as of May 9, 2011, by the Grantors Party thereto in favor of JPMorgan Chase Bank, N.A., as collateral agent.                                                 |
|        |   |                                                                                                                                                                                              |
| 31.1        |   | Certification of Aeroflex Holding Corp. pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Chief Executive Officer)                       |
|        |   |                                                                                                                                                                                              |
| 31.2        |   | Certification of Aeroflex Incorporated pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Chief Executive Officer)                        |
|        |   |                                                                                                                                                                                              |
| 31.3        |   | Certification of Aeroflex Holding Corp. pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Chief Financial Officer)                       |
|        |   |                                                                                                                                                                                              |
| 31.4        |   | Certification of Aeroflex Incorporated pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Chief Financial Officer)                        |
|        |   |                                                                                                                                                                                              |
| 31.5        |   | Certification of Aeroflex Holding Corp. pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Principal Accounting Officer)                  |
|        |   |                                                                                                                                                                                              |
| 31.6        |   | Certification of Aeroflex Incorporated pursuant to Rules 13a-14(a)/15d-14a as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Principal Accounting Officer)                   |
|        |   |                                                                                                                                                                                              |
| 32.1        |   | Certification of Aeroflex Holding Corp. pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Chief Executive Officer)                        |
|        |   |                                                                                                                                                                                              |
| 32.2        |   | Certification of Aeroflex Incorporated pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Chief Executive Officer)                         |
|        |   |                                                                                                                                                                                              |
| 32.3        |   | Certification of Aeroflex Holding Corp. pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Chief Financial Officer)                        |
|        |   |                                                                                                                                                                                              |
| 32.4        |   | Certification of Aeroflex Incorporated pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Chief Financial Officer)                         |

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