Sunrise Telecom(R) Files Forms 10-K and 10-Q for Fiscal Year 2005

SAN JOSE, Calif., Nov. 2 -- Sunrise Telecom(R) Incorporated , a leader in test and measurement solutions for today's telecom, wireless and cable networks, announced today that it has filed with the Securities and Exchange Commission (the "SEC") its Form 10-K for the fiscal year ended December 31, 2005 and its Form 10-Q for the quarter ended September 30, 2005. The Form 10-K reflects restatements of Sunrise Telecom's consolidated balance sheet as of December 31, 2004 and the consolidated statements of operations, stockholders' equity and comprehensive loss, and cash flows for each of the years in the two-year period ended December 31, 2004, each of the quarters of 2004 and the first two quarters of 2005. Sunrise Telecom's decision to restate was based on the results of a voluntary investigation of its historical stock option granting practices that was conducted by management under the direction of the Audit Committee of the Board of Directors and on the company's identification of an error in the method used to calculate its reserve for excess or obsolete inventory, as well as other adjustments relating to income taxes. As a result of the restatement, Sunrise Telecom recorded additional non-cash expenses of approximately $7.0 million in total. The filings can be found on the SEC's website at http://www.sec.gov/.

The Company remains committed to filing its remaining past due periodic reports with the SEC as quickly as possible.

About Sunrise Telecom Incorporated

Sunrise Telecom is a leader in test and measurement solutions for today's telecom, wireless and cable networks. The company's robust portfolio of feature-rich, easy-to-use products enable service providers to deliver premium voice, video, data and next-generation digital multimedia services quickly, reliably, and cost-effectively. Based in San Jose, California, Sunrise Telecom distributes its products through a direct sales force and a global network of sales representatives and distributors. For more information, visit http://www.sunrisetelecom.com/ or email info at sunrisetelecom.com.

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