News Release

FOR IMMEDIATE RELEASE
August 21, 2007

For More Information Contact:
Paul Runice, Treasurer
952.937.4003

Sue Knight, Vice President and CFO

952.937.4000

MTS Board Authorizes 3.0 Million Share Purchase

Eden Prairie, Minn. – August 20, 2007 – MTS Systems Corporation (NASDAQ: MTSC) announced today that its Board of Directors has authorized a 3.0 million share purchase in addition to the approximately 575 thousand shares remaining under an existing Board authorization approved in August of 2005. The new authorization is equal to about 17% of MTS’ shares outstanding June 30, 2007.

“While our top priority for the Company’s cash is investing for profitable growth – both internally and through acquisitions – our financial position enables us to return cash to shareowners through share purchases in addition to regular dividends,” said Sidney W. Emery, Jr., Chairman and Chief Executive Officer. “This authorization reflects the execution of our previous authorization and our continued confidence in MTS’ global market position, operational momentum and strong financial results.”

The authorization allows the Company to purchase shares at prevailing market prices in the open market, via block purchases or in private transactions and may be discontinued at any time. MTS purchased 1.8 million shares in its fiscal 2006 and 800 thousand shares through the nine months of fiscal 2007 ended June 30, 2007.

About MTS Systems Corporation
MTS Systems Corporation is a leading global supplier of test systems and industrial position sensors. The Company’s testing hardware, software, and service solutions help customers accelerate and improve their design, development, and manufacturing processes and are used for determining the mechanical behavior of materials, products and structures. MTS’ high-performance position sensors enhance control to improve the productivity and safety of fixed and mobile industrial equipment. MTS had 1,510 employees and revenue of $397 million for the fiscal year ended September 30, 2006. Additional information on MTS can be found on the worldwide web at http://www.mts.com

This release contains “forward-looking statements” made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995 that are subject to certain risks and uncertainties, as well as assumptions, that could cause actual results to differ materially from historical results and those presently anticipated or projected. The Company does not undertake any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. In addition to the factors discussed above, other important risk factors are delineated in the Company’s most recent SEC Form 10-Q and 10-K filings.