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Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Technopeasant who wrote (6399)	9/9/1998 10:11:00 AM
From: MD Bryant	Read Replies (2) \| Respond to of 18016

NEWS RELEASE TRANSMITTED BY CANADIAN CORPORATE NEWS FOR: NEWBRIDGE NETWORKS CORPORATION TSE SYMBOL: NNC NYSE SYMBOL: NN SEPTEMBER 9, 1998 Newbridge Networks Sells Majority Ownership Position in ACC - Ericsson to Develop and Support Carrier Scale Internetworking (CSI) KANATA, ONTARIO--Newbridge Networks today announced it has agreed to sell its majority ownership position in Advanced Computer Communications (ACC), a Newbridge(r) Affiliate and a leading provider of network access solutions, to Ericsson, a world- leading telecommunications supplier. The transaction values ACC at approximately US$285 million. The transaction enables Newbridge to maintain its existing business relationships with ACC including joint research and development programs, and manufacturing and reseller arrangements for the entire ACC product line. Additionally, Ericsson will work with Newbridge in the development and support of Carrier-Scale Internetworking (CSI), the world's first open, standards-based architecture for premium Internet Protocol (IP) services. Ericsson will work with Newbridge and other CSI partners to develop the standards required for end-to-end Quality of Service (QoS) and to implement CSI capability into ACC's Integrated Access Platforms. "This new arrangement enables us to work closely with Ericsson on many fronts including the continuation of our many relationships with ACC," said Terence Matthews, Chairman and Chief Executive Officer, Newbridge Networks. "Newbridge believes the sale of ACC benefits Ericsson and Newbridge in that both parties are now focused on selling and marketing ACC's product line including the award-winning CSI-compliant Tigris Integrated Access Platform which we resell as the MainStreetXpress(tm) 36100 Access Concentrator. We believe Ericsson's strong commitment to R&D, particularly in the remote access space, will add breadth and depth to the ACC product offering." The CSI open architecture is suitable for multivendor networks and adheres to ATM Forum and ITU standards such as QoS support, virtual circuit and virtual path management. The CSI architectural approach establishes open standards that allow for the inclusion of additional third party service agents ensuring that it is a future-proof network investment. ACC is a leading manufacturer of integrated remote access and internetworking products that provide cost-effective solutions for service providers and corporate enterprise networks. ACC leads the industry in the development of Virtual Private Network technologies and solutions designed to address emerging applications for both public and private networks. ACC's products are sold worldwide directly and through strategic channel partners. Ericsson's 100,000 employees are active in more than 130 countries. Their combined expertise in fixed and mobile networks, mobile phones, and infocom systems makes Ericsson a world-leading supplier in telecommunications.