Advanced Fibre Communications Implements Valdero Supply Chain Control.

Business Editors/High-Tech Writers

PALO ALTO, Calif.--(BUSINESS WIRE)--June 20, 2002

Demand and Inventory Control Management Functionality

Allows Telecom Leader to Improve Collaboration and

Communication With Supply Chain Partners

Valdero Corporation, the leader in Intelligent Supply Chain Control, today announced that Advanced Fibre Communications(R), Inc. (AFC(R)) has implemented Valdero's Supply Chain Control software applications, which will enhance AFC's ability to collaborate effectively with contract manufacturers and suppliers. AFC has already implemented the Demand and Inventory Control modules, according to Jeff Rosen, vice president of Operations at AFC. The Inventory Control module provides an always-on view and control of global inventory positions across collaborative, multi-tiered supply chains. The Demand Control module offers continuous visibility into demand variability, forecast accuracy, and forecast consumption. Plus, it allows companies to communicate demand changes in real time to their supplier base.

"We implemented Valdero's Supply Chain Control suite, to give us real-time visibility into changes in the supply chain," said Rosen. "AFC's goal with its supply chain partners is to achieve more effective collaboration that will result in lower inventory costs, lower supply chain operating costs, as well as increased customer satisfaction. We are hoping Valdero can help us achieve these goals."

In the first of two implementation phases, AFC tied two of its primary contract manufacturers (across three sites) into its supply chain framework, allowing them to communicate and share inventory and demand information more easily and effectively.

"AFC has established its leadership in a market where maintaining effective supply chain performance is complicated by distributed manufacturing operations and highly-configured products, leading to a number of communication and management challenges," said S. Singh Mecker, president and CEO of Valdero. "By implementing Valdero for real-time visibility and rapid response to potential problems, AFC is laying the groundwork for deploying a high velocity supply chain for competitive advantage."

Valdero's Supply Chain Control suite delivers dramatic cost reductions and performance improvements across multi-tiered supply chains. Valdero's solutions allow companies to realize significant ROI in a matter of weeks by making it easy for them to continuously identify changes across the extended supply chain; analyze the business impact of those changes; receive guidance on appropriate responses; and act based on their approved procedures, business rules, trends and business objectives.

About AFC

Headquartered in Petaluma, Calif., Advanced Fibre Communications, Inc. is an industry-leading designer and manufacturer of broadband access solutions. With a customer base of more than 800 service providers worldwide, ranging from major incumbents to independent operators and international PTTs, AFC continues to build and support the world's evolving broadband access network architecture. Advanced Fibre Communications, Inc., AFC, and the AFC logo are registered trademarks of Advanced Fibre Communications, Inc.

About Valdero

Valdero Corporation (www.valdero.com) is the leading provider of enterprise-class software solutions for intelligent supply chain control. Valdero gives companies real-time visibility into and resolution of changes in collaborative supply chains. With Valdero, businesses can create high-velocity supply chains, able to respond quickly and efficiently to constant variations in supply, product configuration and customer demand. Valdero has corporate headquarters in Palo Alto, Calif.

Note to Editors: Valdero is a trademark of Valdero Corporation. All other brand, product, and company names used herein may be trademarks or registered trademarks of their respective owners.