C-COR Announces Agreement on Terms to Purchase Stargus.

Business Editors/High-Tech Writers

SCTE Cable-Tec Expo 2004

STATE COLLEGE, Pa.--(BUSINESS WIRE)--June 15, 2004

Proposed Acquisition Would Add Expert DOCSIS(TM) Network Management to

C-COR's Industry-Leading, Multi-Modular OSS Solution for Broadband

C-COR.net Corp. (Nasdaq:CCBL), a worldwide provider of broadband transport products, software systems, and technical services, today announced that the Company has agreed on the terms to acquire all of the outstanding securities of Stargus, Inc. (www.stargus.com) for a cash payment of approximately $17 million. Stargus, a privately-held company headquartered in Andover, Massachusetts, is a provider of comprehensive network and service management solutions, including network optimization, subscriber usage reporting, and capacity planning, specifically designed for cable broadband networks. The purchase transaction is subject to negotiation of a definitive purchase agreement and customary conditions and is expected to be completed in the first quarter of C-COR's fiscal year 2005. With the completion of the proposed purchase, Stargus would become part of C-COR's Broadband Management Solutions (BMS) division. C-COR anticipates that in fiscal year 2005 the Stargus acquisition would add approximately $8 million in net sales and contribute to earnings after integration is completed, which is expected to be within six months of closing.

Founded in June 2000 and managed by cable industry veterans, key architects of the DOCSIS(TM) standards, and software system experts, Stargus provides a portfolio of products that enables broadband operators to take control of cable's last mile by reducing operating costs and revenue leakage, enabling new revenue-generating services such as VoIP, and improving customer satisfaction. Stargus systems are in use managing over 5 million DOCSIS devices worldwide.

The Stargus CableEdge(TM) product line adds key components -- network optimization as well as abuse and capacity management -- to C-COR's Integrated Services Management (ISM(TM)) System, the cable industry's most comprehensive OSS (Operations Support Systems) offering. C-COR's ISM currently offers network, mobile workforce, and subscriber management modules and serves a worldwide customer base. By contributing technical expertise, synergistic advanced products, and a growing customer base of leading MSOs (Multiple System Operators) to the BMS division, Stargus will solidify C-COR's position as the leading global provider of OSS solutions for broadband operators.

Commenting on the proposed acquisition, C-COR Chairman and CEO David Woodle stated, "Stargus would have a strong positive impact on our standing as a top OSS provider to the broadband industry. Even more significantly, however, this and our other recent acquisitions contribute important components to our multi-dimensional strategy of offering transport products overlaid by management software and technical services for the all-digital, on-demand, IP networks of the future. Our customers' customers buy a service, not a network. By covering the full network lifecycle with our three product offerings, we help cable operators deliver those services flawlessly."

Larry Derany, COO of Stargus, also stated, "The Stargus team is looking forward to the C-COR relationship to enable accelerated penetration of the cable market with an expanding set of OSS solutions. The market need has been validated and C-COR is positioned to be the leader."

C-COR will hold a conference call regarding the agreement to purchase Stargus on Tuesday, June 15, 2004, at 1:30 PM (ET). For information on how to access the conference call, refer to the C-COR news release of June 15, 2004, posted on the Company's web site (www.c-cor.net) or call C-COR's Investor Relations at 814-231-4440.

About C-COR (www.c-cor.net)

C-COR is a top-tier global provider of premium quality optical packet and digital video telecommunication transport products; end-to-end fiber-to-the-premise systems; comprehensive Operations Support Systems (OSS) solutions; and high-end technical field services -- all supporting cost-effective delivery of voice, video, and high-speed data over advanced broadband networks. Headquartered in the U.S. with facilities worldwide, C-COR's mission is to provide our customers with second-to-none network integrity throughout the full network life cycle. C-COR's common stock is listed on the Nasdaq National Market (Symbol: CCBL) and is a component of the Russell 2000 Stock Index.

Some of the information presented in this announcement constitutes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements represent the Company's judgment regarding future events, and are based on currently available information. Although the Company believes it has a reasonable basis for these forward-looking statements, the Company cannot guarantee their accuracy and actual results may differ materially from those the Company anticipated due to a number of uncertainties, many of which the Company is not aware. Factors which could cause actual results to differ from expectations include, among others, capital spending patterns of the communications industry, changes in regard to significant customers, the demand for network integrity, the trend toward more fiber in the network, the Company's ability to develop new and enhanced products, the Company's ability to provide complete network solutions, continued industry consolidation, the development of competing technology, the global demand for the Company's products and services, and the Company's ability to negotiate, complete, and integrate acquisitions and achieve its strategic objectives. For additional information concerning these and other important factors that may cause the Company's actual results to differ materially from expectations and underlying assumptions, please refer to the reports filed by the Company with the Securities and Exchange Commission.