Cascade Wins Multimillion Dollar British Telecom Contract.

WESTFORD, Mass.--(BUSINESS WIRE)--December 5, 1994 -- Cascade Communications Corp. today announced that British Telecom has placed a multimillion dollar order for B-STDX 9000 Multiservice WAN Switches which will be deployed to expand BT's Switched Multimegabit Data Service (SMDS) and will provide an evolutionary path to ATM.

Cascade Multiservice WAN Switches will be deployed in two phases. Phase One will integrate Cascade's switches into BT's current metropolitan area network (MAN) to capture low-speed traffic from customer premises and deliver access to high-speed services. Phase Two will implement Cascade's unique ATM Interworking for integration of the MAN into an ATM-based core network.

BT chose Cascade B-STDX 9000 switches because of their close adherence to standards, advantageous price/performance, and internal switch design. In addition, Cascade is the only vendor in the switch market to provide low-speed SMDS functionality within its products.

Jon Shantz, BT's director of Applications and Information Marketing, said, "Cascade switches presented the best solution because they offer a manageable and price efficient platform with good support for our SMDS service features. In addition, they offer the very important, clear evolution to ATM which will prove of significant value to BT."

BT's SMDS service, launched late last year, is primarily designed to interconnect local area networks and powerful computers across the wide area.

The service uses the latest in switching technology and high-performance optical fiber to ensure WAN connectivity and traffic can match LAN speed and price/performance. With Cascade's multiservice capabilities, including support for Frame Relay in addition to SMDS and ATM, BT's broadband service will meet growing customer demand for worldwide information requirements, supporting data, voice and image-based applications.

Daniel E. Smith, president and CEO of Cascade, said, "Cascade's SMDS product offerings have proven to be very successful because they offer carriers a cost-effective and reliable approach to providing SMDS services to end-user customers. The BT contract is an example of our leadership in the SMDS equipment market and is a prestigious customer for Cascade."

Cascade Communications Corp., headquartered in Westford, Massachusetts, is a fast growing, worldwide supplier of Multiservice WAN Switch products and services, providing support for Frame Relay, SMDS, and ATM for today's LAN/WAN interconnect needs. Cascade offers both public carriers and private network providers innovative solutions for high-performance WAN services. Large end-users, Regional Bell Operating Companies, Inter-Exchange Carriers, Competitive Access Providers, and International PTTs are among Cascade's installed customer base. Cascade is publicly traded on the Nasdaq National Market under the symbol "CSCC."

-0-

Note to Editors: B-STDX is a trademark of

Cascade Communications Corp.

CONTACT:

            Joyce Radnor                      Joann Anderson
            Cascade Communications Corp.  or  Copithorne & Bellows
            508-692-2600 X257                 617-252-0606
            Steve Taylor
            British Telecom
            011-44-442-295156