Chinese Cable Operator Selects Riverstone for Province-Wide Voice, Video, and Data Network Buildout.

Business Editors/High-Tech Writers

SANTA CLARA, Calif.--(BUSINESS WIRE)--Nov. 20, 2002

Metropolitan area networking pioneer Riverstone Networks, Inc. (Nasdaq:RSTN) today announced that Shanxi Cable, the provincial cable provider for Shanxi, has deployed Riverstone's family of RS routers to build out a metropolitan network in the province's capital Taiyuan. Riverstone's metro routers enable Shanxi Cable to deliver virtual private networks (VPNs), video on demand and cyber education applications throughout Taiyuan.

Shanxi Cable will deploy Riverstone's RS 8600 and RS 3000 routers to extend advanced IP-services to the province's businesses and residents. To rapidly deploy these services, Shanxi Cable is using Riverstone's RapidOS Management Center, a comprehensive carrier-class network management system that provides a full suite of configuration and monitoring tools. Riverstone's RapidOS Element Management System (EMS), a key component of its RapidOS Management Center, is the primary tool that allows Shanxi Cable to simplify the management of its network. Riverstone's EMS provides fault detection, configuration, accounting and security features to support the management of all Riverstone RS routers and associated services.

"Chinese cable operators do not face the same regulatory impediments to deploying broadband networks as traditional telecommunications providers," said Andrew Feldman, Riverstone's vice president of corporate marketing and development. "While China's incumbent providers have cut back on capital expenditures in the wake of massive reorganizations, the cable operators are continuing to deploy advanced services to meet the needs of a rapidly growing subscriber base."

The State Administration of Radio, Film and Television (SARFT) is responsible for regulating the national radio and cable transmission networks while the Ministry of Information Industry (MII) regulates telecommunications and other information technology related services. China's State Council has not yet ruled on which department should control broadband regulations. In the absence of clear direction, SARFT is allowing cable operators to upgrade their networks into high-speed two-way communications networks. Already provincial cable operators, like Shanxi Cable, are offering Internet services that often sharply undercut those offered by leading telecommunications providers.

According to Chinese government surveys, the number of people accessing the Internet is doubling every six months. China currently ranks third in the world behind the U.S. and Japan for Internet usage with more than 45 million active users. The Chinese government also estimates that there are now 16 million computers linked to the Internet, a 61 percent increase over last year, and that the average user spends more than eight hours a week online. This exponential rate of growth in a period of careful capital expenditures is leading carriers to search for cost effective expansion solutions.

The 160,000 square kilometer province, bordered in the north by the Great Wall, is home to more than 33 million people. Shanxi is China's main coal-producing province, accounting for more than one-fourth of the country's total production.

Riverstone collaborated with Hong Kong-based Vodatel Networks to design a resilient broadband network infrastructure for Shanxi Cable. Vodatel will integrate the network and provide technical support for the deployment.

About Vodatel Networks

Vodatel Networks is a leading network solutions provider in the People's Republic of China, specializing in Digital Data Network (DDN), Frame Relay, Asynchronous Transfer Mode (ATM) and Internet Protocol (TCP/IP) technologies. Headquartered in Macau, it offers fully integrated services ranging from network planning, design and installation to implementation as well as maintenance and after-sales technical support to public telecommunications service providers. Its excellent communications network services link up people and organizations, enabling faster and more efficient communication.

About Riverstone Networks

Riverstone Networks, Inc. (Nasdaq:RSTN) provides solutions for metropolitan area networks, enabling carriers to convert raw bandwidth into profitable services. In more than 50 countries, carriers operating many of the world's largest metropolitan area networks depend on Riverstone to create and reliably deliver profitable services over legacy and next-generation infrastructures. Worldwide, Riverstone routers are the trusted choice of telecommunications carriers. For more information, please visit Riverstone's web site at www.riverstonenet.com.

Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements speak only as of the date hereof and are subject to risks and uncertainties that may cause actual results to differ materially. These risks and uncertainties include the risks detailed from time to time in Riverstone Networks' SEC reports, including its final prospectus dated August 31, 2002. Riverstone Networks disclaims any intent or obligation to update or revise these forward-looking statements.

Note to Editors: Riverstone Networks is a trademark of Riverstone Networks, Inc. All other trademarks, service marks, and trade names belong to their respective owners.