Comdial Announces Distribution Agreement with Graybar; Graybar to Carry Key Voice Messaging Products.

Business Editors/Technology Writers

SARASOTA, Fla.--(BUSINESS WIRE)--Feb. 11, 2001

Comdial Corporation (Nasdaq:CMDL) announced today that the messaging products of its wholly owned subsidiary Key Voice Technologies will now be available for sale through Graybar. This sales agreement opens up the Key Voice line of award-winning voice mail and unified messaging products to Graybar's international distribution network of 275 stocking locations throughout the U.S. and Canada, as well as locations in Mexico and Puerto Rico.

Prior to this new distribution agreement, which went into effect in January, dealers could only order Key Voice products direct from Comdial. Now, telecomm buyers can benefit from a "one-stop shop" at Graybar where they can purchase both their business phone systems and messaging systems with just one invoice and one line of credit.

Graybar is a leading national independent distributor of communications, data and electrical products with sales exceeding $5 billion annually. Graybar will carry all Key Voice products in its catalogs alongside Comdial's line of business phone systems.

Al Eddings, vice president-Comm/Data Products for Graybar said, "Key Voice is a great addition for our company. We've had much success through the years with Comdial's telephones and business phone systems, and now that we can offer their voice mail and messaging products, too, it's a win-win situation for everyone. This lets our customers order unified messaging along with their phone systems, saving the end user money and giving a competitive edge to our resellers. Plus, our Graybar customers can accumulate credit for their purchases of Key Voice equipment through our `epoint' dealer loyalty program. These are only a few of the reasons why Comdial and our customers value Graybar's distribution services."

Comdial is working closely with Graybar to design product "bundles" that greatly simplify ordering a complete communications solution for businesses of any size. The all-in-one solutions mean that by simply selecting a single order number, a business can get all the components it needs for a complete unified messaging system, a hospitality solution, a call center, and other specific applications.

Comdial announced the new marketing agreement to its dealer network January 2, 2002. Graybar is now stocking many Key Voice products and continues to add products throughout its distribution network.

Graybar Electric Company, Inc., a Fortune 500 service provider, is engaged internationally in the wholesale distribution and supply of electrical, utility, telephone, communications and data equipment and integrated supply services. Graybar's customers are primarily electrical and telecommunications contractors, industrial plants, telephone companies, power utilities, and commercial users.

About Comdial

Comdial Corporation, headquartered in Sarasota, Florida, develops and markets sophisticated communications solutions for small to mid-sized offices, government, and other organizations. Comdial offers a broad range of solutions to enhance the productivity of businesses, including voice switching systems, voice over IP (VoIP), voice processing and computer telephony integration solutions. For more information about Comdial and its communications solutions, please visit our web site at http://www.comdial.com.

Forward-Looking Statements

This press release contains statements that may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Investors and prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, including Comdial Corporation's ability to maintain its listing with Nasdaq, and the various factors set forth from time to time in Comdial's previous filings with the SEC, including Comdial's most recent Form 10-Q. Comdial Corporation undertakes no obligation to publicly update or revise the forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.