Energis and Newbridge Sign New Five-Year Agreement Valued at Approximately $200 Million.

ATLANTA, GEORGIA--(BUSINESS WIRE)--June 11, 1998-- Newbridge(TSE:NNC.) (NYSE:NN) Energis and Newbridge Networks today signed an agreement under which both companies will align their data networking strategies for the future. The agreement includes a contract valued at approximately $200 million for asynchronous transfer mode (ATM) switching equipment and related services, as well as the formation of a five-year 'Partners in Data' agreement. This extends the two companies' existing three-year relationship in the development and deployment of advanced data services.

By working together on current and future products, Energis and Newbridge will ensure that the multiservice data network fully meets the service requirements of Energis' customers. Energis was the first carrier to launch an ATM service in the UK and has already deployed ATM and frame relay solutions for a broad range of customers, including The Mirror Group, Boots, and the BBC's digital television network. Through Energis' extensive customer base, Newbridge will benefit from the ability to assess and respond to emerging trends in data requirements.

"The demand for sophisticated data services is growing rapidly," said Geoffrey Cheetham, Marketing Director, Energis. "Under 'The Partners in Data' agreement we gain the industry's most advanced switching solutions, which Energis will be able to build on to deliver innovative new services that match the requirements of both existing and new customers."

Alan Lutz, President and Chief Operating Officer, Newbridge Networks, said: "We are delighted to further deepen our relationship with Energis, which has already proven to be very successful for both companies. The closer cooperation between our two companies will enable us to meet the changing demands of corporate customers today and in the future. Increasingly, customers want flexibility, low cost of ownership, a seamless migration path, low operating costs, and a degree of future-proofing. Energis' creative approach to services, combined with the Siemens / Newbridge industry-leading ATM platforms and network and service management systems, will continue to deliver truly innovative business services to customers."

Energis' data services centre around the Siemens / Newbridge MainStreetXpress(TM) 36170 Multiservices Switches, offering business customers unique value in meeting their needs for Internet, intranet, data, voice and video applications. These data services are supported from the Energis operations centre by sophisticated network and service management capabilities based on the Siemens / Newbridge MainStreetXpress 46020 Network Manager, which ensures the highest service performance levels.

Energis plc, the telecommunications company focused exclusively on the business marketplace, built its national network primarily along the National Grid's electricity pylon infrastructure. With over 5000 kms of fibre optic cable installed throughout England and Wales, a capacity-sharing agreement with Scottish Telecom and an international licence, Energis offers businesses a full portfolio of national and international services, including: innovative telephony services, advanced frame relay and ATM for data transmission, and enhanced voice services, such as local rate, national rate and freephone.

Newbridge Networks (NYSE: NN; TSE: NNC) designs, manufactures, markets and services networking solutions to organizations in more than 100 countries. Newbridge leverages its relationship with 16 Affiliate companies and strategic alliances with Siemens and 3Com Corporation to deliver seamless, end-to-end solutions. Newbridge customers include the world's 250 largest telecommunications service providers and more than 10,000 corporations, government organizations and other institutions. Founded in 1986, the Company employs more than 6,000 people on five continents. News and information are available at www.newbridge.com.

MainStreetXpress is a trademark used by Siemens AG and Newbridge for comprehensive solutions in broadband communication. No agency relationship, partnership, or joint ownership of a legal entity is to be inferred or implied by the use of the term "Alliance".

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