Newbridge Networks To Deliver World-Class Solution To Telkom South Africa.

KANATA, ONTARIO--(BUSINESS WIRE)--Sept. 22, 1998-- NEWBRIDGE(TSE:NNC.) (NYSE:NN) Newbridge Multiservices ATM Network to Provide Enhanced Nationwide Services

Newbridge Networks (NYSE: NN; TSE: NNC) has been awarded a multi-million dollar contract to supply the Company's flagship asynchronous transfer mode (ATM) internetworking solution to provide a new broadband managed network infrastructure for Telkom South Africa. The initial agreement between Newbridge and Telkom South Africa, representing a significant portion of the carrier's $160 million reinvestment program, covers a two-year period, with an option to extend the relationship to 10 years.

The innovative network will enable Telkom South Africa to deliver a broad range of multimedia services to its business customers and satisfy the growing demand for telecommunications services from residential customers. In addition it will provide a flexible and scalable platform for Telkom South Africa to compete successfully as new entrants establish themselves. The Newbridge(r) solution will deliver a flexible, fully managed standards-based infrastructure to South Africa, providing voice, video, data and Internet Protocol (IP) services over ATM.

The infrastructure solution, supplied by Newbridge through its channel partner PQ Networks, provides a core ATM backbone interconnecting the key business centers of Johannesburg, Cape Town, Durban, Pretoria, Port Elizabeth and Bloemfontein. Telkom South Africa's investment in ATM will include the Siemens / Newbridge MainStreetXpress(tm) 36170 Multiservices Switch, the industry's best selling ATM system, providing a single, unifying network platform for all service types. End-to-end network management will be provided through the MainStreetXpress 46020 Network Manager, a reliable, scalable network management solution that provides network operators with a full range of configuration capabilities on multi-service networks through a point-and-click graphical user interface.

The new network will also pave the way for Telkom South Africa to deliver differentiated IP Virtual Private Network (IP VPN) services to its enterprise customers through the Carrier Scale Internetworking(tm) (CSI) architecture. CSI extends the capabilities of the Newbridge multi-service and multi-access ATM platform by marrying the scalability, reliability, guaranteed quality-of-service and end-to-end manageability of ATM with the ubiquity of IP. Customers will be able to manage their own virtual private networks (VPNs) over the new infrastructure, using products from Newbridge Affiliate CrossKeys Systems Corporation.

Andy Bull, General Manager, Newbridge Networks, South Africa, stated: "We are delighted that Telkom South Africa has selected our ATM equipment based on our key strengths of network management and service flexibility. The new infrastructure will provide Telkom South Africa with a core ATM network that satisfies immediate needs and has the flexibility to grow and evolve to meet evolving customer requirements. Our CSI architecture provides Telkom South Africa with a practical and effective path for delivering additional differentiated IP VPN offerings."

Newbridge Networks designs, manufactures, markets and services networking solutions to organizations in more than 100 countries. The Company leverages its relationship with a growing family of Newbridge Affiliate companies and strategic alliances with Siemens and 3Com Corporation to deliver seamless, end-to-end solutions. Newbridge customers include the world's 300 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. Newbridge, logo are registered trademarks of Newbridge Networks Corporation.

MainStreetXpress is a trademark used exclusively by Siemens and Newbridge Networks.