Vertical Comdial DX-120 Phone System Raises Bar on Capacity for Growing Enterprises.

Affordable, Easy to Use and Scalable Solution Enhances Productivity and Reduces Operating Costs 

CAMBRIDGE, Mass. -- Vertical Communications (VRCC.OB)("Vertical"), a leading provider of next-generation, IP-based phone systems and applications that help businesses better serve their customers, today announced availability of the Vertical Comdial([R]) DX-120 Business Communications System. The DX-120 continues the legacy of its predecessor, the DX-80 system, which has been widely adopted in numerous customer sites ranging from the private sector to state and local governments. The DX-120 system lets companies easily expand their telecommunications capacity, realize productivity gains with hundreds of built-in calling features and keep pace with operating costs as their businesses scale.

According to Peter Bailey, senior vice president, business development and product marketing, at Vertical Communications, "The DX-120 system underscores the company's track record of providing businesses with affordable solutions that reduce operating costs, improve employee productivity and enhance customer service. Businesses can now deploy a sophisticated communications solution without incurring its costs, complexity and management issues."

Enterprise-Grade Communications for Cost-Conscious Businesses

The modular architecture of the DX-120 scales from a base of four CO lines, eight digital stations and four analog stations up to a 40 x 80 x 8 configuration that includes economical T1 or ISDN-PRI trunking. Both T1 and ISDN-PRI trunking options reduce phone service costs and also support up to 100 Direct Inward Dialing (DID) numbers to boost efficiency. These numbers can be assigned to any endpoint such as a fax line, company greeting, directions or hours, and hotline for improved customer service. Calls can also be completed without a live attendant. The DX-120 system also lets callers transfer incoming DID calls to pre-defined external numbers so that users are always reachable, thereby enhancing customer satisfaction.

The DX-120 system includes eight "Meet-Me" conference bridges. Businesses can conference in multiple parties - whether fixed, mobile or remote - without incurring a third-party cost to initiate and manage the call. An optional Modem Module lets an administrator configure and manage moves, additions and changes remotely. The optional Automated Attendant Module can also be customized to direct incoming calls without additional assistance or equipment.

Russell Windahl, CEO of Minco, Central Minnesota's leading provider of home and business related technology, said, "The capacity of the DX-120 will open up new opportunities for the company to sell into additional markets. In addition, Vertical's in-depth training and support underscore its commitment to dealers for successful implementations of the DX-120 system."

Smooth Migration and Expansion Path

The DX-120 system is designed to facilitate migration from Vertical's widely implemented DX-80 solution. The DX-120 KSU supports DX-80 endpoints and the DX-80 KSU supports the new Edge 120 endpoints. In addition, DX-80 circuit cards will also function in the DX-120 KSU.

To meet incremental growth requirements, customers can add T1 or ISDN-PRI digital trunking modules, a 4-port CO Line Module, an 8-port or 16-port Digital Station Module, a 4-port Analog Station Module or a Modem Module to the DX-120 system. Adding an expansion cabinet increases potential capacity up to a maximum of 40 x 80 x 8.

New Endpoints Enhance D[c]cor and Improve Productivity

For those offices requiring a more upscale and professional interior design, the DX-120 system also includes a family of contemporary, ergonomic and rugged executive, wireless and console endpoints:

* A full-featured, desktop Edge 120 Executive Speakerphone with 30 LED-illuminated programmable buttons;

* A feature-rich, Edge 120 Cordless Speakerphone with 6 LED-illuminated programmable keys for mobile workers; and

* An Edge 120 Direct Station Selection Console with 64 LED-illuminated programmable buttons for enterprises needing a live attendant.

The DX-120 system also enhances productivity with 200 time-saving calling functions and features, including an optional voicemail module capable of storing up to 150 hours of voice messages or call recording.

The DX-120 system is available for ordering today. To learn more about Vertical Comdial solutions or for information about Vertical Communications products, call 800.914.9985 or visit the company Website at www.vertical.com.

About Vertical Communications, Inc.

Vertical Communications, Inc. is a leading provider of next-generation IP-based voice and data communications systems for business. Vertical combines voice and data technologies with business process understanding to deliver integrated IP-PBX and application solutions that enhance customer service and business productivity. Vertical's customers are leading companies of all sizes - from small to large and distributed - and include CVS/pharmacy, Staples and Apria Healthcare. Vertical is headquartered in Cambridge, Mass. and delivers its solutions through a worldwide network of systems integrators, resellers and distributors. For more information, please visit the company's Website at www.vertical.com.

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This release contains forward-looking statements based on current expectations or beliefs, as well as a number of assumptions about future events, and these statements are subject to important facts and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The forward-looking statements in this release address a variety of subjects, including, without limitation, the value that may or may not be placed upon our products as a result of our partner relationships, the ability of our products to improve the financial results of our customers, the perceived value our products have for our customers. The following factors, among others, could cause actual results to differ materially from those described in these forward-looking statements: the risk that the use of our products may fail to improve the financial performance of our customers, and the risk that our current and potential customers may fail to perceive the value that we ascribe to our product offerings, or difficulties and other factors detailed in the Company's filings with the Securities and Exchange Commission including its most recent filings on Form 10-K.

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Vertical Communications and the Vertical Communications logo and combinations thereof are trademarks of Vertical Communications, Inc. Artisoft, TeleVantage, InstantOffice, Comdial and Vertical Networks are registered trademarks of Artisoft, Inc. All other brand and product names are used for identification only and are the property of their respective holders.