Zhone Announces Newest Member of the IMACS Product Family, the IMACS 200; Integrated Solution for Advanced Voice and Data Applications.

OAKLAND, Calif. -- Zhone Technologies, Inc. (Nasdaq:ZHNE), the first company dedicated to building total-delivery solutions for voice, data and content services worldwide, announced today the introduction of the IMACS 200 to its existing IMACS product line.

Optimized for the unique needs of electric utilities, the IMACS 200 system supports a wide range of specialty traffic, including transmission line protection control (EIA-232 electrical and IEEE C37.94 optical), SCADA, surveillance video, substation automation and alarms, radio, Ethernet and telephony.

The IMACS 200 system offers a powerful array of integrated network diagnostic and fault isolation capabilities. These include Bit Error Rate Testers, test tone and signaling state generation, digital and analog loop back-support, and remote configuration and control. IMACS 200 meets stringent standards criteria, such as IEEE 1613, RoHS, and CE, which means it can be deployed anywhere in the network.

Optimized for electrical utility sub-station applications, the IMACS 200 supports the latest IEEE C37.94 standard for data over fiber that is so critical to the secure operation of the electrical grid. Zhone's IMACS 200 can be deployed in harsh environments where conventional communications devices would not survive. Its smaller size and lower price points establish a new competitive benchmark. And its commonality with the Zhone IMACS family means minimal training and familiarization for existing IMACS customers.

"The concept of an integrated one box solution for advanced voice and data applications began with the introduction of the IMACS," said Joe Fortin, associate vice president of Zhone's TDM products group. "With more than 80,000 systems deployed worldwide, the IMACS is an established leader in the access marketplace. The IMACS 200 extends that tradition with an integrated solution optimized to economically address smaller port size applications."

An array of the most popular interfaces and features from the IMACS has been bundled into a small 2U chassis providing the ultimate in ease of installation. However, small in size does not mean small in feature content. Interfaces ranging from legacy RS-232, V.35, plus 2 and 4 wire analog voice, as well as the more modern Ethernet and C37.94 optical are all supported from the same access device, along with a flexible cross connect fabric for maximum use of existing T1 facilities.

Reliable communications are vital to any organization. The IMACS 200 addresses this need while providing compact size, low cost, and a high level of voice and data integration. This makes it an ideal choice for providing a variety of services to small end points and remote locations in any modern telecommunications network.

About Zhone Technologies, Inc. (Zhone)

Zhone designs and manufactures network equipment for network operators worldwide. Zhone's products allow network operators to deliver a rich array of voice, data, video, and entertainment services over their existing networks while simultaneously retooling for converged packet based voice (VoIP) and video (IPTV) over copper or fiber access lines.

Zhone's advanced networking solutions include the Single Line Multi-Service architecture (SLMS(TM)), Multi-Access Line Concentrator (MALC(TM)), Raptor(TM) ATM/IP DSLAMs, Zhone Residential Gateways (ZRG(TM)), GigaMux(TM) Optical Transport Systems and Zhone Management System (ZMS(TM)). With deployments at over 600 carriers including among some of the world's largest networks, Zhone has enabled network operators to reinvent their businesses. For more information, please visit http://www.zhone.com.

Zhone, the Zhone logo, and all Zhone product names are trademarks of Zhone Technologies, Inc. Other brand and product names are trademarks of their respective holders. Specifications, products, and/or product names are all subject to change without notice. Copyright (C) 2006 Zhone Technologies, Inc. All rights reserved.