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AT&T TO MANUFACTURE AND MARKET EQUIPMENT IN CANADA

 AT&T TO MANUFACTURE AND MARKET EQUIPMENT IN CANADA
 WATERLOO, Ontario, April 23 /PRNewswire/ -- As part of an


ongoing thrust to globalize its business, AT&T (NYSE: T) will begin to manufacture and market leading-edge-technology network telecommunications equipment in Canada, the company announced today.
 The AT&T Network Systems equipment will be manufactured starting in late 1992 at an existing plant that is owned and operated by NCR, AT&T's computer systems subsidiary. The facility's mandate, the first such for a Canadian plant, involves manufacturing of AT&T transmission products for global distribution.
 Employing state-of-the-art surface-mount technology (SMT), the plant will produce circuit packs for AT&T's FT-2000 Lightwave System, which complies with the Synchronous Optical Network (SONET) standard for transmitting large volumes of voice and data communications over optical fibers.
 The regional economy will benefit from AT&T's presence because production on the facility's SMT circuit pack line will be increased from one shift to three and local vendors will be a source of materials for the new production.
 Within a year, AT&T plans to begin manufacturing circuit packs for two additional transmission products, the DACS II Digital Access and Cross-Connect System and the DDM-2000 Network Multiplexer, at the facility. AT&T also expects to begin research and development activities in Canada in the area of SONET transmission.
 AT&T Network Systems, headquartered in Morristown, N.J., sells these and other transmission systems in Canada, the United States, and around the world to telephone companies and other service providers who want to expand and upgrade their networks. By year-end 1993, the company said, the Canadian operation will annually produce in excess of 30,000 circuit packs, valued at $20 million, for use globally in AT&T equipment.
 Pierre Nadeau, vice president-marketing and sales, AT&T Network Systems Canada, said, "Doing part of our manufacturing here is a smart business move and reinforces our commitment to Canada and to marketing our transmission systems to Canadian telecommunications service providers."
 "We are delighted with AT&T's decision to invest in the manufacturing and research and development of its most advanced transmission technology here in Ontario," said the Hon. Ed Philip, Ontario Minister of Industry, Trade and Technology. "Through our industrial strategy, we are working to create a competitive environment where world-class companies such as AT&T are encouraged to produce higher value-added goods and services in key sectors like telecommunications."
 According to William Tait, general manager of the NCR facility located in Waterloo, "This additional manufacturing of new technology diversifies the output of our plant and represents a great opportunity for us and AT&T Network Systems to maximize the use of our facilities in Canada and serve customers more efficiently. It's another example of the tremendous strengths that NCR and AT&T can jointly bring to bear to produce systems that serve our customers better."
 NCR Waterloo will produce circuit packs for use in AT&T's 2000 Product Family of SONET-compatible transmission products for both domestic and international customers, said Mal Buchner, AT&T Transmission Systems vice president. "Today's announcement is a natural evolution in AT&T's plan to expand its global presence; Canada is of critical importance to us in our global strategy," he said.
 AT&T, which acquired NCR last year, provides communications services, equipment and computer systems to consumers, businesses and communications companies around the world. The Dayton, Ohio- headquartered NCR develops, manufactures, markets, supports and services information systems for worldwide markets. AT&T and NCR have a total of about 2,800 employees in Canada.
 -0- 4/23/92
 /CONTACT: Suzanne Berman of AT&T Canada, 416-756-5034, or Rich Meyer of AT&T Network Systems, 201-606-2453/
 (T) CO: AT&T ST: New Jersey, Ontario IN: TLS SU:


GK-CK -- NY050 -- 1810 04/23/92 11:13 EDT
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Date:Apr 23, 1992
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