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Progress Telecom Moves Forward With Etherjack(R) Technology From Covaro Networks

November 30, 2004

RICHARDSON, Texas, Nov. 30 /PRNewswire/ — Progress Telecom, LLC has purchased Etherjack(R) technology from Covaro Networks to expand the availability of its Voice Grade Ethernet services. Progress Telecom will use the Covaro platform to extend its 10G native Ethernet backbone to every point of presence (POP) on the network using existing SONET facilities. Etherjack(R) technology, part of the Covaro Connection family of products, extends the reach to new carrier facilities and enterprise locations using copper, SONET, fiber and EoDS3 transport methods while providing a consistent managed services approach.

“With Covaro’s Etherjack(R) technology, we are able to provide intelligent Ethernet services with remote monitoring, provisioning and management that support our commitment to our customers’ success,” said Greg Tenant, Vice President of Marketing at Progress Telecom. “The Covaro Connection technology will help us turn our legacy SONET networks into an Etherjack(R)-enabled Ethernet services network that will provide new enhancements for our customers and for ourselves.”

“Using technology from the Covaro Connection family of products, Progress Telecom will be able to offer carrier-grade SLAs to wholesale and retail Ethernet customers,” stated Covaro Vice President of Marketing Fred Ellefson. “This capability will make Progress Telecom’s Voice Grade Ethernet service very attractive to existing and potential customers.”

Covaro will help Progress Telecom extend its Ethernet services reach. With the Etherjack(R) technology in place, Progress Telecom will be able to provision, fault locate and manage Ethernet services remotely in a manner more commonly found in traditional frame relay or private line data offerings.

For advanced services, Etherjack(R) technology includes a service user network interface (UNI) that is based on Metro Ethernet Forum (MEF) guidelines. To handle operations, administration, maintenance and provisioning (OAM&P), Etherjack(R) technology features a network interface device (NID) based on Ethernet-in-the-first-mile (EFM) parameters. The combination of the UNI and the NID enables functionality such as performance monitoring, remote loopback, integrated test pattern generation, real-time cable testing, simplified provisioning, remote upgrades and other traditional OAM&P functions.

About Covaro Networks

Covaro Networks provides products that enable service providers to offer intelligent Ethernet services profitably over any facility — copper, fiber, SONET and DS3/DS1. Using Covaro’s unique Etherjack(R) demarcation technology, service providers can offer carrier-grade service definition, monitoring and diagnostics for Ethernet-based services. Covaro Networks is headquartered in Richardson, Texas, in the Telecom Corridor(R), and maintains additional development staff in Ottawa, Canada. For additional information, visit http://www.covaro.com/ .

Covaro Networks, the Covaro logo and Etherjack are trademarks or registered trademarks of Covaro Networks, Inc.

About Progress Telecom, LLC

Progress Telecom, LLC is one of the largest leading regional providers of broadband services in the eastern United States. The unified fiber network offers fast local loop, metro ring access with dense wave division multiplexing (DWDM) technology on a 10 gigabit, OC-192 backbone. The long- haul, metro fiber transport from New York to Miami allows customers access to international gateways in first, second, and third-tier markets. The Company provides strategic POP locations, including a major international cable landing presence in south Florida. Broadband services offered include private line, wavelength, Ethernet, and Internet protocol (IP), as well as other customized services and solutions.

Progress Telecom is jointly owned by Progress Energy , a Fortune 250 diversified energy company headquartered in Raleigh, N.C., and Odyssey Telecorp, a Palo Alto, Calif.-based telecommunications investment firm. For more information about Progress Telecom, please visit the company’s Web site at http://www.progresstelecom.com/ .

CONTACT: Michelle Metzger Lori Hicks

(972) 480-8383 ext. 231 972-759-1200

Michelle_Metzger@mccom.com Lori.Hicks@Covaro.com

Covaro Networks, Inc.

CONTACT: Michelle Metzger, +1-972-480-8383 ext. 231, orMichelle_Metzger@mccom.com , for Covaro Networks, Inc.; or Lori Hicks ofCovaro Networks, Inc., +1-972-759-1200, or Lori.Hicks@Covaro.com

Web site: http://www.covaro.com/http://www.progresstelecom.com/




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