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China Telecom's Wuhan Branch Links Data Networks With Ethernet Routers From Riverstone

Posted on: Wednesday, 16 June 2004, 06:00 CDT

Riverstone Networks, (Pink Sheets:RSTN) today announced that the Wuhan Branch of China Telecom, the country's largest fixed-line service provider, has deployed Riverstone's RS 3000 and RS 8000 Ethernet routers to link its existing ATM and Ethernet networks. China Telecom selected Riverstone based on its unique ability to interoperate with both the legacy ATM and more modern Metro Ethernet equipment within the Wuhan branch.

Using the Riverstone routers, the Wuhan branch is able to leverage its investment in its legacy transport network while moving toward a more economical, Ethernet network. In addition, Riverstone's ATM and Ethernet access interfaces allow the Wuhan branch to continue to provide its existing enterprise customers with the same service level agreements (SLAs) and quality of service (QoS) that they currently enjoy without any changes to their networks.

The Wuhan branch will initially use Riverstone's Ethernet solutions to provide high-speed leased line services, including Virtual Private Networks (VPNs), to its enterprise data customers. Because Riverstone's product line is optimized for MPLS, the Wuhan branch will also be able to utilize the solution to provide any MPLS service offerings it chooses to add going forward.

"With the explosive growth of ADSL, Voice over IP (VoIP), video conferencing and other services, we needed a scalable, cost-effective infrastructure that could not only deliver greater bandwidth, but that would allow us to converge all these services onto a single infrastructure as the network evolves," said Chuanhai Li, Chief Engineer of China Telecom Wuhan Branch Company. "By evolving our ATM networks to metro Ethernet, we gain greater and more flexible bandwidth upon which we can deliver a variety of services."

China Telecom is the latest in a string of Chinese carriers to deploy Riverstone's metro Ethernet solutions. Others include China Railcom, China Netcom, Shanxi Cable, PCCW-HKT Network Services Limited, Chunghwa Telecom and Hutchison Global Crossing. In a recent report from industry analyst firm IDC, China was cited as one of the world's fastest growing markets for metro Ethernet equipment with the greater Asia Pacific region projected to grow approximately 59% by 2008 (source: IDC. Worldwide Metro Ethernet Equipment Forecast and Analysis, 2004-2008. January 2004.)

"Increasingly, China's service providers are turning to Ethernet solutions that are MPLS-optimised to extend and evolve their networks," said Simon Tam, General Manager, China, Riverstone Networks. "Riverstone's experience in Chinese Ethernet deployments combined with its expertise in MPLS services allows it to provide its customers with the carrier-grade Ethernet solutions they need to create more a more efficient infrastructure that will meet both their end-users' current and future service needs."

Riverstone's RS 3000 and RS 8000 Ethernet routers provide Ethernet access and aggregation respectively. Built specifically for carrier networks, they provide greater scalability and reliability than those Ethernet routers typically deployed within a business' campus environment.

Riverstone Networks, Inc. (RSTN.PK) is a leading provider of carrier-class solutions for next generation metro Ethernet networks. Riverstone's metro routers and provisioning solutions deliver the ease of use, cost effectiveness, and flexibility that carriers require in meeting their customers' IP networking requirements in support of voice, video, and data services. Riverstone uniquely permits carriers to offer homogeneous services across existing revenue-generating networks and new Ethernet deployments.

Except for the historical information contained herein, the matters set forth in this press release, including without limitation statements as to the ability of China Telecom to generate revenue using Riverstone product, and the forecasted growth of metro Ethernet equipment sales in the Asia-Pacific region, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements speak only as of the date hereof and are subject to risks and uncertainties that may cause actual results to differ materially. These risks and uncertainties include the risks detailed from time to time in Riverstone Networks' SEC reports, including its quarterly report on Form 10-Q for the period ended November 30, 2002 and subsequent reports on Forms 8-K and 8-K/A. The company assumes no obligation to update or revise these forward-looking statements.

Riverstone Networks is a registered trademark of Riverstone Networks, Inc. All other trademarks, service marks and trade names belong to their respective owners.

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