OTTAWA, Canada - May 10, 2004 - Galazar Networks™ Inc., today introduced VersaNodeT, an OC-12/3 Multi-Service versatile networking solution for Ethernet and PDH services over point-to-point networks, RPR and UPSR rings. VersaNode expands Galazar's existing, successful product family of PDH and Ethernet over SONET/SDH (EoS) multi-service framers. VersaNode is ideal for multi-service line cards and customer premise equipment access platforms that are designed to support ring and hub-and-spoke network topologies with distributed layer 2 packet processing over mixed High Order (STS/VC paths) and Low Order (VT/VC paths) Virtual Concatenation (VCAT) groups with Link Capacity Adjustment Scheme (LCAS).

"With carriers focused on deploying new, revenue generating services over the existing SONET/SDH network, equipment vendors are working closely with Galazar to extend their success in Ethernet over SONET (EoS) into improved packet aggregation technologies and enhanced packet processing services.", said Richard Deboer, CEO, Galazar Networks. "VersaNode enables our customers to offer additional layer 2 services and network architectures while leveraging their investments across a common hardware and software platform for universal line cards capable of supporting GFP, mixed High Order VCAT and Low Order VCAT with LCAS."

VersaNode's target applications include multi service cards for SONET/SDH ADMs, MSTPs, CPE/CLE terminals or Metro Core switches. Galazar's new VersaNode was designed to target multi-service applications that require enhanced packet processing abilities such as Packet Rings (e.g. RPR and VT), Class of Service (CoS), VLAN segmentation and other value added data services.

Galazar's framers are the world's first devices to simultaneously support mixed High Order (STS/VC paths) and Low Order (VT/VC paths) Virtual Concatenation (VCAT) with LCAS. These features increase a carrier's service offerings and revenues from the existing infrastructure.

Galazar provides a comprehensive support package for VersaNode, including datasheets, hardware reference designs, device management software and design tools. These are available to customers to accelerate their time to market and focus on higher value activities. For additional information please visit www.galazar.com or contact your Galazar sales representative at www.galazar.com/contact/sales.html.

About Galazar Networks
Galazar Networks Inc. is a leading semiconductor vendor focused on framers for carrier grade Ethernet over SONET/SDH (EoS) and Multi-Service line cards. Our products support SONET/SDH, PDH (DS3/E3, DS1/E1), data (Ethernet, packet, private line) and SAN services (Fibre Channel, FICON, ESCON, Gigabit Ethernet). Galazar is a technology leader in Generic Framing Protocol (GFP), Virtual Concatenation (VCAT) of both High and Low Order paths, and Link Capacity Adjustment Scheme (LCAS). Galazar's products are ideal for Ethernet, SAN and Multi-Service CPE/CLE platforms as well as EoS, PoS and SAN line cards for ADMs, routers, MSTPs and Metro Core switches. For more information, visit www.galazar.com.

For more information, or to arrange for interviews, please contact:
Michel Ranger
Galazar Networks Inc.
(613) 726-2992 x204
michel.ranger@galazar.com

MEDIA AND ANALYSTS: Corporate and Product fact sheets and pictures available by request.