Axerra Networks

November 27, 2007

AXERRA NETWORKS' PSEUDO-WIRE SOLUTIONS DEPLOYED BY CENTRAL TELEGRAPH

-- Russian Telecommunications Carrier to Extend Full-Featured Voice Services
Across Packet Access Networks --

Boca Raton, FL and Moscow, Russia – November 27, 2007 – Axerra Networks, “The Pseudo-Wire Company®” and the leading provider of circuit emulation and service emulation solutions, today announced that Central Telegraph (www.cnt.ru), one of the largest service providers in Russia, is deploying Axerra’s Pseudo-Wire solutions for PBX backhaul and point-to-point connections over a Packet Switched Network. Axerra’s award-winning AXN Pseudo-Wire Gateways and Access Devices™ enable Central Telegraph to provide efficient, cost-effective backhaul of E1 services while leveraging its infrastructure to support commercial services to small- and medium-sized businesses, both emerging services as well as the traditional E1 voice and data services that business customers depend on.

Central Telegraph provides a wide range of telecommunications services to individuals and business customers in Moscow and the Moscow region. For service delivery to its extensive base of subscribers, Central Telegraph uses a metro Ethernet and IP/MPLS network. The Circuit Emulation Pseudo-Wire capabilities of Axerra’s solutions will enable the transport of voice traffic to a central operator PBX (star topology) as well as the transport of voice traffic between different customer offices (point-to-point) over packet access networks.

Axerra’s AXN Pseudo-Wire Gateways and Access Devices provide the most comprehensive set of voice and data Pseudo-Wire services in the industry, including Circuit Emulation Pseudo-Wire, Frame Relay and HDLC Pseudo-Wires, ATM Pseudo-Wires, Ethernet Pseudo-Wires, and legacy + IP aggregation with Layer 2 separation, security, and QoS/CoS over next-generation networks. Axerra’s Pseudo-Wire solutions enable the widest range of traditional business services and maps them onto MPLS/Carrier Ethernet, Cable HFC, xDSL, EPON/GPON, and WiMAX, creating a full-service alternative to TDM access and SDH backhaul.

“We selected Axerra as our vendor of choice after rigorous technical evaluations,” said Alexey Testov, Director of Network Development and System Planning at Central Telegraph. “Axerra’s solution was clearly superior than other vendor solutions that we tested, particularly in its ability to provide the latency reduction features, extensive performance monitoring capabilities, friendly management, and simple technical maintenance that we needed to leverage our packet switched network.” Central Telegraph’s initial deployment includes placing AXN Pseudo-Wire Access Devices in scores of customer premises with future plans calling for the deployment of AXN Pseudo-Wire Gateways and Access Devices in central offices and customer locations throughout its vast network.

“We’re extremely pleased that Central Telegraph recognized the technical and business advantages that Axerra’s Pseudo-Wire technology offers,” said Roman Ferster, Axerra’s Vice President Central & Eastern Europe and General Manager Russia, CIS & Baltic States. “Central Telegraph will be strategically positioned to reach more customers with full-featured voice and data services, and can also provide additional revenue-generating services in the future, such as mobile voice and data backhaul.”

Axerra’s official distributor in Russia, RGRCOM (www.rgrcom.ru), accomplished the equipment supply. RGRCOM provides full service for Axerra products in Russia, including fast delivery, technical support, maintenance, and education.

In June 2007, Axerra Networks was named the recipient of a NXTcomm Eos Award in the category of Technology Innovative: Access Networking. In February 2007, and for the second year in a row, Axerra was a “commended” finalist in the GSM Association Global Mobile Awards for “best radio access product or service.”

About Central Telegraph

Central Telegraph is one of the largest service providers in Russia and one of the largest independent wired telecommunication companies providing the full range of telecommunication services to individual and corporate customers in the Moscow region. The company operates in Moscow and Moscow region which have one of the most active and service demanding customer bases in Russia. For service development and delivery Central Telegraph uses its own 2000 km optical infrastructure across Moscow and Moscow region. For more information, please visit www.cnt.ru.

About Axerra Networks, Inc.

Axerra Networks is the leading provider of circuit emulation and service emulation solutions over packet access networks. Axerra’s Pseudo-Wire solutions enable mobile wireless operators, cable MSOs, competitive service providers, and incumbent carriers to extend IP + legacy voice and data services in native format over Ethernet, IP, and MPLS networks. The result is greater operational efficiency, new revenue opportunities, and a smooth migration strategy to a single converged network, without losing any revenue streams from profitable legacy services. With Axerra’s Pseudo-Wire solutions, service providers can convert any packet access network (Carrier Ethernet, broadband wireless including WiMAX, cable HFC, xDSL, PON, etc.) into a full-service alternative to TDM access. For more information, please visit www.axerra.com.


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