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Reader Contact: Paradyne (800) 482-3333 U.S. (813) 530-2000 International http://www.paradyne.com

PARADYNE ANNOUNCES NEW FRAME RELAY COMPRESSION AND MANAGEMENT SOLUTION

Paradyne and Communications Corporation Join to Allow Efficient Management of Networks and Costs Largo, FL November 12, 1996 Paradyne today announced the introduction of its 9028 Compression Unit which adds Frame Relay Payload Compression support to central frame relay sites. These sites typically require high access speeds with multiple virtual circuits to achieve the degree of connectivity demanded by the enterprise network. Network managers will now be able to significantly reduce the operating costs of these networks by utilizing the Bandwidth Optimization features of the 9028 Compression Unit. The 9028, resulting from an agreement between Paradyne and Communications Corporation (CCC) of Edmonton, Canada, is the first product of its kind to offer compression and management in a single unit. The new unit will provide management in mission-critical networks, as well as compression, where cost, control and performance are factors. CCCs WARP IV technology combined with Paradynes 9120 Frame Relay unit provides a total solution for network compression and management. The 9120 can be deployed by itself at remote or central sites in applications where compression is not required. The 9028 Compression Unit is a perfect example of Paradynes commitment to using the best possible technology combined with the top industry partners to provide our customers with the best solutions for their network needs, said Jim DesRosier, Paradynes director of Frame Relay Products. "The new Paradyne is committed to providing our customers with industry-leading products, services and technology, said Tom Epley, CEO of Paradyne. The CCC agreement underscores Paradyne's goal of continuing our leadership in the high-growth data and telecommunications market by extending our technology base." To be successful in the data communications industry, state-of-the-art products and technologies must be supported and marketed by state-of-the-art organizations, said Bob David, Chairman of Compression & Encryption Technologies Inc., CCCs parent company. Paradyne is ideally positioned to provide the necessary level of support demanded by network managers. The complementary nature of our product lines bodes well for our OEM relationship. The 9028 Compression Unit will be available in April, 1997, along with the 9120. Until then, CCCs compression technology will be available as an option with Paradynes 3160 Frame Relay unit, to offer an interim solution for compression without management. [Pricing] Headquartered in Largo, Florida, Paradyne is a leading developer and provider of products and technologies that allow high-speed access to networks worldwide for communications, computing, information and entertainment. Paradyne is a former subsidiary of AT&T Corp. and Lucent Technologies Inc. Compression Communications Corporation (CCC), is a wholly owned subsidiary of Compression & Encryption Technologies Inc., and is based in Edmonton, Alberta, Canada. (30)