Press release: Race Communications announces that Eicon Networks has acquired a division of Intel.

Race Communications, the leading distributor of Eicon Networks in Russia and Europe, reports that in early August, Eicon Networks Corporation and Intel Corporation announced the signing of an agreement under which Intel sells its assets of production engaged in media and signal solutions to Eicon.

This acquisition is expected to allow Eicon to become a leading player in the market of equipment engaged in processing and managing media streams.
Intel's media and signaling solutions include the entire product line that Intel received as a result of the acquisition of Dialogic, including the Host Media Processing (HMP) software package for working with media streams, modular hardware solutions supporting HMP, as well as the entire line of integration solutions and SS7 gateways and telephone exchanges.
Given the presence of its own Diva Server product line, it is assumed that this acquisition will allow Eicon to expand its offer for enterprises and telecom operators. At the same time, Eicon plans to continue working closely with Intel as an active member of Intel® Communications Alliance.

"Intel is focusing its efforts on the market segment of communication and embedded solutions that relate to the core business of the company," said Anthony Neal-Graves, general manager of the modular telecommunications platforms division. For Intel, the sale of Media and Signaling is part of a business reorganization program launched this spring.

"This is a great day for Eicon," said Nick Jensen, president and CEO of Eicon Networks. Eicon and Intel's media and signal solutions complement each other very well. We expect that this acquisition will expand the solutions we offer both for traditional circuit switching technology and for IP solutions at the forefront of network technologies for both markets - enterprises and telecom operators."

"This deal gives our customers a huge additional potential to work with voice calls, call centers and similar media, signaling solutions. Our offers to Russian clients in this area are becoming almost unique," Leonid Lopatin, CEO of Race Communications, commented on the event.

Completion of the transaction is expected within approximately 4-6 weeks. Approximately 600 employees are involved in the development, testing, operational support and marketing of Intel media and signal equipment. It is expected that most of them will become Eicon employees.

About Race Communications
Race Communications is a Russian system integrator offering laboratory-tested solutions from leading telecommunications equipment suppliers. Race carries out a full cycle of work: design, delivery, installation, as well as training of specialists and project support. More information about Race Communications can be obtained at www.race.ru .
For more information, please contact:
to Elena Mitina and Nikita Yemets, Race-Communication CJSC
(095) 785-0770, 916-RACE (916-7223) and by email pr@race.ru About Intel