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Enterasys Secure Networks Protects Vital Data of Germany’s Largest Health Insurance Company


ANDOVER, MA-- March 20, 2006--Enterasys Networks®, the Secure Networks CompanyTM, today announced that BARMER, the largest health insurance company in Germany, has deployed Enterasys’ industry-leading Secure NetworksTM infrastructure to cost-effectively protect the company’s critical voice and data assets from security threats while interoperating seamlessly with its Voice-over-Internet Protocol (VoIP) infrastructure.

For more than 70 years, BARMER has earned the prestigious ranking as Germany’s top health insurance company. The firm provides coverage for more than 7 million people and maintains business relationships with some 586,000 companies, 187,000 doctors, 2,100 hospitals and 22,000 pharmacies.

“We pride ourselves on identifying and implementing the most comprehensive and cost-effective ways to address our business needs,” said Stephan Bühring, CIO of BARMER. “We set extremely high standards in terms of security, because of the critical health and financial customer data that is carried on our network on a daily basis. Our move to VoIP and a unified voice/data infrastructure required us to look hard at all of our vendors to find the right mix of performance and security. After a comprehensive evaluation process, Enterasys was obviously the provider best suited to meet our needs. It is especially impressive that Secure Networks solutions provide high levels of granular control and network integrity over an infrastructure that is a mix of products from multiple vendors.”

Initially using VoIP at its branch offices, BARMER quickly realized the cost benefits and began integrating IP phones on its existing network. While continuous availability and quality of service are important across all locations, they are paramount at the company’s headquarters. BARMER conducted an extremely competitive RFP process and Enterasys emerged the vendor of choice to provide the required security and performance for the company’s new, converged infrastructure.

Products deployed by BARMER include 17 Enterasys MatrixTM N7 and six Matrix N3 switches delivering 10/100/1000 and 10-Gigabit Ethernet connectivity and NetSightTM Automated Security Manager software. The Matrix N-Series’ distributed, flow-based architecture enables BARMER to identify, authenticate and manage its individual users, applications or devices regardless of their location on the network.

“Convergence applications such as VoIP and the infrastructures needed to support them are experiencing unprecedented growth,” said John Roese, chief technology officer for Enterasys Networks. “In a time of escalating security threats and vulnerabilities, organizations must perform extensive due diligence on the vendors they select to defend this new infrastructure--since even a single attack can decimate enterprise communications. Enterasys Secure Networks solutions provide BARMER and our growing base of enterprise customers with a unique blend of a holistic perspective, unmatched control and complete protection throughout the network, even if the network is a heterogeneous mix of products and technologies. No other vendor offers these capabilities while also fully leveraging existing technology investments.”

The Enterasys Secure Networks Advantage
Enterasys’ industry-leading Secure Networks products and solutions provide the industry’s most comprehensive embedded infrastructure security available today. Secure Networks delivers granular policy-based security, providing visibility and control down to the network device, individual user and application level, which enables network managers to quickly and easily detect, assess, locate and protect against attacks. This unmatched security comes from the integrated policy-based management software architecture that works with the embedded security capabilities Enterasys designs into its entire product line. Enterasys’ unique architectural approach offers significant operational and business benefits, unmatched by vendors that add hardware or software to multiple network access points in an attempt to increase security. In fact, Secure Networks technology can even make networks with competitors’ equipment more secure.

About Enterasys Networks

Enterasys Networks is the Secure Networks Company, providing enterprise customers with innovative network infrastructure products, services and solutions that deliver the security, productivity and adaptability benefits required by Global 2000 organizations. For more information on Enterasys Secure Networks and the company’s products, including multilayer switches, core routers, WAN routers, wireless LANs, network management, and intrusion defense systems, visit

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Some risks and uncertainties that may cause actual results to differ materially from these forward-looking statements include, but are not limited to: worldwide and regional economic uncertainty and recent political and social turmoil may continue to negatively affect our business and revenue; we have a history of losses in recent years and may not operate profitably in the future; our quarterly operating results may fluctuate, which could cause us to fail to meet quarterly operating targets and result in a decline in our stock price; we earn a substantial portion of our revenue for each quarter in the last month of each quarter, which reduces our ability to accurately forecast our quarterly results and increases the risk that we will be unable to achieve previously forecasted results; we continue to introduce new products, and if our customers delay product purchases or choose alternative solutions, or if sales of new products are not sufficient to offset declines in sales of older products, our revenue could decline, we may incur excess and obsolete inventory charges, and our financial condition could be harmed; we may be unable to upgrade our indirect distribution channels or otherwise enhance our selling capabilities, which may hinder our ability to grow our customer base and increase our revenue; we have experienced significant changes in senior management and our current management team has been together for only a limited time, which could limit our ability to achieve our objectives and effectively operate our business; there is intense competition in the market for enterprise network equipment, which could prevent us from increasing our revenue and achieving profitability; a portion of the enterprises we sell to rely in whole or in part on public funding and often face significant budgetary pressure, and if these customers must delay, reduce or forego purchasing from us, our revenues could be harmed; we depend upon a limited number of contract manufacturers for substantially all of our manufacturing requirements, and the loss of any of our primary contract manufacturers would impair our ability to meet the demands of our customers; and those additional risks and uncertainties discussed in our most recent filings with the Securities and Exchange Commission, including our annual report on Form 10-Q for the quarter ended April 2, 2005.


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