PARIS, France - October 21, 2004 - France Telecom and Cisco Systems today announced they are collaborating to promote the use of new IP services in major corporations and to meet the rapidly growing demand for managed IP services. Through the initiative, France Telecom, which is already a leading provider of managed services in France, will extend its leadership position through an enhanced capability to offer a combination of integrated and managed services that helps meet the demands of French-based international corporations. France Telecom is now a Cisco Gold Certified Partner.

France Telecom and Cisco Systems are currently cooperating both on the core of hardware technologies (DSL, LAN switching, mobile wireless and routing) and on advanced technologies (IP telephony and security). This cooperation has already resulted in the deployment of many solutions for customers in the banking, insurance, retail and power sectors. Common agreements signed in 2003 and 2004 include BNP, Euro Informations (Crédit Mutuel CIC group) and Société Générale, among others.

Through the combination of their proven commercial skills and expertise in IP services and technologies, the two corporations are planning to explore new commercial opportunities, notably in LAN and Wireless LAN, Managed LAN, VoIP and IP Telephony, and to establish industry-specific solutions for the banking, automobile and retail sectors, and for public sector organisations, which provide a smooth migration path for existing customer systems.

France Telecom earns Gold Partner certification from Cisco Systems

France Telecom has achieved Gold Certification from Cisco Systems, Inc. based on three specialisations: IP telephony and services, Wireless LAN and VPN Security. This certification status can help assure customers that France Telecom has obtained the highest Cisco standard for network expertise and support capabilities. The achievement of Cisco's Gold Partner certification, places France Telecom in the leading group of network integrators in France.

Barbara Dalibard, Executive Director, France Telecom Business Communications Services, says: "Our partnerships with players in the IP telephony market, such as our business alliance with Cisco, are additional proof of our willingness to assist our customers in their transition to IP telephony. Also, thanks to our skills in telephony services and IP networks, we are able to offer our customers solutions that match their needs."

"Cisco's commitment to the telecommunications market has never been stronger. At a time when many organisations are taking advantage of managed IP services to improve productivity through network-based applications, as well as reduce cost and complexity, service providers such as France Telecom are working to address their customers' requirements cost-effectively by placing IP technology at the core of their strategy," said Robert Lloyd, President of Cisco Systems in Europe Middle East and Africa.

About Cisco Systems

Cisco Systems, Inc. (NASDAQ: CSCO), the worldwide leader in networking for the Internet, this year celebrates 20 years of commitment to technology innovation, industry leadership and corporate social responsibility. Information on Cisco can be found at http://www.cisco.com. For ongoing news, please go to http://newsroom.cisco.com. Cisco equipment in Europe is supplied by Cisco Systems International BV, a wholly owned subsidiary of Cisco Systems, Inc.

About France Télécom

France Telecom is one of the world's leading telecommunications carriers, with 119,6 million customers on the five continents (220 countries and territories) and consolidated operating revenues of 46.1 billion euros for 2003 (23.2 billion euros for 1st semester 2004). Through its major international brands, including Orange, Wanadoo, Equant and GlobeCast, France Telecom provides businesses, consumers and other carriers with a complete portfolio of solutions that spans local, long-distance and international telephony, wireless, Internet, multimedia, data, broadcast and cable TV services.

France Telecom is the second-largest wireless operator and Internet access provider in Europe, and a world leader in telecommunications solutions for multinational corporations. France Telecom (NYSE: FTE) is listed on the Paris and New York stock exchanges.