Press Release

London, July 12, 2005 - Video Networks Ltd (VNL), one of the most innovative providers of consumer broadband services in the UK, is deploying a Cisco Systems Internet Protocol Next-Generation Network (IP NGN) solution to accelerate the national roll-out of its HomeChoice video, voice and Internet, or "Triple Play" service over digital subscriber line (DSL) broadband. The VNL network expansion, which supports local loop unbundling to over 400 exchanges, is being implemented by Telindus, a Cisco Gold Certified Partner, to extend the reach of HomeChoice services from 2.4 million homes in London to 10 million homes nationwide by 2010.

HomeChoice has achieved market differentiation with its compelling broadband packages offering up to 4 megabits per second (Mbps) Internet access, IPTV with over 70 channels plus thousands of movies, videos and hit TV programmes on-demand, and flat rate IP telephony services with unlimited free national calls. The company is also pioneering the delivery of IPTV services over broadband using MPEG4 video compression in the UK. HomeChoice has been adding subscribers at a healthy rate and plans to release an updated figure later this year. Since the introduction of its telephone service in November last year, Triple Play penetration for new subscribers has reached 85 percent.

The Cisco IP NGN is designed to deliver a complete, architected network solution for Triple Play services that incorporates intelligent features for bandwidth usage optimisation and quality of service to support millions of subscribers. The cost benefits of Gigabit Ethernet and the introduction of sophisticated service control features in the Cisco IP NGN technology also provide VNL with a scalable and flexible infrastructure that helps the company to maintain its competitive edge and to meet its growth and revenue targets.

"VNL prides itself on the quality, reliability and ground-breaking value of the entertainment and communications services it delivers," said Roger Lynch, Chairman and Chief Executive, VNL. "The UK broadband market is one of the most competitive in Europe. The Cisco and Telindus solution not only helps us protect our reputation with customers, it also gives us a scalable and very cost effective way to extend our services and introduce more innovative products to millions more homes across the UK. Cisco and Telindus provide a considerable amount of expertise to support the implementation and ongoing operation of their best-of-breed solution. This was crucial to helping us meet our aggressive launch targets and made them the obvious choice for us."

"VNL is one of the pioneers of next generation TV, Internet and voice services," said Steve Wolton, director UK Service Providers, Cisco Systems UK. "VNL wanted a proven, carrier-class network capable of scaling quickly to support millions of subscribers to meet the growing demand for its popular HomeChoice services. By selecting Cisco for its national broadband network, VNL underscores Cisco's leadership in delivering Triple Play services over broadband solutions."

Peter Deacon, managing director of Telindus UK and Ireland said, "For its expanding customer base, VNL wanted us to come up with an on-demand technology solution that provides operational cost savings, scalability, and best in class infrastructure. At Telindus, we work in partnership with our customers to identify their requirements and to provide the optimal solution. The IP solution we designed for VNL will meet those requirements."

VNL is deploying a national IP NGN core and Metro Ethernet DSL aggregation network based on the Cisco 12000 Series routers and Cisco Catalyst 4507 Series switches. In addition, Cisco 7600 Series routers connect the video servers located at the company's UK data centres at Staples Corner, Croydon and Greenwich to the national network.

About Cisco Systems

Cisco Systems, Inc. (NASDAQ: CSCO), the worldwide leader in networking for the Internet, celebrates 20 years of commitment to technology innovation, industry leadership, and corporate social responsibility. Information about Cisco can be found at http://www.cisco.com. For ongoing news, 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 Video Networks

Video Networks is a leading provider of broadband entertainment and communications through its digital TV, video-on-demand (VOD), home phone and Internet services under the brand name HomeChoice. The company's service is currently available to 2.4 million homes across London. The HomeChoice entertainment service is the best all round digital TV, video-on-demand and broadband Internet package on the market, with over 80 of the best broadcast on on-demand entertainment channels including BAFTA award-winning interactive music channels and more than 5000 on-demand movies, music videos and TV programmes. Sky Sports and Sky Movies channels are available on the HomeChoice platform under a retail distribution agreement with BSkyB. HomeChoice has recently become a finalist in the Best Consumer Broadband category at the 2005 ISPA Awards. This category is for ISPs that provide the best 2Mb and over broadband service for consumers.

About Telindus

Telindus Group NV [Euronext Brussels:TEL] is an international ICT company offering network-based solutions, meeting business and public-sector needs. Telindus also services these markets as a solutions and sourcing partner delivering secure multimedia network solutions, underpinned by management & support services.

With over 30 years experience in ICT, Telindus is investing heavily in expertise to service modern telecommunications networks throughout their life cycle. Telindus specializes in offering top-quality Consulting, Integration and Management services in areas, such as, multimedia convergence, video-surveillance solutions, integrated security, mobility solutions and network access.

Telindus' enviable track record and longstanding partnerships with leading equipment suppliers offers a safe route for enterprises, telecom operators and government bodies looking to deploy long-lasting networked ICT solutions. Telindus is headquartered in Belgium. For more information, go to http://www.telindus.com.

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