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HOTS 08/2000

Issue: August 2000

By: Frank Bisbee


 

Featured Story

 


Mohawk/CDT (Leominster, MA) has introduced plenum cable that exceeds industry standards for both electrical performance and fire safety. Insulated and jacketed with DuPont Teflon® FEP fluoropolymer resin, the cable is engineered with built-in longevity and capabilities to handle ever-increasing data rates.

"Our new limited combustible plenum cable meets the needs of customers with special concerns about fire safety and the protection of computers and other electronic equipment," says Joe Dellagala, vice president, engineering, for Mohawk/CDT, a division of Cable Design Technologies. "It has the extra fire performance they want," he adds, "and with both insulation and jacketing of Teflon® FEP, it also delivers lower signal attenuation."

Dellagala expects that limited combustible plenum cable will be included in future editions of the National Electrical Code (NEC), which is referenced by most building codes. He notes that NFPA (National Fire Protection Association) committees are discussing recognition for these cables in the NEC.

The new cable is tested and approved by Underwriters Laboratories as meeting NFPA 90A requirements for limited combustible materials used in air-handling spaces. The new limited combustible cable can be used wherever plenum cable is required.

Mohawk/CDT is offering three limited combustible plenum cables: TIA (Telecommunications Industry Association) CAT 5 and CAT5e, and MegaLAN™ 400, a cable with enhanced performance that exceeds the requirements of CAT 5e. Due to the excellent dielectric properties of the jackets of Teflon® FEP, all have excellent electrical performance.

"Plenum" is a term for the space above a suspended ceiling when it is used to return air to heating and air conditioning equipment from ventilated spaces such as offices. For safety in fire situations, voice and data cable installed without conduit in plenum spaces must meet electrical and building code requirements for low smoke generation and low flame spread.

Cable Design Technologies is a leading manufacturer of technologically advanced cabling for network communications, specialty electronics, and automation and process control applications. Focused on the end-to-end system performance, CDT offers all of the high performance copper and fiber components to build a telecommunication infrastructure that supports current and next generation voice and data networking. Mohawk/CDT, a division of CDT and an industry leader for over a half-century, manufactures advanced fiber optic, copper and composite cables for structured cabling systems with performance for Gigabit Ethernet and beyond.

DuPont is a science company, delivering science-based solutions that make a difference in people's lives in food and nutrition; health care; apparel; home and construction; electronics; and transportation. Founded in 1802, the company operates in 70 countries and has 94,000 employees. www.teflon.com/cablingmaterials



Ideal Industries (Sycamore, IL) is an American success story. Their flagship product is the WireNut™, which is best known to the electrical industry. In the communications and datacom world, Ideal Industries is recognized as a leader in quality tools for the installer. We recently had the opportunity to look behind the scenes and tour their offices and production facilities. What we found was amazing and worthy of a full-blown story on the company, the staff, and the quality in all their products. This privately held corporation, currently led by a fourth generation member of the founding family, is the stuff that the American dream is made of. This writer will always treat the Ideal Industries tools with the respect of a surgical instrument. We've seen less expensive tools in the market and granted they were cheaper, they certainly weren't better than Ideal. www.idealindustries.com



Belden Inc. and Graybar have recently announced an expanded partnership. Graybar, the electrical and data/comm products giant, has become a member of Belden's family of distributors. The new agreement will focus on networking and communications products, and will be managed through Belden Electronics (Richmond, IN).

In an effort to more effectively meet end user goals, Belden and Graybar have partnered to provide expanded products lines, a global presence and state-of-the-art technology. The combination of the two organizations brings together networking and communications products and services, providing solutions to networking contractors and users. In addition, Belden's electronic and industrial products allow Graybar to service its wide customer base of electrical contractors, communications companies, utilities and commercial and industrial firms with a highly recognized, specified product.

Graybar and Belden both have a significant presence in the market. Graybar is a leading national distributor of data/comm. Systems and components and its organization is supported by zone warehouses and more than 260 branch locations. Belden Inc. reported 1999 revenues of more than $818 million. Its networking revenues were in excess of $180 million with a significant percentage of those revenues supporting higher performing systems. The addition of Graybar will provide Belden with additional channel services for contractors and end users.

"As the industry realigns and networking becomes more important, it is essential for cable manufacturers to provide one-stop-shopping for their customers," said Larrie Rose, Vice President of Sales and Marketing for Belden Electronics Division. "Belden has recognized Graybar as a very significant participant in the industry and we are pleased to be aligned with them to create a winning situation," Rose concluded.

"Graybar is committed to providing our customers with the best products and services in the industry," said Dennis DeSousa, Senior Vice President of Comm Data Business for Graybar. "Belden is clearly a leader in the market and we are excited to have the opportunity to offer their wide range of quality products to our diverse customer base," DeSousa added.



Cable Design Technologies (Pittsburgh, PA), a provider of high-speed network connectivity products, has announced that it is supplying Rutgers University with high-speed MegaLAN, riser and high-pair count cable for the RUNet 2000 project.

RUNet 2000 is a four-year effort aimed at creating an advanced data, video and voice communications infrastructure for the university. The infrastructure will strengthen Rutgers' ability to address workforce development through outreach and reeducation programs and expand the reach of the Rutgers network to include K-12 schools and other New Jersey educational institutions.

Believed to be the largest single project of its kind at any American university, RUNet 2000 will complete, upgrade and expand the existing Rutgers network. The project will provide faster and easier access to the Internet and university computing resources from on- and off-campus locations. It will make it possible for Rutgers to use advanced video and multimedia communication and instructional tools and will provide private university-wide cable television services in residence halls, libraries and selected classrooms. It also will upgrade wiring so that Rutgers can take advantage of advanced voice capabilities.

The RUNet 2000 project will include the design and installation of wiring and electronics in the interiors of approximately 260 buildings across Rutgers' six campuses.

Paul Olson, President and CEO of CDT commented, "This contract, through a network integrator, is indicative of the type of orders that we have been experiencing for our broadband products and we are very pleased to be providing Rutgers with the connectivity infrastructure to build their high- speed network."

"CDT is at the center of convergence of voice, video and data over fiber optics, twisted-pair and wireless mediums used in the central office, local loop and the customer premise. The demand for broadband technologies is accelerating and we are actively pursuing new opportunities within these markets to expand our footprint in the high-speed network communication marketplace," said Olson.

Cable Design Technologies is a leading designer and manufacturer of high bandwidth network connectivity products, fiber optic cable and connectors, assemblies, components, computer interconnect cables for communication switching applications, and communications cable products used in wireless, central office and local loop applications. CDT also manufactures electronic data and signal transmission products that are used in automation and process control and specialty applications. www.cdtc.com

A member of the prestigious Association of American Universities, Rutgers is one of the leading public research universities in the nation. With 49,500 students, 2,500 faculty and 29 degree-granting units on three campuses, Rutgers is committed to its three-fold mission of teaching, research and public service.



The Siecor name has been retired. The company - formerly known as Siecor - has officially adopted its new name: Corning Cable Systems worldwide. Beginning June 1, all facilities throughout North America, Europe, Latin America, and Asia began to reflect the new Corning Incorporated logo.

The name change is a result of Corning Incorporated's recent acquisition of Siecor's and Siemen's worldwide cable and hardware operations. Established in 1977, Siecor had been a 50-50 equity venture between Corning and Siemens. A Fortune 500 company headquartered in Corning, New York, Corning also has two fiber manufacturing facilities in North Carolina - one in Concord and the other in Wilmington. The facilities, along with Corning Cable Systems' operations, make Corning one of the five largest manufacturing employers in the state. Corning manufacturers the optical fiber that Corning Cable Systems uses in its optical cable products. The vision is to create the world's pre-eminent optical layer company with global market access for its portfolio of telecommunications products.

For Corning Cable Systems customers, the name change provides additional benefits but maintains the same customer commitment. Although the company will have new signs, business cards, stationary, and sales literature, its products and services will remain unchanged. Furthermore, customers can expect the same quality of service and the same dedicated account teams or customer service representatives as previously contacted via computer, telephone, or mail.

Corning Cable Systems' new look and name began to appear on business operations in June 2000, but the worldwide implementation will continue into 2001.

"The use of our new Corning Cable Systems name will have a positive effect for our customers," said Sandy Lyons, Corning Cable Systems President and CEO. "Our new name and brand will help position our company for success in today's competitive communications industry. The Corning name will assist us in our effort to build an unrivaled, customer-focused cable and hardware and equipment organization with both a global reach and a strong community presence." www.corning.com/cablesystems



Cable Design Technologies, a leading worldwide provider of high-speed network connectivity products, has announced that its Board of Directors approved a three-for-two stock split of its common stock in the form of a common stock dividend. The distribution will be made on August 21, 2000 to stockholders of record on August 7, 2000. Cash will be paid in lieu of fractional shares. Based on the shares outstanding on June 6, 2000, 43,092,813 shares will be outstanding immediately after the split.

In commenting on the announcement, Paul M. Olson, President and CEO, stated, "CDT has shown outstanding growth since going public in 1993. This is CDT's third 3-for-2 stock split. CDT's revenues have increased from $145 million in the fiscal year ended July 31, 1994 to projected revenues exceeding $850 million in the fiscal year ended July 31, 2001, with very strong earnings per share growth during such period. We believe that the increased float for CDT's shares will be beneficial to our shareholders, and will make owning CDT's stock more accessible to a broader group of investors. The 3-for-2 split is indicative of our confidence in the continuation of CDT's leadership position in the network connectivity and specialty cable markets." www.cdtc.com



The Siemon Company (Watertown, CT), a leader in the development and manufacture of telecommunications cabling systems, and DRG International, a leading manufacturer of modular office furniture, have been awarded a United States patent for a standards-compliant horizontal network cabling technology used in modular office furniture.

DRG founder and President Mark Bassil said, U.S. Patent 6019321 recognizes the unique placement of cabling consolidation points within modular office wall panels and Multi-user Telecommunications Outlet Assemblies (MuTOA) used in close proximity to modular furniture clusters. The Siemon Company and DRG co-developed this technology and have been using it in DRG's innovative MACsys™ modular office furniture systems since 1997."

"These configurations provide end-users with the biggest potential cost savings available in the modular furniture world," Mr. Bassil said. "According to the International Facility Management Association, the average annual corporate relocation rate is now 44%. The cost of reconfiguring network cabling due to movement or reconfiguration of conventional modular workstations can be as much as $500 per cable, so costs quickly mount over the life of the system. The patented MACsys™ 'plug and play' zoned cabling design allows reconfiguration of modular furniture and network connections without having to replace the entire horizontal cabling infrastructure. This innovative cabling technology can result in thousands of dollars of material cost and labor savings while reducing network down-time."

Frank Velleca, Siemon Marketing Manager, said, "The patented MACsys™ design fully complies with standards described in Telecommunications Industry Association (TIA) Telecommunications Systems Bulletin TSB75, 'Additional Horizontal Cabling Practices for Open Offices'."

Mr. Velleca said that while reconfigurations are a natural business requirement as companies grow and change, they create havoc on structured cabling systems. "Existing cables can become mixed or damaged, management of slack cable storage is difficult and when distances are increased, new cabling is required extend all the way to the telecommunications closet. All this results in added expense and workplace disruption. In MACsys™," he said, "DRG and The Siemon Company directly address these issues with an integrated solution that combines high quality, affordable modular office furniture and cutting edge telecommunications connecting hardware."

DRG's MACsys™ office system received a Best of NeoCon Award, the highest honor given by the contract furniture industry in 1997 and 1999. The system has been adopted by dozens of companies including Total Renal Care, Starwood Resorts, the Elgin, IL School District and Switchsoft Systems, Inc.



Mohawk/CDT and Hubbell Premise Wiring are doing a joint road show with The Tolly Group in July and August. The Tolly Group devised a test methodology that measured bit error rates (BER's) encountered when running Gigabit Ethernet traffic across the cabling plant. The test show that the Mohawk/CDT and Hubbell categories 5e and 6 solutions meet or exceed the IEEE 802.3ab Gigabit Ethernet requirements. The highlight of the presentations will be an active Gigabit test over the cabling plant.



RiT Technologies (Mahwah, NJ) has agreed to join forces with Ruric Inc. (dba RBI) in a new marketing initiative called SmartNet. SmartNet, will bundle hardware and cabling into a unique intelligent cabling infrastructure to provide customers with an end-to-end cabling system for easier integration, installation, and management. The initiative bundles RiT's Patchview Intelligent Cabling System with advanced cabling systems from leading cable manufacturers.

"We are very excited to be part of this new distribution and marketing initiative that RBI has developed because it provides customers with a high quality, high performance end-to-end cabling infrastructure without a lot of hassle," said Motti Kleinmann, President of RiT Technologies, Inc.

Our goal with SmartNet is to provide the cable, connectivity, electronics and installation guidelines required for the enterprise network under one product and performance warranty which gives our customers piece of mind," said Ruric Brandt, President of RBI.

By combining the products from RiT, and utilizing high grade CAT5E cabling, many companies may be able to centralize much of their MIS support and concentrate on their core business, according to Gardner Smith, RBI's Integration Director.

There are several benefits of utilizing the SmartNet plan from RBI. It helps to locate your network assets, recovers unused network assets, increases network security, provides a global view of your cabling infrastructure in real-time, manages local and remote sites as well as provides a web-based interface.

"The SmartNet Solution allows us to offer our clients a powerful cabling management tool with the ability to position ourselves in the forefront of a state of the art network wiring technology. SmartNet differentiates us from our competitors," commented Mark Shockley, Installation Supervisor for Tek Systems EF&I (Norcross, GA), a reseller of the SmartNet Initiative. www.RiTtech.com



Cable Design Technologies (Pittsburgh, PA), a leading worldwide provider of high-speed network connectivity products, has announced that it has opened a new state-of-the-art facility in Longueuil, Quebec, Canada to produce central office and high bandwidth network connectivity products.

This facility will have an annual capacity of approximately $30 million once it is fully operational in calendar year 2001. The facility will be operated by a new subsidiary, QuadLAN/CDT, reporting to the Mohawk/CDT division.

Paul M. Olson, CDT's president and CEO, stated, "We are currently experiencing robust demand for our central office and network communication products which is driving our decision to expand our capacity for such products. The QuadLAN/CDT facility has cutting-edge machinery capable of manufacturing high quality products that will be supplied to global customers."

He continued, "We have hired an excellent management team, with an extensive background in the network cable industry, to run the QuadLAN operations. We are very confident in their abilities to operate this factory and we expect QuadLAN to begin shipping product in August of this year."

Cable Design Technologies is a leading designer and manufacturer of high bandwidth network connectivity products, fiber optic cable and connectors, assemblies, components, computer interconnect cables for communication switching applications, and communications cable products used in wireless, central office and local loop applications. CDT also manufactures electronic data and signal transmission products that are used in automation and process control and specialty applications. For more information on CDT, visit www.cdtc.com.



"These are extraordinarily exciting times for network and services providers, and their customers around the world. The convergence of wired, wireless, mobility, and Internet services is raising the bar for networks and for the companies and people who provide network-based services. Users' expectations of our industry have never been higher, the demands on our creativity and innovativeness never greater, the opportunities for success never more promising," predicts Curtis Holmes, Intelligent Network & Messaging Solutions Vice President, Lucent Technologies.

As chairperson of the International Engineering Consortium's IN Roundtable Forum, Mr. Holmes will share his vision for convergence and evolution toward enhanced services. The IN Roundtable Forum 2000 and the next day's IN World Forum 2001 Planning Meeting, took place July 25-26, 2000, at the Marriott Lincolnshare Resort outside of Chicago.

The International Engineering Consortium (IEC) is a nonprofit organization dedicated to catalyzing positive change in the information industry through collaboration with industry and academia. To serve industry and university professionals, the IEC conducts research and develops conferences, publications, technological exhibits, and Web-based tutorials addressing major opportunities and challenges of the information age. www.iec.org



Chris DiMinico, CDT's Director of Network Systems Technology, was a featured speaker at the recent Evolution of Gigabit Ethernet to 10 Gig Ethernet Conference in San Francisco. DiMinico reported on "Cabling Requirements for Gigabit Ethernet". He was also quoted in an on-line article on Tele.com regarding the relentless need for greater bandwidth. www.cdtc.com



NetClear™, a Berk-Tek (New Holland, PA) and Ortronics (New London, CT) alliance, has recently announced that The Tolly Group (Manasquan, NJ), an independent testing and industry analysis organization for leading-edged technology, certified that the NetClearGT2 structured cabling solution exceeds IEEE Gigabit-Ethernet® bit error rate requirements. www.berktek.com OR www.ortronics.com



Montrose/CDT' has introduced a high flex life version of IEEE 1394 "Fire Wire" for high-speed digital transmission for robotics and digital video applications. This high speed, serial bus cable has two data pairs and one power pair all manufactured to meet exceeding high tolerances. www.cdtc.com



CommScope, Inc. (Hickory, NC) has announced that it is opening a full-service cable distribution center in the Reno-Sparks, Nevada area. The new facility, located on Southern Way in a Sparks industrial park, is expected to begin operation in August 2000.

The new 225,000-sq. ft. distribution facility is planned to serve as a Cell Reach® wireless, CATV and LAN cable distribution and service center. Later this year, it will also have Cable-In-Conduit (CIC) manufacturing capabilities. The facility is expected to initially employ approximately 50 people. www.commscope.com



CDT was featured at the Republican and Democratic National Conventions as part of Pennsylvania's TechFest Presentation. Sponsored by Gov. Tom Ridge, the focus of TechFest is to showcase the high technology companies in the Commonwealth. www.cdtc.com



Flagstar Bank (FSB - Bloomfield, MI), one of the largest originators of residential mortgages in the U.S., has awarded Berk-Tek (New Holland, PA) a contract to provide all of the fiber-optic backbone and all of the enhanced UTP horizontal cabling for data and video applications throughout the bank's new world headquarters being built at Troy, MI and scheduled to be occupied in September 2000.

Berk-Tek reported that the Flagstar project will utilize more than a million feet of cable, including multimode and singlemode fiber and LANmark™-350 enhanced UTP copper cable. The installation calls for Panduit connectivity products, said Greg Camburn, President of Catalyst Communications, Berk-Tek's sales representative for Michigan. www.berktek.com



Affiliated Distributors (King of Prussia, PA) hosted over 150 Data Comm Sales and Marketing executives at the first annual A-D Data Comm Conference on June 11-13, 2000 in Chicago, IL. The conference is a mix of panel discussions, roundtables, and guest speakers such as keynote speaker Frank Bisbee, President of the Association of Cabling Professionals. Discussed topics included the TIA Standards, Organizational Issues for the Data Comm Distributor, and Attracting, Hiring and Retaining Data Comm professionals.

Brian Dobson, General Manager of Litecom (Fredericton, New Brunswick) benefited most from "the ability to get answers to questions we have been struggling with. The panel discussions and the networking with other Affiliates were invaluable."

Charles A. Collat Jr., Counter Sales/Data Comm Manager of Mayer Electric, Birmingham, AL, comments "The A-D Data Comm conference was an extremely valuable and low cost investment which will enhance our initiative in our Data Comm Markets. By networking with Affiliates from around the country, our direction was enhanced, modified and strengthened. I hope A-D will continue these types of meetings."

In addition to A-D Affiliate personnel, A-D Preferred Manufacturers with products for the Data Comm market were invited to contribute their perspective on the Data Comm industry and the role of electrical distribution. Sue Smith, Director of Data Communications for Pass & Seymour/Legrand, Syracuse, NY served on the Affiliate-Supplier panel and was impressed with "the energy and focus generated between the very skilled 'Data Comm Champions' and Affiliates who are new to the market. The sharing of knowledge provided a powerful and practical exchange of information that will enable A-D Affiliates to succeed in this market."

According to Jeanine O'Mara, A-D Marketing Programs Manager "the Data Comm conference sought to provide a balance of individual interaction to discuss business issues and instruction from industry experts to guide the Affiliate's implementation strategy."

At the conclusion of the meeting, Affiliates were invited to attend Supplier Resource Booths to learn about new products offered, training materials available, and to develop relationships with key Preferred Suppliers of Data Comm products.

The sessions were highly interactive and promoted dialogue between leading A-D Preferred Suppliers and A-D Affiliates expanding into the Data Comm market. A-D Affiliates in the US and Canada have identified Data Comm as a strategic growth market and plan to build their businesses through intensive training, expanded product lines and aggressive sales programs.

Affiliated Distributors, founded in 1981, is the largest network of independent Electrical, Industrial Mill and Industrial PVF distributors in North America. With over 2,500 locations in four countries, Affiliated Distributors has over 350 independent distributors in the network with annual combined sales over $15 billion. www.adhq.com



The Copper Development Association Inc. voiced approval of new standards set by the Federal Communications Commission for telephone wiring installed inside homes and other buildings. The new rule requires that when copper wiring is installed for telecommunications applications, at a minimum it must be solid, 24 AWG or thicker, twisted pairs, marked to indicate compliance with specifications for Category 3, as defined by ANSI/EIA/TIA Building Wiring Standards. The standard applies to both new construction and retrofit installations.

"CDA applauds the FCC's effort to encourage builders to install quality wiring to ensure that consumers have access to widely available communications services," said William T. Black, Copper Development Association vice president, wire and cable. "The new standard will benefit consumers as carriers deploy broadband services that are more demanding than traditional voice telecommunications," said Black, referring to the surge in the number of phone lines to accommodate Internet and fax connections, as well as developing technologies such as high-speed data transmission, computer networking and video services.

Category 3 and other, higher-speed cables such as Category 5 and Category 5E, consist of four twisted pairs of solid copper wire in a configuration that facilitates installation of multiple phone and fax lines. These advanced cables are also used for networking computers. The practical effect is to speed transmission and reduce static, crosstalk and degradation of signals-all common problems with old-style cable designed for analog voice service, especially when installed in close proximity to other wiring.

Black pointed out that the process leading to publication of the new standard began more than four years ago. He said, "Today Cat 5 copper communications wiring is the recognized minimum for broadband services, with more than six times the capacity of Cat 3. Cat 5E is becoming the new standard. Any of the Cat 5 or better cables has capacity and speed several times greater than needed for today's high-speed Internet services, such as DSL and cable modems. Installing the more advanced cables now provides a comfortable cushion for the future.

The FCC's new rules apply to installations made on or after July 8, 2000. A copy of the full text of the FCC order can be obtained at www.fcc.gov/Bureaus/Common_Carrier/Orders/2000/fcc99405.doc.



During the Las Vegas Interop show (May 9-11), the superior Mohawk/CDT Hubbell SureBit performance will be demonstrated via a live gigabit demonstration. The demo will compare a video file transfer rate of 100Base-T versus 1000Base-T speeds. SureBit is a total end-to-end cabling solution with Cat5e, Cat6 and fiber optic products. The Mohawk/CDT-Hubbell SureBit Performance will also be demonstrated at the NetworldSM+Interop® Conference & Exhibition (Atlanta, GA) September 24-29, 2000 and BICSI Nashville Conference in Nashville, TN the week of August 20, 2000. For more information, contact www.mohawk-cdt.com or www.hubbell-premise.com.



The Enterprise Networks Group soon to be spun off from Lucent Technologies (NYSE: LU) recently announced that it will be named Avaya, pronounced uhv-EYE-uh. The new name and logo will begin appearing in advertising and on company buildings and vehicles in the coming weeks.

As announced in March, Lucent expects to complete the spin-off by the close of the fourth fiscal quarter of 2000, which ends September 30th.

"We chose a name that would set us apart and capture what we're doing with the company - focusing on communications solutions for business customers," said Don Peterson, president and CEO. "Avaya sounds open and fluid-reflecting a company that's open-minded and that provides seamless, effortless interconnections among people and businesses."

The company's new logo is a word mark formed of letters that fit together and enhance one another. Its red color is bright and strong, and honors the company's Lucent Technologies heritage. The new Avaya will focus on enabling enterprises to succeed in the eBusiness age by providing advanced communications hardware, software and solutions. The company starts out as a worldwide leader in messaging and structured cabling solutions, and a U.S. leader in call centers and voice communications systems. Avaya has nearly one million business customers in more than 90 countries, including more than three-quarters of the Fortune 500.

Avaya has an extensive sales and services force. Almost half a million businesses - from small, neighborhood shops to large multi-national corporations - have Avaya service agreements. In addition, the company offers a portfolio of products to support multi-service network solutions, including its award-winning Cajun Campus™ LAN switching products and award-winning WAN systems products. Avaya has shipped more than one million LAN switching ports.

"We expect the overall market we're in to grow from about $113.8 billion in 1999 to about $176.6 billion in 2003, a compound annual growth rate of 11.6 percent," said Peterson, "And there are four trends in the marketplace that we believe are leading to significantly higher growth within key segments: the adoption of e-Business strategies by businesses worldwide; a focus on customer relationship management; the growth of businesses with widespread operations and mobile workforces; and the evolution toward converged voice and data networks. We believe we are well-positioned to capitalize on these trends and to serve the growing market for advanced enterprise communications products supporting eBusiness solutions."

Avaya also named key senior executives. As announced previously, Henry B. Schacht, 65, former chairman and CEO of Lucent Technologies and former CEO of Cummins Engine, is chairman of the new company. Donald K. Peterson, 50, former executive vice president and CFO of Lucent, is president and chief executive officer. Peterson has 25 years of experience in the communications industry. Prior to joining Lucent, he served as NORTEL's chief financial officer and president of NORTEL Communications Systems, Inc.

"We've selected a leadership team to build on our many strengths, including market leadership, a significant base of customers and great technology," said Peterson. "I'm delighted with this team's talent, experience and energy, and I look forward to working with them to create a new, high-performing company for our customers, our shareholders and our employees." The leadership team for the new business is as follows:

  • Homa Firouztash, Ph.D., 57, is chief operating officer. He is responsible for global operations and manufacturing; materials and logistics; product management for voice and data systems, applications, and connectivity solutions; quality and R&D. Dr. Firouztash will lead the new company's technical community of nearly 3,000 developers. Previously, he was president of Worldwide Sales for Lucent's Microelectronics Group.

  • Karyn Mashima, 46, is vice president of Global Strategy and Technology. She will formulate and drive overall business and technology strategies for the new company. Mashima also is responsible for business development and for cross-product and next-generation solutions architectures. She had similar responsibilities at Lucent's Enterprise Networks Group.

  • Ravi Sethi, Ph.D., 52, is vice president of Research. He is responsible for advancing high potential technologies, understanding customer trends and needs, and seeking out a variety of alliances in academia and industry to introduce leading-edge technologies and competitive products. Dr. Sethi was previously senior vice president, Communications Science Research, at Bell Labs.

  • Garry K. McGuire, 53, is chief financial officer. McGuire previously served as president and chief executive officer of Williams Communications Solutions, LLC, and president of Nortel Communications Systems.

  • David P. Johnson, 40, is vice president of Worldwide Sales and International Services. Johnson will be responsible for overall sales channel strategy, including direct sales, indirect sales, and the company's growing alliances with systems integrators, as well as international services. Johnson was formerly vice president of International Sales and Service for Lucent's Enterprise Networks Group.

  • Dana Becker Dunn, 49, is vice president of Transition Operations. She leads the transition planning as Avaya prepares to spin off from Lucent.

  • Michael A. Dennis, 41, continues as vice president of U.S. Services. He is responsible for the overall services business, including installation, maintenance and service offerings.

  • Pamela F. Craven, 46, is vice president, general counsel and corporate secretary of the new company. She is responsible for all legal services including commercial law, corporate law, labor and employment law, and intellectual property law; and for government relations. Previously, Craven was vice president, Law and Lucent corporate secretary.

  • Maryanne DiMarzo, 48, is vice president of Human Resources, and will be responsible for compensation and benefits, workforce relations, organizational development and transformation, and recruitment. She was formerly vice president of Lucent's Corporate Centers Human Resources.

  • Steve Aaronson, 48, is vice president of Communications. He is responsible for branding and corporate image, investor relations, news media relations, employee communications, industry and financial analyst relations and philanthropy. Previously, Aaronson was vice president of Lucent's Service Provider Networks Public Relations.

  • "This team is totally committed to the enterprise space, and has a deep appreciation for the issues facing our customers. We are working together to maintain and enhance our customer and partner relationships through the transition and spin-off," Peterson said.

  • Separately today, Avaya announced a global strategic alliance with Siebel Systems that includes joint development and integration of eBusiness solutions as well as joint marketing and sales teams.

Avaya, formerly the Enterprise Networks Group of Lucent Technologies, headquartered in Basking Ridge, N.J., USA, is a leading provider of communications systems for enterprises, including businesses, government agencies and other organizations. We offer voice, converged voice and data, customer relationship management, messaging, multi-service networking and structured cabling products and services. We are a worldwide leader in sales of messaging and structured cabling systems and a U.S. leader in sales of enterprise voice communications and call center systems. We intend to use our leadership positions in enterprise communications systems and software, our broad portfolio of products and services, and strategic alliances with other technology and consulting services leaders to offer our customers comprehensive eBusiness solutions. For more information about Avaya, visit us on the web at www.avaya.com.

Lucent Technologies, headquartered in Murray Hill, N.J., USA, designs and delivers the systems, software, silicon and services for next-generation communications networks for service providers and enterprises. Backed by the research and development of Bell Labs, Lucent focuses on high-growth areas such as optical and wireless networks; Internet infrastructure; communications software; communications semiconductors and optoelectronics; Web-based enterprise solutions that link private and public networks; and professional network design and consulting services. For more information on Lucent Technologies, visit its web site at www.lucent.com.

We selected the name Avaya because:

  • It sets us apart and captures what we're doing with the company -- becoming independent, being focused on enterprise customers and going forward. The name has a certain flair to it that says action, that says we're new, we're different.

  • You won't find Avaya in the dictionary; it is a "coined" or made-up word, what the naming industry calls an "empty vessel." It is up to us -- our behavior and our performance as a company -- to fill it with meaning.

  • International focus groups told us Avaya sounds like a company that's agile, open-minded, spirited, fun. They said it suggested ease, speed, energy and seamless connection.

  • The name sounds simple, open and fluid; syllables flow into one another effortlessly. Linguists call this kind of word a word with no stops. Not a bad anthem for a company dedicated to breaking down the barriers between people, between people and content, between our customers and their customers, between platforms and applications, between the technology of the past and the solutions of the future.

  • Our logo is a word mark formed of letters that relate smoothly, echo and enhance one another, and move fluidly from the first letter to the last. The "V" gives the name a lively, vigorous sound, quick and precise. We chose a bright, strong red as our signature color both to announce our arrival in a commanding voice and to honor our Lucent Technologies heritage.

  • Our name is Avaya; the word "Communication" is a descriptor that we're using initially to help define what we do. It is NOT "communications" plural, which denotes technology, systems, or networks. It is "communication" singular, which emphasizes human relationships and rapport-since we help businesses build better relationships with their customers and others.

www.avaya.com



HellermannTyton (Milwaukee, WI), a manufacturer of cable management and network connectivity products, has announced its 25-year structured cabling system warranty. When HellermannTyton's system of connectivity products is used with several, choice cable manufacturers, HellermannTyton ensures the Basic Link and Channel performance for 25 years, in accordance with ANSI/TIA/EIA-568-A. The HellermannTyton products covered under the program are its Category 5E patch panels, patch cords, modular jacks, and Category 5-110 blocks. All warranted installations must be completed by a certified HellermannTyton installer, and warranty application requirements must be followed. These requirements, along with certified installer training information, are listed in the "Structured Cabling System Warranty Program" brochure available from HellermannTyton. www.hellermann.tyton.com



50 MILLION DOLLAR LAWSUIT AGAINST

IBEW LOCAL NO. 3 AND SIX ELECTRICAL CONTRACTORS

On June 27, 2000, two telecommunications contractors, U.S. Information Systems, Inc. (USIS) and Odyssey Group, Inc., brought an antitrust lawsuit in New York federal court against IBEW Local 3 and six electrical contractors that employ Local 3 workers. Those contractors are: A&R Electric Co., Adco Electric, Inc., Five Star Electric Corp., Forest Electrical Corp., Nead Information Systems, Inc., and IPC Communications, Inc.

USIS and Odyssey state in their complaint that the antitrust violations result in trebled damages of $50 million, as provided for by federal law. Plaintiffs also seek an order prohibiting the defendants, and anyone cooperating with them, from engaging in illegal antitrust activity under penalty of civil and criminal contempt of court.

The basis of the lawsuit is an illegal, on-going conspiracy among Local 3 and the electrical contractors to take over the telecommunications wiring market in the New York metropolitan area. The complaint outlines how the defendants, who control the electrical construction industry, have utilized their position in the electrical market to initially limit, and ultimately exclude, the plaintiffs from engaging in telecommunications work.

For several years, the defendants have threatened to use, and have, in fact, used disruptions and delays in construction projects unless Local 3 electrical contractors were given the telecommunications portions of the projects. They have made false statements about the plaintiffs and their businesses and have engaged in job site intimidation, harassment, and vandalism.

These defendants, their agents and others have used various types of actions, as tools to extend the present electrical monopoly to telecommunications work. The complaint describes situations where the defendants' illegal actions kept the plaintiffs off bidding lists, kept them from getting the bid award, got the plaintiffs' telecommunications contracts reassigned to electrical contractors, and interfered with the plaintiffs' work, equipment, and personnel. In doing so, the complaint shows how the defendants made threats that there would be labor unrest and threatened to withhold required overtime so as to prevent the plaintiffs' CWA employee's involvement on the job site. It describes how misstatements were made regarding the likelihood of vandalism on projects in which the plaintiffs' CWA employees took part. In another area, the complaint notes how the defendants and their agents manipulated situations so as to bar the plaintiffs from particular buildings, labeling them as "Local 3 only buildings".

The plaintiffs show in their court papers that they are, routinely, the best qualified and lowest cost bidders on telecommunications projects in New York. The papers argue that telecommunications customers, and thereby the public at large, are harmed every time the defendants' antitrust actions result in telecommunications work being awarded to the defendants instead of the lowest qualified bidder, which are either the Plaintiffs or other CWA telecommunications contractors. The damages sought by the plaintiffs, as stated in the complaint, are at least $50 million but the extra cost to the public is in the hundreds of millions.

Even though the plaintiffs employ Communications Workers of America ("CWA, AFL-CIO") members while the defendants use IBEW Local 3 workers, this is not a labor case. It is an antitrust case because it deals with the conspiracy by IBEW Local 3 and electrical contractors to monopolize and restrain trade. It should be noted that the National Labor Relations Board has already found certain of the types of conduct committed by the defendants to be unlawful.

The plaintiffs are continuing their investigation of these matters and, as they add to the evidence that they are gathering, they will add more parties to the lawsuit should the evidence so warrant. They are fully committed to bringing these issues to resolution, not only because the defendants' conduct is illegal but, more importantly, because it is harming the telecommunications industry and is costing the public hundreds of millions of dollars. The plaintiffs are represented by the New York office of King & Spalding, a national law firm.



Take special note of recent announcements by Mohawk/CDT and Avaya on their new limited combustible (LC) cable. There is a strong signal that improved fire safety cable options are ahead from end users. These leading cable manufacturers are first out of the chute and we understand that other leading cable manufacturers are busily developing a variety of LC cable designs. We predict strong interest from certain end user segments who want the added protection offered by LC cables.

Underpinning the development of LIMITED COMBUSTIBLE cable are a large number of extensive testing and research programs in the U.S. and other countries. For example, this June Atlantic City hosted the Fire Protection Research Foundation's Symposium (FPRF is a division of National Fire Protection Association) on Fire Risk and Hazard Research. The symposium included two half-day sessions on "Recent Cable and Wire Fire Research". The symposium included speakers from the U.S., the UK and Sweden. The results of this research and conclusive findings are just now coming to the surface in public documents, so prepare for what we believe will be one of the hottest cabling issues in the next 12 to 18 months.

 

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