Packeteer(R) Intelligent Service Assurance(TM) Solution Drives Network Efficiencies at Next Generation Network, FX Networks

Packeteer® (NASDAQ:PKTR), the global leader in WAN application performance solutions, today announced that FX Networks, which supplies high performance Internet services via its New Zealand-wide fibre optic data network, has implemented Packeteer’s PacketShaper® solution to gain more granular control over its international bandwidth to better tailor its services to meet customer needs and increase the yield on its network by 5-10 percent. The increase in yield comes from the ability of Packeteer’s Intelligent Service Assurance™ solutions to ensure higher levels of service for more customers on premium plans than was previously possible, without increasing international bandwidth. Packeteer’s PacketShaper provides more granular control over FX Networks’ international bandwidth than its previous solution while Packeteer’s IntelligenceCenter™ offers more detailed reporting and statistical analysis. "With Packeteer we can provision more precisely and better tailor our services to meet different customer requirements,” said Jamie Baddeley, general manager, sales for FX Networks. "We can offer more premium grade services without necessarily increasing the amount of bandwidth, which gives a better yield on the infrastructure. If we can get 60Mbps more out of a 600Mbps pipe at a premium service level—and we figure we can get 5-10 percent better utilization—at our scale that is really meaningful.” Packeteer’s solution, supported by reseller partner Datacraft, replaces a router-based traffic shaping solution that had reached its capacity limits and needed upgrading or replacing. The new solution needed to handle 300Mbps to 600Mbps of load within the short term, and 1Gbps in the medium term, at FX Networks’ trans-Pacific Internet gateway. FX Networks’ engineering team rigorously evaluated four competing solutions, including a router-based solution from Cisco Systems and a network performance optimization and monitoring system from Exinda Networks, using actual customer data in a realistic test environment. They established nine critical criteria and ranked competing vendors from "one” to "four” in each. The criteria including load capability, seamless integration with a customer self-service portal, integration with automatic service provisioning, failsafe capability, time-of-day based traffic shaping, in-country technical support, dual upstream and downstream capabilities, size of deployed customer base and track record with comparable customers. Packeteer ranked number one in seven of the nine categories, scoring 11 overall, by far the lowest and best score. "It wasn’t about the business suiting the technology, it was about the technology suiting our business. We could just apply the Packeteer solution to the business as it stands with no impact to the customers,” said Baddeley. "Not only that but Packeteer enabled significant architectural benefits. We have three primary product lines in the ISP area, tailored for small-to-medium businesses and large enterprises, and other ISPs in particular. Each has different attributes. Some are cheaper, while others offer bullet-proof international capacity. Packeteer allows us to maintain good service levels for our basic customer plans, while implementing appropriate superior grades of service for our premium plans, to make sure everyone gets what they pay for.” Packeteer also provides an upgrade path that will offer FX Networks additional economies of scale as its business continues to grow. "When your international bandwidth gets to the 622Mbps mark—the magic level for an ISP in the Pacific—then you need to start considering a US-based node,” said Baddeley. "Then we will look at having another PacketShaper in the US and optimizing traffic across the trans-Pacific link. That is where you get the real yield benefits.” "FX Networks is a great example of an independent telecommunications provider which exploits new technology to provide high-performance, cost-effective customer services,” said Phil Goodwin, solutions marketing manager for Datacraft NZ, which provides a range of integration and support services to FX Networks. "The new solution from Packeteer has the scale and capability to precisely tailor bandwidth to customer SLAs, providing economies to support FX Networks’ continuing rapid growth.” About Packeteer Packeteer is the global leader in WAN Application Delivery. Packeteer’s solutions provide an intelligent, unified and adaptive approach to monitor, shape, and optimise applications, delivering the best user experience for any application to any location. For more information, visit the company’s Website at http://www.packeteer.com. Safe Harbor Clause The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities and Exchange Act of 1934, as amended, including statements regarding Packeteer's expectations, beliefs, intentions or strategies regarding the future. Forward-looking statements include, but are not limited to, express or implied statements regarding future revenues, revenue growth and profitability, spending levels by existing and prospective customers, the markets for our products, new product development, liquidity and macro economic conditions. All forward-looking statements included in this press release are based upon information available to Packeteer as of the date hereof. Packeteer assumes no obligation to update any such forward-looking statements. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. Actual results may differ materially due to a number of factors including the perceived need for our products, our ability to convince potential customers of our value proposition, the costs of competitive solutions, continued capital spending by prospective customers and macro economic conditions. These and other risks relating to Packeteer's business are set forth in Packeteer's Form 10-K filed with the Securities and Exchange Commission on March 4, 2008, and Packeteer's Form 10-Qs and other reports filed from time to time with the Securities and Exchange Commission. Copyright ©2008 Packeteer, Inc. All rights reserved. Packeteer, the Packeteer logo, PacketWise, PacketShaper, PacketShaper Xpress, PacketSeeker, Intelligence Center, PolicyCenter, ReportCenter, SkyX, iShared, Mobiliti, iShaper, IntelligenceCenter, Raptor, and Talon are trademarks or registered trademarks of Packeteer, Inc. in the United States and other countries. All other products and services are the trademarks of their respective owners.