Dulles, VA. December 2, 2003 – Encore Networks today announced a reseller agreement with Phillips Communications & Equipment (Phillips). Through this agreement, Phillips will sell, service, and support Encore's entire line of IP over frame products, legacy protocol data FRADs, and broadband VPN security products, including Encore's recently announced BANDIT™ VPN gateway.

Phillips Communications is a value-added reseller of new and refurbished telecommunications products and services. With a plethora of products from networking companies such as Adtran, RAD Data Communications, Net to Net, Telect, and now Encore, Phillips provides voice, data, and video equipment solutions, engineering support, and technical services to virtually every type of industry in North America and abroad. Serving these industries since 1979, Phillips also provides its customers additional services including systems integration, inventory management, and 24-hour technical support.

"By adding Encore products in general, and the BANDIT™ in particular to our product portfolio, we are broadening our technology mix, offering our customers more options for upgrading slow, legacy networks into fast, secure infrastructures," stated Bobby Baine, Vice President and General Manager of Phillips.

Encore Networks' BANDIT™ is a secure broadband access router, ideally suited for branch offices, that combines Virtual Private Network (VPN) security, remote diagnostics, dial backup, and extended network management tools in a single compact device. The BANDIT™ offers the best combination of price and performance as an all-in-one solution for IP routing, VPN, firewall security, legacy data protocols, diagnostics, combined with SNMP based network management for carrier, enterprise, and small business customers.

"Phillips has built a solid reputation over the last twenty years as a company that offers multi-location businesses ways to improve their bottom line by using technologies that enable them to effectively connect to the latest converged networks," stated Bill Grant, Vice President of Broadband Access Solutions for Encore Networks. "We are excited to join the Phillips team as a featured manufacturer."

In addition to the BANDIT™, this agreement covers Encore's complete line of voice over packet products including Integrated Access Devices, which support the transmission of voice, data, video, and fax over either Frame Relay or IP networks. The IADs include the FRADs that combine legacy data protocols and IP over frame links. Ideally suited for enterprise users, these products provide extensive IP and legacy protocol support.