Enterasys Networks to Report Fourth-Quarter and Year-End 2004 Financia

    Business Editors

    ANDOVER, Mass.--(BUSINESS WIRE)--Jan. 12, 2005--Enterasys Networks (NYSE: ETS), the Secure Networks Company(TM), will announce financial results for the fourth quarter and year ended January 1, 2005, on Thursday, February 10, 2005, after the close of the market. At that time, the company will issue a news release detailing the financial results and will simultaneously post it at www.enterasys.com.
    Management will hold a conference call beginning at 5:00 p.m. EST to discuss the results. The live call will be available on the investor relations section of Enterasys' website at http://www.enterasys.com/corporate/ir/. The call also will be available for replay beginning at approximately 7:00 p.m. EST on February 10 through February 24, 2005. To access the replay, dial 888-286-8010 and enter pass code 73193736 or visit the investor relations section of Enterasys' website located at http://www.enterasys.com/corporate/ir/.

    About Enterasys Networks

    Enterasys Networks is the Secure Networks Company, providing enterprise customers with innovative network infrastructure products, services and solutions that deliver the security, productivity and adaptability benefits required by Global 2000 organizations. For more information on Enterasys Secure Networks and the company's products, including multilayer switches, core routers, WAN routers, wireless LANs, network management, and intrusion defense systems, visit www.enterasys.com.
    This news release contains forward-looking statements regarding future events, activities and financial performance, such as management's expectations regarding future revenue and cash flow; strategic relationships and market opportunities; product development; and other business strategies and objectives. These statements may be identified with such words as "we expect," "we believe," "we anticipate," or similar indications of future expectations. These statements are neither promises nor guarantees, and actual future financial performance, events and activities may differ materially. Readers are cautioned not to place undue reliance on these statements, which speak only as of the date hereof. We expressly disclaim any obligation to update such statements publicly to reflect changes in the expectations, assumptions, events or circumstances on which such statements may be based or that may affect the likelihood that actual results will differ materially.
    Some risks and uncertainties that may cause actual results to differ materially from these forward-looking statements include, but are not limited to: worldwide and regional economic uncertainty and recent political and social turmoil may continue to negatively affect our business and revenue; we have a history of losses in recent years and may not operate profitably in the future; our quarterly operating results may fluctuate, which could cause us to fail to meet quarterly operating targets and result in a decline in our stock price; we earn a substantial portion of our revenue for each quarter in the last month of each quarter, which reduces our ability to accurately forecast our quarterly results and increases the risk that we will be unable to achieve previously forecasted results; we continue to introduce new products, and if our customers delay product purchases or choose alternative solutions, or if sales of new products are not sufficient to offset declines in sales of older products, our revenue could decline, we may incur excess and obsolete inventory charges, and our financial condition could be harmed; we may be unable to upgrade our indirect distribution channels or otherwise enhance our selling capabilities, which may hinder our ability to grow our customer base and increase our revenue; we have experienced significant changes in senior management and our current management team has been together for only a limited time, which could limit our ability to achieve our objectives and effectively operate our business; there is intense competition in the market for enterprise network equipment, which could prevent us from increasing our revenue and achieving profitability; a portion of the enterprises we sell to rely in whole or in part on public funding and often face significant budgetary pressure, and if these customers must delay, reduce or forego purchasing from us, our revenues could be harmed; we depend upon a limited number of contract manufacturers for substantially all of our manufacturing requirements, and the loss of any of our primary contract manufacturers would impair our ability to meet the demands of our customers; and those additional risks and uncertainties discussed in our most recent filings with the Securities and Exchange Commission, including our annual report on Form 10-K for the fiscal year ended January 3, 2004.

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CONTACT: Financial Analysts: Enterasys Networks Kristen Sheppard, Esq. Investor-relations@enterasys.com or News Media: Enterasys Networks Kevin Flanagan, 978-684-1473 kflanaga@enterasys.com

KEYWORD: MASSACHUSETTS INDUSTRY KEYWORD: NETWORKING EARNINGS CONFERENCE CALLS SOURCE: Enterasys Networks

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