Innovation and ADTRAN Presented by: Brent Frederick, Regional Sales Manager

1. Innovation and ADTRAN Presented by: Brent Frederick, Regional Sales Manager

2. Today We will Talk about… Moscow Kids Nuns Health Care

3. But First, Who is ADTRAN? Leading provider of networking and communications equipment ADTRAN solutions enable voice, data, video, and Internet communications Widely deployed by carriers, SMBs and enterprises worldwide Nearly every T1 in the nation delivered via ADTRAN equipment Market leadership position in Integrated Access Devices and #2 in Branch Office Access Routers 25 years of experience building innovative solutions supporting next generation technologies Financially stable Long history of profitability History of success during challenging times Fast Facts: Founded in 1985 Publicly traded on NASDAQ: ADTN 2010 Revenue - $604 million 2011 Revenue $717million 2,200 employees worldwide Broad portfolio – 1,700 products ADTRAN Headquarters, Huntsville, AL Fast Facts • Founded in 1985 • Publicly traded on NASDAQ: ADTN • 2012 Revenue - $620m • Q42 2012 Net Income – $139million • 2,200 employees worldwide • 50 countries • Diverse Broad portfolio – 3,200 products

4. Market-Proven Superiority • Highest-performing products • Market-proven reliability • #2 North American Branch Office Router Market share • #1 Market Share Integrated Access Devices • 10-years in the Internetworking market • Deployed by carriers worldwide, and numerous business and government agencies • Carrier Class Reliability

5. Industry Acknowledgement Forbes “Top 200 Best Small Companies” Fortune “40 Stocks to Retire On” Featured in “The Breakthrough Company” National Media Participation Cover story for NGN Magazine Wall Street Journal Fortune Business Week

6. ADTRAN Success Story:The City of Moscow THE CHALLENGES • Distributed municipality located in Moscow, Idaho • 15 Municipal locations on city-wide fiber. • New VoIP System was experiencing many problems b/c of the data infrastructure such as dropped calls, packet loss, and low speeds. • They needed a cost effective, highly reliable data infrastructure.

7. ADTRAN Success Story:The City of Moscow ADTRAN SOLUTION • NetVanta 4430 and 3430 Routers. • Used to terminate WAN Fiber and Copper. • NV 4430 is capable of up to 750 Meg Ethernet Fiber WAN Connect LIST Price: $2,800 • NV 3430 is capable of 50-65 Meg Ethernet Copper, LIST Price: $895 • NetVanta 1544, 1534, and 1234/1238 series switches. • Cost-Effective, Layer 2 and 3 Gigabit and 10/100 Ethernet with POE available as well. Summary • They paid ½ the cost of the “market leader” and got an enterprise-grade solution. • Quote: “We had spent 3-4 months with our previous hardware Vendor trying to fix the problems and the ADTRAN NetVanta products fixed our problems in hours.” –Jesse Flowers, IS Director

8. Useful Tools for Moscow: Media Diagnostics Cable Diagnostics: Dramatically reduce amount of time spent troubleshooting cabling issues Determines length of a cable Detects the open cable pair and shorted cable pair SFP Diagnostics: Helps diagnose problems with fiber connections by providing SFP diagnostic information. Transmit/Receive power levels, temperature, etc.

9. Useful Tools for Moscow: Port Scheduler Port Scheduler Conserve power by powering down devices during non-business hours Reduce cooling cost Improve security by disabling ports when not in use Disable access points or conference room ports Schedules can be set independently for each port Don’t power down video surveillance cameras or certain phones

10. Useful Tools for Moscow: Power Conservation • Power Over Ethernet • Intelligent power management • Automatically budget PoE power • Conserve energy by powering down devices when not in use • Eliminate the need to add additional electrical wiring • Provide the network infrastructure for VoIP, Wi-Fi and video surveillance • Prepare for future network needs • 802.3af and pre-standard PoE fully supported • ADTRAN Designed Power Supply • Not constrained to “it’s close” off-the-shelf supplies

11. ADTRAN Success Story:Hamilton Heights Schools THE CHALLENGES • Moving to a 1:1 environment • Staying competitive in a district challenged to maintain enrollment • Needed a campus-wide, easy to manage, yet enterprise-grade wireless solution. • Network Security on the WLAN • Needed to account for future growth without “breaking the bank” down the road with extra expenses like forklift upgrades of WLAN hardware controllers.

12. ADTRAN Success Story:Hamilton Heights Schools ADTRAN Solution • ADTRAN NetVanta 1544, 1534, and 1234/1238 switches. • ADTRAN’s Bluesocket VWLAN Wireless Solution. • Provides a consistent wireless product offering across all buildings without the expense of pricy hardware controllers. • Gave them fault tolerance and redundancy with the use of separate VMWare instances. • A feature rich solution with excellent security where authentication is handled at the AP level, keeping unwanted traffic off the network. Summary “We compared the cost of ADTRAN to Meraki, Cisco, and others, and because of the security, manage- ment, and VMWare-based control, ADTRAN was a clear choice!” -David Slabe, Tech Coordinator

13. A bit more on VWLAN: WiFi Evolution 1st Generation 2nd Generation 3rd Generation 4th Generation Migration toward Distributed Data Plane Distributed Data Plane Virtual Control Autonomous Access Points Controller-based Single Channel Controller-based Controller-less

14. What is WLAN Virtualization? • Virtual Controller Architecture • Eliminates the controller hardware • Moved control and mgmt to hypervisor • Moved the data plane to the AP Traditional Controller-Based Architecture • Three planes existed in centralized controller • Not a scalable solution for 11n deployments Hypervisor WLAN Controller Access Points Access Points Management Plane Management Plane Control Plane Control Plane Data Plane Data Plane Physical / MAC Layer Physical / MAC Layer

15. vWLAN Solves Security Problems An in-line device that can be hacked (wireless controller) is eliminated LAN Switch Wireless Controller Control traffic Groomed traffic VMware enabled Access Point Data Center Virtual Control Unwanted Traffic Unwanted traffic is turned away at the access point and never enters the LAN

16. vWLAN Enables Centralized Control No need for physical controllers at each site All access points controlled and managed from VMware Consistent traffic management, security policy, and user experience across all locations Allows for redundant/fault tolerant virtual controllers. Headquarters WAN Asia-Pac Canada EMEA

17. ADTRAN Success Story:Order of Franciscan Sisters THE CHALLENGE • Provide centrally managed, cloud-controlled WiFi for multiple sites across the nation. • They needed a cost effective & secure enterprise solution to be managed by their limited IT Staff. THE SOLUTION • ADTRAN NetVanta Switches and Bluesocket VWLAN Wireless. • Provides one consistent data & wireless standard across all sites • With virtualization technology they have built-in network redundancy with failover. Faster Wireless = Happier Nuns!

18. ADTRAN Success Story: Health Care Services THE CHALLENGES • Needed a standard voice & data solution across all 100 sites. • Some sites need new VoIP now, some new data, some new wireless. • Needed a strong telecommunications partner with a stable financial history and with innovative solutions. • Guess who they chose?

19. ADTRAN Success Story:Health Care Services ADTRAN Solution • ADTRAN’s NetVanta 7100 “office in a box” VoIP solution. • Future potential to support all sites with 1 ADTRAN Voicemail Solution. • ADTRAN switching including ActivReach for areas that need 100mbps but where they cannot run new data cabling. • ADTRAN/Bluesocket VWLAN for wireless.

20. ADTRAN’s All-in-One NetVanta 7100 VoIP Solution NetVanta 7000 Series Simple, reliable, affordable solution with maximum functionality, designed for SME

21. Supports up to 100 VoIP stations Includes Voicemail 3000 msgs, 50 hours Includes Multi-level Auto Attendant Supports Analog phones, FAX, modems Supports Analog, T1, PRI trunks Supports SIP Trunking and Networking Supports high speed Internet access Includes Firewall and VPN (7100) PBX & Key System Modes Integrated Messaging – Voicemail to email Basic ACD, E911 support Zone Paging, Find Me/Follow Me Options for Unified Communications NetVanta 7000 Series – Feature Highlights ADTRAN SMB solutions are Simple, Smart and Reliable

22. Unified Communications Server Solutions Bringing people and information together with Unified Communications Easy to Use Appointment Reminder Client Experience Paging Find Me / Follow Me Telephony Conferencing Unified Messaging User Needs NetVanta UC Value Proposition Desktop Faxing Business Automation Simplified Administration Presence Increased Productivity Lower TCO Enhanced Customer Intimacy Simplified Administration Reduced Costs Anytime anywhere communication

23. ADTRAN Unified Communications ADTRAN UC is excellent as a complimentary solution to existing VoIP offerings UCS as a Voicemail Replacement Give users a 21st Century VM offering with things like VM to E-Mail through Outlook Save $$ by continuing to use existing handsets Solution scales to thousands of users and has been sold multiple times over with multiple voice systems from manufacturers such as Avaya/Nortel, Toshiba, NEC, Samsung, and many others ADTRAN UC as an IVR solution used with existing voice system Great for any type of inbound or outbound IVR such as appointment reminders and school closing notifications Cost effective and customizable.

24. ADTRAN ActivReach for 100 mbps POE over long distances or sub Cat-3 Cabling www.adtran.com/activreach

25. Typical ActivReach Ethernet Deployment The flexibility of the NV1535P allows for standard IEEE Ethernet speeds of 10/100/1000 over CAT5/CAT6 or speeds of 10/100 Mbps over legacy voice-grade copper, CAT3 with ActivReach Using ActivReach, end-points can be connected at distances up to 1200 ft

26. In Summary Moscow Kids Nuns Health Care INNOVATIVE SOLUTIONS MEANS ADTRAN!