Major U.S. Retailer Selects March Networks Managed Services in Annual
Contract Worth $1 Million

OTTAWA, Feb. 23 /CNW Telbec/ - March Networks(R) (TSX: MN), a global provider of intelligent IP video solutions, today announced that a large retail customer based in the U.S. has selected the Company's Managed Video Network Services to ensure the optimal performance of more than 27,000 March Networks IP video systems currently operating in its stores nationwide. The annual contract is valued at approximately $1 million.

Managed Video Network Services enable the retail organization to outsource the ongoing health monitoring and maintenance of its extensive digital video solution to skilled professionals at the Company's Network Operations Center (NOC). As part of March Networks' VideoSphere(R) portfolio, the services ensure that the retailer realizes all the benefits of its advanced security and loss prevention applications without impacting internal resources.

Using powerful system management tools, NOC staff will remotely monitor the health of the retailer's entire surveillance network, including hybrid NVRs, disk drives and network connectivity. They will track system metrics and proactively diagnose and address potential issues before they affect performance.

March Networks' managed services offering optimizes surveillance uptime and helps ensure video evidence is always available when needed. It includes a range of service options, from the health monitoring of networked cameras, recorders and other components to system audits and training, to best meet specific customer requirements. It also incorporates ongoing software maintenance and scheduled updates, which provide customers with the latest functionality available in the Company's portfolio.

"Our managed services enable organizations to derive the maximum benefit from their IP video investments," said Peter Strom, President and CEO, March Networks, "We are pleased to offer this service to our substantial customer base worldwide and expect further growth in this segment of our business as outsourcing is increasingly recognized as a highly effective way to manage security infrastructure."

About March Networks

March Networks(R) (TSX:MN) is a global provider of intelligent IP video solutions. For close to a decade, the Company has helped some of the world's largest commercial and government organizations transition from traditional CCTV to networked video surveillance used for advanced security, loss prevention and risk mitigation. VideoSphere(R), the Company's enterprise-class video management portfolio, includes open-platform VMS software complemented by high-definition IP cameras, encoders, video analytics and recording platforms, as well as outstanding professional and managed services. March Networks systems are delivered through an extensive distribution and partner network and currently support over one million channels of video in more than 50 countries. For more information, please visit www.marchnetworks.com.

Forward-Looking Statements

This release contains certain forward-looking information, including expectations of future business. This information is based on the Company's current expectations and assumptions that are subject to a variety of risks and uncertainties that are difficult to predict and that may be beyond March Networks' control. Actual results could differ materially from those expressed in any forward-looking statements due to factors such as customer demand and timing of purchasing decisions, increased levels of competition, technological changes and the successful development of new products, dependence on third-party manufacturers, risks relating to intellectual property infringement claims, and other risks and factors identified in March Networks' public filings with regulatory authorities in Canada. March Networks assumes no obligation to update these forward-looking statements as a result of new information or future events.

*MARCH NETWORKS, VideoSphere and the MARCH NETWORKS logo are registered trademarks of March Networks Corporation. All other trademarks are the property of their respective owners.

For further information: Peter Wilenius, March Networks Corporation, [phone], [email protected]