THE CHILDREN'S HOSPITAL OF PHILADELPHIA BUILDS HEALTHCARE INFORMATION
SYSTEM WITH BAY NETWORKS INTERNETWORKING SOLUTIONS

-- Increased Resource Sharing and Communication Facilitates Quality of Care
--

VANCOUVER, British Columbia, July 24, 1995 -- Bay Networks, Inc. (Nasdaq:
BNET) today announced that The Children's Hospital of Philadelphia has
implemented an enterprise-wide, healthcare information network based on
Bay Networks high-performance networking equipment and system integration
services. This high-speed network infrastructure will facilitate the
quality of patient care by enabling physicians, nurses, technicians, and
administrators throughout The Children's Hospital of Philadelphia and
several off-site offices to share clinical and administrative
information.

Using Bay Networks backbone and remote access routers, intelligent hubs and
network management products, the healthcare network integrates voice,
data, and image technology to support a variety of LAN-based, multimedia
applications, information, and communication facilities. The distributed,
fiber optic-based network, which will connect up to 3,800 users among
multiple medical facilities and office locations, will support the
delivery and outcome of patient care by providing timely access to medical
specialties and information, such as patient data, diagnostic images,
business applications, and Internet services.

In addition to delivering a complete suite of internetworking and
management products, Bay Networks provided the healthcare network with
system integration services. Bay Networks, in partnership with the
networking staff of The Children's Hospital, designed, configured, and
installed the healthcare network in less than 6 months.

"To increase the levels of communication and resource sharing across the
entire organization, we needed to re-engineer our disparate networking
systems to a more flexible and extensible infrastructure that seamlessly
provides clinical care, medical research, and administrative information
for any user at any time," stated M.J. Evenson, manager of technical
services at The Children's Hospital of Philadelphia. "The integration of
Bay Networks proven internetworking solutions and expertise has resulted
in a highly scalable and manageable healthcare information network that
optimizes the availability of medical and administrative information."

"Many of today's healthcare organizations are building network
infrastructures to satisfy the heavy information-sharing demands of
advanced clinical technologies and managed care. The Children's Hospital
healthcare network meets this challenge by providing distributed access to
information systems services for users on campus and at remote locations,"
said Julie Ford, Bay Networks program manager for healthcare. "Delivering
the benefits of multiprotocol interoperability and connectivity, hardware
redundancy, and network manageability, the deployment of Bay Networks
internetworking solutions support the hospital's advancement of patient
care and outcomes, as well as medical education and research through the
expansion of communication and information access."

A Distributed Healthcare Information System

The healthcare information network delivers reliable and continuous system
connectivity and interoperability through its FDDI backbone using Bay
Networks high-end Backbone Concentrator Node (BCN) and Concentrator Node
(CN) routers and LattisSystem 5000 network center hubs installed in The
Children's Hospital of Philadelphia and its newly constructed research
facility on the West Philadelphia campus.

The network also will provide wide area Switched Multimegabit Data Service
(SMDS) connections via T1 lines to multiple off-site clinics and
administrative offices located in New Jersey and Pennsylvania. Using Bay
Networks multiprotocol Access Node (AN) and Access Stack Node (ASN)
routers, remote site users will have the ability to access the information
network and transport clinical data and medical images across mixed media
environments.

Additionally, The Children's Hospital of Philadelphia has standardized on
Bay Networks Sun Sparcstation-based Optivity network management to manage
its multiple hub devices. "Bay Networks Optivity application gives us an
overall view of our enterprise-wide network from a single, central
console, while providing for complete systems-level control, including
configuration management, performance monitoring, fault analysis, and
troubleshooting capabilities," said Evenson. "Optivity also increases
efficiency and minimizes management costs by allowing our skilled network
management staff to manage and maintain off-site locations from a central
operations center."

In the future, the hospital expects to add Ethernet switching to support
additional network bandwidth, performance, and management requirements. By
implementing Bay Networks 10 Mbps and 100 Mbps LattisSwitch Fast Ethernet
Switching Hubs, the network will significantly increase its high-speed
forwarding performance capabilities for applications such as multimedia.
The LattisSwitch will allow users to migrate from their existing shared
media Ethernet network to a high-performance switched internetwork,
providing dedicated 10 Mbps links to each user's desktop without
sacrificing current network investments.

Bay Networks, Inc. is a leading worldwide supplier of a full range of
highly available, multiprotocol routers, intelligent hubs, high-speed
switches, and sophisticated network management products for organizations
building enterprise-wide information internetworks. The company was
established in October 1994 with the merger of SynOptics Communications
and Wellfleet Communications, and now has combined revenues in excess of
$1 billion for its most recent year. With more than 1,000 resellers and
over 1,200 direct sales and service personnel worldwide, Bay Networks
markets and supports its comprehensive product suite in 110 offices,
providing 7x24 global support coverage.
 
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