Occam Q3 Revenues Rise

SANTA BARBARA, Calif. -- Occam Networks Inc. (OTCBB: OCCM), a supplier of innovative Ethernet and IP-based loop carrier equipment to telecommunications service providers worldwide, today reported results for the quarter ended Sept. 30, 2003. Occam Networks reported revenue for the quarter of $1,476,000, an increase of $440,000 from the $1,036,000 reported for Q3 2002. During Q3 Occam shipped product to 7 new customers, highlighted by first-time orders from an additional two of the top-25 largest U.S. ILECs, including CT Communications (CTC, NASDAQ: CTCI) of Concord, NC. Occam Networks also began over 15 new customer trials.

"We have seen very strong market acceptance of the new 6000 platform and continue to increase our customer wins and trials," said Bob Howard-Anderson, president and CEO of Occam Networks. "Although we had anticipated higher Q3 revenue, it was our best bookings quarter to date, and we entered Q4 with a record backlog."

Gross margins for Q3 2003 were affected by manufacturing yield problems, field returns and resulting rework costs. Revenue was also affected by the shift in bookings to three new BLC 6000 family components, which are scheduled to be released and ship in Q4.

OCCAM CONFERENCE CALL SCHEDULED TO REPORT Q3 2003 EARNINGS Starting at 2:30 p.m. Pacific time on Tuesday, Nov. 4, 2003, Occam Networks will conduct a conference call to report earnings for Q3 2003. The call, which will be open to the public, can be accessed by dialing 1-800-481-6768 for U.S. callers. The pass-code required for participation is 27102.

Callers will be put on 'music hold' until Bob Howard-Anderson, president and CEO and Howard Bailey, CFO of Occam Networks, join the call. The first portion of the call will include a presentation of financial information for Q3 2003. Mr. Bailey will then open the call to listeners for a question and answer period.

Occam Networks Inc.