January 2, 2001

Dear Valued European Community Distributor or Reseller:

As you may already know, the European Parliament Directive 1999/44/EC became effective January 1, 2002.

Among other things, this directive requires warranties for consumer products be supported for a period of no less than two (2) years from the date of purchase of the product.

Although, the majority of the Company's products are designed for use within a trade, business, or profession, the Company realizes that with the emergence of broadband to the home and low cost networks in the home, many of its products may be purchased by consumers. Within that context, we are please to notify you officially that Asante is committed to supporting this new regulatory directive for 1) all products in your inventories within the European Community (EUC) as of January 1, 2002, and/or 2) products purchased subsequent to this date.

In the next few months, the Company will begin its process of updating product support dates, product literature and warranties that conform to this directive. The Company is in the process of updating its international distributor agreements to conform with SAB 101 requirements. This update will also include the necessary language to allow our warranty coverage to conform in broader scope to laws and directives of local governments and territories. Additionally, the Company will post the information regarding Directive 1999/44/EC in the near future on its web site.

The warranty is applicable to the original purchaser with proof of purchase presented to the an Asante authorized reseller. If you have any questions, please contact your Territory Representative, or you may correspond directly with: Legal Department, Asante Networks, Inc. 2223 Oakland Road, San Jose, CA 95131-1601 USA.

Best regards,
 
Anthony Contos
Vice President of Finance and Administration