Brocade Into a $1.2 billion Secured Credit Facility With Bank of America

Brocade has entered into a $1.225 billion secured credit facility with Bank of America, N.A. as Administrative Agent, Banc of America Securities LLC and Morgan Stanley Senior Funding, Inc. as Joint Lead Arrangers and Joint Bookrunners, Morgan Stanley Senior Funding, Inc. as Syndication Agent and HSBC Bank USA, National Association and Keybank National Association as Co-Documentation Agents and other lenders providing for a $1.1 billion term loan facility and a $125 million revolving credit facility. The proceeds from the term loan facility are expected to be used to finance a portion of Brocade’s acquisition of Foundry Networks, which was announced on July 21, 2008. The proceeds from the term loan facility were deposited into a restricted Brocade custody account pending the closing of the acquisition of Foundry and other release conditions. In addition to using the term loan facility proceeds, Brocade anticipates raising up to $400 million in additional financing as well as using cash on hand (at both companies) and limited proceeds from a portion of the revolving credit facility to fund the acquisition.

The acquisition has cleared US and foreign regulatory review, has been approved by the board of directors of each company, and is subject to vote and approval by Foundry’s stockholders on October 24, 2008, along with certain other closing conditions. The acquisition is expected to close in the fourth quarter of calendar year 2008.