Reference Checks

VIDEOBUREAU

David Brenner

President

(845) 634-4535

Project: New York-based firm, which also resells and integrates videoconferencing equipment, uses Tandberg internally and in the rooms that it rents for public use.

MARKEL CORP.

Walied Mahmoud

E-mail/Telecom Administrator

(804) 527-3847

Project: Specialty insurance company replaced its Polycom units with eight Tandberg 8000s; conducts 20 to 25 meetings per month, with up to 50 people participating in a call.

STATE OF WYOMING

Jennifer Andrade

Marketing Specialist

(307) 777-6531

Project: 10 years after a disappointing VTEL deployment, the state is much happier now—conducting 2,000 hours of videoconferencing a month over the second-largest Tandberg system in the country.

RETEK

Thomas Kipp

VP, I.S.

(612) 587-2110

Project: After 9/11, Minnesota-based retail-systems provider turned to local reseller AVI Systems for a videoconferencing plan—and chose one that deployed Tandberg over an IP network.

HQ GLOBAL WORKPLACES

Carla Clements

Product Manager

(770) 922-7304

Project: Among its 195 (mostly Polycom) systems, the nation's largest public-room videoconferencing network still has about eight Tandberg 6000s left over from an acquisition, but plans to retain them.

KERR-MCGEE

Stephen Patton

Telecom Associate

(405) 270-3008

Project: After 12 years running PictureTels, the oil-and-gas company switched to Tandberg—16 units and an MCU—and estimates it made back its investment within the first year.

Executives listed here are all users of Tandberg videoconferencing equipment. Their willingness to talk has been confirmed by Baseline.

TANDBERG OPERATING RESULTS*

2003YTD 2002 2001

Operating revenue $48.3M $232M $142M

Gross margin 66.7% 67.0% 64.3%

Operating profit $9.2M $67.7M $33.0M

Profit, after taxes $8.7M $52.4M $30.9M

Net margin 18.0% 22.6% $21.7%

Earnings per share $0.06 $0.40 $0.24 R&D expenditure N/A $10.9M $8.9M

*Fiscal year enDS Dec. 31, YTD RESULTS REFLECT FIRST 3 MONTHS; results converted from norwegian kroners into U.S. dollars

Source: company reports

OTHER FINANCIALS**

Total assets $294M

Stockholders' equity $264M

Cash & equivalents $192M

Long-term debt None

Shares outstanding 132M

Market value at 5/5 $502M

**AS OF March 31, except as noted