Enablence Signs Two Year $3.5 Million Agreement for PLC Based Next Generation Network Components

OTTAWA, CANADA, Oct 29 (MARKET WIRE) --
Enablence Technologies Inc. ("Enablence" or the "Company") (TSX VENTURE:
ENA), a leading supplier of fiber-to-the-home (FTTH) equipment for
triple-play residential and business services and optical components and
subsystems for access, metro and long-haul markets, is pleased to
announce it has recently entered into an agreement with a Tier 1 global
telecommunications systems developer to develop and supply it with
Enablence's Planar Lightwave Circuit (PLC) based components.

While certain details cannot be disclosed due to confidentiality
requirements of the customer, the agreement calls for Enablence to
develop advanced PLC based components that will enable state-of-the-art
Next Generation Networks (NGN). When the development project comes to
successful completion, Enablence will also become a long-term supplier of
these PLC based products to this global telecom systems vendor.

"We are very pleased with this latest agreement with an important
customer, since it recognizes Enablence as technology leader in the
industry just as interest in high-speed Next Generation Networks
continues to grow rapidly" said Arvind Chhatbar, CEO of Enablence. "Being
able to provide leading-edge PLC based products to global systems
companies is demonstrated proof of our expertise and strength as a
value-added business partner to Tier 1 customers." added Mr.Chhatbar.

Enablence's Optical Components & Systems Division serves over 120 system
and subsystem developers and its products have been integrated in all
major communications networks world-wide, serving tens of millions of
subscribers.

About Enablence Technologies Inc.

Enablence Technologies Inc., (TSX VENTURE: ENA) a publicly traded company
headquartered in Ottawa, Canada, designs, manufactures and sells optical
components, subsystems and systems to a global customer base.

Enablence's Systems Division has an expanding fiber-to-the-premise (FTTP)
product portfolio featuring a variety of architectural options. It
enables service providers to evolve their access networks from
traditional copper-based networks to advanced optical communications
access networks that are based on state of the art IP and Ethernet
standards, for triple-play voice, video and data services including HDTV,
IP Telephony and ultrafast internet access. The Division's network
equipment has been deployed with 420 service providers world-wide that
serve over 4 million subscribers.

Enablence's Optical Components and Subsystems Division is a global leader
in applying Planar Lightwave Circuit (PLC) technology to integrate
multiple components into a single optical chip to reduce footprint and
costs. Network and equipment designers around the world turn to Enablence
for a variety of components and subsystems for access, metro and
long-haul, including transceivers, splitters, waveguides, optical channel
monitors, multiplexers, ROADMs, switches, tunable dispersion
compensators, and photodiodes. The Division serves over 120 system and
subsystem developers and its products have been integrated in all major
communications networks world-wide, serving tens of millions of
subscribers.

Forward Looking Statements

This press release may contain forward looking statements, in particular
with respect to the Corporation's use of proceeds of the Offering, growth
of revenue and customer base, that are made as of the date hereof and are
based on current expectations, forecasts and assumptions which involve
risks and uncertainties associated with our business and the economic
environment in which the business operates. All such statements are made
pursuant to the 'safe harbour' provisions of, and are intended to be
forward looking statements under, applicable Canadian securities
legislation. Any statements contained herein that are statements of
historical facts may be deemed to be forward looking statements. By their
nature, forward looking statements require us to make assumptions and are
subject to inherent risks and uncertainties. We caution our readers of
this press release not to place undue reliance on our forward looking
statements as a number of factors could cause actual results or
conditions to differ materially from current expectations. Please refer
to the risks set forth in the Corporation's most recent short form
prospectus and the Corporation's continuous disclosure documents that can
be found on SEDAR www.sedar.com. Enablence does not intend, and disclaims
any obligation, expect as required by law, to update or revise any
forward looking statements whether as a result of new information, future
events or otherwise.

Neither TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of
this release.

Contacts:
Enablence Technologies Inc.
Arvind Chhatbar
Chief Executive Officer
613-270-7859
613-270-7850 (FAX)
info@enablence.com
www.enablence.com

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