Cisco and Haier Develop Collaboration Framework for China and International Markets

QINGDAO, CHINA--(Marketwire - September 25, 2007) - Cisco® (NASDAQ: CSCO) and the Haier Group -- China's largest manufacturer of white goods -- announced a wide-ranging collaborative cooperation that will see the companies work together on a broad range of opportunities in both the Chinese and international markets.

Under the terms of the cooperation, Cisco and Haier announced their intention to explore sharing best practices in group management and processes, financial management and controls, strategic investments and capitalization cooperation, construction of information infrastructure and home networking systems.

The Haier Group, known as the world's 4th largest white goods manufacturer and one of China's Top 100 IT companies, has diversified operations throughout the world and has 50,000 employees. Haier is expanding its brand in international markets. Over the last two years, the group has been venturing into the networked appliance market by combining its advantages in product development, marketing and channels operations, aided largely by networked information technology.

Haier is also a large and strategic Cisco customer in China. The group's world-class adoption of networked information technology relies on Cisco equipment throughout its operations.

Zhang Ruimin, CEO of Haier, said, "It is Haier's aim to construct an outstanding business model, so as to develop into a world leading white goods manufacturer. We are a market leader in China, but are working to establish a strong brand presence in overseas markets. We believe it is necessary to take advantage of Cisco's business practices as a model for efficient international expansion, particularly in areas like customer service that rely heavily on networked information technology. We are looking forward to enhancing our work with Cisco and sharing best practices in both the China and overseas markets to enhance our common competitiveness."

"The network has become a platform for communication between people, bringing brand-new experiences to our life. In our cooperation with Haier, Cisco will share its experiences in using networking technologies to improve corporate competitiveness, drawing on the local management and operation practices of Haier. At the same time, we will deepen our commitment to the market for home and individual users, to provide personalized and innovative networking experiences for consumers," said Thomas Lam, President of Cisco China.

About Haier Group

Haier Group (http://www.haier.com) is the world's 4th largest white goods manufacturer and one of China's Top 100 IT companies. The group has 240 subsidiary companies and 30 design centers, plants and trade companies and more than 50,000 employees throughout the world. Haier is specialized in technology research, manufacturing industry, trading and financial services. The revenue of the group in FY2006 around the globe was RMB107.5 billion (USD $B14.2).

About Cisco Systems

Cisco (NASDAQ: CSCO) is the worldwide leader in networking that transforms how people connect, communicate and collaborate. For more information about Cisco, please visit: http://www.cisco.com. For related news about the company, please visit: http://www.cisco.com/go/cn/newsroom.

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