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WiMAX Backhaul Products

Atlantic Tele-Network, Inc. Signs Master Supply Agreement With DragonWave for Backhaul Products

October 18, 2010

Horizon Products Selected to Provide Packet Microwave and Pseudowire Backhaul for ATN Family of Operating Entities

OTTAWA, ONTARIO -  DragonWave Inc. (TSX:DWI) (NASDAQ:DRWI) a leading global supplier of packet microwave radio systems for mobile and access networks, today announcedthat Atlantic Tele-Network, Inc. (NASDAQ: ATNI) has completed a Master Purchase Agreement to purchase DragonWave's Horizon products to support itscurrent operations in North America, Bermuda and the Caribbean.

Atlantic Tele-Network, Inc. (ATN) intends touse DragonWave's Horizon Compact and Horizon Quantum products to offer backhaul solutions that will deliver high capacity packet microwave and pseudowire backhaul to support ATN's existing 2G, 3G and 4G networks.

"The robust capacity of the Horizon Quantum and the agility of the all-outdoor Horizon Compactgives us confidence that wehave the necessary backhaul solutionsto support our networks," said Jim Fredrickson, Vice President of Networks of Atlantic Tele-Network. "These products will continue to support both our legacy TDM cellular equipment, as well as our next generation IP networks through the use of DragonWave's pseudowire architecture," Mr. Fredrickson added.

ATN provides wireless and other telecommunications services primarily to underserved or niche markets through its operating subsidiaries including Alltel, Commnet, Sovernet and ION in the United States; CellularOne in Bermuda, and GT&T, Choice Communications and Islandcom Wireless in the Caribbean.

"We have developed a full suite of packet basedbackhaul solutions that have successfully enabled service providers around the globe to undertake rapid, cost-effective expansion of geographic market coverage," said Peter Allen, President and CEO, DragonWave."We are excited to be able to work closely with ATN and their operating companiesto construct scalable and cost effective networksthat will service their needs of today as well as for the future."

"Future Technologies Venture, LLC is honored to be associated with this strategic relationship between DragonWave and Atlantic Tele-Network. We are confident that with DragonWave's complete solutions offering, it willeffectively support all the different types of applications and project scenarios that ATN has to offer," said Peter Cappiello, VP of Business Development of Future Technologies Venture, LLC.

Atlantic Tele-Network

Atlantic Tele-Network, Inc., headquartered in Beverly, Massachusetts, provides telecommunications services to rural, niche and other under-served markets and geographies in the United States, Bermuda and the Caribbean. Through itsoperatingsubsidiaries, itprovidesboth wireless and wireline connectivity to residential and business customers, including a range of mobile wireless solutions, local exchange services and broadband internet services and isthe owner and operator of terrestrial and submarine fiber optic transport systems. For more information, please visit www.atni.com.

About Future Technologies, LLC

Future Technologies is a professional services company specializing in the assessment, planning, design, implementation, and support of innovative communications solutions focused on wireless infrastructures and their accompanying technologies for commercial and military customers around the world. Maintaining a strong concentration on emerging standards such as 4G technologies; which include WiMAX (Fixed and Mobile) and LTE (Long Term Evolution) products, as well as established cellular (EVDO, GSM, and CDMA) and Fixed Wireless Backhaul solutions, Future Technologies consistently distinguishes itself as an industry expert in all aspects of customer network evolution. Future Technologies is headquartered in Atlanta, GA. www.futuretechllc.com

About DragonWave

DragonWave® is a leading provider of high-capacity packet microwave solutions that drive next-generation IP networks. DragonWave's carrier-grade point-to-point packet microwave systems transmit broadband voice, video and data, enabling service providers, government agencies, enterprises and other organizations to meet their increasing bandwidth requirements rapidly and affordably. The principal application of DragonWave's products is wireless network backhaul. Additional solutions include leased line replacement, last mile fiber extension and enterprise networks. DragonWave's corporate headquarters is located in Ottawa, Ontario, with sales locations in Europe, Asia, the Middle East and North America. For more information, visit http://www.dragonwaveinc.com.

DragonWave® and Horizon® are registered trademarks of DragonWave Inc.

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