Ohio-Based Education System Turns to Norstan for New Voice and Data Network

February 21, 2002

Norstan, Inc. announced that an Ohio-based educational consortium – comprised of the Cuyahoga Falls School District, the Summit County Educational Service Center and the Northeast Ohio Network for Educational Technology (NEOnet) – have chosen Norstan Communications, Inc. to design and install a new, district-wide communications network.

Norstan, in partnership with Cisco Systems, is upgrading the system’s current network to provide a fully integrated voice, data and video platform. The value of the contract for the project exceeds $900,000. Norstan expects to complete the installation by March 2002.

The consortium required a voice solution that would address their immediate need to add phones in classrooms while reducing their overall network costs. In addition, the consortium’s increasingly sophisticated data network requirements demanded an upgrade from the current platform. Distance learning through the use of video was an important objective for the consortium as well.

“As an educational organization, our voice, video and data network needs to be reliable, cost-effective and flexible enough to grow as our technology needs evolve,” said Pat Corbett, superintendent of Summit County Educational Service Center. “The Norstan and Cisco team was very sensitive to each one of our requirements and designed a solution that addresses all of them.”

Norstan designed the new network, based on Cisco’s AVVID solution, which provides several key advantages, such as easier network administration, lower maintenance costs and the ability to support applications which enable special district initiatives, such as distance-learning programs. Norstan also installed Cisco Unity Unified Messaging, which combines voicemail, e-mail and fax transmission into a single, manageable entity, allowing education professionals to spend more time around the school or educational service center, or at off-site meetings, while maintaining contact with their messages.

The new network will power the more than 700 Internet Protocol (IP)-enabled phones installed in classrooms by the consortium. These phones and the new network provide educators the flexibility to utilize unique functionality, such as attendance menus and security warnings. The consortium expects the new network to control network administration and maintenance costs. Norstan and Cisco’s technology expertise was supported by the consortium’s consultant, Business Technologies Services, and the Ohio Schools Council Technology Program.

“We strive to provide all of our customers with best-in-class technology and services that address their communication needs today and gives them the freedom to grow,” said Larry Schmidt, vice president of direct solutions at Norstan.

About Norstan, Inc.

www.norstan.com

Norstan, Inc. (Nasdaq:NRRD) …the technology services people who improve the way their customers communicate. A full-service telecommunications solutions company that delivers voice and data technologies and services, and remanufactured equipment to select corporate end-users and channel partners. Norstan also offers a full range of technologies for call center design, messaging, infrastructure, conferencing and mobility. Headquartered in the Twin Cities, Norstan, a company small enough to care, yet big enough to serve, has offices located throughout North America. To learn more, visit the Norstan website at www.norstan.com.

This release contains forward-looking statements within the meaning of the Private Securities Litigation Acts of 1995. A number of factors should be considered in conjunction with the above forward-looking statements, including changes in economic and market conditions, factors related to the development of new technologies, product pricing, industry regulation, management of growth, the integration of regulation, management of growth, the integration of acquisitions, and other factors set forth in cautionary statements included in Norstan’s Form 10-K and other documents filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect management’s analysis only as of the date of this release. The company undertakes no obligation to update these forward-looking statements to reflect events and circumstances that may arise after the date of this release.

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