Atreus Systems Completes $13 Million Equity Round

Ottawa, ON, September 11, 2003 - Atreus Systems™ today announced that it has closed a $13.0 million (USD) Series C round of venture financing. Meritage Private Equity Funds, SAIC Venture Capital Corporation, and TELUS Ventures join existing investors Aliant, Inc., BDC Venture Capital, Blueprint Ventures, Mobius Venture Capital, and Skypoint Capital Corporation in this investment round that Atreus will use to continue the development of its industry-leading xAuthority product portfolio for the creation and activation of advanced IP services for carriers, service providers and enterprise customers worldwide. In addition, the company will expand its strategic alliances and global sales organization to further the adoption of the company's products and services.

"Atreus’ ability to continue to attract a stellar group of investors is a strong validation of the company,” said Andrea Baptiste, President & CEO, Atreus Systems. “This funding will provide us with the financial agility to support the needs of our major carrier and enterprise customers. This investment, together with our recent partnership and customer wins, strengthens our position to capture significant market share.”

"Atreus' ability to serve multiple market segments compliments SAIC's strategy in providing cost-effective solutions to support our enterprise, government and carrier customers," added Robert Lind, Managing Director, SAIC Venture Capital Corporation.

"Atreus’ significant traction in the new-generation OSS and software provisioning market was a catalyst for our investment,” said Stephanie Smeltzer, Vice President, Meritage Private Equity Funds. “Atreus is unique in that it has a firm understanding of service providers’ business problems, a clear technology leadership position, and an execution-oriented team capable of delivering an economically compelling solution for IP service fulfillment.”

“TELUS is always searching for innovative companies that have a solid product strategy and a keen understanding of carrier requirements," stated Dr. Girish Pathak, Chief Technology Officer, TELUS. “We’re investing in Atreus Systems because of its quality management team, innovative technology and its solution that clearly addresses carriers’ major pain points in delivering advanced IP services and applications.”

“At an early stage, we foresaw the potential for Atreus to augment the way IP services are created and delivered,” noted Gary Rieschel, Executive Managing Director, Mobius Venture Capital. “Atreus has a bright future in this growth market and we will continue our strong support to expand its business to a prominent market position.”

Atreus' flagship products, the xAuthority™ Service Fulfillment OSS Solution for wireline and wireless service providers, and the xAuthority™ Identity Management and Provisioning Solution for government and commercial enterprises, help to reduce operational expenses and improve ROI by automating the creation and delivery of customer-centric IP services and applications. The Company has strategic relationships with market leaders, such as Telcordia and SAIC, to resell the industry-leading xAuthority product portfolio to Tier 1 and 2 carriers and Fortune 1000 enterprises.

About SAIC Venture Capital Corporation
The SAIC Venture Capital Corporation (SAIC VCC) was founded in 2000 by Science Applications International Corporation (SAIC) to make equity investments in early-stage, high-potential companies to promote leading-edge technologies and develop key strategic relationships in the areas of telecommunications, information technology, the Internet and electronic commerce. SAIC is the nation’s largest employee-owned research and engineering company, providing information technology, systems integration and eBusiness products and services to commercial and government customers. More information about the SAIC VCC can be found on the Internet at www.saic-vcc.com.

About Meritage
Meritage Private Equity Funds is a Denver-based family of communications-oriented funds founded in 1998 with more than $475 million of committed capital under management. The firm invests in early- or late-stage communications businesses including broadband service providers, Internet infrastructure and outsourced communications services. Meritage partners with communications companies as an equity investor, providing not only the funds needed for growth but also the expertise and connections to accelerate more quickly. For more information, visit www.meritagefunds.com.

About TELUS
TELUS (TSX: T, T.A; NYSE: TU) is the largest telecommunications company in Western Canada and the second largest in the country, with about 25,000 employees. The company provides subscribers with a full range of telecommunications products and services including data, Internet Protocol, voice and TELUS Mobility wireless services across Canada. TELUS was a premier founding supporter of Canada’s successful bid to host the 2010 Winter Games. For more information about TELUS, please visit www.telus.com.

About Atreus Systems
Atreus Systems™ is a leader in software solutions for the creation and activation of IP network and application services. Atreus' flagship products, the xAuthority™ Service Fulfillment OSS Solution for wireline and wireless service providers, and the xAuthority™ Identity and Provisioning Solution for government and commercial enterprises, help to reduce operational expenses and improve ROI by automating the creation and delivery of customer-centric IP services and applications. Atreus Systems is a Delaware-based, privately held company financed by leading telecom venture capital firms Meritage Private Equity, SAIC Venture Capital Corporation, TELUS Ventures, Aliant, Inc, BDC Venture Capital, Mobius Venture Capital, Blueprint Ventures, and Skypoint Capital Corporation. For more information, visit the company's web site at atreus-systems.com or call (North America).