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Dynamic Network Factory, Inc. Opens New Worldwide Headquarters Overlooking San Francisco Bay to Support Escalating Demand for High-Performance Data Storage

StoneFly, Inc. Subsidiary Also Signs Three-Year Lease for New San Diego Headquarters

HAYWARD, CA. – Mar. 30, 2006 -- Dynamic Network Factory, Inc. (DNF), a leading maker of high-performance network attached storage (NAS), storage area networks (SAN), RAID and iSCSI systems, today announced the opening of its new worldwide corporate headquarters, located in the San Francisco Bay Area city of Hayward, CA. At the same time, StoneFly, Inc., a leading supplier of integrated IP SAN systems and a wholly owned DNF subsidiary, has also signed a three-year lease for new headquarters offices in San Diego.

According to DNF CEO Mo Tahmasebi, the larger headquarters and overall increase in office space will allow the company to better respond to escalating worldwide demand for its broad range of data storage solutions. “Both DNF and StoneFly are enjoying significant growth brought on by increased customer need for innovative, scalable storage technologies, such as iSCSI, which we have helped pioneer,” he said. “Our new expanded facilities will allow us to continue to innovate and grow.”

The new 20,000 square foot DNF facility overlooks the San Francisco Bay, offering significantly larger production and engineering facilities as well as an advanced new training center. Although DNF will retain its former Hayward headquarters offices to house its growing sales organization, the new facility provides the company with options for continued expansion.

For StoneFly, the new headquarters will allow room for expanding engineering, support and operations teams while maintaining a presence in San Diego, where the company has been located since its founding in 2000.

DNF’s new headquarters address is 21353 Cabot Boulevard, Hayward, CA 94545. Telephone: 800.947.4742. StoneFly is now headquartered at 6199 Cornerstone Court, San Diego, CA 92121. Telephone: 858-225-6040.

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About Dynamic Network Factory, Inc.
Founded in 1989, Dynamic Network Factory, Inc. (DNF) is a privately held company based in Silicon Valley (Hayward, Ca.). DNF started as a U.S. subsidiary of the publicly traded Japanese IT conglomerate, CSK Electronics, in 1989. In 1998, the company refined its strategy and began to focus the hardware group on storage solutions. Within a year, DNF's rapid growth resulted in its emergence as an independent, privately held spin-off. In 2006, DNF completed its acquisition of StoneFly Networks, an iSCSI storage pioneer and developer of complete, turnkey IP SAN solutions. Since its inception, DNF has designed custom solutions for organizations of all sizes and built products for many major computer manufacturers. Today, DNF consists of seven business divisions including StoneFly, DNF Security, DNF Professional Services, DNF Medical, DNF Defense, DNF Systems and DNF Storage. DNF has thousands of customers ranging from consumers and small-to-medium businesses, to government agencies, universities, hospitals, financial institutions and Fortune 500 companies. For more information, visit www.DNFStorage.com or www.DNFCorp.com.

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Dynamic Network Factory, DNF, and DNF Storage are trademarks of Dynamic Network Factory, Inc.