PanTerra Networks and VSGi Team Up to Accelerate and Expand On-Demand Unified Communications Services Offering

MCLEAN, VA and SUNNYVALE, CA--(Marketwire - December 5, 2007) - Visual Systems Group, Inc. (VSGi) (www.vsgi.com), a nationally recognized premier integrator of video, voice, web, data collaboration, and communications solutions, and PanTerra Networks (www.panterranetworks.com), a leading provider of on-demand unified communications services for small and mid-sized businesses, today announced a partnership to provide Worksmart on-demand unified communications services.

VSGi has established itself as a leader in visual communications and network solutions, currently providing solutions to over 3,000 business customers nationwide. A leading Polycom Certified Service Partner (CSP), VSGi evaluated several unified communications services providers, and identified PanTerra networks' Software-as-a-Service ("SaaS") unified communications solution as the best platform to offer integrated services to the SMB market.

"We are excited to partner with PanTerra, the leader in on-demand unified communications services. We were impressed by the PanTerra people and by the capabilities of their SaaS integration platform," said Donald K. Jones, CEO of VSGi. "We looked at several hosted solutions, no one has been able to provide a robust platform with the compelling business model that PanTerra offers. We look forward to benefiting from PanTerra's unique industry leading SaaS technology to serve our SMB customers."

PanTerra Networks and VSGi intend to provide the SMB market across the country with the most efficient and effective integrated communications service that is being designed to deliver comparable total cost of operations (TCO) to the existing silo hosted services or on-premise based solutions and offer maximum customer flexibility and productivity. This strategic partnership leverages the strengths of both PanTerra Networks and VSGi to offer the most powerful and transformational on-demand unified communications services to the market.

"Partnering with VSGi enables us to expand our indirect channel model with one of the industry's clear leaders. Our unique technology and reliable carrier grade SaaS unified communications network provides both VSGi and PanTerra a new avenue for business growth," said Arthur G. Chang, CEO of PanTerra Networks. "This is another example of following through on our goal to empower our business partners with the world's leading SaaS unified communications platform. PanTerra and VSGi are both focused solely on business customers and we look forward to forging a strong working relationship to the benefit of our customers."

About VSGi

Visual Systems Group, Inc. (VSGi) is a nationally recognized premier integrator of video, voice, web, data collaboration, and communication solutions with over eighteen (18) years of experience. VSGi has helped over 3,500 unique clients implement successful visual communications strategies in over 10,000 locations by offering the most comprehensive equipment, network and services portfolio in the industry. VSGi's extensive portfolio of managed services including, project design, implementation, proactive monitoring, ongoing maintenance and technical support services provides its customers a customizable solution to meet mission critical visual communications needs. VSGi's cross-functional team of sales, engineering, project management and technical support personnel are the most tenured and trained in the industry. The company's unmatched experience in visual communications can provide a fully integrated turnkey solution including design, configuration, project management and implementation, installation, testing, training and ongoing support.

For additional information, call 1-877-402-VSGi (1-877-402-8744) or +1-703-848-8200, or visit VSGi's website at http://www.vsgi.com or http://www.vsgi.com/voip.

About PanTerra Networks

PanTerra Networks is a leading provider of on-demand unified communications Software-as-a-Service (SaaS) solutions for small and medium sized businesses. The Company's Worksmart solution integrates voice and IP calling, PBX and call-distribution services, secure instant messaging, multimedia conferencing, web collaboration, remote desktop sharing and ACD/call center services delivered in a single easy to provision and easy to use and administer interface. Worksmart's ability to tightly integrate with other business applications like Salesforce automation, make it an ideal productivity tool. PanTerra's hosted on-demand service keeps capital investment low and aligns operating expense to business value. Worksmart services are co-branded and re-sold exclusively through service providers, distributors and resellers. The Company is headquartered in Sunnyvale, California. For more information, visit http://www.panterranetworks.com or call +1 408.702.2200.

Contact Information: Contact: Michael Medina Media Relations Visual Systems Group, Inc. (VSGi) +1 703.848.8200 x8208 http://www.vsgi.com or http://www.vsgi.com/voip Ming Shao Director of Marketing PanTerra Networks, Inc. +1 408.702.2200x8888 http://www.panterranetworks.com