Zhone Transfers to the NASDAQ Capital Market

NASDAQ has approved Zhone Technologies' ' application to transfer the listing of its common stock from The NASDAQ Global Market to The NASDAQ Capital Market. Zhone voluntarily filed its transfer application on September 10, 2009 and received NASDAQ approval on September 23, 2009. Zhone's common stock will continue to trade under the symbol "ZHNE."http://www.zhone.com