CONTACT INFORMATION

Lucent Technologies
Kenan Systems, USA
www.kenan.com

CAMBRIDGE, MA., - February 22, 2000 – Lucent Technologies' (NYSE: LU) Kenan Systems announced today that Wessex Water Services Ltd., the largest subsidiary of Azurix Corp. (NYSE: AZX) is the first European utility customer to license Lucent's Kenan Systems' new Arbor®/Energy solution for billing, customer care, order management, and customer analysis. Lucent's Kenan Systems' solution will support 1.1 million water supply customers, replacing Wessex Water's two existing legacy systems. This will enable the company to further improve service through both the Internet and call centers, and increase operational efficiencies - thus helping to lower overall system and call center costs.

Wessex Water licensed Arbor/Energy because of the Arbor family's proven technology and open architecture, powerful and easily customized billing engine, and key features such as the new intelligent debt collection capability. Additionally, Lucent's Kenan Systems plans to provide Wessex Water a competitive advantage by rapidly completing implementation by the end of the year.

"The rapid deployment of Arbor/Energy is core to our business strategy," said Chris Bishop, managing director, Customer Systems, Wessex Water Services Ltd. "The solution will improve the effectiveness of our customer service representatives, while offering customers the option of Internet-based self-care. Additionally, we will rely on Arbor/Energy's intelligent debt collection to proactively manage customer accounts and assist customers with budgeting their water services. These features provide a welcome addition to our customer service capabilities."

The Arbor/Energy solution comprises the Arbor®/BP product for multi-service billing and customer care; Arbor®/OM, an integrated order management and workflow product; and Strategist®, an integrated decision-support and analysis application providing competitive advantage through enhanced customer knowledge.

"Wessex Water, recognized by the water industry regulator Office of Water Services (OFWAT) as one of the most efficient water and waste water companies in the U.K., is strongly committed to providing outstanding service and real value," said Tanvir Hussain, director, energy & utilities business unit, Lucent Technologies' Kenan Systems. "The implementation of Lucent's Kenan Systems' Arbor/Energy solution will enable Wessex Water to further improve the level of service it is able to provide to its customers."

Azurix Corp. is a global water company that owns, operates and manages water and wastewater assets, provides water and wastewater related services, and develops and manages water resources. The company's stock is traded on the NYSE under the ticker symbol, "AZX." Wessex Water provides water to 1.1 million people and treats sewage from more than 2.5 million customers living in an area stretching from Bristol to Bournemouth and from Minehead to Salisbury.

About Kenan Systems
Kenan Systems, a wholly owned subsidiary of Lucent Technologies, is an award-winning provider of software products and services for billing, customer care, order management, decision-support and usage mediation. The company offers its products to Leading providers in the communications and utility industries world-wide, including gas, electric, water, mobile and wireline voice and data services, broadband, Internet, and value-added services. Kenan Systems is headquartered in Cambridge, Mass. with offices throughout the Americas, Europe and Asia-Pacific. Its more than 140 customers include @Home Network, AT&T, BellSouth International, British Telecom, Casema, Cegetel, France Telecom, GTE, Interpath, Level 3, MCI WorldCom, Optus, PageNet, and Videotron. Additional information on Kenan Systems' business alliances, products and services may be obtained by visiting www.kenan.com.

About Lucent Technologies
Lucent Technologies headquartered in Murray Hill, N.J., designs, builds and delivers a wide range of public and private networks, communications systems and software, data networking systems, business telephone systems and microelectronics components. Bell Labs is the research and development arm for the company. Additional information about Lucent Technologies is available on the company's web site at www.lucent.com.

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