CHELMSFORD, Mass.--(BUSINESS WIRE)--July 9, 2008--Sycamore Networks, Inc. (NASDAQ: SCMR) today announced that the Commissioners of the Securities and Exchange Commission (the "SEC") have authorized the final settlement between the Company and the SEC regarding its previously-disclosed inquiry into the Company's historical stock option granting practices and related accounting treatment. Without admitting or denying the allegations in the SEC's complaint, Sycamore has agreed to settle the charges by consenting to a permanent injunction against any future violations of the federal securities laws. No monetary penalties were assessed against the Company in conjunction with the settlement.

This settlement concludes the SEC's investigation into Sycamore's historical stock option granting practices.

Sycamore Networks Inc. (Nasdaq: SCMR)