Notes to Investors

Non-GAAP Presentation of Quarterly Results. This Annual Report includes non-GAAP measures of one or more of the following metrics: gross profit, operating expense, operating margin, income (loss) from operations, net income (loss) and net income (loss) per share. In evaluating the operating performance of Ciena’s business, management excludes certain charges and credits that are required by GAAP. These items share one or more of the following characteristics: they are unusual and Ciena does not expect them to recur in the ordinary course of its business; they do not involve the expenditure of cash; they are unrelated to the ongoing operation of the business in the ordinary course; or their magnitude and timing is largely outside of Ciena’s control. Management believes that these non-GAAP financial measures provide management and investors useful information and meaningful insight to the operating performance of the business. The presentation of these non-GAAP financial measures should be considered in addition to Ciena’s GAAP results and these measures are not intended to be a substitute for the financial information prepared and presented in accordance with GAAP. Ciena’s non-GAAP financial measures and the related adjustments may differ from non-GAAP financial measures used by other companies and should only be used to evaluate Ciena’s results of operations in conjunction with our corresponding GAAP results. A complete GAAP to non-GAAP reconciliation of the non-GAAP financial measures contained in this Annual Report can be found in Ciena’s press release announcing its results of operations for the relevant period available in the “Investors” section of Ciena’s website at www.ciena.com.

Forward-Looking Statements. This Annual Report contains certain forward-looking statements regarding future events or results that involve risks and uncertainties. These statements are based on current expectations, estimates, forecasts, assumptions and other information available to the Company. Forward-looking statements include statements regarding Ciena’s projections, expectations, beliefs, intentions or strategies and can be identified by words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” “will,” and “would” or similar words.

Forward-looking statements in this Annual Report include statements with respect to Ciena’s projections, results and financial and operating performance for future periods.

Ciena’s actual results or performance, including with respect to fiscal 2015, may differ materially from these and other forward-looking statements in our Annual Report. These forward-looking statements are only predictions and are subject to risks, uncertainties and assumptions that are difficult to predict, including certain risks and uncertainties more fully disclosed in Ciena’s Annual Report on Form 10-K contained herein. Ciena assumes no obligation to revise or update any forward-looking information included in this Annual Report.