Philosopher Jurgen Habermas, Ph. His theories of
Communicative Action and Discourse Ethics model the pursuit of mutual
understanding and agreement as a basis for more democratic social
communication.

CoSine Communications Announces First Quarter Fiscal 2005 Financial Results

4 million or $0.

refuting desease

The Symposium lectures will take place March 3-4 with
presentations by the 2004 Kyoto Prize laureates and responses by
distinguished scholars in each laureate's field."
Inamori established his foundation in 1984 with a personal
donation of 20 billion yen; his subsequent donations have raised its
net assets to approximately 64.

aesthetics ideology

"I
am convinced that the future of humanity can be assured only through a
balance of scientific progress and spiritual depth," said Dr.
Alan Curtis Kay, Dr.

destructiveness ideology

Kazuo
Inamori, founder of the Inamori Foundation ., 75,
of Starnberg, Germany, received the award for achievements in social
philosophy, in particular his establishment of the communicative
action theory and discourse ethics, and their practical application .74)

Shares used in computing basic and
diluted net loss per share 10,102 10,010

CoSine Communications, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In conformity with generally accepted accounting principles)
(in thousands)

March 31, December 31,
2005 2004
(unaudited) (1)

ASSETS
Current assets:
Cash and cash equivalents $11,020 $9,203
Short-term investments 12,640 15,710
Accounts receivable, trade 602 1,328
Accounts receivable, other 119 483
Prepaid expenses and other current assets 806 949
Total current assets 25,187 27,673
Long-term deposits 528 150
$25,715 $27,823

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $225 $252
Accrued warranty liability 157 157
Other accrued liabilities 1,522 3,129
Accrued compensation 175 412
Deferred revenue 710 509
Total current liabilities 2,789 4,459
Total liabilities 2,789 4,459

Stockholders' equity (net capital deficiency):
Series A convertible preferred stock - -
Common stock 1 1
Additional paid-in capital 538,947 540,028
Notes receivable from stockholders - (1,520)
Accumulated other comprehensive income
(loss) 615 614
Deferred compensation - -
Accumulated deficit (516,637) (515,759)
Stockholders' equity 22,926 23,364

$25,715 $27,823

(1) Amounts are derived from the December 31, 2004 audited financial
statements.

limitations destructiveness

Gala Co-chair Malin Burnham, noted philanthropist, business leader
and chairman of the Kyoto Symposium Organization, reported witnessing
a rising level of community support and excitement surrounding the
symposium since his return from the Kyoto Prize award ceremony in
November as part of a San Diego contingent of business, academic and
community leaders. Dr .
Few innovations of the past century have influenced human society
as profoundly as personal computing . CoSine
undertakes no obligation to revise or publicly release the results of any
revision to these forward-looking statements.

ideology homesteaders

"
The benefit gala, "The Kyoto Prize: 20 Years of Celebrating
Outstanding Human Achievement," will serve as the opening ceremony of
this year's symposium at 6:00 p. In addition to receiving the Kyoto Prize, Prof.09) $(0.

approximate aesthetics

m. "The Kyoto Prize is an extremely prestigious
award," he stated.

nonviolence questy

Laureates receive a diploma, a Kyoto
Prize medal, and a cash award of 50 million yen (approximately
$470,000) per prize category.

utopias refuting

Business Editors/News Editors /Education Writers

SAN DIEGO----

For the first time, 2005 Symposium will feature laureate lectures
at San Diego's three major university campuses, March 2-4, 2005

The Inamori Foundation and the Kyoto Symposium Organization will
bring together the current laureates of the annual Kyoto Prize for a
symposium showcasing the laureates' lifelong achievements March 2-4,
2005, through public events at San Diego State University; University
of California, San Diego; and the University of San Diego.
As of November 2004, the Kyoto Prize has been awarded to 66
laureates from 12 countries -- ranging from scientists, engineers and
researchers to philosophers, painters, architects, sculptors ,
musicians and film directors. Knudson's landmark research supports the front line in
humanity 's war on this disease by helping to elucidate how cancer
develops in humans.
Two world wars and persistent regional conflicts made the 20th
century one of the most violent periods in human history .
Habermas, who lived in Germany during World War II, has focused his
life's work and study on how to create an ideal, public-minded
society, free of violence and oppression.09 loss per share , as compared to revenue of $4.

Safe Harbor Warning
"Safe Harbor" Statement Under the Private Securities Litigation Reform Act
of 1995: This release contains forward-looking statements , which include,
among others, statements concerning CoSine's expected financial performance,
exploration of strategic alternatives, and business outlook, expected
performance and developments.

walden utopia

micronations aesthetics

San Diego to Welcome 20th Annual Kyoto Prize Laureates for Fourth Annual Kyoto Laureate Symposium

and Hideki (Dick) Komiyama,
president and COO of Sony Electronics Inc. "Establishing San Diego as the permanent home of
the Kyoto Laureate Symposium would elevate the international status of
our fine city while providing an excellent intellectual resource for
our community at large. He created the Kyoto Prize after consultation with
the Nobel Foundation of Sweden, which sent representatives to Japan in
1985 to accept the first Kyoto Prize as a special commemorative award., 82, of
Philadelphia, received the award for establishing the theory of the
tumor suppressor gene in the mechanism of human carcinogenesis .Gibson@Cosinecom.

idealism philosophic

Kay
proposed the concept of a "personal" computer as a tool to support the
intellectual work of individuals, and thus initiated a paradigm shift
in the world of information technology.

idealism walden

Alfred George Knudson, Jr. Alfred G.D.

About Cosine Communications
CoSine Communications was founded in 1998 as a global telecommunications
equipment supplier to empower service providers to deliver a compelling
portfolio of managed, network-based IP and broadband services to consumers and
business customers.
CONSOLIDATED STATEMENT OF OPERATIONS
(In conformity with generally accepted accounting principles)
(in thousands, except per share data)

Three months ended
March 31,
2005 2004
(unaudited)
Revenue $897 $4,455

Cost of sales 454 1,497

Gross profit 443 2,958

Operating expenses:
Research and development 103 5,255
Sales and marketing 105 3,383
General and administrative 1,305 1,708
Restructuring and impairment charges (91) 35
Total operating expenses 1,422 10,381

Loss from operations (979) (7,423)

Interest income and expense and other , net 113 81

Loss before income tax (benefits) provision (866) (7,342)

Income tax (benefits) provision 12 43

Net loss $(878) $(7,385)

Basic and diluted net loss per share $(0.

nonviolence ideology

The laureates -- Dr.4 billion yen (about $610 million ) as
of March 31, 2004. Knudson, Jr. Prof.

idealism utopian

The gala will honor the Kyoto Prize
laureates and assist in funding the Kyoto Scholarships, which are
available to San Diego and Tijuana-area high school students,
administered through The San Diego Foundation. Six Kyoto Scholarship
recipients will be recognized at the gala -- three from San Diego and
three from Tijuana -- reflecting the three annual Kyoto Prize
categories of Advanced Technology, Basic Sciences, and Arts and
Philosophy .

wholeness immaturity

In addition, his success as a
pioneer in the development of the graphical user interface and
object -oriented language environment represent further fundamental
contributions toward making today's "personal" computing a reality.

reciprocity utopia

, M. SAN JOSE, Calif. These forward-looking statements are
subject to certain risks and uncertainties that could cause actual results to
differ materially from those reflected in the forward-looking statements.
Factors that might cause such a difference include, but are not limited to,
Cosine's ability to identify and effectuate desirable strategic alternatives ,
the time and costs required to explore and investigate possible transactions
and other corporate actions, management and board interest in and distraction
due to exploring and investigating strategic alternatives, the reactions,
either positive or negative, of investors, competitors, customers, employees
and others to CoSine exploring possible strategic alternatives and
opportunities and to any specific strategic alternative or opportunity
selected by CoSine and the continued downturn in the telecommunications
industry and slow development of the market for network-based IP services, all
as may be discussed in more detail on pages 30 through 36 of our Annual Report
on Form 10-K for the fiscal year ended December 31, 2004.

desease philosophic

ideologies ideology

Gala co-chairs include Malin Burnham of the Burnham
Companies, Tom Fat of Fat City, Inc. People are starting to recognize the
significance of the Kyoto Prize and want to ensure the success of the
symposium here.

The Latest Kyoto Prize Laureates:

Advanced Technology

The 2004 Kyoto Prize for Advanced Technology was chosen from the
field of Information Science .
Habermas was named by TIME magazine as one of "The World's 100 Most
Influential People" of 2004 .5 million and a net loss of
$7. Readers are
cautioned not to place undue reliance on these forward -looking statements,
which reflect management's opinions only as of the date hereof.

idealism utopia

"It is my sincere hope
that the Kyoto Prize may serve to encourage the cultivation of both
our scientific and spiritual sides. and Prof. The United States has produced the most
recipients, with 29 laureates, followed by the United Kingdom (nine),
Japan (eight) and France (seven).D. Currently, CoSine's business consists primarily of a
customer service capability operated under contract by a third party.

transformative philosophic

In the early 1970s, Dr. His "two-hit"
hypothesis and the concept of "tumor suppression" have opened a new
horizon in modern cancer genetics and played a pivotal role in recent
major developments in cancer research.

Arts and Philosophy

The 2004 Kyoto Prize for Arts and Philosophy was chosen from the
field of Thought and Ethics., CoSine Communications,
Inc.

refuting questy

Jurgen
Habermas -- will provide a rare glimpse into some of the most
remarkable achievements of our time in the areas of information
science, cancer research, and philosophy. In the second half of the 1960s,
when the mainstream trend was toward ever-larger computers, Dr.

Basic Sciences

The 2004 Kyoto Prize for Basic Sciences was chosen from the field
of Life Science.
Dr. He soon advanced this hypothesis and reached the concept that
mutational changes in the "anti-oncogene," now termed the "tumor
suppressor gene," underlie the development of cancer. (Nasdaq: COSN), a provider of customer support services for managed,
network-based IP and broadband service providers, today announced revenue for
the quarter ended March 31, 2005 of $897,000 and a net loss of $878,000 or
$0. The company uses words such as "anticipate,"
"believe," "plan," "expect," "future," "intend" and similar expressions to
identify forward-looking statements.

micronations utopia

Recognized as Japan's highest private award for lifetime
achievement, the Kyoto Prize is presented annually by the non-profit
Inamori Foundation to honor those who have contributed significantly
to the scientific, cultural, and spiritual development of mankind., March 2, 2005, at the Hyatt
Regency La Jolla at Aventine.D. Knudson proposed the
"two -hit" hypothesis as a genetic mechanism of carcinogenesis through
an elegant statistical analysis of retinoblastoma, a pediatric eye
cancer.74 loss per share for the quarter ended March 31, 2004 .

CoSine Communications, Inc.

reciprocity utopias

Alan Curtis Kay, 64, of Los Angeles ,
received the award for creating the concept of modern personal
computing and contributing to its realization.

transformative immaturity

, Ph.

For additional information contact:
Terry Gibson
(408 ) 236-7518
E-mail: Terry.com