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EXHIBIT 2



DATED
    
    9 JUNE 2003





(1) THE PERSONS LISTED IN SCHEDULE 1

- and -

(2) COMPUTER NETWORK TECHNOLOGY CORPORATION



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DEED OF VARIATION
relating to

a sale and purchase agreement in respect of the
whole of the issued share capital of Business
Impact Technology Solutions Limited dated 24
June 2002



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CONTENTS

1
    
    DEFINITIONS
    
    
    12
    
    VARIATION
    
    
    23
    
    CONFIRMATION
    
    
    74
    
    MISCELLANEOUS
    
    
    8SCHEDULE 1
    
    
    9Vendors
    
    
    9






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THIS DEED OF VARIATIONis made on 9 June 2003

BETWEEN



|(1) |  | THE PERSONSwhose names and addresses are set out in schedule 1
(Vendors); and
|--- |  | -------------------------------------------------------------------------------



|(2) |  | COMPUTER NETWORK TECHNOLOGY CORPORATION, a company incorporated under the
laws of the State of Minnesota, United States of America with its
principal place of business at 6000 Nathan Lane North, Plymouth,
Minnesota, 55442, USA (Purchaser).
|--- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

WHEREAS:



|A |  | Pursuant to the Acquisition Agreement the Vendors sold and the
Purchaser purchased the entire issued share capital of Business
Impact Technology Solutions Limited (Company). The Acquisition
Agreement was varied by the Deed of Variation.
|- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|B |  | It is the intention of the parties to enter into this deed to further
vary the provisions of the Acquisition Agreement to amend the
Earn-out Provisions to reflect the fact that subsequent to the date
of the Acquisition Agreement Mr Scorziello and Mr Foskett have
assumed responsibility for the UK and Scandinavian operations of the
Purchasers Group.
|- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

IT IS AGREEDas follows:






|1. |  | DEFINITIONS
|-- |  | -----------



| |  | To the extent not defined in this deed, words and expressions shall have
the meaning ascribed to them in the Acquisition Agreement. In this deed:
| |  | -------------------------------------------------------------------------------------------------------------------------------------------------



| |  | Acquisition Agreementmeans the agreement between the Vendors and the
Purchaser for the sale and purchase of the entire issued share capital of
the Company dated 24 June 2002;
| |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  | Deed of Variationmeans an agreement between the Vendors and the
Purchaser amending the Acquisition Agreement dated 13 December 2002;
| |  | --------------------------------------------------------------------------------------------------------------------------------------



| |  | Earn-out Provisionsmeans the earn-out provisions that are contained in
Schedule 7 according to which the Additional Consideration (as defined
in the Acquisition Agreement) is to be calculated and payable;
| |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------





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| |  | Mr Foskettmeans Paul John Foskett, one of the Vendors;
| |  | --------------------------------------------------------



| |  | Mr Scorziellomeans Greg Scorziello, one of the Vendors; and
| |  | -------------------------------------------------------------



| |  | Schedule 7means schedule 7 to the Acquisition Agreement.
| |  | ----------------------------------------------------------






|2. |  | VARIATION
|-- |  | ---------



| |  | With effect from the date of this deed the Acquisition Agreement shall be
varied as follows:
| |  | --------------------------------------------------------------------------------------------



| | 2.1 |  | the definition of EBIT at part 1 of Schedule 7 shall be
deleted and replaced with a new definition with the following words:
| | --- |  | ----------------------------------------------------------------------------------------------------------------------------



| |  |  | means the earnings before interest and corporation tax on income
of (i) in Year 1, the Group (or of any separate and distinct
division of the Purchaser or of another member of the Purchaser
Group referred to in paragraph 3 of this part 1 of schedule 7) or
(ii) in Year 2, the UK and Scandinavian operations of the Purchaser
Group (including for the avoidance of doubt, the Group) (the
Relevant Business) for Year 2 calculated as set out in part 2 of
this schedule and translated into US dollars using the mid-market
exchange rate of The Royal Bank of Scotland plc on the day before
the relevant Additional Consideration is paid;
| |  |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.2 |  | the definition of Year 1 at part 1 of Schedule 7 shall be
deleted and replaced with a new definition with the following words:
| | --- |  | --------------------------------------------------------------------------------------------------------------------------------



| |  |  | means the financial period for the Group commencing 1 July 2002
and ending on 30 April 2003;
| |  |  | ----------------------------------------------------------------------------------------------



| | 2.3 |  | the definition Year 2 at part 1 of Schedule 7 shall be
deleted and replaced with a new definition with the following words:
| | --- |  | -----------------------------------------------------------------------------------------------------------------------------



| |  |  | means the financial period for the Purchaser Group commencing on 1
May 2003 and ending on 30 June 2004;
| |  |  | ---------------------------------------------------------------------------------------------------------



| | 2.4 |  | the definition of Consideration Accounts at part 1 of
Schedule 7 shall be deleted and replaced with a new definition with
the following words:
| | --- |  | ------------------------------------------------------------------------------------------------------------------------------------------------





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| |  |  | means the audited consolidated group accounts of the Group for
Year 1 or the audited consolidated accounts of the Relevant
Business for Year 2;
| |  |  | -------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.5 |  | clause 12.3.4 shall be amended by adding the following words
at the end of that clause:
| | --- |  | ---------------------------------------------------------------------------------------



| |  |  | except that the figure of 0.35 shall be amended to 0.2
| |  |  | --------------------------------------------------------



| | 2.6 |  | paragraph 2 of part 1 of Schedule 7 shall be deleted and
replaced with a new paragraph 2 with the following words:
| | --- |  | ------------------------------------------------------------------------------------------------------------------



| |  |  | The Additional Consideration payable to the Vendors shall be:
| |  |  | --------------------------------------------------------------



| | 2.1 |  | the product of (EBIT for Year 1 minus
ten-twelfths of one million US dollars ($1,000,000))
multiplied by 1.4; and
| | --- |  | -----------------------------------------------------------------------------------------------------------------



| | 2.2 |  | the product of (EBIT for Year 2 minus five
million US dollars ($5,000,000)) multiplied by 0.8;
| | --- |  | ----------------------------------------------------------------------------------------------



| |  |  | provided that in either case if the resulting amount is negative no
Additional Consideration shall be payable in respect of that
Consideration Year and the Vendors shall have no obligation to pay
the Purchaser any amount in respect of such negative amount.
| |  |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.7 |  | an additional paragraph shall be inserted immediately after
paragraph 2 of part 1 of Schedule 7 to be numbered paragraph 3 with
the following words:
| | --- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | Notwithstanding that the Additional Consideration payable by the
Purchaser to the Vendors in respect of Year 2 may be less than the
Year 1 Payment the Purchaser undertakes to the Vendors that it
shall pay to the Vendors a sum of not less than the Year 1 Payment
in respect of the Additional Consideration that is payable in
respect of Year 2. The provisions of paragraphs 1 to 4 (both
inclusive) of part 5 of this schedule 7 shall not apply in respect
of Year 2.
| |  |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | and the existing paragraphs 3 and 4 of part 1 of Schedule 7 shall
be renumbered as paragraphs 4 and 5 respectively.
| |  |  | -------------------------------------------------------------------------------------------------------------------



| | 2.8 |  | the first line of paragraph 1 of Part 2 of Schedule 7 shall
be deleted and replaced with the following words:
| | --- |  | -------------------------------------------------------------------------------------------------------------





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| |  |  | The EBIT for Year 1 is (to the nearest £1) the earnings before
interest and
| |  |  | -----------------------------------------------------------------------------



| | 2.9 |  | paragraph 1.2.3 of Part 2 of Schedule 7 shall be deleted and
replaced with a new paragraph 1.2.3 with the following words:
| | --- |  | --------------------------------------------------------------------------------------------------------------------------



| |  |  | after taking into account both as an expense and as a receipt of
the business of the Group (to the extent not already taken into
account) the payment by the Company of the Year 1 Bonus Pool
together with PAYE and National Insurance Contributions (employees
and employers) thereon and the funding of the Company by the
Purchaser made to compensate the Company therefor (as provided in
clause 12.3);
| |  |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.10 |  | an additional paragraph shall be inserted immediately after
paragraph 1 of part 2 of Schedule 7, to be numbered paragraph 2 with
the following words:
| | ---- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------



| | 2. |  | The EBIT for Year 2 is (to the nearest £1) the
earnings before interest and corporation tax on income of the
Relevant Business as shown in the Consideration Accounts for
that period which shall be prepared:
| | --- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.1 |  | insofar as it relates to the Group in
accordance with the specific accounting principles,
bases, policies and methods used in preparing the
Completion Accounts as set out in part 2 of schedule 6;
| | --- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.2 |  | to the extent not covered by 2.1
above:
| | --- |  | ---------------------------------------



| | 2.2.1 |  | after adding back an
amount equal to any sum paid by the Vendors to the
Purchaser under the Warranties to the extent that
the matter giving rise to a claim under the
Warranties affects EBIT;
| | ----- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.2.2 |  | after taking into
account both as an expense and as a receipt of the
business of the Group (to the extent not already
taken into account) the payment by the Company of
the Year 2 Bonus Pool together with PAYE and
National Insurance Contributions (employees and
employers) thereon and the funding of the Company
by the Purchaser made to compensate the Company
therefor (as provided in clause 12.3 );
| | ----- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------





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| | 2.2.3 |  | after excluding any
revenues and costs relating to the installed base
at Barclays Bank as at 30 April 2003 and any Break
Fix Maintenance on the replacement of such
installed base. All revenues and costs from new
sales to Barclays Bank shall be included in the
Year 2 earn-out calculation;
| | ----- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.2.4 |  | after adding back any
severance costs that have been incurred in
relation to the termination of contracts of
employment prior to 31 July 2003 of any employees
employed in the Relevant Business as a result of
the acquisition of the Inrange business ; and
| | ----- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.2.5 |  | after deducting any
revenues of the Inrange business earned prior to 6
May 2003 but including any revenues of the Inrange
business earned after that date;
| | ----- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.3 |  | to the extent not covered by 2.1 and
2.2 above, on a basis consistent with the Accounts, or,
as the case may be, previous accounts of the Purchasers
subsidiaries in the United Kingdom and Sweden, using the
same accounting principles, bases, policies and methods
(to the extent these comply with UK GAAP); and
| | --- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.4 |  | to the extent not covered by 2.1 to
2.3 above, in accordance with UK GAAP.
| | --- |  | ---------------------------------------------------------------------------





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| | 2.9 |  | paragraph 1 of Part 3 of Schedule 7 shall be deleted and
replaced by a new paragraph 1 with the following words:
| | --- |  | ----------------------------------------------------------------------------------------------------------------



| |  |  | The Purchaser shall (as its own cost) procure that the
Consideration Accounts are prepared and audited (and the auditors
certificate in respect of them signed):
| |  |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 1.1 |  | in relation to Year 1, by 31 July 2003; and
| | --- |  | -------------------------------------------



| | 1.3 |  | in relation to Year 2, within 60 days of the end of that
period
| | --- |  | ---------------------------------------------------------------



| |  |  | and are submitted together with the EBIT certificate specified
in paragraph 2 of this part to the Vendors.
| |  |  | -----------------------------------------------------------------------------------------------------------



| | 2.11 |  | paragraph 2 of Part 3 of Schedule 7 shall be amended by
adding, after the words income tax of the Group in the third line
the words or the Purchaser Group as the case may be;
| | ---- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.12 |  | paragraph 5 of Part 3 of Schedule 7 shall be amended by
adding, after the words in the possession of the Group in the
third line the words or the Purchaser Group as the case may be;
and
| | ---- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 2.13 |  | paragraph 5 of part 5 of Schedule 7 shall be amended by:
| | ---- |  | --------------------------------------------------------



| | 2.13.1 |  | the deletion of paragraph 5.1;
| | ------ |  | ------------------------------



| | 2.13.2 |  | the deletion of paragraphs 5.2 to the end of paragraph 5 and
the substitution therefor of the following:
| | ------ |  | --------------------------------------------------------------------------------------------------------



| | 5.2 |  | the employment of both of Paul
Foskett and Greg Scorziello with the Company is
terminated by the Purchaser or at its direction
(otherwise than where such termination is voluntarily
initiated by the relevant one of Paul Foskett and Greg
Scorziello) or both of Paul Foskett and Greg Scorziello
have been given notice of termination of their
employment or suspended from all or a material part of
their duties other than in circumstances in which the
Company is lawfully entitled to effect a summary
dismissal in accordance with the relevant service
contract
| | ---- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------





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| |  |  | (whether or not such notice or suspension applies to
Paul Foskett and Greg Scorziello simultaneously);
| |  |  | ------------------------------------------------------------------------------------------------------



| | 5.3 |  | both of Paul Foskett and Greg
Scorziello are removed from office as directors of the
Company by the Purchaser or at its direction other than
in circumstances in which the Company is lawfully
entitled to effect a summary dismissal in accordance
with the relevant service contract (whether or not such
removal applies to Paul Foskett and Greg Scorziello
simultaneously),
| | --- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | the Vendors shall be entitled to elect, by written notice of
the Manager served within 30 days of the relevant
Acceleration Event to receive the Year 2 Payment which,
notwithstanding anything else in this agreement, shall be
calculated as follows:
| |  |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 5.4 |  | EBIT for the six months immediately
preceding the Acceleration Event (Acceleration EBIT)
shall be calculated by reference to the immediately
preceding six months and otherwise mutatis mutandisin
accordance with part 2 of this schedule 7; and
| | --- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 5.5 |  | if an Acceleration Event occurs:
EBIT for purposes of Year 2 shall be calculated by
dividing Acceleration EBIT by six and multiplying it by
the number of months (including fractions of months)
(but not exceeding 14 months) remaining to elapse from
the later of the date of the Acceleration Event and the
beginning of Year 2 to the end of Year 2.
| | --- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | The amount given by the above formula (Acceleration Amount)
or, if greater, the amount of the Year 1 Payment, shall be
paid by the Purchaser to the Vendors in Loan Notes in
accordance, mutatis mutandis, with part 4 of schedule 7.
| |  |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------






|3. |  | CONFIRMATION
|-- |  | ------------



| |  | Subject to the terms of this deed, the parties confirm that the
Acquisition Agreement (as amended by the Deed of Variation) remains in
full force and effect.
| |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------





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|4. |  | MISCELLANEOUS
|-- |  | -------------



| | 4.1 |  | This deed may be signed in a number of counterparts and shall
have the same effect as though the signatures were on a single copy
of this deed.
| | --- |  | -----------------------------------------------------------------------------------------------------------------------------------------------



| | 4.2 |  | The parties agree that this deed shall be governed by and be
construed in accordance with the laws of England and the parties
submit to the exclusive jurisdiction of the English Courts.
| | --- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | 4.3 |  | A person who is not a party to this deed shall have no rights
under the Contract (Right of Third Parties) Act 1999 to enforce any
term of this deed.
| | --- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------



| |  | IN WITNESS of which the parties have executed this document as a deed.
| |  | ----------------------------------------------------------------------





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SCHEDULE 1

Vendors

Name and Address

Greg Scorziello
16 Briar Hill
Purley
Surrey
CR8 3LE

Paul John Foskett
17 Rashleigh Court
Church Crookham
Fleet
Hampshire
GU13 0UQ

Owen George Smith
Abbey Farm
Boarley Lane
Sanding
Maidstone
Kent
ME14 3BT





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SIGNED(but not delivered until the date
hereof) as a deed by Greg
Scorziello in the presence of:
    
    )
)/s/ Greg ScorzielloWitness Signature: /s/ Mark J. VargoFull Name: Mark J. VargoAddress:Occupation:SIGNED(but not delivered until the
date hereof) as a deed by Paul John
Foskett in the presence of:
    
    )
) /s/ Paul John FoskettWitness Signature: /s/ Mark J. VargoFull Name: Mark J. VargoAddress:Occupation:SIGNED(but not delivered until the
date hereof) as a deed by Owen
George Smith in the presence of:
    
    )
) /s/ Owen George SmithWitness Signature: /s/ Mark J. VargoFull Name: Mark J. VargoAddress:Occupation:






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EXECUTED(but not delivered until
the date hereof) as a deed by
Computer Network Technology
Corporation acting by two authorised
officers:
    
    )
)
)/s/ Thomas G. Hudson
    
    Officer/s/ Gregory T. Barnum
    
    Officer