Ethernet initialization trouble

Hi all,

I am using Quartus II 10.1,Nios IDE 10.1 and a custom board,based heavily on Arria II development board.Currently i am trying to setup a GigE connection.I have a heavy suspicion on PHY working state and/or hardware connection,since i don't see blinking leds of rx/tx and 1000 link.As offered here in the forum on similar occasions,first of all,i should test the connection with simple socket server program.I am using RGMII connection.I have tried both the regular and RGMII versions of simple socket server program.This is the output that i get from the console :

Copyright 1996-2008 by InterNiche Technologies. All rights reserved.

prep_tse_mac 0

Can't read the MAC address from your board (this probably means

that your flash was erased). We will assign you a MAC address and

static network settings

Please enter your 9-digit serial number. This is printed on a

label under your Nios dev. board. The first 3 digits of the

label are ASJ and the serial number follows this.

-->Created "Inet main" task (Prio: 2)

Created "clock tick" task (Prio: 3)

123456789

123456789

Your Ethernet MAC address is 45:fb:5d:ea:65:ea

prepped 1 interface, initializing...

[tse_mac_init]

INFO : TSE MAC 0 found at address 0x00404000

ERROR : MAC Group[0] - No PHY connected!

ERROR : PHY[0.0] - No PHY connected! Speed = 100, Duplex = Full

OK, x=0, CMD_CONFIG=0x00000000

MAC post-initialization: CMD_CONFIG=0x04000203

[tse_sgdma_read_init] RX descriptor chain desc (1 depth) created

mctest init called

IP address of et1 : 0.0.0.0

"

Any help on resolving/understanding the issue would be welcome .

Thank You