BROOMFIELD, Colo., August 25, 2003 - Level 3 Communications, Inc. (Nasdaq:LVLT) today announced that SBC Internet Services, a wholly-owned subsidiary of SBC Communications Inc., has extended an existing agreement with Level 3 for dial-up Internet access service.
The original contract, announced in January 2002, has been extended by two years and now runs through the end of 2006. The agreement also includes an increased revenue commitment of approximately $11 million from SBC over the contract's duration.
Under the terms of the agreement, SBC Internet Services is buying (3)Connect Modem services from Level 3 to serve its dial and roaming DSL Internet customers. The contract makes Level 3 the exclusive provider of wholesale dial-up access service for SBC and its affiliates for traffic that is not being supported by SBC's own network assets.
"We are obviously very pleased that SBC Internet Services has elected to extend its agreement with Level 3 for managed modem services," said Jack Waters, president of Global Softswitch Services for Level 3. "We are firmly committed to offering a dial-up access service that features new and advanced capabilities, industry-leading call completion rates, flexible pricing options, and broad geographic coverage."
(3)Connect Modem service covers more than 90 percent of the U.S. population and is available on a per-port basis for a flat monthly fee or on a metered basis based on the total number of hours used. The monthly charge includes local dial-in numbers, complete network coverage for a specific region, modems to collect the incoming traffic, and managed routers.
About Level 3 Communications
Level 3 Communications, Inc. (NASDAQ: LVLT), an international communications company, operates one of the largest Internet backbones in the world, connecting 180 markets in 18 countries. The company serves a broad range of wholesale, enterprise and content customers with a comprehensive suite of services including: Internet Protocol (IP) services, broadband transport and infrastructure services, colocation services, voice and voice over IP services, content delivery and media distribution services. These services provide the building blocks to enable Level 3’s customers to meet their growing demands for advanced communications solutions. The company’s Web address is www.Level3.com.
"Level 3 Communications,” "Level 3," the red 3D brackets and the Level 3 Communications logo are registered service marks of Level 3 Communications, LLC in the United States and/or other countries. Level 3 services are provided by wholly owned subsidiaries of Level 3 Communications, Inc. Any other service, product or company names recited herein may be trademarks or service marks of their respective owners.
Forward-Looking Statement
Some of the statements that we make in this press release are forward looking in nature. These statements are based on management’s current expectations or beliefs. These forward looking statements are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside our control, which could cause actual events to differ materially from those expressed or implied by the statements. The most important factors that could prevent us from achieving our stated goals include, but are not limited to our ability to: successfully integrate acquisitions; increase the volume of traffic on our network; defend our intellectual property and proprietary rights; develop new products and services that meet customer demands and generate acceptable margins; successfully complete commercial testing of new technology and information systems to support new products and services; attract and retain qualified management and other personnel; and meet all of the terms and conditions of our debt obligations. Additional information concerning these and other important factors can be found within Level 3’s filings with the Securities and Exchange Commission. Statements in this press release should be evaluated in light of these important factors. Level 3 is under no obligation to, and expressly disclaims any such obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise.
