Eschelon Telecom, Inc. Now Offering a Full Line of Business Telephone Systems in Phoenix

Eschelon Telecom, Inc., a provider of voice, data, Internet services and business telephone systems, announced today that it will now offer a full line of business telephone and voice messaging equipment to businesses in the greater Phoenix, Arizona area.

"Building on the solid reputation we have established in our Minnesota, Washington, Oregon, Utah and Colorado markets as a trusted phone systems provider, we are excited to now offer a comprehensive line of phone systems from the best manufacturers in the industry to complement our wide range of telecommunications services," stated John Phillips, Eschelon's Vice President of Sales - Channel Development.

Eschelon's new business telephone system product set is comprised of flexible solutions to fit the telecommunications needs of any small to medium-sized business. Eschelon will sell business telephone systems from NEC and Inter-Tel, Inc. including everything from basic small key telephone systems, voicemail and data equipment to more advanced communication platforms for larger firms.

"With the addition of phone system sales in Phoenix, Eschelon is now able to offer businesses throughout the valley a complete telecommunications solution from a single provider," stated Kelly Colbert, Eschelon's Manager BTS Sales. "Our expanded line of telecommunications services strengthens our presence in the Phoenix area by providing businesses with a complete package that will improve productivity and enhance the value of their business.

About Eschelon Telecom, Inc.

Eschelon Telecom, Inc. was founded in 1996 and is a rapidly growing provider of integrated voice, data and Internet services. Headquartered in Minneapolis, Minnesota, the company offers small and medium sized businesses a comprehensive line of telecommunications and Internet products including local lines, long distance, business telephone systems, DSL, Dedicated T-1 access, network solutions and Web hosting. With the acquisition of Advanced TelCom, Inc. completed, Eschelon employs approximately 1,100 telecommunications/Internet professionals, serves approximately 56,000 business customers, and has more than 350,000 access lines in service throughout its markets in Minnesota, Arizona, Utah, Washington, Oregon, Colorado, Nevada and California. For more information, please visit our web site at www.eschelon.com.

Forward Looking Statements

This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements are based on Eschelon Telecom's current intent, belief and expectations. These statements are not guarantees of future performance and are subject to certain risks and uncertainties that are difficult to predict. Actual results may differ materially from these forward-looking statements because of the company's history of losses, ability to maintain relationships with ILECs, substantial indebtedness, intense competition, dependence on key management, changes in government regulations, and other risks that may be described in the company's filings with the Securities and Exchange Commission. Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of today's date. Eschelon Telecom undertakes no obligation to update or revise the information contained in this announcement, whether as a result of new information, future events or circumstances or otherwise.

Contacts
Eschelon Telecom, Inc., Minneapolis
Jenna Soule, 612-436-6426

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