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XO Communications Celebrates 10 Years of Innovation and Leadership

11 July 2006

XO Communications today marked its 10th anniversary of providing communications services to businesses as a leading alternative to the regional Bell telephone companies.


A pioneer in the competitive telecommunications market, XO Communications became one of the first competitive local exchange carriers in the United States to provide facilities-based communications services under the Telecommunications Act of 1996. In July 1996 XO helped initiate local competition in the nation's telecommunications market, launching local service in seven metropolitan markets. Since then XO has expanded to provide services in 75 metropolitan markets and become the nation's largest competitive communications services provider for businesses with 165,000 customers and annual revenues in excess of $1.4 billion.


"Ten years ago XO brought competition to the telecommunications market, helping to deliver more choices, innovation and better services for the millions of businesses across the country," said Carl Grivner, CEO of XO Communications. "Our focus on innovative services and customer service has earned us the reputation for being more nimble and more focused on providing what customers actually want. Today, as the regional Bell companies seek to consolidate more of the market in their control, XO continues to stand as the leading alternative provider of communications services for business customers."


Over the past ten years, XO's focus on innovative services and investment in building an advanced, nationwide IP network has enabled it to deliver a wide range of communications solutions that help businesses of all sizes to operate better and more cost-effectively. This focus has enabled XO to foster customer loyalty. "Dependability, that is what keeps us coming back to XO Communications after ten years of working together," said Chris Johnson, manager, IT Group at Fresenius Medical Care. "The service and network are excellent, and the XO people really understand the needs of our business."


XO's ten-year record of leadership and innovation includes:


* Pioneering Bundled Services: In 2000, XO pioneered the market with the


launch of XOptions, the industry's first services bundle to combine


voice, data and web hosting services for a flat-monthly price. Today,


more than 36,000 businesses have benefited from the capabilities,


features and simplicity of XOptions and other traditional bundled


services from XO.


* Delivering Advanced VoIP Solutions: In 2005, XO launched XOptions Flex


(http://www.xo.com/flex), the industry's first bundled voice over IP


(VoIP) solution to combine virtually unlimited local and long distance


calling, Dedicated Internet Access and web hosting for a flat-monthly


price. Today, nearly 5,000 businesses have deployed XOptions Flex to


take advantage of the cost-savings and flexibility of VoIP. XO also


plays a key role in enabling emerging and leading VoIP service providers


by providing wholesale VoIP services that allow these providers to cost-


effectively offer services nationwide to their customers.


* Significant Investments in Facilities-Based Networks: Today, XO


leverages more than $8 billion in facilities-based networks


(http://www.xo.com/about/network) it has deployed nationwide and in the


local markets it serves. XO operates an 18,000 route mile nationwide


network that connects 75 metropolitan markets and operates 9,100 route


miles of local fiber in 37 metropolitan markets. Within this nationwide


network footprint, XO can reach more than four million businesses.


* Early Adopter of IP Network Technology: Since its inception, XO has


designed and built its networks with the latest and most advanced IP-


based routing and switching technology, enabling it to operate its


network more efficiently than providers with large legacy networks. XO


was one of the first major national communications providers to deploy


advanced softswitch technology across its privately-owned IP network and


began carrying voice traffic over its own IP network in 2001. Today, XO


carries more than 1 billion minutes of VoIP traffic each month over its


private nationwide IP network and softswitch platform.


For more information about XO, contact an XO sales representative by calling (866) 963-9696 or visit http://www.xo.com.


About XO Communications


XO Communications, a subsidiary of XO Holdings, Inc. (OTC Bulletin Board: XOHO.OB), is a leading provider of national and local telecommunications services to businesses, large enterprises and telecommunications companies. XO offers a complete portfolio of services, including local and long distance voice, dedicated Internet access, private networking, data transport, and Web hosting services as well as bundled voice and Internet solutions. XO provides these services over an advanced, national facilities-based IP network and serves more than 70 metropolitan markets across the United States. For more information, visit http://www.xo.com.


Note to Editors


XO Communications initially launched service as Nextlink Communications. Following Nextlink's merger with Concentric in 1999, the company changed its name to XO Communications. The following historical data compares the company in 1996 to today.


1996 Markets Pennsylvania Tennessee Washington


Allentown Memphis Spokane


Harrisburg Nashville


Lancaster


Reading


2006 Markets Arizona Maryland Oregon


Phoenix Annapolis Portland


Tucson Baltimore


California Massachusetts Pennsylvania


Fresno Boston Allentown


Los Angeles Brockton Harrisburg


Long Beach Lowell Lancaster


Oakland Worcester Philadelphia


Orange County Pittsburgh


Riverside Michigan Reading


Sacramento Detroit Scranton


San Diego Wilkes Barre


San Francisco Minnesota York


San Jose Minneapolis


San Bernardino St. Paul Tennessee


Stockton Memphis


Yolo Missouri Nashville


St. Louis


Colorado Texas


Boulder Nevada Austin


Colorado Springs Las Vegas Dallas/Fort Worth


Denver Houston


New Jersey San Antonio


District of Bergen-


Columbia Passaic Utah


Washington, DC Jersey City Provo-Orem


Middlesex Salt Lake City


Delaware Monmouth


Dover Newark Virginia


Newark Somerset Northern Virginia


Wilmington Trenton Richmond


Georgia New York Washington


Atlanta New York Seattle


Nassau- Spokane


Idaho Suffolk Tacoma


Coeur D'Alene


Ohio


Illinois Akron


Chicago Cleveland


Columbus


Youngstown


Revenue (1996) $36,000,000


Revenue (2005) $1,430,000,000


Network Fiber Miles (1996) 66,000


Network Fiber Miles (2006) 1,200,000


Buildings Connected (1996) 400


Buildings Connected (2006) 3,000

Source: prnewswire


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