Township of Valley One Step Closer to Real Choice for Cable TV

Verizon Obtains Franchise From Chester County Municipality, Opening the Door for Cable Competition, Consumer Choice and Value

March 8, 2006, WEST CHESTER, Pa. - The Chester County township of Valley brought its residents a major step closer to choice for their cable television services, thanks to the township board of supervisors’ unanimous vote on March 7 authorizing Verizon to offer its fiber-optic-powered FiOS TV.

The township is the first Chester County jurisdiction to grant Verizon a cable franchise, following the lead of the Bucks County borough of Hulmeville, which granted the company its first Pennsylvania cable franchise last month. Verizon will announce availability plans for FiOS TV in Valley Township later this year.

Verizon, which launched FiOS TV last September in Keller, Texas, currently offers the service in parts of California, Florida, Massachusetts, New York, Texas and Virginia. The company will make FiOS TV available in Pennsylvania markets where it has negotiated franchise agreements with local authorities.

“We applaud Valley officials for their foresight in putting into place the foundation that will allow consumers to choose their video provider as easily as they now choose their phone company,” said James V. O’Rourke, Verizon Pennsylvania president and CEO. "Competition drives innovation, value and service quality, and we will compete aggressively for business in Chester County with our FiOS services, which are fueled by our lightning-fast fiber-optic network.

“We hope to bring these benefits to more Chester County citizens by reaching similar agreements with other municipalities.”

Under the 15-year agreement, Verizon will be able to offer FiOS TV to residents of the township. In addition, the agreement requires Verizon to pay the community franchise fees based on the company’s gross revenues on cable services.

FiOS TV is designed to be a formidable competitor to cable and satellite, offering a broad collection of all-digital programming with more than 330 total channels, nearly two dozen high-definition channels, video on demand and more. It is delivered over Verizon’s fiber-to-the-premises network, which has industry-leading quality and reliability. Fiber delivers amazingly sharp pictures and sound, and has the capacity to transmit a wide array of high-definition programming that is so clear and intense it seems to leap from the TV screen. Verizon’s network design includes backup facilities not common to traditional cable systems, such as duplicate “head ends” where the TV service receives national programming.

In addition to FiOS TV, Verizon’s fiber network also allows the company to offer consumers and businesses high-speed FiOS Internet Service at download speeds of up to 30 Mbps (megabits per second) and upload speeds up to 5 Mbps.* FiOS Internet Service currently is available to many consumers and small businesses in Chester County, as well as parts of Bucks, Montgomery and Delaware counties.

* NOTE: actual (throughput) speeds will vary.

Verizon Communications Inc. (NYSE:VZ), a Dow 30 company, is a leader in delivering broadband and other communication innovations to wireline and wireless customers. Verizon operates America’s most reliable wireless network, serving 51.3 million customers nationwide; one of the most expansive wholly-owned global IP networks; and one of the nation’s premier wireline networks, serving home, business and wholesale customers. Based in New York, Verizon has a diverse workforce of approximately 250,000 and generates annual consolidated operating revenues of approximately $90 billion. For more information, visit www.verizon.com.

Contact Information

Sharon Shaffer

Media contact

Verizon Communications Inc.

Contact via E-mail