Lansdale Borough Consumers One Step Closer to Real Choice for Cable TV

Verizon Obtains Eighth Pennsylvania Cable Franchise, Opening Door for Cable Competition, Consumer Choice and Value

May 4, 2006, LANSDALE, Pa. – The Montgomery County borough of Lansdale brought its residents a major step closer to choice for their cable television services, thanks to the borough council’s vote last night (May 3) authorizing Verizon to offer its fiber-optic-powered FiOS TV.

The borough is the third Montgomery County jurisdiction – and the eighth in the state -- to grant Verizon a cable franchise, following Schwenksville Borough and Worcester Township. They join a growing list of southeastern Pennsylvania communities that have granted cable franchises to Verizon, bringing a total of more than 45,000 potential viewers closer to the day when they can choose their cable TV provider as easily as they now choose their phone provider.

The other communities are Hulmeville Borough in Bucks County; the townships of Valley and East Marlborough and the borough of Modena in Chester County; and Thornbury Township in Delaware County. Verizon will announce availability plans for FiOS TV in Lansdale Borough and the other communities later this year.

Verizon, which launched FiOS TV last September in Keller, Texas, currently offers the service in parts of California, Florida, Maryland, 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 Lansdale Borough 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 William B. Carnahan, Verizon Pennsylvania vice president of external affairs. "Competition drives innovation, value and service quality, and we will compete aggressively for business in Montgomery County with our FiOS services, which are fueled by our lightning-fast fiber-optic network.

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

Under the 15-year agreement, Verizon will be able to offer FiOS TV service to residents of Lansdale. 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 350 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 Montgomery County, as well as parts of Bucks, Chester 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 53 million customers nationwide; one of the most expansive wholly-owned global IP networks; and one of the nation’s premier wireline networks, serving mass market and wholesale customers. Based in New York, Verizon has a diverse workforce of more than 250,000 and generates annual consolidated operating revenues of approximately $90 billion. For more information, visit www.verizon.com.

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Sharon Shaffer

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Verizon Communications Inc.

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