McLeodUSA(R) Enters Purchase Agreement With Polaris Networks for Next-Generation DCS Solution
Thursday January 20, 9:15 am ET
McLeodUSA Chooses the Polaris OMX(TM) for Its Scalability, Reliability and Flexibility
SAN JOSE, Calif. and CEDAR RAPIDS, Iowa, Jan. 20 /PRNewswire-FirstCall/ -- Polaris Networks Inc., the leading provider of next-generation cross-connect solutions announced today that it has entered a three year agreement with McLeodUSA Incorporated (Nasdaq: MCLD - News), one of the nation's largest independent competitive telecommunications services providers, for the purchase of Polaris' OMX(TM) (Optical Metro Switch) for deployment in McLeodUSA's metro networks.
With increased traffic growth and the introduction of new services, McLeodUSA was looking for a cost-effective, next-generation platform for wideband technology to support growth in its 25-state footprint. In addition, McLeodUSA was looking to further integrate its SONET transport network directly with their cross-connect platforms to streamline operations. Polaris' OMX solution offers the following capabilities to McLeodUSA:
-- Support for New and Existing Services -- wideband, broadband and
super-broadband granularity supports DS1, DS3, STSn, OCn and packet
services
-- Streamlined Architecture -- scalable platform eliminates back-to-back
transport elements and manual connections
-- Operational Simplicity -- reduced footprint and power requirements in
congested hub sites.
"As a result of recent and expected growth in our major markets, McLeodUSA intends to add capacity and scalability to the hub of our metro networks," said Todd Wilkens, Group Vice President of Network Engineering for McLeodUSA. "Polaris' OMX next-generation solution offers our company cost savings, as well as the flexibility and reliability that we and our customers expect."
"McLeodUSA's decision to move towards a next-generation cross-connect solution will help them to significantly lower their cost of infrastructure," said Surya Panditi, CEO and President of Polaris Networks. "And at the same time, they are better positioning their network for advanced network services that will address the needs of their end customers today and in the future."
About Polaris Networks Inc.
Polaris Networks develops new generation optical transport switching systems for metro core networks. From day one, its systems combine optical transport with extensive grooming and switching, managed via a GMPLS-based common control plane. The company is funded by Redpoint Ventures, Venrock Associates, Advanced Technology Ventures, SToRM Ventures and strategic private investors. For more information about Polaris Networks, please visit
www.polarisnetworks.com.
About McLeodUSA
McLeodUSA provides integrated communications services, including local services, in 25 Midwest, Southwest, Northwest and Rocky Mountain states. The Company is a facilities-based telecommunications provider with, as of September 30, 2004, 38 ATM switches, 39 voice switches, 696 collocations, 435 DSLAMs and 2,474 employees. As of April 16, 2002, Forstmann Little & Co. became a 58% shareholder in the Company. Visit the Company's website at mcleodusa.com.
Some of the statements in this press release include statements about our future expectations. Statements that are not historical facts are "forward- looking statements" for the purpose of the safe harbor provided by Section 21E of the Exchange Act and Section 27A of the Securities Act. Such statements may include projections of financial and operational results and goals, including revenue, EBITDA, Adjusted EBITDA, profitability, savings and cash. In some cases, you can identify these so-called "forward-looking statements" by our use of words such as "may," "will," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict", "project", "intend" or "potential" or the negative of those words and other comparable words. These forward-looking statements are subject to known as well as unknown risks and uncertainties that may cause actual results to differ materially from our expectations. Our expectations are based on various factors and assumptions and reflect only our predictions. Factors that could cause actual results to differ materially from the forward-looking statement include technological, regulatory, public policy or other developments in our industry, availability and adequacy of capital resources, current and future economic conditions, the existence of strategic alliances, our ability to generate cash, our ability to implement process and network improvements, our ability to attract and retain customers, our ability to migrate traffic to appropriate platforms and changes in the competitive climate in which we operate. These and other risks are described in more detail in our most recent Annual Report on Form 10-K filed with the SEC. The Company undertakes no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise.
Contact: Rebecca Darrah of Polaris, +1-408-284-8053, or
rdarrah@polarisnetworks.com.