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Lumos Networks Announces “Project Ark”, An FTTC-Focused IP Fiber Network Overlay

Lumos Networks Corp. (“Lumos Networks” or “the Company”) (Nasdaq:LMOS), a fiber-based service provider of data, voice and IP-based telecommunication services in the Mid-Atlantic region, today announced plans for a significant upgrade to its fiber network planned for completion during 2014. The Company will invest in state of the art fiber optical equipment and build a new MEF certified Carrier Ethernet MPLS/IP fiber overlay network designed primarily to handle Fiber to the Cell site (“FTTC”) traffic within Lumos’ network. Lumos Networks has been actively consulting with its FTTC carrier customers about the development of this parallel network, called “Project Ark”. The flexible MPLS architecture of Project Ark will allow for bandwidth scalability without a major design overhaul or the installation of significant new equipment.

“Over the last two years, Lumos Networks added 460 FTTC sites and we expect to add at least 200 more in 2014, equating to over 800 on-the-air sites by the end of 2014,” said Tim Biltz, President and CEO of Lumos Networks. “In order for us to continue to provide leading quality of service and to have the necessary bandwidth to reach our long-term goal of 1,500 FTTC sites, we architected a separate, robust parallel Carrier Ethernet MPLS/IP fiber network intended exclusively for FTTC traffic. We have named this network ‘Project Ark’ and I consider this to be a major step forward in our goal to transform our network into the most dense and robust Carrier Ethernet network in the Mid-Atlantic region. Fiber bandwidth traffic from select large Enterprise accounts may also be routed onto this new network.”

Project Ark will provide total bandwidth of approximately one terabyte and is designed to handle, at a minimum, FTTC traffic produced by 1,500 sites on Carrier Ethernet, with an average of 1.5 tenants per site and 400 Mbps of throughput at each site. Project Ark, will connect four key markets in the Lumos Networks footprint: Pittsburgh, Pa; Charleston, WVa; Roanoke, Va; and Ashburn, Va. The loop around these four cities is about 850 miles.

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