Denver, March 31, 1999 ? Qwest Communications International Inc. today announced that it has received an additional $15 million commitment for high-speed, broadband capacity from STAR Telecommunications. The agreement builds upon the companies' original 20-year, $70 million contract and extends the term of STAR's commitment to $85 million. Additionally, Qwest will purchase international long distance services from STAR.
"Qwest has proven to the marketplace that it is a leader in providing quality fiber backbone services to the carrier marketplace," said Chris Edgecomb, chairman of the board and CEO of STAR. "As our company has emerged to become the seventh largest long distance carrier in the United States, we have a growing need to strengthen our national backbone to accommodate the growth of our commercial business and consumer customer growth. Qwest's fiber services fulfill this vital need for STAR."
"Based on the success of Qwest's existing relationship with STAR, we are happy to significantly increase the level of our agreement for STAR's international services," said Gregory M. Casey, Qwest's senior vice president of wholesale markets. "We are confident that STAR will help us meet our growing customer demands in the near term and over the next few years."
About STAR Telecommunications
STAR Telecommunications (Nasdaq: STRX) is a leading provider of global telecommunications services to consumers, long distance carriers, multinational corporations and Internet service providers worldwide. STAR provides international and national long distance services, international private line, Internet services, prepaid calling cards, dial around services and international toll free services. The STAR Telecom global network connects over 51 countries worldwide and includes 17 global switching facilities, ownership in 17 transoceanic cable systems and a North American Fiber network connecting 30 cities. Visit STAR Telecom at www.startel.com
Qwest Communications International Inc. (Nasdaq: QWST) is a leader in reliable and secure broadband Internet-based data, voice and image communications for businesses and consumers. Headquartered in Denver, Qwest has more than 8,000 employees and 80 sales offices in North America, Europe and Mexico. The Qwest Macro Capacity (SM) Fiber Network, designed with the newest optical networking, will span more than 18,500 route miles in the United States when it is completed by mid-1999, and the additional 315-mile network route recently announced will be complete by the end of the year. In addition, Qwest and KPN, the Dutch telecommunications company, are forming a venture to build and operate a high-capacity European fiber optic, Internet Protocol-based network that has 2,100 miles and will span 9,100 miles when it is completed in 2001. Qwest also has nearly completed a 1,400-mile network in Mexico. For more information, please visit the Qwest web site at www.qwest.com.
This release may contain forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents filed by Qwest with the SEC, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements, including potential fluctuations in quarterly results, dependence on new product development, rapid technological and market change, failure to complete the network on schedule and on budget, financial risk management and future growth subject to risks, Qwest's ability to achieve Year 2000 compliance, and adverse changes in the regulatory or legislative environment. Qwest undertakes no obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
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