Denver, November 8, 2006 - Qwest Communications International Inc. (NYSE: Q) today announced it was awarded a contract by the Defense Information Systems Agency (DISA) in support of the Global Information Grid (GIG). The DISN (Defense Information Systems Network) Access Transport Services (DATS) contract awarded to Qwest is expected to be worth at least $100 million during the 10-year period of the contract.
DISA is a Department of Defense combat support agency that provides real-time information technology (IT) and communications support to the president, vice president, secretary of defense, the military services, and the combatant commands. Through the DATS contract, Qwest will provide the nation?s armed forces with more flexibility to meet the ever increasing demand for high-capacity bandwidth.
Qwest will provide dedicated private line services, in a broad array of speeds from 3KHz Voice Grade, Sub-DS0 (Digital Signal 0), DS0 through Voice Grade, and DS0 through Optical Carrier (OC-n/OC-Nc), to and from a variety of locations in the Midwest and West. In addition, the company has the ability to provide associated specialized equipment, including routers and multiplexers. Qwest will provide a Web portal that will enable ease of pricing, ordering, and service delivery?a new way of doing business for DISA.
"Qwest continues to expand its role as a provider of state-of-the-art technology services to the federal government, including Department of Defense agencies such as DISA," said Diana Gowen, senior vice president, Qwest government services. "The vast amount of experience we have providing services to the federal government helps position us for success on the execution of this contract."
Qwest is a leading provider of high-speed Internet and data, voice, and video services to more than 50 federal government agencies, including the Department of Energy, Department of Defense, Department of Justice, the Department of Treasury, the Department of Housing and Urban Development, and the U.S. Postal Service. Qwest ranks in the top 50 of the 2006 "Top Federal Prime Contractors" as ranked by Washington Technology.
Qwest offers a unique and powerful combination of voice and data solutions for businesses, government agencies and consumers - locally and throughout the country. Customers coast to coast are turning to Qwest's industry-leading national fiber optic network and its Spirit of Service for quality products and superior customer experience. For more information on Qwest, and its various operating subsidiaries, please go to www.qwest.com.
This release may contain projections and other 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 us with the Securities and Exchange Commission, 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 but not limited to: access line losses due to increased competition, including from technology substitution of our access lines with wireless and cable alternatives, among others; our substantial indebtedness, and our inability to complete any efforts to de-lever our balance sheet through asset sales or other transactions; any adverse outcome of the current investigation by the U.S. Attorney's office in Denver into certain matters relating to us; adverse results of increased review and scrutiny by regulatory authorities, media and others (including any internal analyses) of financial reporting issues and practices or otherwise; rapid and significant changes in technology and markets; any adverse developments in commercial disputes or legal proceedings, including any adverse outcome of current or future legal proceedings related to matters that are or were the subject of governmental investigations, and, to the extent not covered by insurance, if any, our inability to satisfy any resulting obligations from funds available to us, if any; potential fluctuations in quarterly results; volatility of our stock price; intense competition in the markets in which we compete including the likelihood of certain of our competitors consolidating with other providers; changes in demand for our products and services; acceleration of the deployment of advanced new services, such as broadband data, wireless and video services, which could require substantial expenditure of financial and other resources in excess of contemplated levels; higher than anticipated employee levels, capital expenditures and operating expenses; adverse changes in the regulatory or legislative environment affecting our business; changes in the outcome of future events from the assumed outcome included in our significant accounting policies; and our ability to utilize net operating losses in projected amounts.
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