Verizon and Granite Telecommunications Sign Binding Letter of Intent for Commercial Agreement on Wholesale Services

NEW YORK and QUINCY, Mass. - Verizon and Granite Telecommunications today announced they have signed a binding letter of intent for a commercial agreement that will replace the existing wholesale network leasing arrangement known as Unbundled Network Element Platform (UNE-P) in the mass market.

Verizon's new Wholesale Advantage agreement with Granite Telecommunications will include restructured pricing and a number of high-value services not offered under the existing government-mandated UNE-P plan. Verizon's Wholesale Advantage offer provides a framework for reaching agreements on negotiated, commercially reasonable terms, and ensures the continued availability of wholesale services after a federal court order becomes effective this week. That order rejected existing regulations on which the current wholesale arrangements are based.

Granite Telecommunications is one of Verizon's largest buyers of wholesale services under the current UNE-P system. The company serves customers in 25 states where Verizon has a presence. Nationally, Granite serves over 150,000 local lines in 49 states.

"The letter of intent entered into between Granite and Verizon is further evidence that carriers can reach mutually beneficial commercial arrangements," said Virginia Ruesterholz, president of Verizon's Wholesale Markets Group. "These arrangements bring stability to the market and benefit end-user customers. I am pleased we are expanding our relationship with Granite."

"Granite is pleased to solidify our future with Verizon," said Rob Hale, Granite's president. "Our customers are our priority; this contract gives them clarity for years to come. Strong service, useful software and meaningful savings will continue for our growing base of 5,000 customers."

Dow 30 company, Verizon Communications (NYSE:VZ) is one of the world's leading providers of communications services, with approximately $68 billion in annual revenues. Verizon companies are the largest providers of wireline and wireless communications in the United States. Verizon is also the largest directory publisher in the world, as measured by directory titles and circulation. Verizon's international presence includes wireline and wireless communications operations and investments, primarily in the Americas and Europe. For more information, visit www.verizon.com.

Granite Telecommunications is a privately held nationwide wholesaler of telecom services. With over $75 million in annual revenues, Granite services 5,000 customers in over 50,000 locations in 49 states. 31 of the Fortune 100 utilize Granite services. For more information, visit www.Granitenet.com.