Verizon Business Signs New Contract With U.S. General Services Administration

BASKING RIDGE, N.J. - Verizon Business, a leading communications provider to the federal government, announced today that it has signed a new two-year agreement with the U.S. General Services Administration to provide services under the Federal Telecommunications Service (FTS) 2001 contract.

The agreement bridges the current FTS2001 agreement, which expires on Jan. 10, 2007, and the Networx contract, which is expected to be awarded by the GSA later this year or early next year. The new agreement will run from Jan. 11, 2007, through Jan. 10, 2009, with the option to extend it for three additional six-month periods. Verizon Business will continue to offer, at current rates, the telecommunications services it has been providing under the existing FTS2001 contract.

In addition, Verizon Business will offer new advanced services, including secure remote communications services for teleworkers; enhanced hosting services to support government content delivery; data protection and recovery services; and secure multi-media collaboration technologies.

The new contract will enable Verizon Business to provide service to federal customers during the conclusion of the GSA's Networx evaluation and transition to the Networx contract. The Networx program is one of the largest federal communication procurements in history. Networx will replace FTS2001 and several telecommunications agreements.

"We have watched the government's communications demands develop over the years, and this contract allows for the continued evolution of those services before the move to Networx," said Jerry Edgerton, group president for Verizon Federal, a sales organization within Verizon Business dedicated to serving federal government customers. "Verizon Business has earned its position as one of the top communications providers to the federal government through our continued investment in our networks and our tireless commitment to our customers' needs."

FTS2001 is one of the largest federal government telecommunications contracts awarded to date, providing comprehensive voice, data, Internet, video conferencing and global communications services that fulfill common-user needs government-wide. Under FTS2001, federal agencies worldwide are able to capitalize on Verizon Business' cost-effective telecommunications services as well as its state-of-the-art Web hosting, security and data network solutions.

Verizon Business is one of the two U.S. telecommunications services providers initially awarded the FTS2001 contracts by the GSA. The company serves virtually every federal agency under the current contract, which was awarded in January 1999.

About Verizon Business
Verizon Business, a unit of Verizon Communications (NYSE: VZ), is a leading provider of advanced communications and information technology (IT) solutions to large business and government customers worldwide. Combining unsurpassed global network reach with advanced technology and professional service capabilities, Verizon Business delivers innovative and seamless business solutions to customers around the world. For more information, visit www.verizonbusiness.com.

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