U.S. Private Line Services
Section IV.1.3.3 - Discounts
1.3.3 Network Pricing Plans (NPP)
Network Pricing Plan (NPP) discounts specified below are limited to Pre-Verizon Business Service I Customers only and apply to IXC charges.
Under these plans, a Customer commits to a minimum monthly revenue level of combined usage over a selected term, and receives the corresponding NPP discounts for IXCs under the plan to which the Customer has committed. Network Pricing Plans are available at various minimum monthly IXC revenue levels over terms of 1, 2, 3, 4 or 5 years. For NPPs entered into on or after November 1,1998, the monthly minimum revenue may include recurring charges for Company‑provided local loops. Network Pricing Plans with domestic minimum monthly IXC revenue levels of $75,000 or greater are available only under NPPs executed prior to November 1, 1998.
Customers who subscribe to service as part of the Commercial Affinity Program Plus (CAP Plus) or the Qualified Industry Affinity Program (INAP) are eligible to receive the NPP discounts associated with the 4 year, $2,000 minimum monthly IXC revenue level. The NPP discounts apply only to Company-provided IXCs, and customers receiving these discounts cannot receive discounts provided under any Network Pricing Plan Data Promotion. Customers who subscribe to service as part of the Commercial Affinity Program are not eligible for these discounts.
The monthly recurring IXC charges under a particular plan are determined by deducting the respective NPP discounts from the monthly charges calculated for each service using the applicable Monthly Plan rates. IXC revenues, calculated using the applicable Monthly Plan rates for each service plus any applicable intrastate and international revenues as explained below, are totaled and compared to the minimum monthly commitment amount. Except as explained below under, "Commencing An NPP," if the aggregate revenue applicable towards the minimum monthly revenue commitment is less than the committed amount, a charge equal to the difference is applied.
Revenues from the Company-provided portion of international dedicated leased line circuits that are enrolled in a selected International Network Pricing Plan, which revenues are calculated at the undiscounted monthly or base international rates, will be counted toward a selected domestic NPP IXC minimum. The customer may choose the Network Pricing Plan to be associated with these international revenues, subject to the terms of Notification Required from Customers.
Intrastate IXC revenue, at the applicable intrastate rates, may also be counted towards a selected NPP IXC minimum.
Except as noted below, relative to commencing a plan, the commitment to a Network Pricing Plan is independent of the circuits in the plan. Circuits may be added or deleted from a Network Pricing Plan subject to the terms for Notification Required From Customers. Other circuit specific regulations, including minimum service interval and notice of discontinuance, are defined elsewhere in this tariff.
Customers enrolled in a Network Pricing Plan are not entitled to any other discount, except for City Pair Discounts, or Product Packages 6-9 (Grand Slam program) or for any promotion offered by the company on IXC charges arising from services furnished under the NPP.
For NPPs entered into prior to November 1, 1998, the monthly minimum commitment must be satisfied by the customer's gross billing before the application of NPP discounts. For NPPs entered into on or after November 1, 1998, the monthly minimum commitment must be satisfied by the customer's net billing after the application of NPP discounts.
Commencing An NPP: Subject to the terms for Notification Required From Customers, the customer must select: the desired NPP term and month in which the plan is to commence; the monthly minimum IXC revenue commitment; and the circuits, which will initially be part of the plan, including ordered circuits which are due for installation within the first three months of the desired plan commencement.
The NPP commences on the first day of the calendar month selected by the customer, or the first day of a subsequent month in which the first circuit can be billed under the plan.
During the first three months of the plan, the Customer is not charged the difference if the aggregate revenue applicable towards the minimum monthly revenue commitment is less than the committed amount. The obligation to satisfy the minimum actually commences in the fourth month of the plan, unless a circuit due within the first three months of the plan has not been made available by the Company to the customer. In that case, the minimum will not apply until the circuit is made available.
Terminating a Network Pricing Plan
A customer may terminate a Network Pricing Plan before the end of its committed term without liability, if:
the Customer replaces the existing Network Pricing Plan or Plans with a Network Pricing Plan having a minimum monthly IXC revenue commitment equal to or greater than the total monthly IXC minimum revenue commitment of the customer's existing Plan or Plans and which expires on or after the expiration date of the Plan or Plans being replaced;
a rate revision results in lower plan charges for the Plan to which the customer is committed such that the Customer is caused to fall below the committed minimum monthly IXC revenue level, and the customer replaces the existing Plan by committing to a new Plan having the next lower NPP minimum monthly IXC revenue level and which expires on or after the date of the Plan being replaced. For purposes of applying this provision, the Customer will not be penalized for falling below the minimum under the existing Plan and can receive the new Plan charges from the date the rate revision takes effect, if the customer enters into the new Plan within three months of the rate effective date; or,
Except as specified above, the Customer will be billed and required to pay a termination charge equal to 100 percent of the NPP revenue commitment amount for any unexpired portion of the remaining months in the term plan.
2.2 NPP Discounts: The following discounts are applicable to domestic charges only for monthly recurring IXC charges.
VGPL and DS0
Monthly
Commitment
Level 1 Year 2 Years 3 Years 4 Years 5 Years
$ 500 1% 2% 3% 4% 5%
1000 1 2 3 4 5
2000 2 5 6 8 10
3000 2 5 6 8 10
4000 2 5 6 8 10
5000 3 6 7 9 11
7,000 3 6 7 9 11
10,000 4 7 8 10 12
15,000 4 7 8 10 12
25,000 5 8 9 11 13
50,000 8 11 12 14 16
75,000 7 10 11 13 15
100,000 8 11 12 14 16
200,000 9 12 13 15 17
350,000 10 13 14 16 18
500,000 10 13 14 16 18
750,000 10 13 14 16 18
Fractional DS1 (for Speeds 64 Kbps and below)
Monthly
Commitment
Level 1 Year 2 Years 3 Years 4 Years 5 Years
$ 500 1% 2% 3% 4% 5%
1,000 1 2 3 4 5
2,000 2 5 6 8 10
3,000 2 5 6 8 10
4,000 2 5 6 8 10
5,000 3 6 7 9 11
7,000 3 6 7 9 11
10,000 4 7 8 10 12
15,000 4 7 8 10 12
25,000 5 8 9 11 13
50,000 8 11 12 14 16
75,000 7 10 11 13 15
100,000 8 11 12 14 16
200,000 9 12 13 15 17
350,000 10 13 14 16 18
500,000 10 13 14 16 18
750,000 10 13 14 16 18
Fractional DS1 (for Speeds 112 Kbps up to 1472 Kbps)
Monthly
Commitment
Level 1 Year 2 Years 3 Years 4 Years 5 Years
$ 500 1% 2% 3% 4% 5%
1,000 1 2 3 4 5
2,000 10 16 17 18 19
3,000 10 16 17 18 19
4,000 11 17 18 19 20
5,000 12 18 19 20 21
7,000 15 19 20 21 22
10,000 19 20 21 22 23
15,000 20 21 22 23 24
25,000 21 22 23 24 25
50,000 23 24 25 26 27
75,000 25 26 27 28 29
100,000 26 27 28 29 30
200,000 28 29 30 31 32
350,000 29 30 31 32 33
500,000 30 31 32 33 34
750,000 31 32 33 34 35
DS1
Monthly
Commitment
Level 1 Year 2 Years 3 Years 4 Years 5 Years
$ 1,000 4% 5% 6% 8% 10%
2,000 15 17 19 20 21
3,000 17 19 21 22 23
4,000 19 21 23 25 26
5,000 23 28 32 33 35
7,000 27 32 34 35 36
10,000 34 35 36 37 38
15,000 35 36 37 38 39
25,000 36 37 38 39 40
50,000 38 40 41 42 45
75,000 41 42 43 44 47
100,000 44 45 46 47 49
200,000 47 48 49 50 51
350,000 48 49 50 51 52
500,000 49 50 51 52 53
750,000 50 51 52 54 56
DS3
Monthly
Commitment
Level 1 Year 2 Years 3 Years 4 Years 5 Years
$ 2,000 1% 2% 6% 7% 8%
3,000 1 2 6 7 8
4,000 1 2 6 7 8
5,000 2 7 11 12 14
7,000 2 7 11 12 14
10,000 13 14 15 16 17
15,000 13 14 15 16 17
25,000 15 16 17 18 19
50,000 17 18 19 20 21
75,000 18 19 20 21 22
100,000 19 21 22 23 24
200,000 21 23 24 25 29
350,000 25 27 28 29 33
500,000 32 35 38 42 45
750,000 33 36 39 43 47
SONET
Monthly
Commitment
Level 1 Year 2 Years 3 Years 4 Years 5 Years
$ 25,000 9% 14% 17% 18% 19%
50,000 11 16 19 20 21
75,000 13 18 20 21 22
100,000 15 20 22 23 24
200,000 17 22 24 25 29
350,000 19 24 26 27 31
500,000 29 34 38 42 45
750,000 31 36 39 43 48
Mileage Band (IXC Length)
The airline mileage between two cities can be calculated using the Vertical (V) and Horizontal (H) Coordinates of the serving wire centers associated with the Companys Terminal Locations.
√((V1-V2)2+(H1-H2)2)/10
where V1 and H1 correspond to the V & H coordinates of City 1 and V2 and H2 correspond to the V & H coordinates of City 2.
Example: V H
City 1 ‑ New York 4997 1406
City 2 ‑ Chicago 5986 3426
V1 V2 H1 H2
√((4997-5986)2+(1406-3426)2)/10
√(505852.1)=711.2328
Airline Mileage = 712 miles*
* Result will always be rounded to the next highest mile.