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29.03.2007 17:06:00

GSA Awards Qwest Part of $20 Billion Networx Universal Contract

Qwest Communications International Inc. (NYSE: Q): Qwest becomes a preferred provider of communications services to federal agencies nationwide Customers everywhere to benefit from innovation and efficiencies brought on by Networx Largest communications services contract award ever underscores Qwest’s status as top-tier national carrier The General Services Administration (GSA) today awarded Qwest Communications International Inc. (NYSE: Q) a stake in Networx, the largest communications services contract in the world. Qwest will participate in the U.S. government program that is valued at approximately $20 billion over the next 10 years to provide leading-edge voice, data and video services, including managed and secure advanced data networks, to federal agencies nationwide. Today, Qwest is a leading provider to more than 50 federal government agencies, including the Department of Energy, Department of Defense, Department of Justice and the Department of Treasury. The Networx Universal award enables Qwest to aggressively compete for billions of dollars of additional federal government communication business. "This is a big win for Qwest that complements our progress over the last five years and is a testament to Qwest’s status as a leading, national, tier-one communications provider,” said Qwest Chairman and Chief Executive Officer Richard C. Notebaert. "All Qwest customers across the nation will see benefits. Qwest already is offering to its business customers many of the advanced features that are required in Networx and customers will continue to benefit from Qwest’s investments in broadband technologies to support next-generation applications that are anticipated by GSA.” The Networx program will provide comprehensive, best-of-breed communications and networking services and technical solutions to all federal agencies. It will allow the agencies to focus resources on building a seamless and interoperable operating environment while GSA ensures agency access to the best technology industry has to offer. "Although Qwest is already a leading supplier to the U.S. government, this award enables us to grow our federal business,” said Diana Gowen, senior vice president and general manager of Qwest government services. "It’s also good for government customers because including Qwest in Networx provides federal agencies with more choices, which will enable creative solutions and excellent price performance for the U.S. government and the taxpayers.” "A Networx Universal spot is akin to a 'Good Housekeeping Seal of Approval' for data and voice product portfolios, customer service and national network capabilities," said analyst Mark Winther, vice president of worldwide telecommunications at IDC. "Networx Universal winners secured the endorsement of one of the most discriminating customers in the world, in one of the most complex and thorough communications proposals ever. Networx winners will attract additional business and residential customers that want to work only with the best." In addition to Networx, Qwest recently has received other large awards from the U.S. government. In November, Qwest was the winner of a contract worth up to $100 million from the Defense Information Systems Agency (DISA) to provide bandwidth transmission services for connecting military installations located across the West to the Global Information Grid (GIG) over the next 10 years. And last month, Qwest announced it will be the sole provider of telecommunications services to federal agencies in nine Western states in a contract from the GSA worth at least $10 million. About Qwest Qwest offers a unique and powerful combination of managed 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; and for information about the products and services Qwest is offering in the Networx contract, visit www.gsanetworx.com. Forward-Looking Statement Note 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; potential fluctuations in quarterly results; volatility of our stock price; intense competition in the markets in which we compete including the effects of consolidation in our industry; 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. The information contained in this release is a statement of Qwest’s present intention, belief or expectation and is based upon, among other things, the existing regulatory environment, industry conditions, market conditions and prices, the economy in general and Qwest’s assumptions. Qwest may change its intention, belief or expectation, at any time and without notice, based upon any changes in such factors, in Qwest’s assumptions or otherwise. The cautionary statements contained or referred to in this release should be considered in connection with any subsequent written or oral forward-looking statements that Qwest or persons acting on its behalf may issue. This release may include analysts’ estimates and other information prepared by third parties for which Qwest assumes no responsibility. Qwest undertakes no obligation to review or confirm analysts’ expectations or estimates or to release publicly any revisions to any forward-looking statements and other statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. By including any information in this release, Qwest does not necessarily acknowledge that disclosure of such information is required by applicable law or that the information is material. The Qwest logo is a registered trademark of Qwest Communications International Inc. in the U.S. and certain other countries.

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