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Press Release

March 15, 2004 - Wave7 Optics Selected for New Fiber-to-the-Home Network in Crawfordsville, Indiana

Crawfordsville Electric Light & Power (CEL&P) to Pass 9500
Homes and Businesses by 2Q 2005

Atlanta, GA – March 15, 2004 – Crawfordsville Electric Light & Power today announced that Wave7 Optics has won the network equipment bid for their new optical broadband (fiber-to-the-home) network, which has an estimated cost of $18M and is slated to begin service in 3Q 2004. CEL&P is connecting homes off an existing “backbone” fiber route installed for intramural and governmental communications.

“We began putting the plans together three years ago to offer advanced communication services to Crawfordsville because this project will help Crawfordsville compete nationally in terms of economic development, will improve the reliability and availability of communication services and give the residents of the area a choice of service providers,” said Roy E. Kaser, Manager of CEL&P.

Wave7 Optics will provide the Last Mile Core™ switching and transport system for installation in head-end and central office type facilities and in the field, the Last Mile Gateway™ for premises installations and the Last Mile Sentinel™ for network monitoring and quality assurance purposes. This will be a new network installation to deliver competitive services for high-speed Internet access (in excess of 512 Kbps) and will be one of the first in the U.S. to offer “IPTV” (Internet Protocol television).

IPTV is an innovative way of converting video and audio signals into packets and transmitting them over the IP network to subscribers. IPTV allows an unlimited number of channels to be offered when used with Wave7 Optics high-speed symmetrical network and creates a high-speed back channel, which opens the way for exciting interactive services, such as video-on-demand, interactive games and pay-per-view services.

“Our Last Mile Link system can provide IPTV services on a multicast or unicast basis to minimize resource utilization,” said Tom Tighe, CEO of Wave7 Optics. “Furthermore, remote provisioning and programming capabilities ensure that a customer’s set-top box is always up-to-date with the most recent software and program guide.”

“We evaluated several manufacturers based on many elements including but not limited to: quality of workforce, financial condition, project experience and technical merit. Given CEL&P’s desires to maximize benefit to the community while minimizing the total cost of ownership, Wave7 put together a technically superior and cost-effective package," said Scott Bowles, President of Spectrum Engineering, a professional services firm assisting CEL&P with equipment, construction and financing bids and project management for this project.


About Crawfordsville Electric Light & Power
Crawfordsville Electric Light & Power (CEL&P) is a community-owned electric utility serving approximately 9,500 residential, commercial and industrial customers in Crawfordsville, Ind. and the surrounding area. Crawfordsville is located 48 miles west of Indianapolis on Interstate 74 in West Central, Ind. As the oldest municipal electric utility in Indiana, CEL&P has often been a pioneer in serving its customers and has consistently provided extremely reliable electric service and very affordable rates since 1890. The utility continually receives high ratings in customer satisfaction and has been a catalyst for local economic development. The Fiber-to-the-Home (FTTH) network operates as a division of CEL&P and will provide the utility and the community a competitive advantage for attracting and retaining businesses as well as the highly skilled workforce needed in the information age. For more information, please visit their Web site at www.celp.com.


About Spectrum Engineering Corporation
Spectrum Engineering Corporation is in its 25th year of providing professional engineering services for municipal electric companies. These services include strategic planning, engineering studies, engineering design for transmission, distribution and substation, project and construction management, testing and commissioning.

Spectrum’s purpose is to provide service, which yields the greatest benefit to its clients and their customers, at the most economical cost. They are dedicated to quality and regularly apply their research, analytical, design, construction management, testing and commissioning skills to build long-term win/win client partnerships and a work environment that values employee innovation, teamwork and pride. Spectrum is committed to proving their reputation as a knowledgeable, dependable, resourceful partner in helping their clients to achieve their goals. For more information, please visit their Web site at www.spectrumeng.com


About Wave7 Optics
Wave7 Optics, Inc. is a market leader in the fiber-to-the-home and -business (FTTX) optical access market. The company's Last Mile LinkŪ optical access system effectively overcomes the cost and implementation barriers that have to date stymied the deployment of FTTX systems.

Wave7 Optics has pioneered the first intelligent PON (passive optical network) system, which is effectively a generation ahead of comparable PON technologies in both cost and capability. For instance, the “OLT” (optical line terminal) equivalent can be deployed either in the field or central office and the Last Mile Link uses lower cost IP- (Internet Protocol) and Ethernet-standards based components to provide a "triple play" of voice, video and very high-speed data services to residential, business and multi-tenant or multi-dwelling building customers. The Last Mile Link offers service providers a particular advantage with regards to video in that it is the only platform that supports upstream RF return signals and readily accommodates HDTV.

The company was named a "Hot Start Up" company for 2003 by two of the world's leading trade journals -- America's Network and Telecommunications.

For more information please contact emmanuel.vella@w7optics.com.

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