Press Release

September 27, 2004 - New Knoxville Telephone and Wave7 Optics to Connect 1000 Homes and Business with FTTP Optical Broadband Network

Atlanta, GA – September 27, 2004 – Wave7 Optics Inc., the world’s leading supplier of point-to-multipoint Ethernet FTTP (fiber-to-the-premises) systems for residential and business services, and New Knoxville (Ohio) Telephone Company (NKT) today announced a new FTTP network that will connect 1000 residential and business customers in Ft. Loramie, Ohio by mid-2005. Goldstar Communications, LLC and NKTELCO, the CLEC and video service provider business units of NKT, respectively, will deliver the complete “triple play” package of services to Ft. Loramie.

Each residential subscriber will enjoy 200 video channels (and capable of IP digital as well), up to four telephone lines and very high-speed data (Internet) services provided over Wave7’s Last Mile Link (LML) system. Business customers will receive the same services, with the addition of 10/100/1000 Ethernet Base-T and similar “business class” connections.

Construction of the new network began in March of this year. All fiber has now been deployed, as an “overlay” to the existing copper lines infrastructure, and Goldstar and NKTELCO are in the process of connecting customers to the network and installing Wave7’s “Last Mile Gateway” customer premises devices.

“We have evaluated all of the FTTP systems and we feel Wave7’s approach is truly innovative in terms of technical superiority, deployment flexibility, initial capital outlay, scalability and operational costs,” said Preston Meyer, General Manager of NKT. “I am particularly impressed how it operates off of a GigE connection and you can deploy a “Last Mile Core” switching element in the field, anywhere we have a concentration of customers.”

“New Knoxville is yet another example of how service providers are deploying state-of-the-art FTTP networks for prices that compare favorably to other forms of broadband networks,” said Tom Tighe, CEO of Wave7 Optics. “However, the Last Mile Link gives them so much more in terms of network intelligence, quality of service and virtually unlimited capacity for today’s and tomorrow’s services.”

Wave7 Optics is exhibiting the complete LML product line at the FTTH Council Conference next week in Orlando, October 4 – 6, at the Caribe Royale Hotel and Convention Center (booth 706).

About New Knoxville Telephone
In 1905, the New Knoxville Telephone Company was founded to provide the area residents with local telephone service. Privately held by mostly local residents, the New Knoxville Telephone company has continued to grow and serve the communications needs of its customers for the past 95 years. In 1985, the New Knoxville Telephone Company started NKTELCO, Inc., the affiliated cable television company. NKTELCO currently serves New Knoxville, New Bremen, and Minster, Ohio. NKTELCO also offers advanced high-speed dedicated Internet service. GoldStar Communications was started in 2001 to provide telecommunications, video, and data services outside of the current serving areas of New Knoxville Telephone Company and NKTELCO.

For further information, visit NKTELCO's website at www.nktelco.net or GoldStar Communications at www.gldstr.com.

About Wave7 Optics
Wave7 Optics has established itself as an industry leader in optical broadband access systems with an expanding FTTP product portfolio featuring a variety of architectural options, based on Ethernet and IP or ATM standards, for "triple play" voice, video and data services. The company's patented Last Mile Link system is rapidly gaining market share around the world with service providers in the IOC, CLEC, MSO, municipal, real estate development and utility categories.

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

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