Coalition To Keep America Connected.

Arlington, Va., October 6, 2005 -- Uniting in an effort to provide policymakers and the public with comprehensive information about the vital role community-based telecom providers play in keeping rural America connected to the world, four rural telecom organizations announced today the formation of the Coalition to Keep America Connected. The purpose of the coalition is to ensure that all communities and consumers are given equitable access to affordable emerging telecommunications services and the latest technologies-no matter where they live.

Founding members of the Coalition to Keep America Connected include four national trade associations representing small and midsized independent telcos: The Independent Telephone & Telecommunications Alliance (ITTA), the National Telecommunications Cooperative Association (NTCA), the Organization for the Promotion and Advancement of Small Telecommunications Companies (OPASTCO) and the Western Telecommunications Alliance (WTA). Together the associations represent more than 700 telecommunications providers serving millions of consumers and 40% of the landmass across America.

During a press conference today, members of the Coalition to Keep America Connected - including general managers and chief executive officers of four telecommunications providers - provided insight on the potential effect of changes in telecommunications policy on the consumer's ability to access affordable, modern telecommunications services and technologies.

Eliminating or drastically altering support from the $6.5 billion Universal Service Fund (USF) would negatively impact millions of consumers and communities throughout the country. The average annual phone bill of an American living in a rural community would increase by $123. Two billion dollars of the portion of the fund that helps connect schools and libraries to the Internet could also be threatened by a change in USF, as could an additional $43 million in rural health care support.

"The Coalition to Keep America Connected was created to serve as the collective voice for rural telecommunications consumers, who may be negatively impacted as Congress takes up legislation rewriting the Communications Act," said Randy W. Houdek, general manager of Venture Communications (Highmore, S.D.). "The nation's Universal Service principles are one of the most effective initiatives ever enacted by Congress. USF has been validated as a successful business model by the national telephone penetration rate of 94%."

"The stakes in telecommunications reform are high, especially for consumers. Certain proposed policy changes would result in dramatic increases in the prices consumers across America pay for telecommunications services and the latest technologies," said Mike Urdahl, director of government affairs, Great Plains Communications (Blair, Neb.). "But the impact would spread beyond consumers' monthly bills and into America's classrooms that depend on these programs to keep our kids connected to the world and telemedicine centers that provide access to health care for those who live in remote communities."

"Right now, there is no digital divide in rural America; rural telephone companies have stepped in to ensure that their communities are served," said Robert Williams, president of Oregon Farmers Mutual Telephone Company (Oregon, Mo.). "Many rural telecommunications companies provide the only broadband network connection to rural consumers. New services, such as voice over Internet protocol, can't reach rural consumers without riding a rural broadband network."

"By nearly a 3-to-1 margin Americans overwhelmingly support the Universal Service Fund and Congress' continued commitment to keep all Americans connected," said Gene Johnson, chairman and chief executive officer, FairPoint Communications (Charlotte, N.C.). "Our national poll results convincingly show that Americans want to keep USF in place. This impressive support speaks volumes for the positive things that the USF program has done and all that it can continue to do to keep Americans connected."

Additional information about the Coalition to Keep America Connected may be found at www.keepamericaconnected.org.

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The Coalition to Keep America Connected is dedicated to ensuring that all consumers have access to affordable telecommunications services and the latest technologies-no matter where they live. The effort is organized by four rural telecom associations, whose memberships include 700 small and midsize communications companies. Together these companies serve millions of consumers and 40% of the landmass across America. Visit us at www.keepamericaconnected.org.