DataNet News

DataNet Communications
900 Corporate Blvd.
Newburgh, New York 12550
www.datanet.net
sales@datanet.net
(t) 845.567.6367 (f) 845.567.6377

Newburgh, New York, June 23, 2000 - Hudson Valley DataNet, L.L.C., a competitive telecommunications company (CLEC), was formed in 1999 by a consortium of investors with extensive business, telecommunication and data communication experience, to bring advanced communication technologies to Orange County, and other areas in the region. This privately funded project will offer commercial, educational, and government entities the opportunities to improve their data communications services and reduce costs by utilizing this state-of-the-art fiber network. This network will provide communications capabilities previously unavailable in much of the Hudson Valley.

DataNet's President, John R. Galanti, explained that they are implementing their vision through the construction of an initial 86-mile digital fiber optic network within Orange County. The fiber optic ring roughly follows the paths of interstates I-84, I-87, and Route 17. It joins two of Orange County's major cities (Newburgh and Middletown), and passes through many other communities including the government and education data centers at Goshen. The layout passes most of the County's business and industrial parks. The network design utilizes a closed ring, which provides redundancy and continuation of signal in the event of a break in the fiber loop.

All of DataNet's networks are based upon SONET (Synchronous Optical Networks) technology. This AT&T/Bell Laboratories developed; highly reliable, high-speed networking architecture utilizes single mode glass fibers. To assure network reliability, DataNet is equipping its backbone network with the latest carrier-grade electronic equipment from Cisco Systems. (Cisco is a world-class leader in network management and control systems.) To support broadband network access and egress from multiple customers, DataNet has chosen to use Intelect Communications' hardware for access nodes on its network. (Intelect is a company experienced in manufacturing equipment for large private fiber optic networks such as those in New York's Kennedy and LaGuardia airports.) Pat Coady, Chief Technology Officer reports "Our Company provides bandwidth at speeds ranging from 1Mbps to OC-48 (2.5 Gbps) for point-to-point circuits, multi-point networks, Internet transport and access, and virtual private Wide Area Networks (WANs)".

Hudson Valley DataNet was recently awarded a project, after competitive bids, to build an Orange-Ulster BOCES county-wide fiber optic data network. DataNet's winning bid was based on providing a substantial increase in capacity for the BOCES network, at essentially no increase in cost. This new system will allow BOCES to provide additional services to the schools, such as video conferencing, without having to reconfigure the capacity of the network.

"We have long wanted a fiber optic system throughout the county and are delighted that HV DataNet will bring it to our doors. The healthcare, education and government sectors of our economy will immediately realize the benefits of faster and more integrated inter- and intra-communication", stated Ann Barber, President and CEO of the Orange County Partnership, an economic development organization in Orange County. "Our many businesses in Orange County will quickly learn that fiber optic services can make them more competitive not only locally and nationally - but internationally."

DataNet intends to expand its services throughout the Hudson Valley Region. Infomall Hudson Valley's (a Syracuse University program to develop new technology based business in New York State) Executive Director, Denny Eaton says " ... the services provided by Hudson Valley DataNet are absolutely critical to the success of bringing high technology businesses to New York's Hudson Valley as well as retaining those already here."

HUDSON VALLEY DATANET, LLC

NEWS RELEASE: 0101.

Newburgh, New York, July 27, 2000 - Hudson Valley DataNet, L.L.C., a competitive telecommunications company (CLEC), has accepted a minority equity investment from the well-respected regional ILEC (Incumbent Local Exchange Carrier) and CLEC, Warwick Valley Telephone (WVT).

DataNet's president, John Galanti, stated, "Warwick's investment gives clear support to our strategic focus of providing world-class data communication services to small and mid-size communities. Our business plan is based upon the belief that DataNet can profitably provide affordable, high-speed digital, broadband fiber optic data communication services throughout New York State's Hudson Valley region, and Warwick Valley Telephone¹s investment is a confirmation of this belief. Both of our companies have a vested interest in the economic prosperity of the Hudson Valley region. We understand, that although we will be competitors in certain arenas, as the region prospers so will all communications companies in this region."

Lynn Pike, President of WVT, noted "DataNet's fiber ring around Orange County complements our strategic plans which include expansion of Warwick Online (Internet service) and all of our other services into new areas within the region. Our team, at WVT, conducted an extensive due diligence process and are very confident that we have made an outstanding investment. DataNet is well positioned to be the "carriers' carrier" throughout the Hudson Valley. Their success will allow carriers, like WVT, to offer competitive services in geographic areas where we do not physically reach today. "

Both Hudson Valley DataNet and Warwick Valley Telephone are aware of the unique relationship this investment establishes. WVT is a competitor to, a customer of and now an investor in DataNet. Galanti suggested that while this investment decision is certainly a terrific event for both companies, the true benefactor of this type of activity would be the telecommunications customer in the Hudson Valley. "The Telecommunications Act of 1996 was enacted to open the local telecommunications industry to competition, with the hope that the consumer would benefit. WVT's investment in DataNet goes a long way to ensure our success in bringing vast amounts of bandwidth to the Hudson Valley. Access to that bandwidth can ensure the success of many existing and new businesses, improve technology application in our schools and government, provide a much broader range of health care services on a local basis, and immensely improve home and home-based business internet access", said Galanti.

Pike, the growth-minded president, gave considerable credit to his management team and Board of Directors, for their vision and support of this investment action.

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HUDSON VALLEY DATANET, LLC

NEWS RELEASE: 0102

Contact Information:

DataNet Communications
900 Corporate Blvd.
Newburgh, New York 12550
www.datanet.net
sales@datanet.net
(t) 845.567.6367 (f) 845.567.6377

Fiber optic bandwidth company Hudson Valley DataNet, announces Chief Operating Officer

Newburgh, New York, October 9, 2000 - Hudson Valley DataNet, L.L.C., a competitive telecommunications company (CLEC), announces that Steven R. Nurnberg has accepted the position of Chief Operating Officer with DataNet. Mr. Nurnberg has over 25 years of experience in the telecommunications industry, both nationally and internationally. He held executive positions (President, EVP) in operations (engineering, product development, manufacturing, distribution, billing), sales and marketing, and business development in Fortune 50 and entrepreneurial communications companies. Mr. Nurnberg has held positions with Southwestern Bell, AT&T AMPS, Bell Atlantic Mobile, Superconducting Core Technologies, Inc., and Solectron Corporation.

"DataNet¹s business strategy of providing first tier data communications technology to suburban and rural communities is one that is long overdue", stated Nurnberg. "The opportunities created by the DataNet fiber optic infrastructure for our company, the Hudson Valley and all businesses in the region are simply explosive. This is an exciting and dynamic industry and great time to work in it. I look forward to working with the people at DataNet and within the communities of the Hudson Valley region."

DataNet¹s president, John Galanti expressed his great pleasure with Mr. Nurnberg¹s decision to join DataNet. "Steve and I have worked together in our past corporate lives, and he is simply one of the best operations people in the business." Galanti also noted the tremendous addition Steve will be to the community. "Steve was very active in the Chamber of Commerce and other nonprofit organizations in the communities where he and his family previously resided."

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Hudson Valley DataNet, LLC N

NEWS RELEASE: 0103

Contact Information:

DataNet Communications
900 Corporate Blvd.
Newburgh, New York 12550
www.datanet.net
sales@datanet.net
(t) 845.567.6367 (f) 845.567.6377

Hudson Valley DataNet and Others Honored by Orange County Partnership

Newburgh, New York, December 5, 2001 - Hudson Valley DataNet, LLC and other Orange County Businesses were honored by the Orange County Partnership at their 15 th annual dinner. DataNet was awarded the Spirit Of Innovation Award by Jim Smith, President of Advanced Testing (sponsors of the award) and David Dirks, President & CEO of the Partnership.

The Spirit of Innovation Award is a new award that recognizes a business in Orange County for its innovative processes, products, technology, or service initiatives within its business sector. DataNet was honored with this award for building its high-speed fiber optic network throughout Orange County bringing local high-speed access to the Internet and other broadband applications for schools, government, healthcare, and the commercial sector. David Dirks said of DataNet and other receipt ants, …”these organizations have invested themselves heavily into making Orange County a better place to work and live.”

Accepting this award for DataNet, John Galanti, President, expressed his sincere appreciation for this recognition on behalf of all of the employees of DataNet. Galanti said, “All of our employees have worked very hard to complete the Orange County Network and are very proud of what we have been able to accomplish. Being the first company honored with this award from leaders in our community is very gratifying.”

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Hudson Valley DataNet, LLC N

NEWS RELEASE: 0201

Contact Information:

DataNet Communications
900 Corporate Blvd.
Newburgh, New York 12550
www.datanet.net
sales@datanet.net
(t) 845.567.6367 (f) 845.567.6377

Hudson Valley DataNet Ready for Continued Expansion

Newburgh, New York, March 25, 2002 - Hudson Valley DataNet, LLC, a high-speed, fiber optic, broadband service provider announces the approval of a $27 million dollar loan guarantee made to the company by the U.S. Department of Agriculture's Rural Utilities Service Department.

Congress established a Broadband Loan Pilot Program, in 2000, in an effort to encourage economic development in rural areas throughout the country. After a lengthy and arduous process in early 2001, DataNet qualified for this initial Program. Today's announced loan is a further expansion of the early pilot loan. DataNet will utilize this expanded facility to continue building its high-speed fiber optic network throughout Orange, Ulster and Dutchess counties.

The initial program contained population limits, thereby restricting the areas in which monies from the program could be utilized. Through the efforts of Congressman Maurice Hinchey, an amendment waiving the population restrictions, within a 100-mile radius around NYC, was introduced and passed. The wavier will expand DataNet's ability to implement broadband services to a larger geographic area. “Expanded access to broadband is the most important component of the Hudson Valley's future economic development,” said Hinchey. “In order for that expansion to happen quickly it was necessary to change existing regulations. I am thrilled that I was able to make that change take place and the Hudson Valley DataNet will now be able to implement broadband to all areas.” Although the federal government has been making these types of loans for years, the events of September 11, 2001 brought significant attention to the issues of broadband availability outside the major metropolitan area for both temporary and permanent office space for displaced businesses, as well as future disaster recovery planning.

DataNet's plan, according to its President, John Galanti, is to widen its focus on the commercial sector, especially toward those businesses that require data center back-up and redundancy for the protection of business data, such as financial institutions, healthcare providers, insurance companies, etc. Since its inception, DataNet has built and owns a 400+ mile fiber optic network. The company serves schools, hospitals, government, commercial entities, ISPs and other telephone companies.

Galanti stated, “We are extremely pleased to have worked with the Rural Utility Service and qualified for the loan guarantee. We are very grateful to Congressman Hinchey for his work on the amendment to this program as well as his understanding of the importance of these issues. This loan will allow DataNet to continue to expand, better serve our existing community and provide the resources to allow large NYC companies to remain in New York State while operating in a more data-protected environment.”

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Hudson Valley DataNet, LLC N

NEWS RELEASE: 0202

Contact Information:

DataNet Communications
900 Corporate Blvd.
Newburgh, New York 12550
www.datanet.net
sales@datanet.net
(t) 845.567.6367 (f) 845.567.6377

Hudson Valley DataNet chooses World Wide Packets for its cutting edge Gigabit Ethernet backbone

Newburgh, New York, June 30, 2002 - Hudson Valley DataNet, LLC, a fiber optic broadband service provider, has chosen World Wide Packets (WWP), a Veradale, Washington company, as its primary vendor of choice for its enterprise Ethernet customer solution. DataNet has chosen to implement an Ethernet product solution, in response to prospective customers' desire for a native Ethernet platform that eliminates their current telephony protocol infrastructure. Further, the inherent scalability of Ethernet will allow customers to rapidly implement bandwidth enhancements, with ease.

WWP has pioneered solutions for Ethernet broadband connectivity. WWP's equipment is built for “all fiber optic networks” such as DataNet's network. DataNet believes that utilizing WWP's product line for enterprise Ethernet on DataNet's all-fiber network will provide our customers with solid performance in a cost effective environment. The WWP platform is a family of compatible products. As such, DataNet will be able to match the most cost effective network solution to an individual customer's enterprise need.

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Hudson Valley DataNet, LLC N

NEWS RELEASE: 0301

Contact Information:

DataNet Communications
900 Corporate Blvd.
Newburgh, New York 12550
www.datanet.net
sales@datanet.net
(t) 845.567.6367 (f) 845.567.6377

Hudson Valley DataNet Announces Formation of Affiliated Connecticut Company

Newburgh, New York, January 16, 2003 – The parent company of Hudson Valley DataNet, LLC, a high-speed, fiber optic, broadband service provider, DataNet Communications Group, Inc . announces the formation of a second wholly owned subsidiary company, Connecticut DataNet, LLC . The State of Connecticut approved a Certificate of Public Convenience and Necessity to operate as a facilities-based provider of intrastate telecommunications services in Connecticut.

The DataNet family of companies will continue to focus on bringing high-speed, fiber optic broadband services to second and third tier markets. Don Liedberg, DataNet's Vice President stated, “DataNet started with the idea that businesses, schools, hospitals and government agencies in small to mid-size communities have the same data needs as their counterparts in the large urban centers. The strong and steady growth of Hudson Valley DataNet proved our idea to be correct. Expansion into the small to mid-size communities of Connecticut is a natural progression to our originating concept and business model.”

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Hudson Valley DataNet, LLC N

NEWS RELEASE: 0302

Contact Information:

DataNet Communications
900 Corporate Blvd.
Newburgh, New York 12550
www.datanet.net
sales@datanet.net
(t) 845.567.6367 (f) 845.567.6377

Hudson Valley DataNet Honored with Regional Businesses by O&R Utilities

Pearl River, New York, May 14, 2003 - Hudson Valley DataNet, LLC and seven other Hudson Valley businesses were honored by Orange & Rockland Utilities, Inc.'s Partners at the fifth annual Growth Celebration of Small Business initiative.

Richard M. Struck, O&R's Director – Public Policy & Economic Development, called the businesses represented at the luncheon a "unique blend of entrepreneurial spirit, business savvy and community commitment."

Among the other honorees, DataNet was highlighted for their “Innovation, innovation, innovation.” John Galanti, DataNet's President participated on the Entrepreneurs Panel and accepted the O&R award at the Recognition Luncheon.

O&R's President and Chief Executive Officer John D. McMahon hosted the luncheon. The keynote speaker was Michael Pappas, Regional Director of the U.S. Small Business Administration.

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Hudson Valley DataNet, LLC N

NEWS RELEASE: 0303

Contact Information:

DataNet Communications
900 Corporate Blvd.
Newburgh, New York 12550
www.datanet.net
sales@datanet.net
(t) 845.567.6367 (f) 845.567.6377

Hudson Valley DataNet Deploys CISCO System's Flagship Product

Newburgh, New York, July 1, 2003 - Hudson Valley DataNet, LLC, a fiber optic broadband service provider, is deploying CISCO Systems' flagship 12410 routers in its core network.

The CISCO 12410s will form the core platform of DataNet's fully managed, dedicated Internet solution. With multiple Tier 1 connectivity, coupled with diverse transport and fully redundant routing infrastructure, the DataNet Internet solution can meet the needs of even the most demanding Internet clients.

The CISCO 12410 is one of that company's largest Internet routing platforms. The 12410 has been deployed by some of the largest Tier 1 telecommunications companies in the world. DataNet's network and customer base are of a size and level of sophistication, which require this Class A telecommunication equipment. Robert Bridgham, Director – Network Planning & Engineering, states, “The integration of the 12410 will further enhance DataNet's ability to provide our customers with leading edge technology historically available only to their counterparts in metropolitan areas.”

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Press Releases

HUDSON VALLEY DATANET, LLC

NEWS RELEASE: 0101.

HUDSON VALLEY DATANET, LLC

NEWS RELEASE: 0102

Hudson Valley DataNet chooses World Wide Packets for its cutting edge Gigabit Ethernet backbone