People on the Move

Posted: 01/1998

Allied Communications Picks Highland Lakes CBP

AUSTIN, Texas–Eden Prairie, Minn.-based Allied Communications Group recently chose
Highland Lakes Software’s Communications Accounting System to bill its cellular services,
enhanced calling card services and traditional long distance.

Highland Lakes’ convergent billing platform (CBP) software will enable Allied
Communications to further its advancement toward a one-stop-shop for long distance
communications services.

LinkUSA Changes Name

CEDAR RAPIDS, Iowa–LinkUSA has changed its name. Effective Dec. 1, 1997, the company
is known by its new name, Frontier Advanced Service Technologies Inc. The company will be
aligned with Frontier Corp.’s wholesale carrier sales organization.

Name Change for Siemens Stromberg-Carlson

BOCA RATON, Fla.–Siemens Stromberg-Carlson announced the company has changed its name
to Siemens Telecom Networks, effective Nov. 1, 1997.

IXC, PSINet Form Internet Alliance

AUSTIN, Texas–IXC Communications Inc. has agreed to form a long-term alliance with
PSINet Inc., an Internet service provider. The alliance will expand and enhance both
companies’ product and service offerings. IXC will provide PSINet with 10,000
OC-48-equivalent route miles on its nationwide fiber network for a 20-year term in
exchange for 20 percent of PSINet’s common stock. If the value of the PSINet stock is less
than $240 million at one year following delivery of all of such capacity, PSINet will give
IXC cash and/or additional stock to bring the value to $240 million.

Lucent Establishes Technical Training Center

ORLANDO, Fla.–Lucent Technologies announced it will establish a customer training
facility in Florida to operate as a telecommunications network designed to train about
20,000 network managers per year.

"Because seamless, faultless service is what our customers and their end-customers
expect, Lucent is establishing a facility that lets service providers learn many aspects
of managing a network–from initiating and provisioning to maintaining and improving
service–in a network environment," said Angie McGuire, president of regional holding
companies markets for Lucent.

AAC Acquires Lynch, Young & Associates, Vista International

IRVINE, Calif.–AAC Corp. has acquired Lynch, Young & Associates of Newport Beach,
Calif.

"The acquisition of Lynch, Young & Associates represents an important move for
AAC toward augmenting the products and services of our divisions," said Ricardo
Brutocao, president and CEO of AAC.

Lynch, Young & Associates is an alliance-based firm, which offers services such as
needs assessment, strategic and tactical planning, systems and network design and
technical specifications development.

TCG to Acquire ACC

New York — Teleport Communica-tions Group Inc. (TCG) announced it has reached an
agreement to acquire ACC Corp., an international telecommunications holding company, in a
stock-for-stock merger. The total value of the transaction would be about $1 billion.

"TCG’s existing infrastructure, financial strength and commitment to growth
combined with ACC’s international assets and strengths in sales and marketing make for a
very compelling strategic business combination," said David Laniak, chair and CEO of
ACC.

Preferred Carrier Services Sold to Phones for All

HURST, Texas–Preferred Carrier Services Inc. (PCS) announced that it has been sold to
Phones for All, LLC, a Delaware corporation. The exact terms of the sale have not been
disclosed, but the price was confirmed in excess of $1 million, with future stock options
and minimum guarantee payments.

PCS currently has authority to operate as an interexchange long distance company and
local authority, and will transfer all of its activities to Turn 4 Communications Inc.

Phoenix Terminates Merger, MIDCOM Files Chapter 11

GOLDEN, Colo.–Phoenix Network Inc. recently provided notice to MIDCOM Communications
Inc. that it intended to terminate the planned merger between the two companies.
"Material adverse changes" in MIDCOM’s business were blamed for the change of
mind.

In related news, MIDCOM Communications released information that it filed for
protection under Chapter 11 in U.S. Bankruptcy Court for the Eastern District of Michigan.
The company will pursue strategic alternatives including mergers, partnerships or a sale
of the company. In a response to the need for more efficient operations, MIDCOM will lay
off 170 of its employees.

Nortel, GTE Sign Sales Agent Agreement

DALLAS–Nortel has signed a two-year sales agency agreement with GTE for Nortel’s
Millennium family of products.

"GTE has deployed more than 10,000 Nortel Millennium phones throughout the United
States including Hawaii," said Craig Stephens, vice president and general manager of
GTE Public Communications. The Millennium phone’s "high quality, modern look and
advanced features are a valuable addition to GTE’s public communications business."

With this agreement, GTE now offers Nortel’s entire portfolio of Millennium products,
along with full-service support.

Frontier Energizes WEPCO

ROCHESTER, N.Y.–Wheeled Electric Power Company (WEPCO), a New York-based gas and
electric supplier, inked a deal to resale Frontier long distance service to its gas and
electric customers in Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania,
Rhode Island and Vermont. The energy company will market and sell the service as WEPCO
Long Distance by Frontier, while Frontier will handle billing and back-office.

"For customers, this is a tremendous opportunity," said John O’Brien, WEPCO’s
president and CEO. "Customers subscribing to the service may qualify for significant
discounts depending on their monthly phone usage."

The power industry as a distribution channel is coveted by a number of large
interexchange carriers because energy companies can cross-sell and upsell non-energy
services to customer bases they already control. And Frontier plans to be a factor.
"This is the first of a number of partnerships we’ll be announcing over the next
several months," said Randal Simonetti, Frontier’s vice president of communications.

Though much smaller–WEPCO currently serves about 3,000 customers–the deal has the
same modus operandi as Frontier’s agreement with Cox Cable, which markets Cox Long
Distance by Frontier to its subscribers.

"It can make a lot of sense to borrow the brand of an established company when
rolling out a new service," said Judy Reed Smith, president of Boston-based
ATLANTIC*ACM, a telecommunications research firm and consultancy. "We did some
research with Polaroid, which enjoys one of the top five brand names worldwide. Yet, if it
wasn’t instant photography, Polaroid’s name was not respected enough to draw any buying
power. I suspect this factored into the co-branding scenario with WEBCO and COX, and I
think we’ll see more co-branding as companies continue to add new products to their
service menus."

A pilot already has been completed and WEPCO will begin selling long distance service
immediately.

Intellicall Provides Billing Services to Teleport

DALLAS–Intellicall Inc. has signed a contract to provide billing services for
third-party and calling card calls for payphones owned and operated by Teleport
Communications Group and serving the Port Authority of New York and New Jersey facilities.
Facilities served include major metropolitan airports as well as the Port Authority Bus
Terminal and the World Trade Center.

USA Telecorp Extends Service Offerings

POMPANO BEACH, Fla.–USA Telecorp recently announced it will be adding bundled services
to its current nationwide 1+ offerings.

According to USA Telecorp’s President Jeffrey Ullman, the company is forming an
extended agent distributor program to market its services for international callback,
prepaid calling cards, prepaid debit cards, prepaid cellular and more. During the past six
months, USA Telecorp has been strategically building its systems to make the long distance
upstart a full-service telecommunications company.

LDM, UDSi Join Forces

NEW YORK–LDM Systems, a telecommunications services reseller, has signed an agreement
with Universal Directory Services Inc. (UDSi). LDM will use UDSi’s offering of directory
assistance for toll-free numbers.

"A major part of our success has been the elevated level of customer service
provided by LDM," said Stephen Steiner, vice president of LDM. "UDSi finally
provides an alternative to a directory assistance previously dominated and limited by
AT&T. The ability to offer our 800/888 customers a listing on UDSi’s (800) 555-1414
service will allow our smaller customers, who were unable to be listed with AT&T in
the past, an economical solution and certainly afford our larger clients the opportunity
to dramatically cut their cost of listings."