CenturyTel

2. CenturyTel From modest beginnings as a small telephone exchange in Oak Ridge, Louisiana, serving fewer than 100 customers. CenturyTel has grown to become one of the leading providers of integrated communications services for homes and businesses.

3. Stock Information • Publicly traded on the new York stock exchange under the symbol CTL. • In 1999, CenturyTel was added to the S&P 500 index.

4. CenturyTel Overview • Focus on rural, suburban & smaller city markets • $5B market capitalization • $1.7B in operating revenue • 8th largest local exchange • 8th largest cellular company • 3 million customers • 21 states

5. CenturyTel offers: • Local • Wireless • Long Distance • Internet Services • High Speed Access – Local and Regional

6. CenturyTel Properties 2000

7. CenturyTel’s Growth Strategies • Continue strong internal revenue and customer growth in core businesses • Leverage customer base by bundling additional services • Utilize core competencies and network infrastructure to cultivate new revenue streams • Pursue acquisitions to expand market clusters - consolidator of rural telephony

8. Why LMDS ? • Opportunity to expand existing wireline & wireless market clusters • Opportunity to complement wireline and wireless markets with broadband wireless services • Technology to provide “fiber-like” broadband services • Technology to provide bundled services

9. CenturyTel LMDS BTAs k LMDS A-Block LMDS B-Block

10. LMDS and Fiber Overlay

11. LMDS Market Statistics • Market population comprised of 55% urban and 45% rural • Estimated number of businesses covered over 144,000 • 94% have less than 50 employees • Estimated voice & data services market for businesses = $2.0 billion

12. Key Market Trends • Rapidly expanding high speed internet access • Businesses want to minimize their communication suppliers • Expanding IP telephony • Aggressive competition for local access • Inability of the local exchange companies (RBOCs) to deliver timely service

13. LMDS Strategy • Leverage existing infrastructure • Offer value added services • Voice and Data • LAN to LAN, VPN, High Speed Internet, etc. • Complement existing services • Fiber networks • Cellular/PCS/Internet backhaul

14. LMDS Strategy • Utilize both point-to-point and point-to-multipoint technologies • Targeted hub build-outs • Concentrated business areas • Utilize existing cellular sites • Obtain roof right options • Build with our customers

15. LMDS Equipment Selection • Cost performance • Frequency division – FDMA • Time division – TDMA • Backhaul requirements • Service capabilities • DS-1, DS-3 &OC-X • 10/100BaseT • QOS capable • Ease of deployment • Manufacturing capabilities • Supplier reputation

16. Why Ericsson? • System architecture • Cross hub traffic management • Radio link • ATM • TDMA • QOS capable • Equipment “look and feel” • Cost • Industry reputation

17. LMDS Status • Licenses obtained • Vendor equipment selection complete • Point-to-point system • Point-to-multipoint • One market in service • Additional markets being planned • Finding customers

18. Challenges • Roof rights - $s • Competition • UNEs with Collocation • Other CLEC facilities • Utilization per site • Additional applications • 10/100BaseT

19. Our Opportunity! CenturyTel Shreveport, Louisiana, USA

20. Web: www.centurytel.com Phone: (318) 388-9765 Fax: (318) 340-5353 Email: doug.bieniek@centurytel.com Contact: Doug Bieniek Vice President – Application Development