'Network Edge': Legg Mason Equity Research Releases Study of the Competitive Communications Sector.

Business Editors

BALTIMORE--(BUSINESS WIRE)--Aug. 4, 2000

Legg Mason Wood Walker, Incorporated has released a new study that details emerging trends in the competitive communications sector.

"Network Edge," a report by analyst Daniel Ernst of Legg Mason's Telecommunications Equity Research Group, focuses on the development of broadband services and the positioning of competitive carriers within that space.

Mr. Ernst explained, "We chose the term `network edge' because it holds a double meaning: one referring to the cutting-edge nature of these providers' services and technology, and the second referring to the physical location of these carriers in the network architecture -- on the edge. This technological and physical edge provides these companies with a significant competitive advantage in the market for communications and Internet services. We believe that edge networks provide a highly attractive investment vehicle within the Internet space, riding much of the same growth curve, with a higher degree of stability."

"As a whole, the competitive communications group is benefiting from several trends, including:

-- Accelerating demand for broadband services;

-- Advancements in technology; and

-- Stabilization of the regulatory environment.

"While the group has traded closely historically, we feel that investors increasingly will take a more critical and more systematic approach to the space -- yielding wider spreads in returns," Mr. Ernst said.

"We believe that investors will continue to reward companies with deep management teams, strong execution, and the ability to attract capital. Additionally, we feel that investors should give credit to those providers with well-positioned and well-utilized broadband edge network assets, offering a differentiated set of services or a unique approach," Mr. Ernst continued.

The report includes recommendation summaries of six companies currently under coverage by Legg Mason Wood Walker, Incorporated:

Covad Communications Group, Inc. (NASDAQ - COVD(a) $16 1/16), based in San Jose, California, with Buy/Speculative Risk ratings on the shares;

CTC Communications Group, Inc. (NASDAQ - CPTL(a) $23), based in Waltham, Massachusetts, with Strong Buy/Speculative Risk ratings on the shares;

Network Access Solutions Corp. (NASDAQ - NASC(a) $8 29/32), based in Sterling, Virginia, with Buy/Speculative Risk ratings on the shares;

Net2000 Communications, Inc. (NASDAQ - NTKK(a)(b) $8 15/16), based in Herndon, Virginia, with Strong Buy/Speculative Risk ratings on the shares;

NEXTLINK Communications, Inc. (NASDAQ - NXLK(a) $35 1/8), based in McLean, Virginia, with Strong Buy/Above-Average Risk ratings on the shares; and

Winstar Communications, Inc. (NASDAQ - WCII* $32 7/8), based in New York, New York, with Strong Buy/Speculative Risk ratings on the shares.

The full report provides in-depth descriptions and statistical analyses of the companies in addition to a discussion of the rationale for, and risks of, investing in these companies' stocks.

Additional Information Available Upon Request. The information contained herein is based on sources believed to be reliable, but we do not guarantee its completeness or accuracy. This release is for information purposes only and is not intended to be an offer to buy or sell the securities referred to herein.

Opinions expressed are subject to change without notice, and past performance is not indicative of future results. From time to time, Legg Mason Wood Walker, Incorporated and/or its employees, including the analysts who have commented herein, may have a position in the securities mentioned.

In this particular instance, the analyst commenting herein has a position in the securities of Network Access Solutions Corp. and NEXTLINK Communications, Inc.

Legg Mason Wood Walker, Incorporated, a member of the New York Stock Exchange and a member SIPC, is the principal securities brokerage subsidiary of Legg Mason, Inc. (NYSE-LM), with approximately 1,300 Financial Advisors in 142 offices along the East Coast from Maine to Florida and across the South to Texas, including affiliate institutional offices in San Francisco, Chicago, London and Geneva. Legg Mason, Inc. is a financial services holding company that provides investment advisory, securities brokerage, investment banking and related financial services through its wholly owned subsidiaries.

(a) Legg Mason Wood Walker, Incorporated makes a market in this security.

(b) Within the last three years, Legg Mason Wood Walker, Incorporated has managed or comanaged an underwriting of this company. NEXTLINK Communications, Inc. is a Legg Mason Select List core holding. Winstar Communications, Inc. is a Legg Mason Select List compelling idea.

Prices are as of the market's close on August 3, 2000.