Altrio Communications Closes $65 Million Credit Facility.

Business Editors

LOS ANGELES--(BUSINESS WIRE)--Jan. 29, 2002

Altrio Communications(TM), Inc. today announced it has closed a $65 million senior secured facility, which consists of a $55 million term loan and a $10 million revolving loan. Three lenders committed to the loan: BNP Paribas as issuing bank and administrative agent; CIT Lending Services Corporation as document agent; and Royal Bank of Canada as syndication agent. Proceeds of the transaction will be used to continue the expansion of Altrio's home communications network in additional Los Angeles area neighborhoods during the company's first phase of operations.

"Altrio's mission is to provide the highest quality voice, video and high-speed data services available in the greater Los Angeles markets. As we continue to expand our operations, our commitment to excellence has never been more important," said Altrio Chief Executive Officer David Rozzelle. "This transaction moves us closer to our goal by enabling us to expand into additional neighborhoods, and also by bolstering the confidence that local franchise authorities have in our commitment to Los Angeles and our long-term staying power."

To date, Altrio has raised $180 million, including its initial round of equity which was led by Frontenac Company and Bessemer Holdings. Other institutional investors included Soros Private Equity Partners, SSB Capital Partners (the private equity investment fund affiliate of Salomon Smith Barney), Royal Bank Capital Partners (the private equity arm of Royal Bank Financial Group), and Grove Street Advisors (whose largest limited partner is CalPERS). With the addition of the $65 million debt round, Altrio now has all the financial resources needed to meet the existing needs of its franchises and to complete phase one of its rollout plan.

About Altrio Communications

Founded in 2000, Altrio Communications is a home communications provider focusing exclusively on Southern California markets. The company continues to expand its fiber optic communications network in the greater Los Angeles metropolitan area, which provides bundled high-speed Internet access, telephone service, and television and video services primarily to residential customers. The state-of-the-art network supports the highest levels of reliability found on any broadband network, helped in part by a variety of redundant systems. Franchises have already been awarded in Arcadia, Monrovia and Pasadena, representing an opportunity to convert more than 84,200 households. Altrio's founders, including David Rozzelle, chief executive officer; Ted Liebst, chief financial officer; and Dave Large, chief technology officer, were formerly the principals of Media Connections Group and also former executives with InterMedia Partners. Together, they bring a combined 75 years of experience in the cable television industry.