Berger & Montague, P.C. Files Class Action Lawsuit Against CapRock Communications Corporation.

Business Editors/Legal Writers

PHILADELPHIA--(BUSINESS WIRE)--Sept. 8, 2000

The law firm of Berger & Montague, P.C. (http://home.bm.net), filed a class action on August 31, 2000 in the United States District Court for the Northern District of Texas, Dallas Division, Civil Action No. 3-00CVI920-R on behalf of all persons or entities who purchased CapRock Communications Corporation (Nasdaq: CPRK - news) common stock during the period April 28, 2000 through and including July 6, 2000, including those who purchased shares in CapRock's June 16, 2000 Secondary Offering.

The complaint charges that the Company and certain of its officers and directors violated the federal securities laws by providing materially false and misleading statements about the Company's revenues. Specifically, the complaint alleges that defendants' false and misleading statements concerning the revenues to be derived from its dark fiber segment, artificially inflated the price of CapRock stock. CapRock's top officers knew but concealed that much of its projected in second quarter 2000 revenues was to be derived from a contract which, despite months of efforts, CapRock had been unable to have signed. The upsurge in CapRock's stock price caused by defendants' false and misleading statements allowed CapRock to sell 4.5 million shares of CapRock stock for proceeds of $83 million and enabled defendants to infuse CapRock with desperately-needed capital to fund its operations. On July 6, 2000, days after CapRock's Secondary Offering was completed, CapRock revealed that it was in fact suffering a huge drop in revenues, that its losses would be much greater than defendants had stated in the prior weeks, and exposed the problems CapRock had been experiencing during the Class Period with its dark fiber business. This announcement caused its stock price to drop to as low as $12 from its Class Period high of $36 on record volume of over 4 million shares on July 6, 2000, causing tens of millions of dollars in damages to members of the Class.

If you purchased CapRock Communications Corporation common stock during the period of April 28, 2000 through and including July 6, 2000 you may, not later than September 25, 2000, move to be appointed lead plaintiff. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery, is not, however, affected by the decision whether or not to serve as a lead plaintiff.

The law firm of Berger & Montague, P.C. has over 50 attorneys, all of whom represent plaintiffs in complex litigation. The Berger firm has extensive experience representing plaintiffs in class action securities litigation and has played lead roles in major cases over the past 25 years which have resulted in recoveries in excess of two billion dollars to investors. The firm is currently representing investors as lead counsel in actions against Waste Management, Inc., Sunbeam, Alcatel, Boston Chicken and IKON Office Solutions, Inc. The standing of Berger & Montague, P.C. in successfully conducting major securities and antitrust litigation has been recognized by numerous courts. For example:

"Class counsel did a remarkable job in representing the class interests." In Re: IKON Offices Solutions Securities Litigation. Civil Action No. 98-4286(E.D.Pa.) (partial settlement for $111 million approved May, 2000).

"...(Y)ou have acted the way lawyers at their best ought to act. And I have had a lot of cases ... in 15 years now as a judge and I cannot recall a significant case where I felt people were better represented than they are here... I would say this has been the best representation that I have seen." In Re: Waste Management, Inc. Securities Litigation, Civil Action No. 97-C 7709 (N.D. Ill.) (settled in 1999 for $220 million).

If you purchased CapRock Communications Corporation common stock, or have any questions concerning this notice or your rights with respect to this matter, you may contact:

Sherrie R. Savett, Esquire

Arthur Stock, Esquire

Kimberly A. Walker, Investor Relations Manager

Berger & Montague, P.C.

1622 Locust Street

Philadelphia, PA 19103

Phone: [phone] or 215-875-3000

Fax: [phone]

Website: http://home.bm.net

E-Mail : [e-mail]