CTC Communications Announces Verizon Strike Will Not Materially Impact Revenue and Access line Growth.

Business/Technology Editors

WALTHAM, Mass--(BUSINESS WIRE)--Aug. 10, 2000

New Customer Acquisition Order Processing Continues with Minimum

Delays

CTC Communications Group Inc. (NASDAQ NM: CPTL)--a rapidly growing next generation communications provider today announced that the Verizon strike should not materially slow its revenue and access line growth for the September Quarter.

"The impact of the Verizon strike on CTC's Revenue and access line growth for the September Quarter should be minimal", stated Steve Milton, CTC's President and COO. "The Companies primary growth engine is converting existing Verizon customers to CTC customers and this process is continuing with relatively minor delays. CTC is not dependent on new installation orders to acquire new customers and grow its revenue base. CTC's new installation order activity is primarily associated with incremental growth lines for CTC's existing customers and migrating CTC's existing customers to the ICN network. Due to the Verizon strike we are at a standstill in these two areas, but this does not materially impact our ability to grow revenue and access lines this quarter".

CTC acquires new customers and access lines from Verizon by placing orders through an electronic bonding arrangement that requires minimal manual intervention. Approximately 65% of these orders are being processed without delay and are being completed in the normal "pre-strike" interval. The remaining 35% are experiencing delays due to limited Verizon resources, but continue to be processed to completion.

CTC orders that are not being process by Verizon because of the strike are "new installation" orders. CTC issues new installation orders for two types of activity; additional lines for existing customers and, T1/T3 facilities used to migrate existing CTC customers from the Verizon network to CTC's Integrated Communications Network (ICN). New Installation orders placed by CTC, and all other CLECs, are being placed in backlog by Verizon and will not be addressed until the strike is over.

Milton continued, "Although our top line growth will continue, our ability to migrate customers to the ICN network and realize on-net margins is substantially impacted by the strike. CTC sales of the ICN network continue, but Verizon provisioning is at a standstill. We are in hopes that Verizon and the Unions will settle this strike quickly and that the backlog of new installation orders is rapidly addressed".

About CTC Communications

CTC is a rapidly growing, next generation communications provider with packet technology that allows it to converge customer's long distance voice, data, Internet and video services on a single broadband access facility and process those converged services over a single packet-based network. Today, the Company serves medium and larger business customers from Virginia to Maine, which includes the most robust telecommunications region in the world--the Washington D.C. to Boston corridor. As of 6/30/00, CTC was serving more than 13,000 customers with over 361,000 access lines.

The Company's Cisco Powered IP+ATM packet network, its 36 branch sales offices and its 450 member sales and service teams, provide contiguous market coverage in the New England and Mid-Atlantic States. The Company, through its dedicated commitment to exceptional customer service has achieved an industry-leading market share in the northeast and an industry-leading line retention rate in excess of 99 percent. More on CTC can be found on the worldwide web at www.ctcnet.com

The statements in this press release that relate to future plans, events or performance are forward-looking statements that involve risk and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements including ICN network growth, the provision of local access lines, and the future of next generation communications services. . Readers are, accordingly, cautioned not to place undue reliance on these forward-looking statements, including anticipated ICN Network capabilities, which speak only as to the date hereof. Additional information about these risks and uncertainties is set forth in the Company's most recent report on Form 10-K. CTC undertakes no obligation to release publicly the results of any revisions to these forward-looking statements that may be made to reflect results, events or circumstances after the date hereof.