Calix Powers Filer Mutual Video Over Copper Services; Idaho-Based IOC First in State to Offer Multi-Stream IP Video Over DSL to Residential Subscribers.

PETALUMA, Calif. -- Calix today announced that Filer Mutual Telephone Company (www.filertel.com) has become the first operating company in the state of Idaho to offer multi-stream, IP-based switched video services over ADSL2+ to residential subscribers. Filer Mutual is also the first service provider to make use of a video feed from regional headend operator, Project Mutual Telephone (www.pmt.org). With the capacity and flexibility advantages inherent to the Calix C7 ultra-broadband loop carrier (UBLC), Filer Mutual has delivered video services to its residential subscribers well ahead of other operating companies -- in fact, Filer Mutual was able to turn up video services less than one month after ordering the Calix IP resource card (IRC).

"The Calix C7 made it extremely simple for us to get into the video business," stated Jim Gunn, central office manager for Filer Mutual, based in south central Idaho with customers in Nevada as well. "We've been in the telecommunications business for over 95 years; in just 30 days we became a full-service video company offering multi-stream video to our residential customers simply by adding a single IRC to our network of Calix C7s. In addition to offering 2-3 video streams per household, we are now in a position to offer HDTV over our existing copper access lines."

Like many ILECs around the United States, Filer Mutual is benefiting from the convergence of a standards-based approach to IP video, the improved rate and reach characteristics of ADSL2+, and the enormous capacity and flexibility of the Calix C7 UBLC. With this combination, Filer Mutual can now quickly roll out switched video services, including HDTV, over existing copper plant.

"Filer Mutual now has a powerful competitive advantage over cable companies when it comes to better serving their residential customers," said Colt Lawton, vice president of regional IOC sales for Calix. "In addition to telephony and cable-killing tiered Internet services, Filer is now offering broadcast video and is positioned to roll out HDTV, video-on-demand and other interactive services."

With the Calix C7 platform, Filer Mutual can now offer 150 channels of broadcast video entertainment, video-on-demand (VOD), and TV-based Web and email services to all of its residential subscribers from both the central office and remote terminal. Filer Mutual also benefited from the CalixCompatible Solutions Assurance Program by selecting video encoders and middleware from Minerva Networks (www.minervanetworks.com), VOD servers from Kasenna (www.kasenna.com) and IP set-top boxes from Amino (www.amino.com), which had been proven interoperable with the Calix C7 platform.

About Calix

Calix is a leading supplier of telecommunications solutions designed to simplify all aspects of voice, data and video service delivery to business and residential subscribers for local exchange carriers of all sizes. Providing extensive optical and metallic density, unprecedented access capacity and functional headroom, advanced management and provisioning capabilities, and broad service flexibility, the packet-based Calix C7 platform has been deployed in over 125 service provider networks throughout North America. More information about Calix can be found at www.calix.com.

This press release contains forward-looking statements that are based upon management's current expectations and are subject to risks and uncertainties. Forward-looking statements are based upon information available to us as of the date of this press release and we assume no obligation to revise or update any such forward looking statement to reflect any event or circumstance after the date of this release. Actual results and the timing of events could differ materially from current expectations.