Covad Channel Partner CICAT Networks Signs National Broadband Deal With Pacific Sunwear.

SAN JOSE, Calif. -- Covad Communications Group, Inc. (AMEX:DVW), a leading national provider of integrated voice and data communications, has been selected to be the primary provider of national broadband access to Pacific Sunwear, a leading specialty retailer of casual apparel, accessories and footwear for teens and young adults with over 1000 locations across the US. The deal was concluded through the efforts of CICAT Networks, a Virginia-based telecommunications service provider to enterprises, and Covad's largest broadband channel partner.

"Covad is pleased to join with CICAT in providing service to Pacific Sunwear," said Patrick Blair, Covad executive director of sales. "Our longstanding relationship with CICAT provides Covad the opportunity to expand our reach and better serve our customers in the distributed enterprise market."

Pacific Sunwear has deployed Covad DSL solutions in over 60 percent of its locations that have broadband access, and is planning on adding an additional 300 locations. The company is migrating its sites onto broadband access to take advantage of that technology's faster data speeds and capacity to run new applications. CICAT Networks continues to manage Pacific Sunwear's multi-site broadband rollout.

"Covad and CICAT are proven leaders in this space, because we put the customer first," said Brad Wise, CICAT's president and CEO. "Covad's national network and portfolio of business-class voice and data solutions, combined with CICAT's professional and technical expertise, enables our customers to focus on increasing revenue and improving productivity while we manage a complex national broadband rollout."

The partnership between Covad and CICAT has also resulted in broadband service deployments to companies such as The Children's Place, Strasburg-Jarvis, and AutoZone.

About Covad

Covad is a leading nationwide provider of integrated voice and data communications. The company offers DSL, Voice Over IP, T1, Web hosting, managed security, IP and dial-up, and bundled voice and data services directly through Covad's network and through Internet Service Providers, value-added resellers, telecommunications carriers and affinity groups to small and medium-sized businesses and home users. Covad broadband services are currently available across the nation in 44 states and 235 Metropolitan Statistical Areas (MSAs) and can be purchased by more than 57 million homes and businesses, which represent over 50 percent of all US homes and businesses. Corporate headquarters is located at 110 Rio Robles San Jose, CA 95134. Telephone: 1-888-GO-COVAD. Web Site: www.covad.com.

About CICAT Networks

CICAT is the trusted, independent single-source provider of telecommunications and network services to enterprises. CICAT enables its customers to work with one partner, while paving the way for new broadband-enabled business applications, including Customer Relationship Management and other revenue-generating, productivity-enhancing applications. Corporate headquarters is located at 3975 Fair Ridge Drive, Suite 350 South, Fairfax, VA, 22030. Telephone: [phone]. www.cicat.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:

The foregoing contains "forward-looking statements" which are based on management's current information and beliefs as well as on a number of assumptions concerning future events made by management. Examples of forward-looking statements include expectations regarding planned purchases and deployments of our services by our customers. Readers are cautioned not to put undue reliance on such forward-looking statements, which are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside Covad's control that could cause actual results to differ materially from such statements. These risk factors include the ability of Covad to sell and deliver its services efficiently, to effectively compete with other providers of voice and broadband services, and to maintain an efficient cost structure, as well as potential changes in telecommunications regulations, among other risks. For a more detailed description of the risk factors that could cause such a difference, please see Covad's 10-K, 10-Q, 8-K and other filings with the Securities and Exchange Commission. Covad disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. This information is presented solely to provide additional information to further understand the results of Covad.