Waitsfield and Champlain Valley Telecom Selects Pannaway's Service Convergence Network For Delivery of Broadband Services to 21,000 Rural Vermont Subscribers.

PORTSMOUTH, N.H. -- ILEC Transforms Legacy ATM and TDM Networks with IP Packet System

Pannaway Technologies, Inc., designers and developers of next-generation, converged broadband systems to telecommunications companies, today announced that Waitsfield and Champlain Valley Telecom (WCVT), one of Vermont's largest ILECs, has selected its multi award-winning IP Packet-based, Service Convergence Network (SCN(TM)) platform to deliver next-generation broadband services to its 21,000 subscribers. WCVT's service territory spans 10 exchanges and approximately 669 square miles in the Mad River and central Champlain Valley regions of Vermont. The ILEC is currently in the first phase of its network upgrade and will deploy Pannaway's SCN products in 18 remote terminals and central offices with 35 additional sites to follow.

WCVT will migrate its legacy ATM and TDM networks to a single system capable of supporting emerging broadband applications for decades to come. For this significant network upgrade, the 101 year-old ILEC has selected Pannaway's 48-port Broadband Access Switch (BAS(TM)) which is a highly scaleable IP-BLC (broadband loop carrier) that supports high-bandwidth voice, video and data services on every port. The BAS also enables the ILEC to deliver SIP-based Primary Line VoIP(SM) which ensures that Lifeline calling and E 911 services are always available to its rural subscribers without the need for battery back up or multiple phone numbers to the home. This capability, which was only available with Pannaway's SCN(TM) solution, was a critical feature when selecting an IP access partner.

"Our goal is to build a broadband network that deploys easily and won't need to be continually upgraded to support emerging, high bandwidth services", said Bill Fogg, Network Planner, for Waitsfield and Champlain Valley Telecom. "Pannaway's SCN has the scaleable bandwidth capacity and protocol flexibility that we will need to deliver unrivaled communications services to our rural subscribers over the next decade."

WCVT conducted a comprehensive and lengthy evaluation of all the major IP access providers and selected Pannaway's SCN based on overall broadband network performance, scaleable bandwidth capacity, port-selectable MGCP or SIP and unparalleled service and support. Additionally, the Vermont ILEC will use Pannaway's Broadband Access Manager (BAM(TM)) which is a sophisticated but extremely affordable broadband element management system (EMS) that reduces the installation complexity and operational expenses (OPEX) associated with rolling out and maintaining broadband services.

Fogg added, "Our new IP network will allow us to deliver new, revenue generating broadband services efficiently and affordably and we're confident that Pannaway is the best partner for us."

"Our goal is to help our ILEC partners build high performance broadband networks that won't need to be upgraded every time a new bandwidth intensive service becomes available", said Kevin Brown, Vice President of Marketing at Pannaway. "Migration from MGCP to SIP-based VoIP, copper to fiber in the last mile and 1 Gig to 10 Gig on the backbone can all be achieved using the same SCN platform."

About Waitsfield and Champlain Valley Telecom:

Waitsfield and Champlain Valley Telecom is a family owned, independent telephone company serving over 20,000 customers in the Mad River and central Champlain Valley regions of Vermont. The company was incorporated on November 30, 1904, and celebrated its 100th anniversary in 2004. Waitsfield and Champlain Valley Telecom provides local and long distance telephone service, and high-speed Internet access. On the web at www.wcvt.com.

About Pannaway Technologies

Pannaway provides customer-proven, IP-Ethernet and SIP-based broadband access solutions that enable telecommunications service providers to offer new Triple Play services to their rural subscribers. Using Pannaway's Service Convergence Network (SCN(TM)) which consists of access, premise, transport and broadband management capabilities, telecom providers can easily transform their existing TDM and ATM networks to support emerging bandwidth intensive services for years to come. Pannaway's patent-pending Primary Line VoIP(SM) is the first telco-grade VoIP solution to ensure E 911 Lifeline calling across multi-vendor product environments. The privately held company is headquartered in Portsmouth, New Hampshire, and has been building innovative IP-Ethernet solutions and service/support programs to fit the specific needs of rural telecom providers since 2002.

For more information, please visit www.pannaway.com.