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Dominion Telecom Selects Alcatel's End-to-End Optical Solutions for its North American Network.

Business Editors

DALLAS--(BUSINESS WIRE)--July 10, 2001

Integrated DWDM and SONET Transport Systems, TeraLight

Fiber Cables and Connectivity Elements Unite for Optimized

Performance and Lower Cost

Alcatel (Paris: CGEP.PA and NYSE: ALA), a world leader in intelligent optical networking, has been selected by Dominion Telecom, a subsidiary of Dominion (NYSE: D), as the primary supplier for a major North American optical network.

Alcatel will provide long-haul optical solutions, including Dense Wavelength Division Multiplexing (DWDM) systems, Synchronous Optical Network (SONET) multi-service systems, optical fiber cables and connectivity elements. Alcatel's unique integrated, end-to-end optical networking capability will allow Dominion to deploy a cost-effective and flexible services platform to meet its growing customer needs. Dominion Telecom's new network, connecting Chicago, Cleveland, Detroit, Toledo, Pittsburgh, Harrisburg and Washington, D.C., will be complete in 2001 (see network map at www.alcatel.com/vpr/images/dominion.gif).

Dominion will be deploying Alcatel's TeraLight cabled fibers, which are the only optical fibers on the market proven to operate at 40 gigabits per second. This advanced non-zero dispersion fiber is optimized for use in DWDM architectures and will outfit Dominion's state-of-the-art network with the bandwidth necessary to grow with its customers. In addition to TeraLight cable, Dominion also plans to use Alcatel's passive interconnection solutions including water-tight splice closures and the Optical Modular Distribution Frame to connect the cable network to the SONET and DWDM equipment.

Along with these cable and interconnection solutions, Dominion will also deploy the Alcatel 1603 SMX SONET multi-service transport system and the advanced long-haul capabilities of the Alcatel 1640 Optical Add-Drop Multiplexer (OADM). The 1603 SMX offers Dominion a low cost, high-capacity, metro transport solution, while the 1640 OADM provides Dominion with cost-effective, long-haul DWDM capabilities in the core of its network.

"The continued appetite for more and more bandwidth, and the need to support the explosion of next generation services are the issues facing carriers today," said Gregg Kamper, executive vice president and general manager of Dominion Telecom. "Alcatel's optical solutions will enable our network to handle today's data traffic more efficiently and reliably, while offering a clear migration path to support future expansion."

"Dominion Telecom's deployment is a paramount example of Alcatel's comprehensive optical network solution," said Christian Reinaudo, president of Alcatel's optics group. "When coupled with TeraLight, our DWDM solutions provide operators with an enhanced ability to maximize the potential of their networks at lower costs. By selecting Alcatel's solution, Dominion will enjoy reliable, high capacity networks that can seamlessly evolve with the changing demands of its customers."

Alcatel's relationship with Dominion Telecom dates back to Dominion's initial involvement in optical network infrastructure. In June of 1999, when Dominion Telecom was known as VPS Communications, Inc., a subsidiary of Virginia Power, the company signed its first agreement for Alcatel DWDM equipment. Since that time, Alcatel has been a key supplier for Dominion's network builds.

About Dominion Telecom

Dominion Telecom is a facilities-based, inter-exchange and emerging local carrier that provides broadband solutions (private line, wavelengths, dark fiber, Internet and collocation) to wholesale customers throughout the eastern United States. The company is expanding its fiber-optic network from its current 35,000 fiber miles (3,600 route miles) to more than 800,000 fiber miles (9,000 route miles). For more information, www.dominiontel.com.

About Alcatel

Alcatel builds next generation networks, delivering integrated end-to-end voice and data networking solutions to established and new carriers, as well as enterprises and consumers worldwide. With 110,000 employees and sales of EURO 31 billion in 2000, Alcatel operates in more than 130 countries. For more information, www.alcatel.com
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Date:Jul 10, 2001
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