News

FOR IMMEDIATE RELEASE

May 7, 2013

Contact: John Caceres

Telephone: 802.885.7778

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VTel Receives a $2.6 Million Grant from the VTA to Extend 4G/LTE Mobile Voice Coverage Across Vermont

Springfield, VT – On Friday May 3^rd, Vermont Telephone Company (VTel) was awarded $2.6 million to extend mobile voice coverage to Vermonters across the state. The grant funds will be used to purchase necessary hardware and software for VTel to provide retail voice service on its 4G/LTE network.  The goal of the grant is to improve cell phone access and coverage for Vermonters by creating a platform upon which VTel can offer voice services.

The $2.6 million grant replaces the $5.1 million VTA award announced in December, as a result of a change in project scope.  The previous $5.1mm grant was designed for mobile voice service reliant upon 3G technology, whereas the revised grant will use next generation technology - 4G/LTE – to provide faster, better, and more reliable voice services.

"The VTA’s decision to accept VTel’s proposal for 4G/LTE is a reflection of the organization’s willingness to adapt to a rapidly changing technology environment,” said Diane Guité, VP of Business Development at VTel. “VTel is thrilled that the VTA has elected to support our project.  Our list of key partners and supporters today includes RUS, NTIA, the FCC, Green Mountain Power, and we are proud to add the VTA to this list.”

About VTel

Headquartered in Springfield, Vermont, VTel is a small, family-owned communications company serving 21 rural Vermont communities. VTel prides itself on world-class communications services, while answering customer phone calls with a friendly voice on the first ring. The VTel plain old telephone service (POTS) copper network has continuously provided telephone service to southern Vermont farms and homes since it began operations in 1890.  The VTel portfolio of services includes VTel Voice, VTelevision and VTel GigE Internet services delivered over dedicated fiber within our local exchange area, and – most recently - a statewide 4G/LTE wireless network.

Capitalizing on VTel’s robust spectrum holdings, this 4G/LTE network will provide mobile phone and fixed wireless internet services across the state.  VTel expects to launch commercially in several beta communities in the second half of 2013, with a full-scale statewide launch in late 2013.  The 4G/LTE network will serve rural last-mile customers as well as more densely populated areas of the state, offering subscribers peak download speeds of 50Mbps with average download speeds in the 10 – 12Mbps range.

VTel is deploying more than 200 wireless sites across Vermont, the majority of which are powered by the company's extensive 100 gigabit fiber optic network. The infrastructure buildout is funded by broadband grants from RUS, NTIA, and the FCC, as well as private capital from partner Green Mountain Power and VTel.

For more information visit www.vermontel.com or call 802.885.9000.