KMC Telecom Selects Telcordia Fault and Performance Management Service; Service to support KMC's network operations in 35 markets nationwide

Business Wire, Dec 9, 2002

Business Editors/High-Tech Writers

MORRISTOWN, N.J.--(BUSINESS WIRE)--Dec. 9, 2002

KMC Telecom, one of the leading providers of competitive local exchange and data services, announced today that it has selected Telcordia Technologies to provide network operations support for its switch and transport network in all of KMC's 35 U.S. markets.

KMC is the launch customer for Telcordia's new service for Fault and Performance Management based on application hosting using the industry leading Telcordia NMA(R) System and Network Performance Monitor system. Telcordia is providing the software systems, implementation services and application maintenance and administration. Telcordia is providing data center operations together with its parent company, Science Applications International Corporation (SAIC).

With the new Telcordia solution, KMC will upgrade its network monitoring and switch traffic management capabilities while reducing its ongoing cost of operations. The increased monitoring and surveillance capabilities will allow KMC to respond to network outages quickly and efficiently, improving customer service and increasing customer retention rates. And, as KMC's network grows, the new service will enable KMC to keep the cost of ongoing network operations under control.

"Telcordia's reputation in the industry is what first got us interested in their service," said Jeff Mitchell, VP of Network Services at KMC. "Telcordia was able to price and package the service into a solution that makes business sense for us. We looked at a lot of systems, but we're in the telecommunications business, not the software business, so we chose to go with proven products in a hosting arrangement."

KMC's network provides local telephone service, Internet access, and high-speed broadband connections to over 20,000 small to medium size business customers located in the Southeast and Midwest. The size and complexity of their network, including circuit switches, next generation softswitches, high speed transport backbone and IP data network equipment, required systems that were proven, scalable, and ready to support their needs today. "By setting NMA and Network Performance Monitor up in their data center, and providing all of the implementation support to get us up and running, we were able to cut months and a lot of cost out of the deployment process," continued Jeff Mitchell. "And on an ongoing basis, we expect to maintain efficient network operations without having to build up a large IT infrastructure."

The Telcordia NMA System and Network Performance Monitor are the most widely deployed systems providing network Fault and Performance Management of core telephony networks. The systems have been set up at the SAIC data center facility in San Diego, CA, and Telcordia subject matter experts are working with their KMC counterparts to customize the applications, train the user community, and transition KMC's network elements onto the new service. KMC is not required to purchase either the software licenses for the systems or the hardware platforms that they run on, as these are included as part of the service. KMC is establishing and staffing its own Network Operations Center, and will pay a monthly service fee for the use, support and maintenance of the systems.

"Telcordia is delighted to have KMC as the first customer of our new Fault and Performance service to help us launch this new business line," said Glen Neuburger, executive director of the Service Assurance Solutions business unit at Telcordia. "Our proven NMA and Network Performance Monitor systems meet the current and future needs of KMC, with application hosting serving as the perfect delivery vehicle for network operations support."

About KMC Telecom LLC

In operation for more than 5 years, KMC Telecom has built and maintains an advanced digital communications network in Tier 2 and 3 cities primarily in the Southeast and Midwest U.S. Providing local telephone, internet, and high speed broadband connections small to medium size business customers, KMC plans to grow its customer base and service portfolio in the years ahead.

About Telcordia Technologies, Inc.

Telcordia Technologies, Inc., an SAIC company, is the world's largest provider of operations support systems, network software and consulting and engineering services to the telecommunications industry. Telcordia (www.telcordia.com) is headquartered in Morristown, NJ with offices throughout the United States, Canada, Europe, Central and South America.

Telcordia Technologies is a wholly owned subsidiary of SAIC. Statements in this announcement other than historical data and information constitute forward-looking statements that involve risks and uncertainties. A number of factors could cause our actual results, performance, achievements or industry results to be very different from the results, performance or achievements expressed or implied by such forward-looking statements. Some of these factors include, but are not limited to, the risk factors set forth in SAIC's Annual Report on Form 10-K for the period ended January 31, 2002 and such other filings that the Company makes with the SEC from time to time. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof.