Covad Announces Operating Statistics for the Second Quarter of 2001 - Brief Article

ISP Business, Sept, 2001

Covad Communications Group announced second quarter operating statistics as of June 30, 2001. Covad has 333,000 lines in service on its network, a four percent increase from March 31, 2001. This figure does not include lines deployed on the BlueStar network, which are no longer included in Covad's line county. It also reflects the continued disconnection of subscribers as Covad ended its relationships with some of its financially troubled resellers.

Approximately 51 percent of Covad's total lines are business lines and 49 percent are consumer lines.

- Covad's direct channel represents two percent of its total lines. The other 98 percent of Covad's lines are provided through a Covad reseller. The decrease in the percentage of lines served through Covad's direct channel results from the exclusion of lines sold by BlueStar.

- Fourteen percent of Covad's total lines are served through resellers for whom Covad recognizes revenue when it is paid, a two percent reduction from the previous quarter. This group includes Covad lines sold by BlueStar. These BlueStar subscribers have been offered the opportunity to switch to Covad's direct service, Covad.net.