Level 3 and Cogent Reach Agreement on Equitable Peering Terms

Oct 28, 2005, 01:00 ET from Level 3 Communications

    BROOMFIELD, Colo. and WASHINGTON, Oct. 28 /PRNewswire-FirstCall/ -- Level
 3 Communications (Nasdaq:   LVLT) and Cogent Communications (Amex:   COI) today
 announced that the companies have agreed on terms to continue to exchange
 Internet traffic under a modified version of their original peering agreement.
 The modified peering arrangement allows for the continued exchange of traffic
 between the two companies' networks, and includes commitments from each party
 with respect to the characteristics and volume of traffic to be exchanged.
 Under the terms of the agreement, the companies have agreed to the
 settlement-free exchange of traffic subject to specific payments if certain
 obligations are not met.
     The modified arrangement is designed to mitigate any impact to customers'
 Internet connectivity as it sets forth an agreed process to protect customers
 upon the expiration of the peering relationship, or upon violations of the
 agreement that are not remedied in accordance with the revised agreement.
 Those protections include advance written notice to the customers of each
 party upon termination of the agreement, as well as terms assuring the
 continued exchange of traffic for a reasonable transition period.
     The specific terms of the agreement are confidential.
     As part of today's joint announcement, Level 3 and Cogent underscored
 their common view that the implementation of their modified peering agreement,
 effective immediately, serves the best interests of both companies' customers.
 As a result of the agreement, Level 3 will not proceed with disconnection on
 November 9, as previously announced.
     About Cogent Communications
     Cogent Communications (Amex:   COI) is the number one provider of Ethernet
 services in the United States based on the number of ports in service as
 ranked by Ovum-RHK and is one of the fastest growing Tier 1 ISPs in the world.
 Its facilities based, all-optical network delivers ultra-high speed Internet
 access and transport services to businesses and service providers in major
 metropolitan areas.  Cogent offers services across its 30,600-mile IP network
 spanning 12 countries located in North America and Europe.
     The combination of technology, IP network architecture and unique business
 model make Cogent one of the most popular solutions for reliable,
 cost-effective Internet service in the industry.  Cogent offers several
 focused services that complement its On-Net Internet access service including
 dedicated Off-Net (T1, T3) Internet service, colocation services in 28 data
 centers across North America and Europe, and Layer 2 Point-to-Point services
 in every On-Net market.
     Cogent Communications is headquartered at 1015 31st Street, NW,
 Washington, D.C. 20007.  For more information, visit www.cogentco.com.  Cogent
 Communications can be reached in the United States at (202) 295-4200 or via
 email at info@cogentco.com.
     About Level 3 Communications
     Level 3 (Nasdaq:   LVLT) is an international communications and information
 services company. The company operates one of the largest Internet backbones
 in the world, is one of the largest providers of wholesale dial-up service to
 ISPs in North America and is the primary provider of Internet connectivity for
 millions of broadband subscribers, through its cable and DSL partners. The
 company offers a wide range of communications services over its 23,000-mile
 broadband fiber optic network including Internet Protocol (IP) services,
 broadband transport and infrastructure services, colocation services, and
 patented Softswitch managed modem and voice services.  Its Web address is
     The company offers information services through its subsidiaries, Software
 Spectrum and (i)Structure.  For additional information, visit their respective
 Web sites at www.softwarespectrum.com and
     The Level 3 logo is a registered service mark of Level 3 Communications,
 Inc. in the United States and/or other countries. Services described in this
 press release are provided by wholly owned subsidiaries of Level 3
 Communications, Inc.
     Cogent Forward-Looking Statements
     Information in this release may involve expectations, beliefs, plans,
 intentions or strategies regarding the future.  These forward-looking
 statements involve risks and uncertainties.  All forward-looking statements
 included in this release are based upon information available to Cogent
 Communications Group, Inc. as of the date of the release, and we assume no
 obligation to update any such forward-looking statement.  The statements in
 this release are not guarantees of future performance and actual results could
 differ materially from our current expectations.  Numerous factors could cause
 or contribute to such differences.  Some of the factors and risks associated
 with our business are discussed in Cogent's registration statements filed with
 the Securities and Exchange Commission and in its other reports filed from
 time to time with the SEC.
     Level 3 Forward-Looking Statement
     Some of the statements made by Level 3 in this press release are
 forward-looking in nature.  Actual results may differ materially from those
 projected in forward-looking statements.  Level 3 believes that its primary
 risk factors include, but are not limited to: developing new products and
 services that meet customer demands and generate acceptable margins;
 increasing the volume of traffic on Level 3's network; overcoming the softness
 in the economy given its disproportionate effect on the telecommunications
 industry; integrating strategic acquisitions; attracting and retaining
 qualified management and other personnel; successfully completing commercial
 testing of new technology and information systems to support new products and
 services, including voice transmission services; ability to meet all of the
 terms and conditions of our debt obligations; overcoming Software Spectrum's
 reliance on financial incentives, volume discounts and marketing funds from
 software publishers; reducing downward pressure of Software Spectrum's margins
 as a result of the use of volume licensing and maintenance agreements; and
 reducing rate of price compression on certain of the Company's existing
 transport and IP services.  Additional information concerning these and other
 important factors can be found within Level 3's filings with the Securities
 and Exchange Commission.  Statements in this release should be evaluated in
 light of these important factors.

SOURCE Level 3 Communications