One Communications Announces Retention of Blackstone Advisory Services L.P. to Evaluate Strategic Alternatives for the Company

BURLINGTON, Mass.--(BUSINESS WIRE)--One Communications, one of the largest privately-held, multi-regional integrated telecommunications solutions providers in the United States, announced today that it has retained Blackstone Advisory Services L.P. to serve as its advisor as it explores potential strategic alternatives with respect to the company. This course of action, which may include one or a series of merger and acquisition transactions, is expected to commence in mid-September.

“Recent M&A activity in our sector underscores the opportunity for continued consolidation and value creation. The company now has the flexibility to pursue the best strategic alternatives for its stakeholders, including customers and employees.”

In July, One Communications announced the sale of its FiberNet business to NTELOS, and on August 26, Fibertech, in which One Communications has a minority interest, announced its pending sale. Both transactions are expected to close in the fourth quarter of 2010, pending customary approvals. The proceeds from the two transactions will be used to reduce debt.

“The process surrounding these transactions further solidified our belief that strategic consolidation is important in our business. The market expressed strong interest in our extensive network assets, stable on-net customer base and positive cash flow and we believe that continued transaction activity is an attractive option with a number of qualified partners,” stated Howard Janzen, Chief Executive Officer of the company. “As we explore our options, we remain committed to delivering exceptional customer service to our large base of customers and to continuing to win new business in our targeted markets across the Northeast, Mid-Atlantic and Upper Midwest.”

Kenneth Peterson, Jr., Chairman of the Board and CEO, Chairman and Founder of Columbia Ventures Corporation, which owns approximately 50 percent of One Communications, added, “Recent M&A activity in our sector underscores the opportunity for continued consolidation and value creation. The company now has the flexibility to pursue the best strategic alternatives for its stakeholders, including customers and employees.”

Qualified parties interested in discussing strategic alternatives regarding One Communications should contact Blackstone Advisory Services L.P.

About One Communications

One Communications, with corporate headquarters in Burlington, MA and operational headquarters in Rochester, NY, is one of the largest privately-held, multi-regional integrated telecommunications solutions providers in the United States – serving small and mid-sized business customers in 18 states across the Northeast, Mid-Atlantic and Upper Midwest, plus the District of Columbia. From basic voice to mobility, data, Internet and managed IP services, the company delivers the right solutions at the right price to help companies communicate, save and grow. To learn more, visit us at www.onecommunications.com.

The One Communications logo is a registered trademark of One Communications Corp.