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  1. 1. Next Generation Network Solutions “ PAETEC rises above the communications service provider pack” - Forrester Research COMMUNICATIONS SECUITY SECURITY BUSINESS CONTINUITY BUSINESS INTELLIGENCE MANAGED SERVICES FINANCING
  2. 2. <ul><li>Introductions </li></ul><ul><li>Company Highlights </li></ul><ul><li>Industry Focus </li></ul><ul><li>Account Management/Customer Service </li></ul><ul><li>Product Portfolio & Company Strengths </li></ul><ul><li>Network Topology/Initiatives-Open Discussion </li></ul><ul><li>Next Steps </li></ul>Agenda
  3. 3. Cc Mission statement- To be the most customer and employee oriented company in the industry American Business Ethics Award
  4. 4. Company Overview <ul><li>- Headquartered in Rochester, NY </li></ul><ul><li>- Founded 1998 </li></ul><ul><li>- Evolution of an Industry Leader </li></ul><ul><li>- Key Mergers & Acquisitions </li></ul><ul><li>- NASDAQ: PAET </li></ul><ul><li>- 4,600+ Employees </li></ul><ul><li>- $2.2 Billion Revenues* </li></ul><ul><li>- Services 86 of Top 100 Metro Regions </li></ul><ul><li>- ISO 9002 Certified </li></ul><ul><li>- Largest CLEC in the US by Revenue </li></ul>
  5. 5. PAETEC’s Network
  6. 7. Account Stewardship Customer Service
  7. 8. Unmatched Customer Service <ul><li>- 3 fully redundant (24 X 7 X 365) Network Operation Centers </li></ul><ul><li>- Rochester NY, Charlotte NC & Cedar Rapids IA </li></ul><ul><li>- Industry leading web portal with real time access to trouble ticketing system </li></ul><ul><li>- 265 highly trained NOC technicians </li></ul><ul><li>- In 2010 86% of all incoming calls were answered by a live person in 20 seconds or less </li></ul><ul><li>- Customer retention in excess of 99% (monthly average) </li></ul>Network Operations Center - Charlotte, NC Network Operations Center - Rochester, NY
  8. 9. Core Values Network Operations Center - Charlotte, NC Network Operations Center - Rochester, NY <ul><ul><li>* Caring Culture </li></ul></ul><ul><ul><li>* Personalized Solutions </li></ul></ul><ul><ul><li>* Open Communication </li></ul></ul><ul><ul><li>* Unmatched Service </li></ul></ul>
  9. 10. Customer Satisfaction 2008 Customer Advisory Board Meeting <ul><li>- Dedicated Account Team Approach </li></ul><ul><ul><li>Provides multiple layers of support </li></ul></ul><ul><ul><li>Employee compensation based on customer </li></ul></ul><ul><ul><li>retention and satisfaction*** </li></ul></ul><ul><ul><li>Escalation list provided </li></ul></ul><ul><ul><li>Provides direct liaison with PAETEC’s NOC </li></ul></ul><ul><ul><li>- Customer Experience </li></ul></ul><ul><ul><li>Quarterly performance reviews provided (Including a welcome package meeting within 10 days of the first invoice) </li></ul></ul><ul><ul><li>Simplified Invoicing Structure </li></ul></ul><ul><ul><li>Industry leading online support tool via “PAETEC Online” </li></ul></ul><ul><ul><li>Customer retention rate in excess of 99% </li></ul></ul>
  10. 11. We Listen to Our Customers <ul><li>- Discuss business challenges </li></ul><ul><li>- Build the foundation for PAETEC’s product and service investments through customer feedback </li></ul><ul><li>- Access PAETEC senior executives </li></ul><ul><li>- Network with peers </li></ul><ul><li>- Discuss Industry Trends & Concerns </li></ul>Customer Advisory Board Program Regional forums for knowledge sharing and relationship building between PAETEC and our customers 2008 Customer Advisory Board Meeting “ I have been a CAB member for the past four years and value the program completely. The LEGO Group truly benefits from the products, services, and actions that result from CABs.” Joanne Zanetti , LEGO Systems, Inc.
  11. 12. Industry-Leading Customer Satisfaction <ul><li>Net Promoter Score (NPS) measures customer satisfaction </li></ul><ul><li>PAETEC’s 2010 NPS is 19.8, an increase from our 2009 score of 18.8 </li></ul><ul><li>PAETEC employees’ bonus depends on constant improvement of our NPS score </li></ul>Data for non-PAETEC companies was gathered from the “Net Promoter Telecommunications Industry Report of 33 Telecommunications Companies – June 2010” completed by Satmetrix Systems. 0 PAETEC 19.8 -15 AT&T Telecom NPS Benchmarks -18 Verizon -34 Qwest
  12. 13. Products & Services Personalized Solutions “ Our solutions are like no other communications provider, because your needs are like no other business”- Arunas Chesonis (Chairman & CEO)
  13. 14. Products & Services Portfolio Personalized Solutions 2008 Customer Advisory Board Meeting <ul><li>PAETEC’s strategic product marketing focuses on 6 major product categories: </li></ul><ul><ul><li>Communications Solutions </li></ul></ul><ul><ul><li>Security Solutions </li></ul></ul><ul><ul><li>Business Continuity </li></ul></ul><ul><ul><li>Managed Services Solutions </li></ul></ul><ul><ul><li>Business Intelligence </li></ul></ul><ul><ul><li>Financing Options </li></ul></ul>
  14. 15. PAETEC Solutions Core Products Value-Added Services Data Equipment Applications Data Center Voice Communications <ul><li>All Data </li></ul><ul><li>All Equipment </li></ul><ul><li>All Voice </li></ul>Security <ul><li>MPLS VPN </li></ul><ul><li>Hosted E-mail Security </li></ul><ul><li>Hosted Web Security </li></ul><ul><li>Network Firewall </li></ul><ul><li>Intrusion Detection & Prevention System (IDPS) </li></ul><ul><li>Network Engineering Consultation </li></ul><ul><li>Managed Fraud Protection </li></ul>Managed Services <ul><li>Managed Router Support </li></ul><ul><li>Managed CPE Firewall </li></ul><ul><li>Network Firewall </li></ul><ul><li>Intrusion Detection & Prevention System (IDPS) </li></ul><ul><li>Colocation Services </li></ul><ul><li>Data Backup & Recovery </li></ul><ul><li>Dedicated Hosted Server </li></ul><ul><li>Shared Web Hosting </li></ul><ul><li>Hosted IP Telephony </li></ul><ul><li>Managed Fraud Protection </li></ul>Financing <ul><li>Equipment for Services </li></ul><ul><li>Equipment Rental </li></ul><ul><li>Software for Services </li></ul>Business Continuity <ul><li>MPLS VPN </li></ul><ul><li>Fixed Wireless </li></ul><ul><li>Private Line </li></ul><ul><li>Network Engineering Consultation </li></ul><ul><li>Hardware Maintenance Support </li></ul><ul><li>Colocation Services </li></ul><ul><li>Data Backup & Recovery </li></ul><ul><li>Dedicated Hosted Server </li></ul><ul><li>Dynamic IP </li></ul><ul><li>Direct Trunk Overflow </li></ul><ul><li>Network Diversity Engineering </li></ul><ul><li>Toll-Free Routing Consultation </li></ul><ul><li>Advanced Toll-Free </li></ul><ul><li>Hosted Broadcast Notification </li></ul>Business Intelligence <ul><li>Managed Fraud Protection </li></ul><ul><li>Hosted Broadcast Notification </li></ul><ul><li>PINNACLE Communications Management Suite </li></ul>Data Center <ul><li>PINNACLE Communications Management Suite </li></ul><ul><li>s Applications </li></ul>Solutions
  15. 16. Core Products Personalized Solutions 2008 Customer Advisory Board Meeting <ul><ul><li>Voice </li></ul></ul><ul><ul><li>- Local/Long Distance </li></ul></ul><ul><ul><li>- Toll Free </li></ul></ul><ul><ul><li>- SIP Trunking </li></ul></ul><ul><ul><li>Data </li></ul></ul><ul><ul><li>- Dedicated Internet </li></ul></ul><ul><ul><li>- MPLS </li></ul></ul><ul><ul><li>- Data Center Solutions </li></ul></ul><ul><ul><li>Differentiators </li></ul></ul><ul><ul><li>- Pinnacle Software Moving into the cloud </li></ul></ul><ul><ul><li>- Cloud Based Solutions </li></ul></ul><ul><ul><li>- Quagga Family of Products </li></ul></ul><ul><ul><li>- PBX Centralization (Virtual Telephone Number VTN) </li></ul></ul><ul><ul><li>- 3G/4G Wireless MPLS Backup (Managed) </li></ul></ul><ul><ul><li>- Equipment for Services Program </li></ul></ul>
  16. 17. Strategic Investments- Recent Acquisitions Personalized Solutions One of the nations largest Fiber footprints. 37,000 Fiber route miles. Custom network solutions from 10Mb to 10Gb Sonet/Wavelength& Ethernet World-class systems integrator and top partner for Avaya on the West Coast, with expertise in IP-based voice and video systems for medium and large businesses. Among the largest full service providers of advance communications solutions servicing enterprise customers. Avaya Platinum partner specializing in managed services Uses mobile applications on a smart phone to simplify the way people communicate with each other.
  17. 18. Equipment Partners Personalized Solutions 2008 Customer Advisory Board Meeting
  18. 19. Why PAETEC Personalized Solutions 2008 Customer Advisory Board Meeting <ul><ul><li>Personalized Solutions </li></ul></ul><ul><ul><li>Industry Leader </li></ul></ul><ul><ul><li>Customer Service </li></ul></ul><ul><ul><li>Product Portfolio </li></ul></ul><ul><ul><li>Financial Stability </li></ul></ul><ul><ul><li>Dedicated Account Team </li></ul></ul>
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