NuVox Voices Alarm at House Bill 4656 to Deregulate Telecommunications Services

John: I enjoyed your article regarding venture capital investment in SC
companies. You're aware that over $1 billion has been invested in NuVox and
NewSouth and these companies have created over 1200 jobs here. Despite our
efforts, the SC legislature continues to back special interest legislation
lobbied for by BellSouth that is terrible for NuVox and NewSouth.

In this year's session, we are very concerned about the potential anti-consumer
and anti-competitive impact of House Bill 4656 that passed out of Chairman
Cato's LCI Committee yesterday without any meaningful amendments that would
protect consumers and competitive telecommunications services providers by
ensuring the Public Service Commission's regulatory oversight role regarding
"bundled" service offerings. This bill is scheduled to be considered on the
House floor on Thursday, February 12th. There is a companion bill in the
Senate, S. 0887 assigned to the Senate Judiciary Committee.

House Bill 4656 and Senate Bill 0887 are the worst form special interest
legislation and effectively deregulate BellSouth's telecommunications service
offerings at the expense of consumers and competitors. I have included two
pieces that thoroughly discuss the disastrous impact that this bill could have
if it passes the House in its current (as amended in the LCI Committee) form.
Please review these materials so that you will be fully aware of the
ramifications of this legislation.

I have also attached a link to an article written by Dolph Bell of the
Greenville News lamenting the loss of manufacturing jobs here in the upstate as
reported in Inc. magazine. NuVox and NewSouth Communcations Corp., another
Greenville competitive local exchange carrier in competition with BellSouth,
have brought hundreds of service sector jobs to the upstate. If the
legislation championed by BellSouth passes through the House and Senate to
become law, NuVox will reconsider deploying any additional resources in South
Carolina due to the unfavorable environment envisioned by this destructive
legislation.

We are hopeful that you will, through your contacts that are supportive of VC
efforts here in SC, help us educate any legislators that NuVox, NewSouth and
others have delivered an amendment to Speaker Wilkins that (1) ensures
continuing PSC oversight regarding bundled service offerings and complaints
related thereto; (2) provides consumers a meaningful and efficient opportunity
for the resolution of disputes with telecommunications services providers; and
(3) allows Competitive Local Exchange Carriers like NuVox and NewSouth
Communications Corp. the opportunity to have the PSC resolve carrier-to-carrier
disputes (and anti-competitive activity by BellSouth).

NuVox and its employees believe that our company has made a considerable
contribution to Greenville's and South Carolina's economic growth through
investment (in the amount of $81 Million in South Carolina) and job creation.
Unfortunately, it seems that certain members of the Greenville County
Legislative delegation are unaware of these contributions or choose to ignore
them. Rather than support local businesses like NuVox and NewSouth
Communications Corp., another Greenville CLEC, some legislators have, without
the slightest resistance and in the face of reasonable, balanced criticism,
committed to push legislation dictated by BellSouth in the past two legislative
sessions.

I am certain that our employees, especially those from your districts, would
appreciate any support that you could provide in attempting to spread the word
about this special interest legislation and the detrimental impact that it
would have if passed into law.

Please call me if you have any questions.

Best Regards,

Bo Russell
Vice President of Regulatory and Legal Affairs
Nuvox Communications, Inc.
864 331 7323

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