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Monday, 12/19/2011 9:05:30 AM

Monday, December 19, 2011 9:05:30 AM

Post# of 651530
XFN signing up wireless carriers to back-haul their mobile data services.

From 2nd qtr 2011 conference call - Guy Nissenson (CEO)

"Yes, good morning. My question, Guy, is on the opportunity for backhaul in the new PRIDE build-out areas. Could you just give us a little bit more detail there on, what you see is the opportunity?
Guy Nissenson
Okay. So as you probably know with all the bandwidth growth that is happening due to the smartphones, iPads, BlackBerrys et cetera, the need for reliable fiber optic based backhaul system is paramount. And then where we built now in this PRIDE network and then both in Texas and in Louisiana, for the most part, there is no one that can provide or very few companies that can provide backhaul services to the degree that we can.
And what we are doing at the moment is starting to sign-up wireless companies to backhaul their mobile data services into their main networks. One of the good things about doing that, is that the incremental EBITDA is very high on these types of services because the fiber is already in the ground and for us it’s another way to use the same systems. So we are very happy with the two companies that’s already signed. And we expect to grow to more cell towers with these providers and also hope to sign additional providers as we continue to grow the PRIDE network out."

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