Exhibit 99.1



[Company Logo]

McLeodUSA Incorporated
McLeodUSA Technology Park
6400 C Street SW, PO Box 3177
Cedar Rapids, IA 52406-3177
Press & Investor Contact: Bryce Nemitz
Phone: (319) 790-7800
FAX:   (319) 790-7767
http://www.mcleodusa.com

FOR IMMEDIATE RELEASE

              McLeodUSA and Ovation Communications Complete Merger

          Cedar Rapids, Iowa -- March 31, 1999 -- McLeodUSA Incorporated
(NASDAQ/NMS: MCLD) and Ovation Communications, Inc. today announced the
completion of a previously announced merger that combines the two rapidly
expanding Competitive Local Exchange Carriers (CLECs).  The two companies
jointly announced their intent to merge on January 7.

          Effective immediately, the new combined company will be known as
McLeodUSA Incorporated and continues its stated mission to become the number one
provider and most admired company in our communities.

          "Today marks a significant milestone for our ongoing strategic
growth," said Steve Gray, McLeodUSA President and COO.  "Customers of both
organizations will benefit from this merger, which creates a dominant,
pervasive, facilities-based Super Regional company serving business and
residential customers in 11 states."

          Tim Devine, former Ovation CEO and President, now a McLeodUSA Group
Vice President, agrees: "This merger signals the strong advancement of
competitive telecommunications in our service area.  As our telephone networks
grow and service offerings expand, McLeodUSA is providing customers a real
solution for the evolving nature and importance of how people communicate."

          Ovation, a Minneapolis-based firm, primarily served customers in the
upper Midwest, including Minneapolis-St. Paul, Chicago, Milwaukee and several
Michigan cities.

 
          McLeodUSA, founded in June 1991, is a publicly traded firm
headquartered in Cedar Rapids, Iowa, providing integrated telecommunications
services to businesses and residential customers. Customers are located in an
eleven-state area that includes Colorado, Iowa, Illinois, Indiana, Michigan,
Minnesota, Missouri, North Dakota, South Dakota, Wisconsin and Wyoming.
Products offered include local and long distance services, Internet access,
voice mail, paging, teleconferencing and calling card services.  McLeodUSA is
one of the largest independent publishers of yellow and white page telephone
directories in the country.  In the next 12 months, the Company's publishing
subsidiaries will distribute nearly 21 million copies of competitive directories
in 21 states, reaching 33 million people.

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