[logo Cincinnati Bell] Press Release
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Investor contact: Media contact:
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Mike Hemsath Thomas Osha
513.397.7788 513.397.7316
mike.hemsath@cinbell.com tom.osha@cinbell.com
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CINCINNATI BELL INC. CLOSES SALE OF BROADBAND ASSETS
CINCINNATI - June 13, 2003 -- Cincinnati Bell Inc. (NYSE: CBB) today announced
that it has closed its previously announced sale of substantially all of the
assets of its broadband business, Broadwing Communications Services, Inc., to
privately held C III Communications, LLC.
"The closing of the sale of our broadband business represents a substantial
milestone in our strategic restructuring plan," said Kevin Mooney, Cincinnati
Bell's Chief Executive Officer. "We will now devote our undivided energy to
running our Cincinnati businesses, with a continued focus on customer service,
generating a significant amount of cash flow, and creating value for our
shareholders."
Under the terms of the amended purchase agreement, C III Communications will pay
Cincinnati Bell Inc. $108.7 million subject to post-closing adjustments. C III
Communications has also assumed certain liabilities and other long-term
contractual operating commitments of Broadwing Communications Services, Inc.,
will continue providing services to customers, and has retained current
employees. The Company has transferred the assets of its broadband business to C
III Communications in those states where regulatory approvals have already been
obtained. A portion of the purchase price will be kept in escrow until
regulatory approvals authorizing the transfer of the remaining assets have been
obtained. As of the closing, state public utility commissions representing over
75 percent of Broadwing Communications Services, Inc.'s revenue had approved the
transaction.
Cincinnati Bell will be a customer of C III Communications and will continue to
market its broadband products to business customers. Cincinnati Bell will also
sell long distance
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services, under the Cincinnati Bell Any Distance brand, to residential and
business customers in the Greater Cincinnati market.
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ABOUT CINCINNATI BELL INC.
Cincinnati Bell Inc. (NYSE: CBB) is parent to one of the nation's most respected
and best performing local exchange and wireless providers with a legacy of
unparalleled customer service excellence. The company was recently ranked number
one in customer satisfaction, for the second year in a row, by J.D. Power and
Associates for local residential telephone service and residential long distance
among mainstream users. Cincinnati Bell provides a wide range of
telecommunications products and services to residential and business customers
in Ohio, Kentucky and Indiana. Cincinnati Bell is headquartered in Cincinnati,
Ohio. For more information, visit www.cincinnatibell.com.
Note: Information included in this news release contains forward-looking
statements that involve potential risks and uncertainties. Cincinnati Bell's
future results could differ materially from those discussed herein. Factors that
could cause or contribute to such differences include, but are not limited to,
Cincinnati Bell's ability to maintain its market position in communications
services, general economic trends affecting the purchase of telecommunication
services, world and national events that may affect the ability to provide
services, and its ability to develop and launch new products and services. More
information on potential risks and uncertainties is available in the company's
recent filings with the Securities and Exchange Commission, including the 2002
Form 10-K for Cincinnati Bell Inc.