[Intermedia Communications Chosen to Provide Toll Free Calling Service for State of Florida]
800/888 Number Service to Save Taxpayer Dollars and Improve Government Efficiency
TAMPA, Fla.--(BUSINESS WIRE)--June 29, 1998--Intermedia Communications Inc. (Nasdaq/NM:ICIX) has been chosen to provide toll-free calling services for government entities across the state as part of the state of Florida's SUNCOM offerings. Based in Tampa, Intermedia Communications is one of the fastest growing telecommunications service providers in the country.
Under the terms of the 52-month contract, Intermedia will handle all toll-free (both 1-800 and 1-888) telephone calls bound for the state's various agencies, school systems, state universities, and county and city governments that use SUNCOM toll-free services.
"We are very pleased to expand our relationship with the state of Florida," said David C. Ruberg, Intermedia's president, chairman and chief executive officer. "We have deep roots in Florida in the form of the state's most robust telecommunications network. This agreement is welcome confirmation that more than ten years of continuous improvements to our network infrastructure has been time and money well spent."
According to government sources, choosing Intermedia will lead to significant efficiencies and cost savings. The $8 million agreement is projected to save taxpayers more than 40% of the current cost of toll-free phone service.
"We are committed to giving taxpayers the best possible service at the best possible price," said Winston Pierce, Chief of the Bureau of Hardware and Infrastructure for the Department of Management Services (DMS) Information Technology Program. "The reliability of Intermedia's network should be reassuring to the thousands of people who rely on and call state organizations every day. The average taxpayer can also appreciate the more than $5 million that Intermedia will save for them over the life of the contract."
George A. Christenberry, Jr., Intermedia's division Vice President of Intermedia's Government Sales Division, pointed out a critical element that Intermedia brings to the relationship is the Company's ability to provide more affordable rates to more locations. Currently, only state entities in Tallahassee receive the "dedicated" service rates that accompany the large volume of toll-free calling that occurs there and proximity to critical communications hardware located in the capital city. In other areas across the state, agencies pay higher "switched" service rates. However, over time, Intermedia's dense network of Nortel DMS-500 switches in Tampa, Miami, Jacksonville, and Orlando will be able to provide state entities over a larger area of the state service at the lower "dedicated" rate.
"This agreement validates the positions of those who supported telecommunications deregulation just a few years ago," continued Ruberg. "It benefits the taxpayers with more efficient use of their resources and enables us to succeed and create jobs."
Toll free calls to state of Florida entities will be "cut over" to Intermedia's network beginning on August 15, 1998. |
