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Technology Stocks : Qwest Communications (Q) (formerly QWST) -- Ignore unavailable to you. Want to Upgrade?

To: professor who wrote (1617)	6/25/1998 9:27:00 AM
From: MangoBoy	Respond to of 6846

[STAR Telecommunications Awards Qwest 20-Year $70 Million Capacity Agreement] Agreement Will Significantly Lower STAR's Domestic Transport Costs SANTA BARBARA, Calif. and DENVER--(BUSINESS WIRE)--June 25, 1998--STAR Telecommunications, Inc. (NASDAQ:STRX) and Qwest (NASDAQ:QWST) today announced that STAR will purchase capacity on the Qwest nationwide Macro Capacity(SM) Fiber Network. Under a 20-year, $70 million agreement, STAR has purchased a long-term right to use capacity on the Qwest network extending into every major metropolitan city in the United States. STAR expects to reduce its annual carrying costs on domestic routes by more than 50 percent as a result of this agreement. "STAR has led the industry in deploying a state-of-the-art network to support our rapidly growing volume of international and domestic long distance traffic," said Christopher Edgecomb, Chairman of the Board and Chief Executive Officer of STAR. "Our proposed acquisition of PT-1 will add significant domestic traffic, which will experience the greatest cost savings from this agreement. "Today's announcement with Qwest further demonstrates our commitment to establishing the most advanced proprietary lines of communication that will significantly lower our termination and routing costs over our current leased network. Locking up bandwidth and deploying advanced Nortel switches are the foundation for maintaining the dynamic growth rate that we have experienced over the past three years." "Qwest's Macro Capacity Fiber Network delivers the speed, service and reliability that innovative communications companies like STAR demand," said Gregory M. Casey, Qwest's senior vice president of broadband capacity. "As we continue to rapidly light additional segments of our nationwide network, leading carriers are entering into agreements with Qwest to meet their present and future capacity needs." STAR Telecom holds domestic switching facilities in New York, Los Angeles, Dallas and Miami, and international switching facilities in London, Frankfurt, Hamburg, Dusseldorf and Munich. Visit STAR Telecom at startel.com.

To: professor who wrote (1617)	6/25/1998 9:44:00 AM
From: Wayne Olive	Read Replies (2) \| Respond to of 6846

Professor, I'm sure TimeWarner would like to increase market share of its many segments and branch out into other areas with new prospects. Qwest likes to characterize its network as designed to host multimedia based services. Placing Time Warners programming on that fiber along with potential local telephone service via TW cable access could provide a nice fit to compete with the AT&T-TCI linkup. Of course, it would all be up to the price offered to Phil A., owner of 84% or so of Qwest's stock.