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To: Kenneth E. Phillipps who wrote (2058)9/23/1998 4:48:00 PM
From: Kenneth E. Phillipps  Read Replies (1) | Respond to of 12823
 
Media One to sell Bay Networks Cable Modems thru Circuit City

MediaOne Announces First of Its Kind Partnership with
Circuit City to Offer Bay Network Cable Modems and High
Speed Internet Service

PR Newswire - September 23, 1998 13:06

MediaOne Express Service Offered in 17 New England Retail Stores

Monthly Cost Savings of 25% for Customers Who Choose to Buy Cable Modem

ANDOVER, Mass., Sept. 23 /PRNewswire/ -- MediaOne(R), a unit of MediaOne Group (NYSE:
UMG), the Broadband services company, announced today its partnership with Circuit City, the
nation's largest retailer of brand-name consumer electronics and appliances, to sell NETGEAR, a
subsidiary of Bay Networks, cable modems that deliver MediaOne Express, the high-speed Internet
service. This venture is the first time a Broadband company has teamed with a national retailer to sell
cable modems and high-speed Internet service on a widespread basis to consumers. NETGEAR cable
modems are designed and manufactured by broadband technology pioneer Bay Networks, a Nortel
(Northern Telecom) business.

MediaOne Express is the fastest Internet service available to the computer in the home, with speeds up
to 50 times faster than a standard phone connection, and delivered on MediaOne's extensive
fiber-optic Interactive Broadband network.

Circuit City customers will now have the opportunity to purchase a cable modem and a MediaOne
Express installation kit. The initial retail price for the cable modem is $199 and the MediaOne Express
installation kit is $49 -- a savings of $50 off the normal installation price. In addition, the monthly
MediaOne Express service price is further reduced in price to $29.95 for customers with MediaOne's
standard cable service -- a savings of $10 off the regular monthly price. The installation kit includes
one installation appointment certificate, along with a MediaOne Express user's guide and coupons for
MediaOne cable television products.

Consumers can find out more about MediaOne Express at: www.MediaOneExpress.com, or by
calling 1 (888) MEDIAONE.

Interested consumers can go to any one of 17 participating Circuit City stores located in
Massachusetts and New Hampshire to learn about MediaOne Express from Circuit City sales
associates. All stores have point of purchase displays and hands-on demonstration areas. (See list of
stores following release.)

The launch of this venture represents the latest progression in MediaOne's leadership in deploying new
technology, introducing advanced telecommunications services and launching innovative sales channels
to provide customers more choices. MediaOne will continue to include the cable modem in the
monthly service price for those customers who choose not to purchase one. MediaOne Express is
currently available to about 725,000 households in 89 communities throughout Massachusetts and
New Hampshire.

"We are very proud and excited by this first-time-ever partnership to provide consumers with a choice
in purchasing a cable modem through a national retailer such as Circuit City," said Linda Laskowski,
Regional Vice President of Broadband Communications and Telephony. "This gives us the opportunity
to provide awareness and demonstrations of this amazing service throughout a widespread area."

"Our retail territory mirrors MediaOne's extensive service area for high-speed Internet service here in
New England, and we're enthusiastic about this pioneering venture to provide customers additional
choice in modem technology," said Rick Souder, assistant vice president of merchandising for Circuit
City.

"The demonstration and sale of NETGEAR cable modems in Circuit City stores around New England
is a great opportunity for consumers to experience the speed and power of MediaOne Express," said
Patrick Lo, vice president of NETGEAR.

"Working with NETGEAR, Circuit City, and MediaOne to jump start retail distribution of cable
modems to consumers is complementary to the success the Broadband Technology Division has
achieved selling directly to cable operators," said Karl May, vice president and general manager of
Bay Network's Broadband Technology Division.

MediaOne Express provides a continuous, direct link to the Internet for a customer's computer
through MediaOne's fiber optic Interactive Broadband network -- the same network used for
television service -- eliminating the need for additional phone lines. It's fast, simple and convenient.

MediaOne Express service includes:
-- high-speed unlimited access time to the Internet;
-- free multimedia tool kit, including customized Web browser and
plug-ins, e-mail, and newsgroups;
-- personal Web page;
-- mobile access for away-from-home Internet/e-mail connection (currently
available as a trial);
-- a continuous connection to MediaOne's Interactive Broadband network;
and
-- free e-mail and online help, and telephone support seven days a week,
24 hours a day.

The enormous capacity of Broadband technology allows MediaOne to simultaneously deliver to the
home high-speed Internet service to a customer's computer, Digital Telephone Services, up to 100
channels of cable programming and interactive program guides. Interactive Broadband services are
made possible through MediaOne's ongoing network upgrade, which includes the installation of fiber
optics. By the end of the year, MediaOne will have invested $1 billion in Broadband network
improvements in the Northeast.

Founded in 1949, Circuit City Stores, Inc. is the nation's largest retailer of brand-name consumer
electronics and major appliances and leading retailer of personal computers and music software. With
headquarters Richmond, Va., Circuit City operates 514 Superstores, four consumer electronics-only
stores and 50 mall-based Circuit City Express stores throughout the United States. Consumers can
learn more about Circuit City by accessing the company's website at www.circuitcity.com.

MediaOne, the nation's leading Broadband services company, provides entertainment, information,
and communications services to about 5 million customers in 17 states. MediaOne Group (NYSE:
UMG) is one of the world's largest broadband communications companies, bringing the power of
Broadband and the Internet to more than seven million customers in the United States, Europe and
Asia. The company also has interests in some of the fastest-growing wireless communications
businesses outside the U.S., serving nearly three million customers. For 1997, the businesses now part
of MediaOne Group produced $6.6 billion in proportionate revenue.

CIRCUIT CITY LOCATIONS FOR MEDIAONE EXPRESS

Demonstration Sites

MASSACHUSETTS

Braintree, MA
250 Granite Street
Burlington, MA
84 Middlesex Turnpike

Danvers, MA
4-6 Newbury Street

Dartmouth, MA
456 State Road

Dedham, MA
350 Providence Highway

Hanover, MA
1755 Washington Street
Hanover Mall

Holyoke , MA
33 Holyoke Street

Natick, MA
1450 Worcester Road

North Attleboro
190 S. Washington Street

Saugus, MA
607 Broadway

Seekonk, MA
179 W. Highland Ave.

Somerville, MA
65 Mystic Avenue

Springfield, MA
510 Parker Street

NEW HAMPSHIRE

Manchester, NH
110 S. Willow Street

Nashua, NH
224 D.W. Highway

Portsmouth, NH
1700 Woodbury Ave

Salem, NH
428 S. Broadway Street

SOURCE MediaOne

/CONTACT: Rick Jenkinson of MediaOne, 978-683-5500, ext. 2145,
rjenkinson@mediaone.com; or Morgan Stewart of Circuit City, 804-527-4003,
morgan_stewart@ccnotes.ccty.com; or Don Gross of Bay Networks, 210-979-2155,
dgross@baynetworks.com/

/Web site: circuitcity.com

/Web site: mediaoneexpress.com

/Web site: mediaone.com

(UMG)

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