Press Release

PETALUMA, CA—September 7, 2011—Calix, Inc. (NYSE: CALX) today announced that Southeast Nebraska Communications, Inc. (SNC) and Peoples Telecommunications, LLC (Peoples) have selected the Calix Unified Access portfolio to bring advanced broadband services to residences, businesses, and anchor institutions in southeast Nebraska and Kansas respectively. Both companies will deploy gigabit passive optical network (GPON) technology across Calix access systems and the 700GE family of optical network terminals (ONTs) to deliver broadband speeds of up to 1 gigabit per second (Gbps) to underserved rural areas in these states. SNC has selected the Calix B6 Ethernet Service Access Node (ESAN) to complement B6s already deployed widely in their network. Peoples, a new Calix customer, has selected the Calix E7 Ethernet Service Access Platform (ESAP) to move the company Fiber Forward. These two awards amount to more than $19 million in awarded Stimulus funds, of which only a portion is for access equipment. Across the states of Kansas and Nebraska, Calix has now been selected as access vendor to 9 individual projects totaling nearly $148 million in awarded funds.

SNC is using its $11.3 million Broadband Stimulus award, which consists of a $7.9 million grant and a $3.4 million loan, of which only a portion is for access equipment, to offer advanced broadband services to its rural customers outside of the town of Falls City, Nebraska. The project will leverage the B6 and the 700GE family of Optical Network Terminals (ONTs) to provide advanced voice and data services to approximately 3,000 people, 50 businesses, and 20 community institutions.

“Access to robust broadband services has become a necessity, and we’re excited to have the opportunity to bring fiber to the rural communities we serve,” said Ray Joy, vice president and general manager at SNC. “With this award, we are implementing one of the nation’s most advanced communications infrastructures with nearly unlimited capacity. This network will not only allow for remarkable expanded phone and internet services to our subscribers now, but also for new applications that our subscribers will desire in the future.”

Peoples will use its $7.8 million award, which consists of a $3.9 million grant and a $3.9 million loan, of which only a portion is for access equipment, to provide high-speed broadband services to the rural areas outside of LaCygne, Kansas. Its fiber access network will leverage the E7 ESAP along with the 700GE family of ONTs to bring advanced voice and data services to the region.

“Our Broadband Stimulus award will allow us to extend our fiber access network into the most rural areas of our LaCygne exchange, providing advanced broadband services to areas that otherwise would have been cost prohibitive to serve,” said Kathy Billinger, CEO and general manager of Peoples. “We expect this network expansion will deliver significant new opportunities for the deserving citizens of these rural areas. In Calix, we’ve found an experienced partner who can help us bring these critical advanced services to our region.”

“We’re proud to be working with SNC and Peoples to bring the promise of fiber to their subscribers,” said John Colvin, vice president of field operations at Calix. “As we’ve seen in dozens of deployments across the country, these initiatives are truly transformative to the regions they impact, bringing the potential for powerful quality of life improvements and economic stimulus to the rural communities served.”

With today’s announcement, aggregate Calix vendor selections by Broadband Stimulus winners for “last mile” and “middle mile” awards have now reached 69 different projects representing approximately $1.3 billion in Stimulus-related grants, loans, and private investment for plant engineering, materials, labor, and other costs, including access equipment.

Press Release

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