PVT and La Jicarita move Fiber Forward to deliver advanced broadband to rural New Mexico
PETALUMA, CA―June 20, 2011―Calix, Inc. (NYSE:CALX, news, filings) today announced that two New Mexico Broadband Stimulus award winners –Penasco Valley Telecommunications(PVT) and La Jicarita Rural Telephone Cooperative (La Jicarita) – have each selected the Calix Unified Access portfolio to bring advanced broadband services to their rural subscribers in southern and northeastern New Mexico respectively. Both PVT and La Jicarita are moving Fiber Forward in their networks, pulling fiber deep into "unserved" communities to bring extremely fast broadband services and new opportunities to their subscribers. In aggregate, these awards amount to more than $21.4 million in overall funds and consist of $13.1 million in grants and $8.4 million in loans which include plant engineering, materials, labor, and other costs, including access equipment. The awards to PVT and La Jicarita bring the total number of Calix awarded Broadband Stimulus projects in the state of New Mexico to five projects, totaling approximately $64.8 million in overall funds.
La Jicarita will use its $11.9 million award, which consists of a $8.3 million grant and a $3.6 million loan, of which only a portion is for access equipment, to offer ultra high-speed broadband services to subscribers in Mora, New Mexico and the surrounding area. The Ethernet Extensible Architecture (EXA) Powered E7 Ethernet Service Access Platform (ESAP) and 700GE family of ONTs will utilize Active Ethernet technology to deliver broadband speeds of up to 1 gigabit per second (Gbps) to subscribers. 10 gigabit Ethernet (10GE) transport technology will interconnect this network with other La Jicarita facilities. Approximately 3,000 people, 40 businesses and eight community institutions stand to benefit from this broadband project. La Jicarita will also be deploying the E7 and 700GE ONTs for a non-Broadband Stimulus fiber access build-out in its exchange in Wagon Mound, New Mexico.
"Advanced broadband services are critical to the quality of life and economic development of the rural communities that we serve," said Danny Gray, manager at La Jicarita. "Our Fiber Forward initiatives will allow us to bring a world-class broadband infrastructure to parts of northeastern New Mexico that, in some cases, only have access to dial-up. Calix is helping us to bring new opportunities to our rural subscribers, and we expect these projects to be truly transformative to each of these communities."
PVT will use its $9.6 million award, which consists of a $4.8 million grant and $4.8 million loan, of which only a portion is for access equipment, to provide advanced high-speed broadband to "unserved" areas of its incumbent local exchange carrier (ILEC) territory. PVT is also moving Fiber Forward, pulling fiber deeper into its network to deliver advanced broadband services over asynchronous digital subscriber line two plus (ADSL2+) technology. The Calix E5-111 Ethernet Service Access Nodes (ESANs) will deliver the ADSL2+ technology to subscribers over the last mile copper infrastructure, while E7-2 ESAPs will provide aggregation and 10GE transport and the C7 Multiservice Access Platforms (MSAPs) will provide both Gigabit Ethernet transport and voice gateway support. The Calix Management System (CMS) will provide Unified Access management across the entire portfolio.
"We are excited for the opportunity that this Stimulus award provides us to bring advanced broadband services to previously 'unserved' portions of our network," said Glenn Lovelace, chief executive officer at PVT. "These new services will provide a host of new opportunities to the citizens of southern New Mexico. As the leader in enabling rural broadband services, we are confident that our partnership with Calix is the right choice in making our vision a reality."
"We would like to congratulate both PVT and La Jicarita, as well as the other New Mexico Broadband Stimulus winners who have chosen the Calix Unified Access portfolio, on their bold aspirations to bring advanced broadband services to some of the country's most rural areas," said John Colvin, vice president of field operations at Calix. "Calix is proud to be a key partner to these service providers in bringing the opportunity for advanced broadband services to over 750,000 New Mexicans, and we look forward to bringing each of these critical projects to fruition."
With today's announcement, aggregate Calix vendor selections by Broadband Stimulus winners for "last mile" and "middle mile" awards have now reached 57 different projects representing approximately $1.1 billion in Stimulus-related grants, loans, and private investment for plant engineering, materials, labor, and other costs, including access equipment.
Calix (NYSE: CALX) is a global leader in access innovation. Its Unified Access portfolio of broadband communications access systems and software enable communications service providers worldwide to be the broadband provider of choice to their subscribers. For more information, visit the Calix website at www.calix.com.
This press release may contain forward-looking statements that are based upon management's current expectations and are inherently uncertain. Forward-looking statements are based upon information available to us as of the date of this release, and we assume no obligation to revise or update any such forward-looking statement to reflect any event or circumstance after the date of this release, except as required by law. Actual results and the timing of events could differ materially from current expectations based on risks and uncertainties affecting the Company's business. The reader is cautioned not to unduly rely on the forward-looking statements contained in this press release. Additional information on potential factors that could affect Calix's results and other risks and uncertainties are detailed in its report on Form 10-Q for the fiscal quarter ended March 26, 2011, filed with the SEC on April 29, 2011, available at http://www.sec.gov.