WAYNESBORO, Va.--(BUSINESS WIRE)--
Lumos Networks Corp. (“Lumos Networks” or the “Company”) (LMOS), a leading fiber-based service provider in the Mid-Atlantic region, continues to benefit from positive end market Enterprise demand trends in its Richmond, Virginia metro market.
Richmond is the 49th largest Metro market (MSA) in the United States and the Company estimates there is an addressable market of over $125 million in annual enterprise fiber data spend within one mile of the Company’s Richmond footprint. The Company expects continued growth of this addressable market due to increased spending by enterprises on mission-critical applications requiring fiber bandwidth connectivity and continued network expansion driven by success-based enterprise contract wins.
Robby Demeria, Executive Director of RVA Tech, the Richmond Technology Council said, "Establishing the region as a technology center is essential to our success. Lumos Networks' investment will further assist in making that vision a reality while addressing the ever-changing needs of our growing technology community."
The Company’s advanced fiber network in the Richmond Metro market has over 450 route miles with an average fiber density of approximately 175 strands. The most recent portion of our Richmond network, totaling approximately 340 miles, was completed in the spring of 2016 along with our Norfolk/Hampton Roads market. These fiber networks were underpinned by a 269 Fiber to the Cell (“FTTC”) site 13-year contract with a national US wireless operator.
“I am pleased with the progress and business pipeline of our Richmond fiber market,” said Timothy G. Biltz, President and CEO of Lumos Networks. “Given the large and growing addressable market in the Richmond metro area and our current enterprise market share of only approximately 2% within one mile of our footprint, we expect that Richmond will play a key role in achieving the Company’s target of doubling its Enterprise revenue to approximately $100 million over the next five years.”
Mr. Biltz continued, “We have seen immediate benefits from the addition of Conrad Hunter as the Vice President and General Manager of our Expansion Markets, including both Richmond and Norfolk. Conrad has extensive business experience in the Richmond market and since his hire on November 1st, we have energized the sales team and expanded our sales pipeline. We expect strong new sales growth in our Expansion markets as we finish out 2016 and head into 2017.”
About Lumos Networks
Lumos Networks is a leading fiber-based service provider in the Mid-Atlantic region serving Carrier, Enterprise and Data Center customers, offering end-to-end connectivity in 24 markets in Virginia, Pennsylvania, West Virginia, Maryland, Ohio and Kentucky. With a fiber network of 9,204 fiber route miles and 475,507 total fiber strand miles, Lumos Networks connects 1,297 unique Fiber to the Cell sites, 1,642 total FTTC connections, 36 data centers, including 7 company owned co-location facilities, 1,984 on-net buildings and approximately 3,300 total on-net locations. In 2015, Lumos Networks generated over $114 million in Data revenue over our fiber network. Detailed information about Lumos Networks is available at www.lumosnetworks.com.
SPECIAL NOTE FROM THE COMPANY REGARDING FORWARD-LOOKING STATEMENTS
Any statements contained in this presentation that are not statements of historical fact, including statements about our beliefs and expectations, are forward-looking statements and should be evaluated as such. The words “anticipates,” “believes,” “expects,” “intends,” “plans,” “estimates,” “targets,” “projects,” “should,” “may,” “will” and similar words and expressions are intended to identify forward-looking statements. Such forward-looking statements reflect, among other things, our current expectations, plans and strategies, and anticipated financial results, all of which are subject to known and unknown risks, uncertainties and factors that may cause our actual results to differ materially from those expressed or implied by these forward-looking statements. Many of these risks are beyond our ability to control or predict. Because of these risks, uncertainties and assumptions, you should not place undue reliance on these forward-looking statements. Furthermore, forward-looking statements speak only as of the date they are made. We do not undertake any obligation to update or review any forward-looking information, whether as a result of new information, future events or otherwise. Important factors with respect to any such forward-looking statements, including certain risks and uncertainties that could cause actual results to differ from those contained in the forward-looking statements, include, but are not limited to: our ability to complete the Clarity acquisition on a timely basis and the impact of the acquisition on our operations; rapid development and intense competition with resulting pricing pressure in the telecommunications and high speed data transport industry; our ability to grow our data business on an organic or inorganic basis in order to offset expected revenue declines in legacy voice and access products; our ability to obtain new carrier contracts or expand services under existing carrier contracts at competitive pricing levels to offset churn and achieve revenue growth from our carrier businesses; our ability to separate our legacy business on a timely basis; our ability to effectively allocate capital and timely implement network expansion plans necessary to accommodate organic growth initiatives; our ability to complete customer installations in a timely manner; adverse economic conditions; operating and financial restrictions imposed by our senior credit facility and our unsecured debt obligations; our cash and capital requirements; our ability to maintain and enhance our network; the potential to experience a high rate of customer turnover; federal and state regulatory fees, requirements and developments; our reliance on certain suppliers and vendors; and other unforeseen difficulties that may occur. These risks and uncertainties are not intended to represent a complete list of all risks and uncertainties inherent in our business, and should be read in conjunction with the more detailed cautionary statements and risk factors included in our SEC filings, including our Annual Report filed on Form 10-K.