SOURCE: Calix, Inc.

Calix, Inc.

September 19, 2011 08:25 ET

Two South Dakota Broadband Stimulus Winners Select Calix for Regional Projects

TrioTel and Midstate Bring Advanced Broadband Services to Eight Rural Communities

PETALUMA, CA--(Marketwire - Sep 19, 2011) - Calix, Inc. (NYSE: CALX) today announced that two South Dakota Broadband Stimulus award winners -- TrioTel Communications (TrioTel) and Midstate Communications (Midstate) -- have each selected the Calix Unified Access portfolio to bring advanced broadband services to subscribers in unserved and underserved areas of South Dakota. Both TrioTel and Midstate are moving Fiber Forward in their networks, pulling fiber deep into rural communities and utilizing advanced fiber access technologies to bring extremely fast broadband services, including internet protocol television (IPTV), ultra high-speed data, and advanced voice over Internet protocol (VOIP) services, and new opportunities to their subscribers. In aggregate, these awards amount to nearly $21.4 million in overall funds, which include plant engineering, materials, labor, and other costs, as well as access equipment. The addition of the TrioTel and Midstate projects brings the total number of publicly announced Calix awarded Broadband Stimulus projects across the Dakotas to 11 projects, amounting to over $113 million in overall funds.

TrioTel will use its $12.3 million award, which consists of a $8.6 million grant and a $3.7 million loan, of which only a portion is for access equipment, to offer advanced broadband services over gigabit passive optical network (GPON) technology, including reliable session initiated protocol (SIP) VOIP services, advanced IPTV services using Innovative Systems, and high-speed data services capable of delivering up to 1 gigabit per second (Gbps) to the communities of Alexandria, Canova, Emery, Farmer, Salem, and Spencer, South Dakota, and their surrounding rural areas. TrioTel will leverage the EXA Powered Calix C7 Multiservice Access Platform (MSAP), as well as the 700GE family of optical network terminals (ONTs), to implement a world-class broadband infrastructure across these rural communities.

"This Stimulus award will truly benefit our communities, bringing a powerful broadband infrastructure that will promote business development, technology innovation, and job growth throughout our area," said Bryan Roth, general manager and CEO at TrioTel. "With a fiber network in place, our customers will have fast, high-quality Internet and access to the latest video technology. Calix is a key partner in the success of this initiative, bringing broadband-enabled opportunities that were not previously available to this region of South Dakota."

Midstate will use its award for nearly $9.1 million, which consists of a $6.4 million grant and a $2.7 million loan, of which only a portion is for access equipment, to provide advanced high-speed broadband across a point-to-point gigabit Ethernet network capable of delivering symmetrical speeds of up to 1 Gbps to subscribers in both the underserved and unserved areas of Chamberlain and Oacoma, South Dakota. Leveraging the Calix B6 Ethernet Service Access Node (ESAN) and the 700GE family of ONTs, Midstate is using this powerful broadband infrastructure to deliver advanced IPTV, ultra high-speed data services, and reliable voice services delivered over media gateway control protocol (MGCP).

"When it comes to today's advanced technology and broadband needs, the citizens living beyond the boundaries of the Chamberlain and Oacoma communities have historically been underserved, and in most cases, unserved," said Mark Benton, general manager at Midstate. "We have been searching for viable ways to close this gap, and these funds, in combination with Calix technology and expertise, allow us to bring the promise of further economic development to our area through the availability of advanced broadband."

"Both TrioTel and Midstate are great examples of the opportunities Broadband Stimulus awards can bring to a community through advanced fiber access networks," said John Colvin, senior vice president of North American field sales and marketing at Calix. "Working together with both customers, Calix has assisted in bringing two of the nation's most advanced broadband infrastructures to a group of rural communities in South Dakota. The over $100 million in investment being made in conjunction with the Broadband Stimulus program by TrioTel, Midstate, and the nine other winners with whom Calix is working across the Dakotas is truly impressive, and stands to position this region and one of the most connected in the world."

With today's announcement, aggregate Calix vendor selections by Broadband Stimulus winners for "last mile" and "middle mile" awards have now reached 72 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.

About Calix

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 June 25, 2011, filed with the SEC on July 22, 2011, available at http://www.sec.gov.

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