FairPoint Communications 2004 Annual Report Download - page 6

• . As a result of our advanced network and switching infrastructure, we believe
that we offer the only comprehensive suite of communications services in our markets, including local and long distance voice,
data and Internet services. In addition, we offer enhanced features such as caller identification, call waiting, call forwarding,
teleconferencing, video conferencing and voicemail. We also offer broadband communications solutions to most of our
customers primarily through digital subscriber line technology.
• . We have an experienced management team that has demonstrated its ability
to grow our rural telephone business over the past decade. Our senior management team has an average of 19 years of
experience working with a variety of telephone companies. Our regional presidents have an average of 28 years of experience
in the communications industry. Our management team has successfully integrated 30 business acquisitions since 1993,
improving revenues and cash flow significantly while enhancing service quality and broadening service offerings.

The key elements of our strategy are to:
•. We are focused on increasing our revenues by introducing innovative product offerings and
marketing strategies for enhanced and ancillary services to meet the growing needs of our customers. Our long standing
relationships with our customers have helped us to successfully cross-sell broadband and value-added services, such as digital
subscriber line, long distance, Internet dial-up, voicemail and other services. We will continue to evaluate and implement
technologies that will allow us to offer new products and services.
• . We have achieved significant operating efficiencies by
applying our operational, regulatory, marketing and management expertise to our acquired businesses. We intend to continue
to increase our operating efficiencies by consolidating various administrative functions and implementing best practices across
all of our regions. For example, we have begun to integrate our six billing systems into a single, outsourced billing platform,
which will allow us to improve our customer service and enhance sales and marketing efforts. When completed, we plan to
use this platform to develop a number of centralized customer service and call centers and to create a significantly improved
customer data base. We believe that such call centers and customer data base will allow us to enhance our operating efficiency
and optimize our marketing initiatives.
•. We believe that our service driven customer relationships and long-standing local presence lead
to high levels of customer satisfaction and increased demand for enhanced and ancillary services. We continue to build long-
term relationships with our customers by actively participating in the communities we serve and by offering an array of
communications services and quality customer care.
• . We believe that our acquisition strategy has been successful because of our ability to
integrate acquisitions and improve operating efficiencies in the businesses we acquire. Our management team has
consistently produced strong operating cash flow improvements in our acquired businesses. We will continue to evaluate and
pursue acquisitions which provide the opportunity to enhance our revenues and cash flows.

On January 28, 2005, we effected a 5.2773714 for 1 reverse stock split of our class A common stock, par value $0.01 per share, which
we refer to as our class A common stock, and our class C common stock, par value, $0.01 per share, which we refer to as our class C
common stock.
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