January 2, 1999

Rochester Telephone Company, Inc.

 

YEAR 2000 COMPLIANCE

STATEMENT

Rochester Telephone Company, Inc. is committed to providing superior products and services through state-of-the-art technology and timely responses to our customers concerns. The upcoming millennium will present unique challenges for everyone including the telecommunications industry.

Rochester Telephone has successfully responded to technological changes for over 100 years. We expect to be Year 2000 compliant in all areas of our business that affect our customers, our shareholders and our employees. Vendors that supply Year 2000 sensitive products and services to us have either completed their Year 2000 compliance efforts or have provided us with documentation that they are proceeding with the developments necessary to meet the requirements for compliance well in advance of January 1, 2000, as follows:

Central Office Switching Equipment

The central office switching equipment was installed in July 1997 and is manufactured by Siemens Telcom Networks with U.S. headquarters in Boca Raton, Florida. The system is manufactured in Lake Mary, Florida. Siemens has certified to us that the software upgrade to address Year 2000 has been developed and factory tested. The upgrade has been released for installation and is scheduled to be installed and field tested at Rochester Telephone in the 2nd quarter of 1999.

Voice Mail

The Voice Mail offering is manufactured by Centigram Communications with corporate headquarters in San Jose, California. Centigram has certified to us that software solutions to address Year 2000 has been developed and factory tested and that the software upgrade will be available for installation in the 1st quarter of 1999.

Information Management Systems

Customer Management, Billing, Accounting & Financial Management, Plant Records and Inventory programs are an integrated system developed by Martin & Associates located in Mitchell, South Dakota. Martin’s has certified to us that the financial system and the billing programs are already compliant and that accounting and billing systems compliance will be completed by July 15, 1998

Customer Premises Equipment

A variety of customer premises equipment has been installed over the years. This equipment is not date sensitive.

For further information or specific questions please call Alan B. Terrell at 219-223-0192 or Alan.Terrell@rtc1.com.

THIS IS A YEAR 2000 READINESS DISCLOSURE

 

Rochester Telephone Company, Inc.

Year 2000 Program

Report

June 4, 1999

The Rochester Telephone Company, Inc. Year 2000 Program compliance process consists of the following three phases:

Inventory and Assessment

This phase involved a survey of any equipment and software that might be date sensitive. This phase of our program is complete. We have categorized our Year 2000 issues into three areas (see Attachment A):

Remediation and Compliance

This phase required us to determine if each item was date sensitive, already compliant or needed some action to bring it in to compliance. In most instances we received written confirmation of compliance status. Many of these date back several months and describe the compliance planning by our various vendors and service suppliers. All of our mission critical issues involving software upgrades have been completed.

Contingency Planning

We continue to develop this phase of our Year 2000 plan. Much of this involves verification of balances in our accounting, billing, plant records systems, bank accounts and investment accounts. Hard copies will be printed at the close of business on or near December 31. Other important plans include standby scheduling for key personnel, alternative power sources in the event of electric, natural gas and water utility failures.

Attachment A

Year 2K

Compliance Issues

Telecommunications Products and Services

Internal Computer Information Systems

Infrastructure