SureWest will deploy the award-winning Microsoft Mediaroom IPTV software platform to deliver an advanced TV service over its existing IP-based fiber-to-the-home and copper networks in the greater Sacramento, CA region. The innovative television service is expected to be available to new customers by the end of 2009 and, combined with other recent advances in technologies, will enable SureWest to offer enhanced video services to an additional 25,000 marketable homes that currently receive only the company's telephone and high-speed Internet services. SureWest will reach 15,000 additional homes with video services in December 2009 and an additional 10,000 by the second quarter of 2010 for a total of 25,000.

The deployment of Microsoft Mediaroom, with its intuitive on-screen Guide and user interface, will enhance SureWest's current broadband triple-play offering. Mediaroom supports advanced features like:

• Whole Home DVR for watching recorded shows on any TV in the house
• The ability to watch and record up to four channels at one time
• Third party applications such as DVR remote scheduling and Caller ID on TV
• HD VOD, lightning-fast channel change and multiview capabilities
• Media-sharing to link photos and music from a PC to the TV
• The ability to offer cutting-edge TV applications that support rich interactivity and seamless blending of Web content and services with broadcast TV