XFONE Begins Construction of PRIDE Network

LUBBOCK, Tex.--(BUSINESS WIRE)-- XFONE, Inc. (NYSE Amex and TASE: XFN) (“XFONE” or “the Company”) held a ground breaking ceremony on Monday, October 11, 2010 to mark the official beginning of construction of its “PRIDE” Fiber-To-The-Premise network. The Pride network will encompass 19 Texas communities including Iowa Park and Burkburnett, Texas. A third portion of the network will bring next generation broadband to multiple Louisiana communities in the St. Helena, Washington and Tangipahoa Parish area. The groundbreaking ceremony, which took place in Burkburnett, Texas, was attended by local officials and media, as well as members of Xfone’s management team and local employees.

Brad Worthington, President, NTS Communications and XFONE USA, speaks with media attending the groundbreaking ceremony. (Photo: Business Wire)

Xfone’s PRIDE network was selected to receive an aggregate of $54 million in loans and $45.9 million in grants from the United States Department of Agriculture’s Broadband Initiative Program. PRIDE Network will use the funding to provide an FTTP telecommunications infrastructure, with a WiMAX service-extension overlay that will bring advanced broadband services to the Texas plains and southern Louisiana markets.

Guy Nissenson, Xfone President and Chief Executive Officer stated, “We are very excited to begin construction on our PRIDE network and look forward to bringing our voice, video and data service offerings to communities who have not previously had high speed internet access.“

Photos from the event are attached.

About XFONE, Inc.

A U.S.-domiciled corporation, XFONE is a holding and managing company with operations in Texas, Mississippi and Louisiana that offers a wide range of communications services which include: local, long distance and international telephony services; video; Internet services; and reselling opportunities.

Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=6464310&lang=en

CONTACT:

US IR:
Institutional Marketing Services (IMS)
John G. Nesbett/Jennifer Belodeau
1-203-972-9200.
E-mail: jnesbett@institutionalms.com
or
XFONE, Inc.
Niv Krikov, CFO
1-806-771-1181
E-mail: niv@xfone.com

KEYWORDS:   United States  North America  Louisiana  Mississippi  Texas

INDUSTRY KEYWORDS:   Technology  Internet  Networks  Telecommunications  Other Technology

MEDIA:

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XFONE President & CEO Guy Nissenson at the PRIDE Network groundbreaking. (Photo: Business Wire)

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Brad Worthington, President, NTS Communications and XFONE USA, speaks with media attending the groundbreaking ceremony. (Photo: Business Wire)

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PRIDE Network groundbreaking in Burkburnett, Texas. (Photo: Business Wire