Axia Wins New Network in Dunkerque



    CALGARY and PARIS, Feb. 9 /CNW/ - Axia NetMedia Corporation ("Axia")
today announced that Covage, its joint venture with VINCI Networks has been
awarded the network contract for another Délégations de Service Public ("DSP")
in France.
    Dunkerque Grand Littoral Networks ("DGL Networks") is located in northern
France. Dunkerque has a population of 210,000 and consists of 18 communities,
the largest being the city of Dunkerque with 70,000 inhabitants. Dunkerque is
the third largest seaport in France with steel, food processing, oil refining,
ship building and chemical industries located there. The seaport will make its
infrastructure (e.g. ducts) available to DGL Networks.
    Construction is scheduled to begin in June 2009 and is expected to be
completed by June 2010. When completed, it will connect 11 central government
offices, 50 business parks and 300 publicly owned sites. The network will have
162 kilometres of infrastructure including 120 kilometres to be built and 40
kilometres of existing infrastructure including the seaport's ducts. There is
also a possibility that the DSP could be extended to operate a 25,000 home
Fibre to the Home network currently being built in part of the Dunkerque
Community.
    DGL Networks has been awarded a 22-year renewable service contract and
will add 3,000 business sites to Covage's addressable market for a total
addressable market of 34,000 sites. DGL Networks is close to Covage's existing
network in Arras and will be managed by the same operations and business team.
    After receipt of government grants, the net capital investment by Covage
will be 10.0 million Euros which includes funds for operating costs during the
start-up phase as well as contingencies. Covage currently owns 100 percent of
the DSP with an ownership target of 70 percent based on an investment in the
DSP by an institution based in France. Axia's net capital commitment to Covage
for its 100 percent ownership of DGL Networks will be 5.0 million Euros or
approximately $7.9 million Canadian. The network infrastructure funds will be
advanced as construction of the network proceeds over the next 18 months.
    Jean-Michel Soulier, President, Axia Networks France commented, "Covage
now has 13 networks which greatly enhance our competitive position in France
as we continue to look for opportunities that complement our existing
operations. We continue to strengthen our service offering to our current and
prospective customers and differentiate ourselves from our competitors by
offering guaranteed levels of service which allows us to attract and retain
retail service providers."
    Axia provides Real Broadband(TM) IP services and solutions through
planning, designing and operating no conflict Open Access Next Generation
Networks. Axia has networks in Alberta, France and Singapore. Axia trades on
the Toronto Stock Exchange under the symbol "AXX".

    This News Release contains forward looking statements, including, without
limitation, statements containing the words "should", "believe", "anticipate",
"may", "plan", "will", "continue", "intend", "expect", "estimate" and other
similar expressions which constitute "forward looking information" within the
meaning of applicable Canadian securities laws. These statements are based on
our current expectations, estimates, forecasts and assumptions about the
operating environment, economies and markets in which we operate and are
subject to important assumptions, risks and uncertainties that are difficult
to predict. Examples of these statements would include those where Axia
forecasts its success and timing in winning new OAN NextGen contracts, the
timing of completion and estimated total costs of these networks, the revenues
and operating costs associated with these networks over time, and Axia's
ability to generate future cash flows and avail itself of other financing
alternatives given current market conditions. The assumptions, risks and
uncertainties that could cause actual results to differ materially from the
forward looking information, include, but are not limited to, changes in
customer markets, changes in demand for our services, our inability to deliver
services in a timely and cost efficient manner, technological change, general
economic conditions and other risks detailed from time to time in our ongoing
filings with the Canadian securities regulatory authorities, including those
in our Annual Information Form, which filings can be found at www.sedar.com.
Given these assumptions, risks and uncertainties, readers are cautioned not to
place undue reliance on such forward looking statements. Unless otherwise
required by applicable securities laws, we undertake no obligation to publicly
update or revise any forward looking statements either as a result of new
information, future events or otherwise.

    %SEDAR: 00002394E




For further information:

For further information: please visit Axia's website at www.axia.com, or
contact: Dawn Tinling, VP, Investor Relations and Communications, Axia
NetMedia Corporation, (403) 538-4074, dawn.tinling@axia.com

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