Primus Canada Supports Outcome of CRTC Decision on Essential Services

    CRTC decision strikes a fair balance and facilitates the orderly
    development of telecommunications networks

    TORONTO, March 6 /CNW/ - Following a detailed review of the CRTC's
Telecom Decision 2008-17, Primus Telecommunications Canada Inc. (Primus
Canada) today announced its support of the Commission's decision in the
Essential Services proceeding. The year-long process that included extensive
hearings which ended on December 7, 2007, involved proposals from the
incumbent telephone companies to scale back radically the scope of services
that they are mandated to sell to competitors.
    The established incumbent telephone companies argued that the Commission
should rely on industry negotiations to set prices for the wholesale services
under their control. Primus Canada is pleased that the Commission supported
the need to continue its incremental approach to network development in
Canada. In doing so, the Commission recognized that while many components of
telecommunications networks can, given the appropriate circumstances, be built
by competitors, the access networks, or the "last mile" into the consumer's
home, of the incumbent telephone and cable companies can never or economically
be duplicated by competitors.
    In its ruling, the Commission established a new, clear definition of
essential facilities and created six categories of incumbent wholesale
services, including associated pricing rules and phase out provisions that
together set an appropriate playing field for non-incumbent service providers
in Canada.
    "The decision by the CRTC reflects the essence of Primus Canada's
position to put consumers and competition first," said Ted Chislett, President
and Chief Operating Officer, Primus Canada. "By balancing the reliance on
market forces against the inherent impediments to competition, the CRTC's
decision will allow competition to continue and, in the end, customers will
benefit from new services and better value."
    Primus Canada believes that the greatest challenge to telecom competition
is the plan to remove regulatory oversight from most Competitor Digital
Network Services. The Commission established three and five-year transition
periods for high capacity access and transport services based on its findings
that there is, or will be, a sufficient number of alternatives available from
companies competing with the incumbent telephone companies. Primus Canada
believes this is an unrealistically short time in the telecom world within
which to build such infrastructure. Primus Canada will continue to be an
active participant in the ongoing dialog with the CRTC as the new regulatory
regime is applied to existing and future incumbent wholesale services.

    About PRIMUS Canada

    Primus Telecommunications Canada Inc. is the largest alternative
communications carrier in Canada. The Company offers facilities-based voice,
data, e-commerce, Web hosting, VoIP and broadband Internet services utilizing
ADSL2+ technology. Primus Canada's national network consists of nationwide
switches with international connectivity through its parent company's global
network, ATM and IP nodes, and colocation facilities at major cities across
the country. Primus Canada is also one of Canada's largest MVNO's (Mobile
Virtual Network Operator) offering Primus Wireless service. Primus Canada is a
wholly-owned subsidiary of McLean, Virginia-based Primus Telecommunications
Group, Incorporated (OTCBB: PRTL). Primus Canada news and information are
available at the Company's Web site at

For further information:

For further information: Jeannie Tsang, Media Profile, (416) 342-1815,; Ted Chislett, PRIMUS Canada, (416) 207-7011,

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Primus Telecommunications Canada Inc.

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