LocalTel TV Subscribers

Dear LocalTel TV Subscribers,

Over the past few years, we have seen a dramatic increase in network and programming rates, and at the same time maintenance costs and operating expenses continue to rise. The is resulting in many companies being driven out of the TV and entertainment business, leaving subscribers with few options. While we remain committed to our customers and ensuring they have the very best in entertainment choices, unfortunately, we are forced to adjust our pricing at this time.

Beginning August 1st, TV tiers will be raised by the following:

• Expanded Cable Service - $4.00
• Digital Basic - $3.00
• Sports - $1.50
• Variety - $1.05
• Movie - $1.05
• Inspirational - $2.95
• HBO Premium - $1.25
• Cinemax Premium - $1.45
• HBO/Cinemax Combo - $2.00
• Starz/Starz Encore Combo - $2.00
• Showtime Premium - $2.00
• Starz Encore Premium - $1.10
• Starz Premium - $2.30
• Get It All - $6.00

Again, we value our TV customers and are dedicated to continue offering the award-winning quality of service you have come to expect from LocalTel Communications.

We appreciate your understanding.

Please call us at 888-8888 for more details or if you have any questions regarding this information.

Thank you,

LocalTel Communications Management