Mpower Holding Refutes Baseless Lawsuit
Rochester, NY - August 2, 2001 - Mpower Holding Corporation, (Nasdaq: MPWR), the parent company of Mpower Communications, a provider of broadband high-speed Internet access and telephony services to business customers, today, stated that it has been named in a judicial complaint, seeking declaratory relief for certain obligations to Fir Tree Partners, a bondholder of the Company.
Mpower believes that the lawsuit is without merit and is a groundless attempt to force the company to unfairly prefer one holder to the detriment of all creditors and shareholders. The company rejects all assertions made by Fir Tree in its complaint, and will vigorously defend its position. Mpower had $435 million in cash at the end of the first quarter of 2001, and in May announced a fully funded business plan when the company stated it was closing 12 markets.
"We will not let Fir Tree's stated willingness or desire to become a nuisance factor affect or divert our attention from executing on our business plan," said Mpower Communications Chief Executive Officer Rolla P. Huff.
About Mpower Holding Corporation
Mpower Holding Corporation (Nasdaq: MPWR) is the parent company of Mpower Communications, a facilities-based broadband communications provider offering a full range of data, telephony, Internet access and Web hosting services for small and medium-size business customers. Further information about the company can be found at www.mpowercom.com.
