First Avenue Networks and WindChannel Communications Partner on Hybrid Network Marriage of Licensed and Unlicensed Forms Ideal Business Model CHARLOTTESVILLE, Va. and RALEIGH, N.C., June 2 /PRNewswire-FirstCall/ -- First Avenue Networks (OTC:FRNS) (BULLETIN BOARD: FRNS) , the holder of one of the nation's most expansive portfolios of licensed spectrum, and WindChannel Communications, a Raleigh-based provider of high-speed wireless Internet connectivity and data transfer services, today announced the build-out of WindChannel's licensed fixed wireless network. WindChannel Communications is leasing spectrum from First Avenue Networks to cost-effectively build out its hybrid networks in six markets throughout North Carolina and South Carolina. WindChannel is using licensed spectrum for multiple applications, such as aggregating pops and providing building-to- building connectivity for metro customers, enterprise connectivity, customer access and backhaul. "Having easy and affordable access to First Avenue Networks' licensed spectrum has enabled us to optimize our network," said Randy Choplin, chairman and CEO, WindChannel Communications. "The ability to cost-effectively utilize licensed spectrum for numerous applications throughout our network gives us extreme flexibility to better meet the needs of our customers." Background - WindChannel Communications A fixed wireless broadband provider, WindChannel is focused on building out the next generation of WiMax networks. It has a rapidly growing subscriber base, which is comprised of medium to large enterprises, city and municipality private networks and carriers seeking last mile local loop solutions to connect to their customers. WindChannel utilizes a hybrid of networking infrastructure and wireless and wireline technologies, including fiber, 5.8 GHz unlicensed spectrum, emerging 802.16 WiMax equipment and First Avenue Networks' 39 GHz licensed spectrum. Prior to leasing licensed spectrum from First Avenue Networks, WindChannel was primarily using unlicensed spectrum for last mile connectivity. The need to build out a secure, carrier-class backbone and cost-effective point-to-point connections attracted WindChannel to First Avenue's offering. WindChannel is also utilizing licensed spectrum to provide building-to- building connectivity for municipalities looking for an economical way to create fiber extensions. It installed a "wireless fiber" connection between The City of Raleigh's municipal buildings, connecting the main location, which has voice and data facilities, to a new building located a mile away. Replacing the Telco interface with First Avenue's licensed spectrum enabled this customer to save upwards of $3,000 to $5,000 a month in carrier facilities charges. The Impact of First Avenue Networks' Licensed Spectrum The easy and cost effective option of leasing licensed spectrum parlayed into a number of networking advantages for WindChannel. By utilizing licensed spectrum to connect facilities and increase network stability and reliability, WindChannel was able to migrate the use of unlicensed spectrum almost exclusively to connecting end users. The company can now deploy links using the most appropriate spectrum, thus creating its ideal business model. "We always knew that our perfect business model would involve the marriage of licensed and unlicensed, but the economics were never in place," added Choplin. "First Avenue's Express Link lease offering created an affordable means to utilizing licensed spectrum. The ability to create carrier-class, 'wireless fiber links' is what truly enables us to run an economical, hybrid network." "At First Avenue Networks, we are focused on stimulating industry growth," said Dean Johnson, president and CEO, First Avenue Networks. "Our objective is to facilitate expansion for service providers, a fact which is exemplified in our work with WindChannel. We have designed offerings that enable service providers to fill emerging market needs as they discover the economics behind building hybrid networks." "The ability to lease through First Avenue will enable us to economically deploy hundreds of links to connect our facilities using licensed spectrum, which will conserve our unlicensed spectrum for end-user connectivity. This mix-and-match capability is what drives the efficiency, profitability and high-quality performance of a hybrid network," Choplin concluded. First Avenue Networks launched the industry's first spectrum leasing products, Express Link and Express Net, immediately following the FCC secondary markets ruling in October 2003. The products were developed to enable service providers to easily and cost-effectively integrate licensed fixed wireless into their networks. About First Avenue Networks First Avenue Networks (OTC:FRNS) (BULLETIN BOARD: FRNS) , the holder of one of the nation's most expansive 39 GHz license portfolios, is committed to providing the fastest, simplest, most cost-effective way for telecommunication providers to build reliable, high-speed networks. First Avenue Networks' 39 GHz licensed spectrum leasing products, Express Link and Express Net, simplify and reduce many of the barriers traditionally associated with deploying fixed wireless broadband networks. First Avenue Networks holds over 750 FCC-issued licenses for 39 GHz spectrum, covering virtually the entire United States. For more information, please visit the company's web site at http://www.firstavenet.com/ or call (301) 524-5900. About WindChannel Communications WindChannel Communications, headquartered in Raleigh, N.C., provides businesses throughout the Southeast with high-speed Internet connectivity and data transfer solutions. The company has constructed a carrier class IP network that deploys next generation broadband wireless technologies to deliver bandwidth without wires. WindChannel combines leading-edge technology with world-class customer care to meet the rising demand for secure, reliable and flexible bandwidth solutions faster and more affordably than traditional wireline providers. To learn more about fixed wireless broadband technology or WindChannel Communications, visit http://www.windchannel.com/ or call 919-532-0435. The above information includes forward-looking statements regarding securities trading and provision of services. These statements are not guarantees of future performance. Known and unknown risks, uncertainties, and other factors, including without limitation, capital constraints, changes to the strategy and business plan, customer demand, technological risks, ability to manage growth, competition and government regulation may cause actual results to differ materially from the future results implied or expressed in the forward-looking statements. The Company does not undertake to update or revise its forward-looking statement publicly even if experience of future changes make clear that any projected results expressed or implied herein will not be realized. DATASOURCE: First Avenue Networks CONTACT: Linda Pitt of GAJ Services Inc., +1-859-291-1005, , for First Avenue Networks; or Evans Mullan of First Avenue Networks, +1-301-524-5900, ; or Tom Darden of WindChannel Communications, +1-919-532-0435 ext. 234, Web site: http://www.firstavenet.com/ http://www.windchannel.com/

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