Madison River Communications

For Immediate Release: February 21, 2000
Mebane, North Carolina

MADISON RIVER COMMUNICATIONS ANNOUNCES SENIOR NOTE BOND OFFERING AND ADDITIONAL EQUITY COMMITMENT

Contact: Craig Stapel, (919) 563-8333 or Kevin Hancock, Marketing Manager, Madison River Telephone Company, (919) 563-8227

MEBANE, NC -- On February 21, 2000, Madison River Communications announced the completion of a $200,000,000 senior note debt offering by two affiliates, Madison River Capital, LLC, and Madison River Finance Corporation.

The underwriters of the offering include Goldman, Sachs & Co., Morgan Stanley Dean Witter, Chase Securities Inc., and Bear, Stearns & Co. Incorporated.

The company also announced an additional equity commitment of $24,000,000 from its current equity investors, Madison Dearborn Partners, Inc., Goldman, Sachs & Company, Providence Equity Partners, and members of management

Madison River provides integrated communications solutions to the areas it serves as both an incumbent provider and an emerging competitive provider of voice and data communications, including local, high speed Internet access, enhanced data, DSL, long distance, 800 services, and custom calling features.

Founded in 1996, Madison River has experienced dramatic and sustained growth since its inception. With the anticipated second quarter acquisition of Georgia based Coastal Utilities, Inc., Madison River's telephone access lines total will climb to nearly 189,000. Madison River provides long distance services to over 34,000 customers and Internet access service to over 22,000 customers. The combination of the debt offering, the Coastal acquisition, and the additional equity commitment will bring Madison River Telephone Company's total capitalization to over $900,000,000. The addition of Coastal will further the company's goal to provide integrated communications services to customers through Madison River's 2,200 route mile Fiber Optic network spanning the southern United States, connecting Atlanta, New Orleans, Houston and Dallas and its 500 route mile network stretching throughout the Piedmont of North Carolina.

Madison River, LLC is a holding company created to acquire, operate and enhance rural telephone companies, and to use advanced technology to provide competitive communications services in nearby markets. Headquartered in Mebane, NC, the company is owned by affiliates of Madison Dearborn Partners, Inc., Goldman, Sachs & Company, Providence Equity Partners, and members of management.