1. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net IBEC, Inc. 285 Dunlop Blvd, Suite K Huntsville, AL 35824 256.492.1000 www.ibec.net Rural TeleCon ‘07 Introduction to IBEC’s BPL Solutions

2. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Overview IBEC’s Experience in Industry IBEC’s Equipment and Investment Estimates IBEC’s Market Focus and Potential BPL Outlook Questions

3. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net IBEC’s Experience in Industry Established in 2003 for BPL; ISP Services Since 1995 Offices in Huntsville and Hokes Bluff, AL Full-service Internet Service Provider, Serving Over 5,000 Customers in Northern Alabama and Georgia Existing ISP & Service Relationships with Utilities mostly Electric Cooperatives BPL 1 st deployed in October of 2002 Two commercial deployments- VA and IN, passing some 1,500 homes, via approximately 170 mile of power line, (average density is 9 homes/mile) and 300+ paying customers

4. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Model - Full-Service ISP Solutions at Competitive Prices With Modest Financial Investment by the Utilities Turnkey Solution - IBEC Provides Equipment and Services Utility Provides Infrastructure and Customers Technology Delivers Fully-IP-Based, DS2 Based BPL wired connectivity and Wi-Fi Internet Solutions to Utilities & Their Customers Solutions are Optimized for Low-Density Marketplace Electric Cooperatives and Rural Utilities are IBEC’s Ideal Partners IBEC’s Experience in Industry

5. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net DNS / Billing Servers Interne t OC-3 n x 45 Mbps Power Substation MV Distribution Feeders (3-4) 4-36 KV MV Power Distribution Lines Regenerator Unit IP-based broadband Internet access over the existing electric power distribution network Data Voice Video Security Typical Residential Consumer Distribution Transformer & LV Secondary Wireless Router Ethernet or USB To Other Customers The BPL System consists of the: 1. Head End / ISP Access Connection 2. Substation Router/Couplers 3. Regenerator Units 5. Wireless Router Router / Gateway PSTN n x T1 PRI Voice Regional Communications Center Or Utility Office To Other Substations Fiber 1 2 3 5 Substation Detail Router Head-End Modem & Fiber Xcvr Fiber MV Coupler Fiber 802.11 Wi-Fi Regenerator Unit Wireless Hybrid BPL Network IBEC’s Experience in Industry

6. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Awarded $19.2 Million Loan from RUS Broadband Program in August 2005 (RUS’s 1 st BPL Loan) Loan to fund deployment in 3 Cooperatives (Cullman AL, Central VA, and South Central IN) passing 105,000+ homes Submitted 2 nd Application for $50+ Million in September 2006 to deploy 13 additional Electric Cooperatives passing more than 200,000 homes Currently working on 3 rd Application with expectation of 20+ additional Cooperatives and approximately 400,000+ homes – to be submitted by mid 2008 IBEC’s Experience in Industry

7. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Tremendous Growth being experienced in BPL industry today Long-term benefits exist beyond broadband data services Current products offer bandwidth up to 80Mb of usable data throughput, but like all IT, even greater things to come – SOON Power lines are the only truly ubiquitous “wires to the home” IBEC’s Experience in Industry

8. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Commercial Deployment Trial Deployment City of Manassas PPL Cinergy ConEd DQE PEPCO Southern Company Clyde Consumers Cullman Co-op Ameren South Central Indiana REMC RPU Lebanon Fayetteville Indianola Municipal OPPD APS Idaho Power Hawaiian Electric Sierra Pacific PG&E Santee Cooper Progress Energy Solvay Electric Chelan PUD Douglas PUD Duke Central Virginia Electric Co-op AEP SMECO Avista New Horizon Bowling Green Orange & Rockland City of Salem City of Sherril Habersham EMC HILCO Co-op United Illuminating Northeast Utilities Courtesy: City of Burnet City of Weimar CenterPoint LADWP San Diego Gas & Electric Princeton IBEC’s Experience in Industry

9. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Overview IBEC’s Experience in Industry IBEC’s Equipment and Investment Estimates

10. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net  IBEC Licenses Patented BPL Coupling & System Architecture Technology  IBEC Has Four (4) Pending U.S. Patents: – BPL Regenerator System Architecture – Enhanced MOV Capacitive Coupler Improvements and Methods – Method of Coupling BPL Signals to Underground MV Power Lines – High-Performance Impedance-Matching Device and Methodology  International Patent is Pending on the 2 nd -Generation Architecture  The Company Expects to File Additional Patent Applications on: – Feed Method for Delta Power Distribution Systems – BPL AMR integration – Additional New Technologies IBEC’s Equipment and Investment Estimates

11. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net OFDM Modulation Very Tolerant of Noisy Environments Seen in Power Lines Fixed Notching With Self-Notching Capability Remote Notching Capable (Required by FCC) IBEC’s Equipment and Investment Estimates

12. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net IBEC’s Equipment and Investment Estimates Access BPL Equipment BRU CAU

13. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net IBEC’s Equipment and Investment Estimates In-home / Customer Premises BPL Equipment

14. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net IBEC’s Equipment and Investment Estimates IBEC’s Patent-Pending BPL Coupling Technology

15. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net IBEC’s Equipment and Investment Estimates Medium- Voltage Access BPL Equipment Installation

16. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net IBEC’s Equipment and Investment Estimates The average Electric Cooperative has approximately 2,200 miles of distribution power lines The average Electric Cooperative has approximately 18,900 Members IBEC’s current medium-voltage products require signal regenerator placement approximately every half-mile IBEC projects a conservative ~ 20% Member subscription rate IBEC projections based on the above numbers correspond to an ~ $5 Million BPL investment per average Cooperative

17. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Overview IBEC’s Experience in Industry IBEC’s Equipment and Investment Estimates IBEC’s Market Focus and Potential

18. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Mission Statement “ To become the leading provider of Internet Protocol (IP)–based Broadband communications over electric Power Lines (BPL) to rural and underserved markets in North America ” IBEC’s Market Focus and Potential

19. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net  Electric cooperatives are private, independent, member- owned electric utility companies – Established in early 1900s to deliver at–cost electric service to rural consumers  There are 865 distribution electric cooperatives in the U.S. – Serve more than 39 million people and 17 million homes and businesses – Cover more than 2.4 million miles, which is 44% of the U.S. electric distribution grid and over 75% of the nation’s land mass – Span 47 states and more than 2,500 counties IBEC’s Market Focus and Potential

20. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Courtesy: NRECA Approximately 75% of the US Land Mass and 44% of the US Distribution Miles are Co-Ops IBEC’s Market Focus and Potential

21. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Rural Consumers Prefer to Receive Broadband from Their Cooperative Source: Touchstone Energy Broadband Internet Survey, 2003 IBEC’s Market Focus and Potential

22. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Rural vs. National Broadband Adoption Source: Pew Internet & American Life Project, 2004 IBEC’s Market Focus and Potential

23. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Overview IBEC’s Experience in Industry IBEC’s Equipment and Investment Estimates IBEC’s Market Focus and Potential BPL Outlook

24. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net BPL Market Growth Projections BPL is expected to grow by a compound annual growth rate (CAGR) of 106% from 2006 to 2012, with 33% of new broadband customers choosing BPL and 12% of existing broadband customers switching to BPL by 2012 (Research Reports International, 2005) BPL Outlook

25. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net IBEC has “signed” contracts equaling 07 projection BPL Outlook

26. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net (Aggregate Value of Achieved Intelligrid) Reliability Productivity Capacity Billions Safety Security Quality of Life Cost Environment Quality Why do Utilities want BPL? $671 Billion Source: Electric Power Research Institute Note: 20 year period Intelligence BPL Outlook

27. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net  BPL is a Growing, Viable “Third Wire” option for Broadband Delivery Anywhere, but especially applicable to Rural Areas  Industry is still Young and Growing; Opportunities Abound not only in U.S., but Worldwide  IBEC currently has 16 Electric Cooperatives under Contract passing some 200,000+ homes, of which ~86% currently have ONLY dial-up service as an Internet Option  IBEC has received RUS Broadband funding for 3 Co-Ops; 13 More are now in Application Review, with More to Follow  Electric Utility Applications are a Huge Long-term Opportunity BPL Outlook

28. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Overview IBEC’s Experience in Industry IBEC’s Equipment and Investment Estimates IBEC’s Market Focus and Potential BPL Outlook Questions ??

29. International Broadband Electric Communications 285 Dunlop Boulevard SW, Suite K – Huntsville, AL 35824 256-492-1000 – info@ibec.net Thank You Contact Information: International Broadband Electric Communications, Inc. 285 Dunlop Boulevard SW, Suite K Huntsville, Alabama 35824 Telephone: 256.492.1000 Facsimile: 256.456.1406 Email: Scott.Lee@ibec.net