Bundle Growth and Rising Telephone Penetration Fuel Cox's 3RD Quarter Success Companywide
Atlanta, GA

ATLANTA -- Cox Communications today announced highlights of its 3rd quarter performance and noted it is celebrating the tenth anniversary of its pioneering bundle of video, telephone and high-speed Internet services this fall. Cox launched residential telephone service in Orange County, Calif., in September 1997 and digital cable a month later. Along with high-speed Internet, which was launched in December 1996, these services created the innovative three-product bundle of communications services.

"When Cox first entered the telecom business, skeptics thought consumers would never trust a cable operator to deliver their home telephone service," said Pat Esser, president. "However, the phenomenal response from consumers and numerous customer satisfaction honors we've received (including J.D. Power & Associates' recognition) have validated our decision to enter the phone business and underscore Cox's leadership in pioneering the bundle."

Cox gained nearly 370,000 new phone customers in the last 12 months, a 5% improvement in net gain over the same period ending Sept. 30, 2006. The company cited continued growth in mature markets and has now exceeded 25% phone penetration companywide. Today, sell-in of telephone to new customers is greater than 33%, and in Orange County, the company has greater than 50% share of the landline phone market.

Cox's early and strong commitment to excellence as a telephone and broadband service provider, bolstered by its industry-leading commitment to customer care, has fueled the company's ongoing success. In spite of increasing competition in the third quarter, Cox's digital suite of residential services continued to grow companywide. Key year over year growth metrics at the close of the third quarter include:

5.9 million total residential customer relationships; 1.65% growth
3.7 million bundled customers; 9.5% growth
2.3 million telephone subscribers; 19% growth
3.6 million high-speed Internet subscribers; 12.3% growth
3.0 million digital cable subscribers; 11.3% growth
531,000 “non-video” residential customers; 23% growth

At the end of the third quarter, Cox also reported exceptional success with the commercial services delivered by its Cox Business division. Year-over-year revenue growth was greater than 21%. Cox Business Internet subscriptions increased by 14.5%, and overall voice lines grew by greater than 25%. Cox was able to make an early entry into commercial services thanks to its development of telecom services; the company noted commercial services as a key piece in its competitive strategy, serving under-served small- to medium-sized business customers ignored by the large telephone companies.

"As so many other providers, including the former Bell Operating companies, endeavor to emulate and deploy the bundle Cox invented, it's gratifying to see our vision and commitment to delivering the best customer experience validated with continued growth," Esser said. "As competition continues to multiply, our customers can count on us as their trusted provider."

About Cox Communications:

Cox Communications is a multi-service broadband communications and entertainment company with more than 6 million total residential and commercial customers. The third-largest cable television company in the United States, Cox offers an array of advanced digital video, high-speed Internet and telephony services over its own nationwide IP network, as well as integrated wireless services in affiliation with Sprint (NYSE: S). Cox Business is a full-service, facilities-based provider of communications solutions for commercial customers, providing high-speed Internet, voice and long distance services, as well as data and video transport services for small to large-sized businesses. Cox Media offers national and local cable advertising in traditional spot and new media formats, along with promotional opportunities and production services. Cox Communications wholly owns and operates the Travel Channel. More information about the services of Cox Communications, a wholly owned subsidiary of Cox Enterprises, is available at, y

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Director, Media Relations

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