FSNN Revenues

Consolidated revenues were $10.0 million during the three months ended September 30, 2012, compared to $9.9 million during the three months ended September 30, 2011, an increase of 0.3%. Revenues for the Carrier Services segment were $9.4 million during the three months ended September 30, 2012, compared to $9.3 million during the three months ended September 30, 2011, an increase of $0.1 million, or 1.1%. During the third quarter of 2012 we experienced a 62% increase in minutes transmitted over our network, the effect of which was mostly offset by a 38% decrease in the blended rate per minute of the traffic terminated. Revenues for the Corporate Services segment of $0.6 million reflect a decrease of $35,000 compared with the three months ended September 30, 2011.