PAETEC to provide Fraud Protection Through Equinox Information Systems’ Protector Software

Nashville, TN — July 10, 2007 - PAETEC Holding Corp. today announced that going forward it is using Equinox Information Systems’ Protector software solution to provide fraud services to all of its customers.

The software allows PAETEC’s Fraud team to monitor more than 350 million call records per month. These call records are provided by 67 feeds, such as switching facilities, from around the country. The software allows for each customer’s calls to be collected with a profile created of typical usage. If calls are made that fall outside that profile – such as late night calls to a foreign country – then a fraud alert is created to research the situation. Protector also allows carriers to identify potential fraud using a number of other metrics and fraud signatures.

“Using one system throughout the company gives our experienced and knowledgeable Fraud team a powerful tool to save our customers from unnecessary and costly fraudulent activity,” said PAETEC Senior Vice President of Operations Jim Hvisdas.

PAETEC’s proactive intervention saved its customers an estimated $1.8 million in fraudulent charges in 2006. The company monitors customer call records 24/7.

“PAETEC originally deployed Protector in 2001, very quickly generating a return on their investment. Since the initial implementation, the PAETEC fraud team has continued to use Protector with great success,” noted Equinox Executive Vice President, David West. “The effectiveness of this partnership was validated by their decision to deploy Protector across their expanded network after the merger with US LEC. We were pleased that working together we were able to complete this integration so quickly.”

About PAETEC
PAETEC (NASDAQ GS: PAET) is personalizing business communications for medium-sized and large businesses, enterprise organizations and institutions across the United States. We offer a comprehensive suite of IP, voice, data and Internet services, as well as enterprise communications management software, network security solutions, CPE, and managed services. For more information, visit www.paetec.com.

About Equinox
Founded in 1986, with hundreds of customers worldwide, Equinox Information Systems is a global provider of software solutions for the telecommunications industry. Providing a full range of software applications, which are backed by exceptional customer support, the company offers solutions in areas critical to profitability and network efficiency, including revenue assurance, fraud management, mediation, network analysis, and custom application development. For more information, visit Equinox at www.equinoxis.com.