BellHaves

Decision Matrix

Project Manager:Mike HaverhalsExecutive Sponsor:David FraleyProject Request Subm. Date:11.1.02

CriteriaWeightRaw Score (1-100)Weighted Score

100%

LongBoardSylantroVocalDataLongBoardSylantroVocalDataNet Present Value

30%85859525.525.528.5

Installation and Supportablility

30%85958025.528.524

Features and Functionality

20%859095171819

Customer Satisfaction

20%859590171918

859189.5

BellHaves

Capital Request

Project Manager:Mike HaverhalsExecutive Sponsor:David FraleyProject Request Subm. Date:11.1.02Project DescriptionProject ScopeLink to Strategic ImperativesImpact of Deferring or Not Approving Project

The implementation of a Voice-over-Internet-Protocol (VoIP) system in a small to medium enterprise with the ability to expand to a larger enterprise.What are the objectives?To present a business case comparing 3 vendors of IP Centrex service and selecting one vendor's service for implementation based on an analysis of financial and service related matricesWhat is the benefit associated with the investment? (generate revenue, increase productivity, cost reduction, other)Turn PBX sales into Rboc Service annuity.Will this project require changes in current business processes? If yes, describe.No.How does this project tie into strategic initiatives?It enables robust services at a minimal cost in comparison to existing carrier hosted PBX Centrex offerings.How does this project impact other business units?It will replace carrier hosted PBX systems.Quantify the impact of project delay or non approval.Lost savings from expenses associated with use of carrier systems versus utilization of own network.Inability to realize enriched services to end users.

BellHaves

LongBoard

Summary P&L ($000s)

Depreciated value linked to rental rate.Asset LifeInitialYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8(Months)

Capital Expenditures

HardwareComputer Equipment5700249206163130458937036Switching2881,0247781,0801,6432,1602,8266,752060Phones1,2503,1004,0325,8997,72510,07512,42015,42060SoftwareSwitching8102,0581,6021,7802,2372,6973,2847,636036OSS/BSS800000000048Other373053034776889461,2573,276036Leasehold Improvements000000000120Total Capital(1,785)(4,637)(6,032)(7,575)(10,630)(13,658)(17,900)(31,021)(15,420)

Income/(Expense) Summary

Revenuena3,92517,03036,36858,54486,403121,886166,173222,393Expensena(358)(1,269)(1,777)(2,341)(3,037)(3,820)(4,779)(6,320)EBITDAna3,56715,94034,77756,40783,602118,339161,708216,439EBITDAna3,56715,94034,77756,40783,602118,339161,708216,439Depreciation/Amortizationna(550)(1,792)(3,286)(5,129)(7,667)(10,902)(15,149)(22,933)EBITna3,01714,14831,49151,27875,935107,437146,559193,506NPV

Payback