AboveNet Launches Ethernet WAN Enterprise Service

Provides Flexible, Cost-Effective Virtual Private Line Service Between Major Metropolitan Areas

NEW YORK, October 27, 2004 – In a major expansion of its Ethernet services, AboveNet, a premier provider of metro network access for business, today added new, cost-effective services for Ethernet connectivity and transparent LAN services between 12 major U.S. cities and London through an end-to-end virtual private line service. AboveNet’s Ethernet Wide Area Network Services or EWAN products leverage its scalable, secure, fiber optic network to deliver a single-carrier solution with flat-rate pricing for any of the cities it serves regardless of distance and local loop access. Through AboveNet’s MPLS-enabled IP network, enterprises can have their own private, dedicated connections between multiple city locations while retaining the flexibility to scale capacity as their bandwidth needs grow.

“Many companies have long been asking for Ethernet services that break through the complexity and rigidity that comes with incumbent telecom carrier offerings. We have taken a major step forward by providing the flexibility enterprises need to drive their storage, VOIP and LAN interconnectivity needs over familiar, easy to use services,” said Bill LaPerch, the Company’s President and CEO.

AboveNet’s Ethernet WAN service integrates the robustness and redundancy of its MPLS-enabled optical IP network with optical fiber tails on each end, thus eliminating bandwidth bottlenecks typically associated with local loop connections. With more than 1.4 million metro fiber miles, AboveNet serves virtually all major metro areas in the U.S. and provides its own dedicated backbone between the U.S. and London. AboveNet’s EWAN service can be combined with IP transit, enabling businesses to fully leverage their end-to-end optical infrastructure with minimal initial investment. Since Ethernet is the protocol of the LAN, it reduces network complexity, supports legacy protocols and allows for greater scalability between sites.

AboveNet’s flat-rate pricing is based on customer bandwidth needs, rather than carrier tariffs, eliminating one of the key cost barriers and creating predictable budgets for companies considering local and long-haul Ethernet services. The Ethernet WAN service can be used to interconnect offices, data centers, carrier hotels and other facilities. AboveNet Ethernet WAN service is available in three service types to satisfy the requirements of businesses:

1. AboveNet Ethernet WAN Basic - customer-managed service offered over a single pair of fiber to AboveNet’s redundant, optical IP backbone.
2. AboveNet Ethernet WAN Protected - customer-managed service offered over diverse pairs of fiber to AboveNet’s redundant, optical IP backbone
3. AboveNet Ethernet WAN Managed – AboveNet-managed service offered over diverse pairs of fiber to AboveNet’s redundant, optical IP backbone

In the United States, AboveNet Ethernet WAN service is available immediately in metro areas that include New York, Boston, Philadelphia, Washington D.C., Northern Virginia, San Francisco, Los Angeles, Chicago, Atlanta , Dallas, Houston, and Seattle, In the United Kingdom, EWAN is available in London.

About AboveNet, Inc.
AboveNet, Inc. is a premier metro network access provider for businesses. AboveNet builds and operates an office-to-office, 100-percent optical network enabling customers to create an efficient, cost-effective network that breaks economic and performance barriers imposed in the last mile by complex legacy telecom infrastructures. With one of the most extensive metropolitan optical networks in the world, data centers in both the US and Europe, top quality managed services and a high-performance IP network, AboveNet is able to offer the most flexible and complete information exchange solutions in the industry.

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The SEC initiated an investigation of the Company in early 2002 after the Company announced it would reexamine its reported operating results for the first three quarters of 2001. The investigation is continuing as of the date hereof. The Company cannot predict how or when the investigation will be resolved. The Company does not have audited financial statements for the years 2001, 2002 or 2003 and is not current with its quarterly or annual financial filings with the SEC. As a result, the Company does not believe adequate current public information exists regarding its business and financial condition to support a market in its securities. Persons who propose to invest in the Company's securities do so at their own risk. This news release contains forward-looking statements that involve risks and uncertainties. Factors that could cause or contribute to such risks and uncertainties include, but are not limited to, general economic and business conditions, competition, changes in technology and methods of marketing, and various other factors beyond the Company’s control. This also includes such factors as are described from time to time in the SEC reports filed by AboveNet, Inc. including the most recently filed Forms S-3 and 8-K.