MFN Terminates Fiber Agreements

NEW YORK -- Metromedia Fiber Network, Inc. (MFN) (Nasdaq: MFNX), the leading provider of digital communications infrastructure, announced today the receipt of notices from Verizon Global Networks and Genuity Solutions terminating their respective fiber optic agreements with MFN. These fiber optic agreements call for the Company to lease capacity to Verizon and Genuity on the Company's fiber optic network and for Verizon and Genuity to make total payments to the Company of $350 million and $200 million, respectively, of which $235 million and $140 million, respectively, have already been paid to MFN. Verizon is continuing to engage in discussions with MFN concerning their relationship. The Company also expects to shortly commence negotiations with the holders of its other indebtedness regarding a consensual restructuring of its indebtedness. There can be no assurances that MFN will reach agreements with its creditors. As previously announced, if the Company is unable to successfully restructure its indebtedness, MFN may be required to file for protection under Chapter 11 of the U.S. Bankruptcy Code. In addition, any potential restructuring of MFN's indebtedness may result in substantial dilution to the Company's existing stockholders. Metromedia Fiber Network Inc.(MFN)