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Tuesday, April 21, 2009

FairPoint Communications Announces Possible Compromise of Data Security Impacting Employee Information

FairPoint Communications Announces Possible Compromise of Data Security Impacting Employee Information

CHARLOTTE, N.C. April 21 /PRNewswire-FirstCall/ -- FairPoint Communications, Inc. (NYSE:FRP) today announced that a portable data storage device containing employee information was reported missing from a FairPoint office location. At this time, there is no indication that the data has been improperly accessed.

Following discovery of the incident on April 8, FairPoint launched a thorough internal investigation and retained an outside investigator to conduct an ongoing investigation.

The company has taken a number of important steps to mitigate risk in response to this situation. Impacted individuals are being notified and the company has alerted Attorneys General and regulators in impacted individuals' state of residence, as required by law. FairPoint is offering a complimentary one-year membership in a national identity theft protection service to those affected by this incident, as an additional safeguard.

Included on the data storage device was certain personal information for all current FairPoint employees and some former employees, or approximately 4,400 individuals in total. Personal information contained on the device may have included names, home addresses and phone numbers, Social Security numbers, birthdates and certain compensation and employment information. The device did not contain any financial account information or customer account information.

"Protecting the personal information of our employees is a priority at FairPoint," said Gary Garvey, senior vice president, Human Resources. "Since the discovery of the situation we have taken immediate steps to improve the protection of all employee information. We continually review our security processes and procedures and evaluate the use of other appropriate safeguards. We regret the occurrence of this event and any inconvenience that may result."

FairPoint has long had established policies and procedures for securing personal information of its employees. The incident can be traced to the failure by a certain employee to abide by these policies and procedures and appropriate personnel action has been taken.

About FairPoint

FairPoint Communications, Inc. is an industry leading provider of communications services to communities across the country. Today, FairPoint owns and operates local exchange companies in 18 states offering advanced communications with a personal touch, including local and long distance voice, data, Internet, television and broadband services. FairPoint is traded on the New York Stock Exchange under the symbol FRP. Learn more at www.fairpoint.com.


Source: FairPoint Communications, Inc.

CONTACT: Rose Cummings, +1-704-602-7304, rcummings@fairpoint.com

Web Site: http://www.fairpoint.com/


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