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Read Press Release

Sands Casino Resort Bethlehem to Deploy XO Communications’ Voice and Data Solutions

HERNDON, VA – April 8, 2009 – XO Communications (OTCBB: XOHO) today announced that it will serve as the sole voice and data telecommunications provider for Sands Casino Resort Bethlehem in Pennsylvania. Pending gaming board approval, the first phase of the casino and resort complex is set to open on May 22, 2009.

XO Communications will be deploying a broad range of voice and data solutions to Sands Bethlehem, including XO Local Voice, XO Long Distance and XO Dedicated Internet Access services. These services will provide Sands Bethlehem’s visitors, guests and employees access to XO’s state-of-the-art nationwide network and voice and data technologies. XO Communications has been leading the telecommunications infrastructure improvements for Sands Bethlehem, installing more than 2,000 feet of last mile fiber to facilities across the casino and resort complex.

Sands Bethlehem will also be utilizing XO Interactive services to support applications such as Inbound Call Automation. This toll-free voice application will enable guests inquiring about Sands Bethlehem to access information anytime from a central database, as well as enable Sands Bethlehem call-center employees to most effectively manage inbound calls.

When complete, Sands Bethlehem is expected to feature 5,000 slot machines, a 300-room hotel, 200,000 square feet of retail space, 46,000-square-feet of versatile meeting and convention space, and a variety of dining and entertainment options. Located one hour from Philadelphia and an hour and a half from New York City, Sands Bethlehem’s 126-acre development will incorporate many of the remaining historical elements of the former occupant, the Bethlehem Steel plant.

“We’re confident that XO Communications’ award-winning voice and data solutions will enable Sands Bethlehem’s communications systems to run seamlessly and optimize operational efficiencies,” said Dave Salustri, sales vice president for the east region at XO Communications. “We’re also proud to be affiliated with a project that will spur economic development and create jobs for the people of Pennsylvania.”

About XO Communications
XO Communications, a subsidiary of XO Holdings, Inc. (OTCBB: XOHO), is a leading nationwide provider of advanced communications services and solutions for businesses, enterprises, government, carriers and service providers. Its customers include more than half of the Fortune 500, in addition to leading cable companies, carriers, content providers and mobile network operators. Utilizing its unique combination of high-capacity nationwide and metro networks and broadband wireless capabilities, XO offers customers a broad range of managed voice, data and IP services with proven performance, scalability and value in more than 75 metropolitan markets across the United States. For more information, visit www.xo.com.

# # #

Media Contacts:
Chad Couser/XO Communications
T: 703-547-2746
E:chad.couser@xo.com

Courtney Harper Reputation Partners (for XO Communications)
T: 312-819-5722
E: :courtney@reputationpartners.com

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