PARIS, August 18 /PRNewswire/ --

- Deployment Includes CDMA2000 1xEV-DO Revision A Technology and IP 
Backhaul Solution

PARIS, August 18 /PRNewswire/ --

Shenandoah Telecommunications Company (Shentel) (NASDAQ: SHEN)
and Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced an
agreement valued at more than USD 30 million for equipment, services and
software to upgrade Shenandoah Personal Communications Company's network in
Virginia, West Virginia, Maryland and Pennsylvania.

The network upgrade includes the deployment of third-generation (3G) 
CDMA2000(R) 1xEV-DO Revision A (Rev. A) technology, which will enable 
Shenandoah Personal Communications Company, a Sprint PCS Affiliate of Sprint 
Nextel, to provide an enhanced mobile data customer experience. This upgrade 
will give Shentel's PCS customers increased data capacity and speed for 
faster uploads and downloads, as well as new, enhanced mobile broadband data 
services, including mobile video telephony, high-quality music and other 
multimedia applications. To further expand voice and data coverage and 
capacity throughout the network, Shentel also will deploy new cell sites in 
the upgraded network and increase existing cell site capacity.

"Advances in technology are moving faster than ever before,
and Shentel is committed to continuing to provide customers the progressive
telecommunications services they need and expect," said Chris French,
President of Shentel. "With this upgrade to our network, we will be able to
give our customers access to some of the most advanced wireless technology
available today, technology that will provide unequalled quality and
reliability for both their voice and data communications."

In addition, Shentel will deploy Alcatel-Lucent's IP backhaul
solution throughout their network to increase network capacity and reduce
operational expenses. Installation, engineering and network integration work
will be done by Alcatel-Lucent.

"Alcatel-Lucent has been a key infrastructure provider to
Shentel and this agreement underscores the confidence they have in us to help
lay the groundwork for an all-IP network in the future," said Phillip
Rosenthall, vice president of sales for Alcatel-Lucent. "This agreement is
another illustration of Alcatel-Lucent's commitment to our customers and to
CDMA technology."

EV-DO Rev. A continues the evolution of CDMA2000 technology,
bringing increases in efficiency, data speeds and capacity to existing
CDMA2000 1X and 1xEV-DO networks.

CDMA2000 is a registered trademark of the Telecommunications
Industry Association.

About Shenandoah Personal Communications Company

Shenandoah Personal Communications Company is the exclusive
provider of wireless mobility communications network products and services on
the 1900 MHz band from Harrisonburg, Virginia, to Harrisburg, York and
Altoona, Pennsylvania. Shenandoah PCS has offered wireless service since 1995
and currently is a Sprint PCS Affiliate of Sprint Nextel.

About Shenandoah Telecommunications Company

Shenandoah Telecommunications Company is a diversified
telecommunications holding company that, through its operating subsidiaries,
provides both regulated and unregulated telecommunications services to
end-user customers and other communications providers in the southeastern
United States. The Company offers a comprehensive suite of voice, video and
data communications services based on the products and services provided by
the Company's operating subsidiaries.

About Alcatel-Lucent

Alcatel-Lucent (Euronext Paris and NYSE: ALU) provides
solutions that enable service providers, enterprises and governments
worldwide, to deliver voice, data and video communication services to
end-users. As a leader in fixed, mobile and converged broadband networking,
IP technologies, applications and services, Alcatel-Lucent offers the
end-to-end solutions that enable compelling communications services for
people at home, at work and on the move. With operations in more than 130
countries, Alcatel-Lucent is a local partner with global reach. The company
has the most experienced global services team in the industry, and one of the
largest research, technology and innovation organizations in the
telecommunications industry. Alcatel-Lucent achieved revenues of Euro 17.8
billion in 2007 and is incorporated in France, with executive offices located
in Paris. For more information, visit Alcatel-Lucent on the Internet:
http://www.alcatel-lucent.com

PARIS, August 18 /PRNewswire/ --