Document:

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                                                              EXHIBIT 10(a)

                                                              EXECUTION COPY
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                              EMPLOYMENT AGREEMENT
                              --------------------

     THIS AGREEMENT, made and entered into as of March 27, 2000 (the "Effective
Date"), by and between James Dimon (the "Executive") and Bank One Corporation, a
Delaware Corporation (the "Company"),

                                WITNESSETH THAT:
                                ----------------

     WHEREAS, the parties desire to enter into this Agreement pertaining to the
employment of the Executive by the Company;

     NOW, THEREFORE, in consideration of the mutual covenants and agreements set
forth below, it is hereby covenanted and agreed by the Executive and the Company
as follows:

     1. Employment.  Subject to the terms of this Agreement, the Company hereby
agrees to employ the Executive as its Chairman and Chief Executive Officer
during the Agreement Term (as defined below), with such authority, power,
responsibilities and duties customarily exercised by a person holding such
positions in a company of the size and nature of the Company. Executive shall
become a member of the Board of Directors of the Company (the "Board") effective
as of March 27, 2000. The "Agreement Term" shall be the period beginning on the
Effective Date and ending on the fifth anniversary of the Effective Date;
provided, however, the Agreement Term will be automatically extended by twelve
months on the fourth anniversary of the Effective Date and on each anniversary
thereof, unless one party to this Agreement provides written notice of non-
renewal to the other party prior to the date of such automatic extension.

     2. Performance of Duties.  The Executive agrees that during his employment
with the Company, he shall devote his full business time, energies and talents
to serving as its Chairman and Chief Executive Officer and that he shall perform
his duties faithfully and efficiently subject to the directions of the Board.
Notwithstanding the foregoing provisions of this Section 2, the Executive may
(i) serve as a director, trustee or officer or otherwise participate in non-for-
profit educational, welfare, social, religious and civic organizations; (ii)
serve as a director of any for-profit business listed on Exhibit A hereto or,
with the prior consent of the Organization, Compensation and Nominating
Committee of the Board, serve as a director of any for-profit business which
does not compete with the Company or any of its subsidiaries or affiliates, and
(iii) acquire passive investment interests in one or more entities, to the
extent that such other activities do not inhibit or interfere with the
performance of the Executive's duties under this Agreement, or to the knowledge
of the Executive conflict in any material way with the business or policies of
the Company or any subsidiary or affiliate thereof.
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     3. Compensation.  Subject to the terms of this Agreement, during the
Agreement Term, while the Executive is employed by the Company, the Company
shall compensate him for his services as follows:

(a)  Base Salary.  The Executive shall receive an annual base salary of not less
     than $1,000,000 payable in monthly or more frequent installments in
     accordance with the Company's payroll policies (such annual base salary as
     adjusted pursuant to this Section 3(a) shall hereinafter be referred to as
     "Base Salary"). The Executive's Base Salary shall be reviewed, and may be
     increased but not decreased, annually, by the Board pursuant to its normal
     performance review policies for senior executives, with the first such
     review occurring in February, 2001.

(b)  Restricted Stock Award. The Company shall make an award to the Executive
     as of the Effective Date of 35,242 restricted shares of the Company's
     common stock under and subject to the terms and conditions of the Bank One
     Corporation Stock Performance Plan (the "Stock Plan"). The Executive shall
     vest in 20% of such shares on each of the first five anniversaries of the
     Effective Date. All unvested shares shall vest on the earlier of the date
     of a Change of Control (which for purposes of this Agreement, shall have
     the meaning as set forth in the Stock Plan, as presently in effect, a copy
     of which definition is attached hereto as Exhibit B) or the Executive's
     termination of employment by reason of death, Disability (as defined in
     Section 5(b) below), termination by the Company without Cause (as defined
     in Section 5(c) below) or Constructive Discharge (as defined in Section
     5(e) below). The foregoing award of restricted stock shall be evidenced by
     a restricted stock award agreement in substantially the form attached
     hereto as Exhibit C.

(c)  Initial Option Award. The Company shall make an award to the Executive
     under the Stock Plan on the Effective Date of ten-year options, with
     restorative stock option rights, to purchase an aggregate of 3,240,000
     shares of the Company's common stock at $28.375 per share (the "Initial
     Options"), subject to the following:

     (i)   Options to acquire 1,240,000 shares shall vest and become exercisable
           at the rate of 20% per year on each of the first five anniversaries
           of the Effective Date.

     (ii)  Options to acquire 1,000,000 shares shall vest and become exercisable
           at the rate of 20% per year on each of the first five anniversaries
           of the Effective Date, provided, however, all such Options shall vest
           and become immediately exercisable on the date on which the closing
           price of the Company's common stock as reported on the New York Stock
           Exchange Composite Transactions Tape is at or above $50 per share
           (adjusted in accordance with Section 10 of the Stock Plan to reflect
           changes in the Company's corporate or capital structure), provided
           further that, subject to clause (iv) below, no such options

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           shall become exercisable prior to the sixth-month anniversary of the
           Effective Date.

     (iii) Options to acquire 1,000,000 shares shall vest and become
           exercisable at the rate of 20% per year on each of the first five
           anniversaries of the Effective Date, provided, however, all such
           Options shall vest and become immediately exercisable on the date on
           which the closing price of the Company's common stock as reported on
           the New York Stock Exchange Composite Transactions Tape is at or
           above $60 per share (adjusted in accordance with Section 10 of the
           Stock Plan to reflect changes in the Company's corporate or capital
           structure), provided further that, subject to clause (iv) below, no
           such options shall become exercisable prior to the sixth-month
           anniversary of the Effective Date.

     (iv)  To the extent not previously vested, all such options shall become
           fully vested and exercisable on the earlier of a Change of Control or
           the Executive's termination of employment by reason of death,
           Disability, termination by the Company without Cause, or Constructive
           Discharge. To the extent not previously vested, all such options
           shall be immediately forfeited in the event of a termination of the
           Executive's employment for Cause or upon the Executive's resignation
           from the employ of the Company other than pursuant to a Constructive
           Discharge.

     (v)   To the extent exercisable on the date of the Executive's termination
           of employment, such options shall continue to be exercisable by the
           Executive or, in the event of his death, by his estate for the
           following periods (but not beyond the original ten-year term of the
           options): (A) until the fifth anniversary of such termination of
           employment by reason of death, Disability, termination by the Company
           without Cause or Constructive Discharge, (B) subject to the following
           provisions of this clause (v), until 30 days after termination of
           employment by the Company for Cause. Except as provided in the
           following sentence, all options shall cease to be exercisable
           immediately upon the Executive's resignation from the employ of the
           Company other than pursuant to a Constructive Discharge. In the event
           of a Change of Control prior to the first anniversary of the
           Effective Date, any termination of the Executive's employment by the
           Company after the date of such Change of Control and on or before the
           close of business on the first business day following the first
           anniversary of the Effective Date shall be treated for purposes of
           this clause (v) as if it were a termination by the Company without
           Cause.

     (vi)  The foregoing award of Initial Options shall be evidenced by a stock
           option agreement in substantially the form attached hereto as Exhibit
           D.

(d)  Subsequent Equity Awards.  Commencing in 2002, the Executive shall be
     entitled to receive no less than $7,000,000 per year in annual equity grant
     value under the Stock Plan or a successor thereto, such award to be made by
     the Board (or the appropriate

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     committee thereof) within the first calendar quarter of each year. Such
     value shall be determined by the Company in good faith in accordance with
     such methodology or methodologies as may be used by it to determine the
     equity grants to be made to its senior executives. The terms of such grants
     shall be determined by the Company in accordance with the terms of the
     Stock Plan or successor thereto on a basis consistent with awards granted
     to other senior executives; provided, however, that the Company shall have
     sole discretion to determine whether to make such awards in the form of
     stock options, restricted stock or other equity-based awards.

(e)  Annual Incentive Payments.  The Executive shall be eligible to receive an
     annual incentive payment (the "Incentive Payment") in accordance with the
     Company's Executive Management Annual Incentive Plan or any successor
     thereto (the "Incentive Plan"). The Executive shall be eligible to receive
     an Incentive Payment for each year of between 0% and 400% of Base Salary.
     The Executive's target Incentive Payment for each year shall be no less
     than 250% of his Base Salary for such year. The minimum Incentive Payment
     payable to the Executive for the period commencing on the Effective Date
     and ending on December 31, 2000 shall be $2,500,000.

(f)  Supplemental Pension Benefits.  The Executive shall be entitled to a
     pension benefit to be determined in accordance with the Bank One
     Corporation Supplemental Executive Retirement Plan as presently in effect
     (subject to any future enhancements) (the "SERP"), subject to the
     provisions of this Section 3(f). The Executive shall receive credit for two
     years of benefit service for purposes of the SERP for each year that he is
     employed by the Company, up to a maximum of fifteen years of employment,
     provided, however, that if his employment is terminated prior to the fifth
     anniversary of the Effective Date he shall be deemed to have ten years of
     benefit service for purposes of the SERP. Executive shall be deemed to have
     satisfied all requirements for the receipt of a SERP benefit, including but
     not limited to, requirements concerning age at the time of termination of
     employment from the Company and eligibility to receive benefits. Executive
     may elect, consistent with tax rules regarding deferral of compensation,
     that the actuarial equivalent (as reasonably determined by the Company
     based upon the Executive's actual age on the date of payment) of any
     benefit to which he is entitled under the SERP be distributed to him
     immediately upon his termination of employment with the Company. In the
     event that the Executive dies, the Executive's surviving spouse shall be
     eligible to receive a supplemental surviving spouse benefit in accordance
     with the terms of the SERP. The Executive understands and agrees that he
     shall forfeit any amounts to which he would otherwise be entitled under
     this Section 3(f) and the SERP if his employment with the Company is
     terminated prior to the fifth anniversary of the Effective Date by the
     Company for Cause (other than during the three-year period following a
     Change of Control) or by reason of the Executive's resignation other than
     pursuant to a Constructive Discharge.

(g)  Employee Benefits, Fringe Benefits and Perquisites.  The Executive shall be
     provided with employee benefits, fringe benefits and perquisites on a basis
     no less favorable than such benefits and perquisites are provided by the
     Company from time to time to

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     the Company's other senior executives, or the Company's former chief
     executive officer during his employment by the Company. The Company agrees
     to waive any waiting periods for the Executive and the Executive's
     dependents with respect to group coverage under its welfare benefit plans.

(h)  Relocation Benefits.  Executive understands that, as a condition of his
     employment by the Company, he is required to relocate his residence to the
     Chicago area. In connection with such relocation, he shall be entitled to
     reimbursement for reasonable expenses incurred in moving his principal
     residence to Chicago, Illinois, in accordance with the Company's relocation
     policy for senior executives. Executive will receive a tax gross-up payment
     in an amount that after all Federal, state and local income taxes thereon
     shall equal the aggregate amount of additional Federal, state and local
     income taxes payable by Executive from time to time by reason of the
     receipt of such reimbursement under this Section 3(h).

(i)  Expense Reimbursement.  The Company will reimburse the Executive for all
     reasonable expenses incurred by him (i) in connection with the negotiation
     and preparation of this Agreement and (ii) in the performance of his duties
     in accordance with the Company's policies applicable to senior executives.

(j)  Additional Payments.  In the event that any amount or benefit
     (collectively, the "Covered Payments") paid or distributed to the Executive
     by the Company or any affiliate incurs an excise tax under Section 4999 of
     the Internal Revenue Code of 1986, as amended (the "Code") or any similar
     tax that may hereafter be imposed ("Excise Tax"), the Company shall pay to
     Executive at the time specified below, the Tax Reimbursement Payment. The
     Tax Reimbursement Payment is defined as an amount which, after imposition
     of all income, employment and excise taxes thereon, is equal to the Excise
     Tax on the Covered Payments. The determination of whether Covered Payments
     are subject to Excise Tax and, if so, the amount of the Tax Reimbursement
     Payment to be paid to the Executive shall be made by an independent auditor
     (the "Auditor") jointly selected by the Company and the Executive and paid
     by the Company. The Auditor shall be a nationally recognized United States
     public accounting firm which has not, during the two years preceding the
     date of its selection, acted in any way on behalf of the Company. If the
     Executive and the Company cannot agree on the firm to serve as the Auditor,
     then Executive and the Company shall each select an accounting firm and
     those two firms shall jointly select the accounting firm to serve as the
     Auditor. The portion of the Tax Reimbursement Payment attributable to a
     Covered Payment shall be paid to the Executive by the Company prior to the
     date that the corresponding Excise Tax payment is due to be paid by the
     Executive (through withholding or otherwise). The Executive covenants that
     he will use the Tax Reimbursement Payment under this Section 3(j) for the
     sole purpose of paying the Excise Tax.

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     4.  Indemnification.

(a)  The Company agrees that if the Executive is made a party, or is threatened
to be made a party, to any action, suit or proceeding, whether civil, criminal,
administrative or investigative (a "Proceeding"), by reason of the fact that he
is or was a director, officer or employee of the Company or is or was serving at
the request of the Company as a director, officer, member, employee or agent of
another corporation, partnership, joint venture, trust or other enterprise,
including service with respect to employee benefit plans, whether or not the
basis of such Proceeding is the Executive's alleged action in an official
capacity while serving as a director, officer, member, employee or agent, the
Executive shall be indemnified and held harmless by the Company to the fullest
extent legally permitted or authorized by the Company's certificate of
incorporation or bylaws or resolutions of the Company's Board of Directors or,
if greater, by the laws of the State of Delaware, against all cost, expense,
liability and loss (including, without limitation, attorneys' fees, judgments,
fines, ERISA excise taxes or other liabilities or penalties and amounts paid or
to be paid in settlement) reasonably incurred or suffered by the Executive in
connection therewith, and such indemnification shall continue as to the
Executive even if he has ceased to be a director, member, employee or agent of
the Company or other entity, with respect to acts or omissions which occurred
prior to his cessation of employment with the Company, and shall inure to the
benefit of the Executive's heirs, executors and administrators. The Company
shall advance to the Executive all reasonable costs and expenses incurred by him
in connection with a Proceeding within 20 calendar days after receipt by the
Company of a written request for such advance. Such request shall include an
undertaking by the Executive to repay the amount of such advance if it shall
ultimately be determined that he is not entitled to be indemnified against such
costs and expenses.

(b)  Neither the failure of the Company (including its board of directors,
independent legal counsel or stockholders) to have made a determination prior to
the commencement of any proceeding concerning payment of amounts claimed by the
Executive under Section 4(a) above that indemnification of the Executive is
proper because he has met the applicable standard of conduct, nor a
determination by the Company (including its board of directors, independent
legal counsel or stockholders) that the Executive has not met such applicable
standard of conduct, shall create a presumption that the Executive has not met
the applicable standard of conduct.

(c)  The Company agrees to continue and maintain a directors' and officers'
liability insurance policy covering the Executive to the extent the Company
provides such coverage for its other executive officers.

     5.  Termination of Employment.  Upon termination of the Executive's
employment for any reason, the Executive or, in the event of death, the
Executive's estate shall be entitled to the Executive's Base Salary pro rated
through the date of termination. Any annual Incentive Payment earned by the
Executive for a prior award period, but not yet paid to the Executive, and any
employee benefits to which the Executive is entitled by reason of his employment
shall be paid to the Executive or his estate at such time as is provided by the
terms of the applicable Company

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plan or policy. If the Executive's employment is terminated during the Agreement
Term, the Executive's right to additional payments and benefits under this
Agreement for periods after his date of termination shall be determined in
accordance with the following provisions of this Section 5.

(a)  Death.  If Executive's employment is terminated by reason of his death, the
     Executive's estate shall be entitled to a prompt cash payment of a prorated
     Incentive Payment for the year in which such death occurs, based on the
     target Incentive Payment for such year. The Executive's spouse and eligible
     dependents, shall be eligible for continued participation in all medical,
     dental, vision and hospitalization insurance plans in which they were
     participating at the time of the Executive's death until the third
     anniversary of the Executive's date of death.

(b)  Disability.  If the Executive's employment is terminated by the Company by
     reason of the Executive's Disability, the Executive shall be entitled to a
     prompt cash payment of a prorated Incentive Payment for the year in which
     such termination occurs, based on the target Incentive Payment for such
     year. Executive and his eligible dependents shall be entitled to continued
     participation so long as he is disabled and is not eligible for coverage
     under a successor employer's plans through the month in which the Executive
     attains age 65 in all medical, dental, vision and hospitalization insurance
     coverage, and in all other employee welfare benefit plans, programs and
     arrangements in which he was participating on the date of termination of
     his employment on terms and conditions that are no less favorable than
     those applicable, from time to time, to senior executives of the Company,
     For purposes of this Agreement, "Disability" means the Executive's
     inability, due to physical or mental incapacity, to substantially perform
     his duties and responsibilities contemplated by this Agreement. In the
     event of a dispute as to whether the Executive is disabled, the
     determination shall be made by a licensed medical doctor selected by the
     Company and agreed to by the Executive. If the parties cannot agree on a
     medical doctor, each party shall select a medical doctor and the two
     doctors shall select a third who shall be the approved medical doctor for
     this purpose. The Executive agrees to submit to such tests and examinations
     as such medical doctor shall deem appropriate.

(c)  Termination for Cause or Voluntary Resignation.  If the Executive's
     employment is terminated by the Company for Cause (other than during the
     three-year period following a Change of Control) or if the Executive
     voluntarily resigns from the employ of the Company, other than pursuant to
     a Constructive Discharge, all payments and benefits to which the Executive
     would otherwise be entitled under this Agreement shall immediately cease,
     except as otherwise specifically provided above in this Section 5 with
     respect to his pro rated Base Salary through the date of termination, his
     annual Incentive Payment, if any, earned for a prior award period and his
     previously earned employee benefits. For purposes of this Agreement, the
     term "Cause" shall mean:

     (i)   the Executive is convicted of a felony or any crime involving moral
           turpitude; or

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     (ii)  a reasonable determination by a vote of directors comprising two-
           thirds of the entire Board, after giving the Executive notice and an
           opportunity to be heard, that, in carrying out his duties, the
           Executive has engaged in willful gross neglect or willful gross
           misconduct, resulting in material economic harm to the Company or
           resulting in reputational harm causing quantifiable material injury
           to the Company, unless the Executive had a good faith belief that
           such conduct was in, or not opposed to, the best interests of the
           Company.

(d)  Termination Without Cause.  If the Company terminates the Executive without
     Cause:

     (i)   The Executive shall be entitled to a prompt cash payment of a
           prorated Incentive Payment for the year in which such termination
           occurs based on the target Incentive Payment for such year;

     (ii)  The Executive shall be entitled to a prompt cash payment of 2.5 times
           the sum of (A) his Base Salary in effect on the date of his
           termination of employment, plus (B) $2,500,000, if such termination
           occurs in 2000 or, in the case of a subsequent termination, the
           average of the actual Incentive Payments earned by the Executive for
           the three prior years or, if less, for the number of his prior years
           of employment by the Company (including the portion of a year
           commencing on the Effective Date and ending on December 31, 2000);

     (iii) The Executive and his eligible dependents shall be entitled to
           continued participation in all medical, dental, vision and
           hospitalization insurance coverage, until the earlier of 36 months
           following termination of employment or the date, or dates, on which
           he receives equivalent coverage and benefits from a subsequent
           employer; and

     (iv)  The Executive shall be credited with two and one-half years of
           additional service (five years of additional service if such
           termination occurs after a Change of Control) for purposes of the
           SERP if the Company terminates the Executive subsequent to the fifth
           anniversary of the Effective Date.

(e)  Constructive Discharge.  A Constructive Discharge by the Company shall be
     treated for all purposes of this Agreement as a terminates by the Company
     without Cause. If (x) the Executive provides written notice to the Company
     of the occurrence of Good Reason (as defined below) within a reasonable
     time after the Executive has knowledge of the circumstances constituting
     Good Reason, which notice shall specifically identify the circumstances
     which the Executive believes constitute Good Reason; (y) the Company fails
     to correct the circumstances within 15 days after such notice; and (z) the
     Executive resigns within ninety days after the date of delivery of the
     notice referred to in clause (x) above, then the Executive shall be
     considered to have been subject to a Constructive Discharge by the Company.
     For purposes of this Agreement, "Good Reason" shall mean, without the
     Executive's express written consent (and except in consequence of a prior

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     termination of the Executive's employment), the occurrence of any of the
     following circumstances:

     (i)   A reduction by the Company in the Executive's Base Salary to an
           amount that is less than required under Section 3(a) or a reduction
           in his target Incentive Payment as a percentage of Base Salary,
           without his consent.

     (ii)  The failure of the Executive to be elected or reelected to any of the
           positions described in Section 1 or his removal from any such
           position.

     (iii) A material diminution in the Executive's duties or the assignment to
           him of any duties inconsistent with the Executive's position and
           status as Chairman and Chief Executive Officer of the Company.

     (iv)  A change in the Executive's reporting relationship such that the
           Executive no longer reports directly to the Board.

     (v)   A breach by the company of any of its material obligations to the
           Executive under this Agreement.

     (vi)  The failure of the Company to obtain a satisfactory agreement from
           any successor to all or substantially all of the assets or business
           of the Company to assume and agree to perform this Agreement within
           15 days after a merger, consolidation, sale or similar transaction.

In the event of a Change of Control, the mere fact that the Company ceases to be
publicly traded or is a subsidiary of another corporation shall not constitute
Good Reason under clause (iii) above. Notwithstanding any other provision of
this Agreement, each of the following shall be deemed to be a Constructive
Discharge: (i) a resignation by the Executive for any reason (including a
resignation after receipt of a notice pursuant to Section 5(c)(ii) and prior to
a determination by the Board pursuant to such Section) after the later of a
Change of Control or the first anniversary of the Effective Date and prior to
the third anniversary of a Change of Control or (ii) a termination of the
Executive by the Company for Cause after a Change of Control and on or before
the close of business on the first business day following the first anniversary
of the Effective Date.

(f)  No Mitigation; No Offset. In the event of any termination of employment
     under this Section 5, the Executive shall be under no obligation to seek
     other employment and there shall be no offset against amounts due the
     Executive under this Agreement on account of any remuneration attributable
     to any subsequent employment that he may obtain.

(g)  Nature of Payments. Any amounts due under this Section 5 are in the nature
     of severance payments considered to be reasonable by the Company and are
     not in the nature of a penalty.

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(h)  Effect of Termination on Other Positions.  If, on the date of his
     termination of employment with the Company, the Executive is a member of
     the Board of Directors of the Company or any of the subsidiaries, or holds
     any other position with the Company and the subsidiaries, the Executive
     shall be deemed to have resigned from all such positions as of the date of
     his termination of employment with the Company. Executive agrees to execute
     such documents and take such other actions as the Company may request to
     reflect such resignation.

(i)  Benefit Plans.  If, for any period during which the Executive is entitled
     to continued benefits under this Agreement, the Company reasonably
     determines that the Executive cannot participate in any benefit plan
     because he is not actively performing services for the Company, then, in
     lieu of providing benefits under any such plan, the Company shall provide
     comparable benefits or the cash equivalent of the cost thereof (after
     taking into account all tax consequences thereof to the Executive and the
     Executive's dependents as the case may be) to the Executive and, if
     applicable, the Executive's dependents through other arrangements.

(j)  Other Severance Arrangements.  Except as may be otherwise specifically
     provided in an amendment of this Section 5(j) adopted in accordance with
     Section 12, the Executive's rights under this Section 5 shall be in lieu of
     any benefits that may be otherwise payable to or on behalf of the Executive
     pursuant to the terms of any severance pay arrangement of the Company or
     any subsidiary or any other similar arrangement of the Company or any
     subsidiary providing benefits upon involuntary termination of employment
     (including, without limitation, the Executive Management Separation Plan).

(k)  Return of Company Property.  Upon his termination of employment with the
     Company for any reason, the Executive shall promptly return to the Company
     any keys, credit cards, passes, confidential documents or material, or
     other property belonging to the Company, and to return all writings, files,
     records, correspondence, notebooks, notes and other documents and things
     (including any copies thereof) containing confidential information or
     relating to the business or proposed business of the Company or its
     subsidiaries or affiliates or containing any trade secrets relating to the
     Company or its subsidiaries or affiliates except any personal diaries,
     calendars, rolodexes or personal notes or correspondence. For purposes of
     the preceding sentence, the term "trade secrets" shall have the meaning
     ascribed to it under the Illinois Trade Secrets Act or, if such act is
     repealed, the Uniform Trade Secrets Act (on which the Illinois Trade
     Secrets Act is based). The Executive agrees to represent in writing to the
     Company upon termination of employment that he has complied with the
     foregoing provisions of this Section 5(k).

(l)  Adverse Actions.  Executive agrees that following his termination of
     employment with the Company for any reason until the second anniversary of
     such termination of employment without the prior written consent of-the
     Company the Executive shall not, in any manner, solicit, request, advise or
     assist any other person or entity to (a)

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     undertake any action that would be reasonably likely to, or is intended to,
     result in a Change in Control, or (b) seek to control in any material
     manner the Board.

(m)  Mutual Nondisparagement.  Each party agrees that, following the Executive's
     termination of employment, such party will not make any public statements
     which materially disparage the other party. Notwithstanding the foregoing,
     nothing in this Section 5(m) shall prohibit any person from making truthful
     statements when required by order of a court or other body having
     jurisdiction.

     6.  Confidential Information.  The Executive agrees that, during his
employment by the Company and at all times thereafter, he shall hold in a
fiduciary capacity for the benefit of the Company all secret or confidential
information, knowledge or data relating to the Company or any of its
subsidiaries or affiliates, and their respective businesses, which shall have
been obtained by the Executive during the Executive's employment by the Company
or during his consultation with the Company after his termination of employment,
and which shall not be or become public knowledge (other than by acts by the
Executive or representatives of the Executive in violation of this Agreement).
Except in the good faith performance of his duties for the Company, the
Executive shall not, without the prior written consent of the Company or as may
otherwise be required by law or legal process, communicate or divulge any such
information, knowledge or data to anyone other than the Company and those
designated by it.

     7.  Nonsolicitation.  For the twelve-month period following his termination
of employment with the Company, the Executive shall not solicit any individual
who is employed by the Company or its subsidiaries or affiliates (or was so
employed within 180 days prior to the Executive's action) to terminate or
refrain from renewing or extending such employment or to become employed by or
become a consultant to any other individual or entity other than the Company or
its subsidiaries or affiliates, and the Executive shall not initiate discussion
with any such employee for any such purpose or authorize or knowingly cooperate
with the taking of any such actions by any other individual or entity on behalf
of the Executive's employer.

     8.  Noncompetition.  The Executive agrees that he will not engage in
Competition (as defined below) while he is employed by the Company, and if he
voluntarily resigns from the employ of the Company other than pursuant to a
Constructive Discharge prior to the first anniversary of the Effective Date, for
a period of twelve months after such termination of employment. In the event
that the Executive engages in Competition within the twelve-month period
immediately following the termination of his employment with the Company for any
reason (including any termination prior to the first anniversary of the
Effective Date), (i) his Initial Options shall be immediately forfeited to the
extent not previously exercised and (ii) he shall forfeit (or, in the case of
prior payment to the Executive, shall repay together with interest at the
Applicable Federal Rate, determined in accordance with Section 1274(d) of the
Internal Revenue Code or any successor provision thereto) a pro rata portion of
the severance benefits provided for in Section 5(d)(i) and/or Section 5(d)(ii).
Such pro rata portion shall be based upon (x) the number of days remaining
between the first day on which the Executive engages in

                                       11
<PAGE>

Competition and the first anniversary of his last day of employment by the
Company, divided by (y) 365. Except as otherwise provided with respect to
Competition following a voluntary resignation prior to the first anniversary of
the Effective Date, the Company's sole remedy for the breach of this Section
shall be as set forth in the preceding two sentences. The Executive shall be
deemed to be engaging in "Competition" if he directly or indirectly, owns,
manages, operates, controls or participates in the ownership, management,
operation or control of or is connected as an officer, employee, partner,
director, consultant or otherwise with, or has any financial interest in, any
business engaged in the financial services business in the states in which the
Company or its subsidiaries or affiliates operate a commercial banking or other
material financial services business which is a material part of such business
and is in material competition with the business conducted by the Company at the
time of the termination of his employment with the Company or its subsidiaries
or affiliates. Ownership for personal investment purposes only of less than 2%
of the voting stock of any publicly held corporation shall not constitute a
violation hereof.

     9.  Equitable Remedies.  The Executive acknowledges that the Company would
be irreparably injured by a violation of Section 5(l), 6 or 7 or the first
sentence of Section 8 and he agrees that the Company, in addition to any other
remedies available to it for such breach or threatened breach, shall be entitled
to a preliminary injunction, temporary restraining order, or other equivalent
relief, restraining the Executive from any actual or threatened breach of
Section 5(l), 6 or 7 or the first sentence of Section 8. If a bond is required
to be posted in order for the Company to secure an injunction or other equitable
remedy, the parties agree that said bond need not be more than a nominal sum.

     10.  Assistance with Claims.  Executive agrees that, consistent with the
Executive's business and personal affairs, during and after his employment by
the Company, he will assist the Company and its subsidiaries and affiliates in
the defense of any claims, or potential claims that may be made or threatened to
be made against any of them in any action, suit or proceeding, whether civil,
criminal, administrative or investigative (a "Proceeding"), and will assist the
Company and its affiliates in the prosecution of any claims that may be made by
the Company or any subsidiary or affiliate in any Proceeding, to the extent that
such claims may relate to the Executive's employment or the period of
Executive's employment by the Company. Executive agrees, unless precluded by
law, to promptly inform the Company if Executive is asked to participate (or
otherwise become involved) in any Proceeding involving such claims or potential
claims. Executive also agrees, unless precluded by law, to promptly inform the
Company if Executive is asked to assist in any investigation (whether
governmental or private) of the Company or any subsidiary or affiliate (or their
actions), regardless of whether a lawsuit has then been filed against the
Company or any subsidiary or affiliate with respect to such investigation. The
Company agrees to reimburse Executive for all of Executive's reasonable out-of-
pocket expenses associated with such assistance, including travel expenses and
any attorneys' fees and shall pay a reasonable per diem fee for Executive's
services.

     11.  Assignability, Binding Nature.  This Agreement shall be binding upon
and inure to the benefit of the Parties and their respective successors, heirs
(in the case of the Executive) and assigns. No rights or obligations of the
Company under this Agreement may be assigned or

                                       12
<PAGE>

transferred by the Company except that such rights or obligations may be
assigned or transferred pursuant to a merger or consolidation in which the
Company is not the continuing entity, or the sale or liquidation of all or
substantially all of the assets of the Company, provided that the assignee or
transferee is the successor to all or substantially all of the assets of the
Company and such assignee or transferee assumes the liabilities, obligations and
duties of the Company, as contained in this Agreement, either contractually or
as a matter of law. The Company further agrees that, in the event of a sale of
assets or liquidation as described in the preceding sentence, it shall take
whatever action it legally can in order to cause such assignee or transferee to
expressly assume the liabilities, obligations and duties of the Company
hereunder. No rights or obligations of the Executive under this Agreement may be
assigned or transferred by the Executive other than his rights to compensation
and benefits, which may be transferred only by will or operation of law.

     12.  Amendment.  This Agreement may be amended or canceled only by mutual
agreement of the parties in writing without the consent of any other person. So
long as the Executive lives, no person, other than the parties hereto, shall
have any rights under or interest in this Agreement or the subject matter hereof
except that in the event of the Executive's Disability so as to render him
incapable of such action, his legal representative may be substituted for
purposes of such amendment.

     13.  Applicable Law.  The provisions of this Agreement shall be construed
in accordance with the internal laws of the State of Delaware, without regard to
the conflict of law provisions of any state.

     14.  Severability.  The invalidity or unenforceability of any provision of
this Agreement will not affect the validity or enforceability of any other
provision of this Agreement, and this Agreement will be construed as if such
invalid or unenforceable provision were omitted (but only to the extent that
such provision cannot be appropriately reformed or modified).

     15.  Waiver of Breach.  No waiver by any party hereto of a breach of any
provision of this Agreement by any other party, or of compliance with any
condition or provision of this Agreement to be performed by such other party,
will operate or be construed as a waiver of any subsequent breach by such other
party of any similar or dissimilar provisions and conditions at the same or any
prior or subsequent time. The failure of any party hereto to take any action by
reason of such breach will not deprive such party of the right to take action at
any time while such breach continues.

     16.  Compliance with Law.  Notwithstanding any provision contained in this
Agreement to the contrary, in the event the FDIC, Office of the Comptroller of
the Currency or the Federal Reserve Board commences an appropriate proceeding,
action or order challenging the payment to Executive of any benefit hereunder,
or in the event any such payment hereunder is otherwise prohibited by law, such
benefit payment shall be suspended until such time as the challenge is fully and
finally resolved and the applicable regulatory authority does not object to the
payments or until such payments are otherwise permitted by law. In the event
that any challenge to the payments required by this Agreement is initiated by a
regulatory authority or other person, the

                                       13
<PAGE>

Company shall notify Executive of such challenge and shall promptly proceed in
good faith to attempt to resolve such challenge in a manner that enables the
Company to make to Executive all payments required hereunder.

     17.  Notices.  Notices and all other communications provided for in this
Agreement shall be in writing and shall be delivered personally or sent by
registered or certified mail, return receipt requested, postage prepaid, or
prepaid overnight courier to the parties at the addresses set forth below (or
such other addresses as shall be specified by the parties by like notice):

to the Company:

     Bank One Corporation
     1 Bank One Plaza
     Chicago, IL 60670
     Attention: General Counsel

or to the Executive:

     Mr. James Dimon
     c/o Bank One Corporation
     1 Bank One Plaza
     Chicago, IL 60670

with a copy to:

    Joseph E. Bachelder
    Law Offices of Joseph E. Bachelder
    780 Third Avenue
    New York, New York 10017

Each party, by written notice furnished to the other party, may modify the
applicable delivery address, except that notice of change of address shall be
effective only upon receipt. Such notices, demands, claims and other
communications shall be deemed given in the case of delivery by overnight
service with guaranteed next day delivery, the next day or the day designated
for delivery; or in the case of certified or registered U.S. mail, five days
after deposit in the U.S. mail; provided, however, that in no event shall any
such communications be deemed to be given later than the date they are actually
received.

     18.  Arbitration of Disputes and Reimbursement of Legal Costs.  Except as
otherwise provided by Section 9, any controversy or claim arising out of or
relating to this Agreement (or the breach thereof) shall be settled by final,
binding and non-appealable arbitration in Chicago, Illinois by three
arbitrators. Subject to the following provisions, the arbitration shall be
conducted in accordance with the rules of the American Arbitration Association
(the "Association") then in effect. One of the arbitrators shall be appointed by
the Company, one shall be appointed by the Executive, and the third shall be
appointed by the first two arbitrators. If the first two arbitrators

                                       14
<PAGE>

cannot agree on the third arbitrator within 30 days of the appointment of the
second arbitrator, then the third arbitrator shall be appointed by the
Association. Any award entered by the arbitrators shall be final, binding and
nonappealable and judgment may be entered thereon by either party in accordance
with applicable law in any court of competent jurisdiction. This arbitration
provision shall be specifically enforceable. The arbitrators shall have no
authority to modify any provision of this Agreement or to award a remedy for a
dispute involving this Agreement other than a benefit specifically provided
under or by virtue of the Agreement. If the Executive prevails on any material
issue which is the subject of such arbitration or lawsuit, the Company shall be
responsible for all of the fees of the American Arbitration Association and the
arbitrators and any expenses relating to the conduct of the arbitration
(including the Company's and the Executive's reasonable attorneys' fees and
expenses). Otherwise, each party shall be responsible for its own expenses
relating to the conduct of the arbitration (including reasonable attorneys' fees
and expenses) and shall share the fees of the American Arbitration Association
equally. Pending the resolution of the arbitration, all payments and benefits
otherwise due to Executive hereunder shall continue; provided, however, that any
severance benefits provided for in Section 5(d)(i) and/or Section 5(d)(ii) shall
be paid to the Executive during such period at the rate of 1/30th thereof per
month; and provided, further, that upon final resolution (i) the Company shall
immediately pay to the Executive the remaining amount, if any, to which he is
entitled together with interest from the date such payment was otherwise due at
the Applicable Federal Rate and (ii) the Executive shall promptly repay to the
Company the amount, if any, paid to him pending such resolution to which he was
not entitled together with interest at the Applicable Federal Rate; provided,
however, that except in the case of a repayment due by reason of the Executive
having engaged in Competition, such repayment shall be net of any taxes paid by
the Executive with respect to the receipt of such severance benefits, after
taking into account the deductibility of such repayment.

     19.  Executive's Representations.  Executive hereby represents and warrants
to the Company that (i) the execution, delivery and performance of this
Agreement by Executive does not and shall not conflict with, breach, violate or
cause a default under any contract, agreement, instrument, order, judgment or
decree to which Executive is a party or by which he is bound; (ii) except to the
extent previously disclosed to the Company in writing, Executive is not a party
to or bound by an employment agreement, noncompete agreement or confidentiality
agreement with any other person or entity which would interfere in any material
respect with the performance of his duties hereunder; and (iii) Executive shall
not use any confidential information or trade secrets in connection with the
performance of his duties hereunder.

     20.  Company's Representations.  The Company represents and warrants that
it is fully authorized and empowered to enter into this Agreement, that the
Agreement has been duly authorized by all necessary corporate action, that the
performance of its obligations under this Agreement will not violate any
agreement between it and any other person, firm or organization or any
applicable law or regulation and that this Agreement is enforceable in
accordance with its terms.

                                       15
<PAGE>

     21.  Survivorship.  Upon the expiration or other termination of this
Agreement, the respective rights and obligations of the parties hereto shall
survive such expiration or other termination to the extent necessary to carry
out the intentions of the parties under this Agreement.

     22.  Entire Agreement.  Except as otherwise noted herein, this Agreement
constitutes the entire agreement between the parties concerning the subject
matter hereof and supersedes all prior and contemporaneous agreements, if any,
between the parties relating to the subject matter hereof.

     23.  Counterparts.  This Agreement may be executed in separate
counterparts, each of which is deemed to be an original and all of which taken
together constitute one and the same agreement.

                                       16
<PAGE>

    IN WITNESS THEREOF, the Executive has hereunto set his hand, and the Company
has caused these presents to be executed in its name and on its behalf, and its
corporate seal to be hereunto affixed, all as of the day and year first above
written.

                                              /s/ James Dimon
                                         --------------------------
                                                Executive

                                         BANK ONE CORPORATION

                                         By   /s/ John R. Hall
                                            -----------------------

                                         Its Chairman

[Seal]

                                       17
<PAGE>

                                                          EXHIBIT A

                               Board of Directors
                             For-Profit Businesses
                             ---------------------

Tricon Global Restaurants, Inc.

<PAGE>

                                                        EXHIBIT B

                                 Definition of
                               Change of Control
                               -----------------

     A "Change of Control" of the Corporation shall be deemed to have occurred
upon the happening of any of the following events:

     (I) the acquisition by any individual, entity or group (within the meaning
of Section 13(d)(3) or 14(d)(2) of the Exchange Act) (a "Person") of beneficial
ownership (within the meaning of Rule l3d-3 promulgated under the Exchange Act)
of 20% or more of either (A) the then outstanding shares of Common Stock of the
Corporation (the "Outstanding Corporation Common Stock") or (B) the combined
voting power of the then outstanding voting securities of the Corporation
entitled to vote generally in the election of directors (the "Outstanding
Corporation Voting Securities"), provided, however, that for purposes of this
subsection (I), the following acquisitions shall not constitute a Change of
Control: (A) any acquisition directly from the Corporation, (B) any acquisition
by the Corporation, (C) any acquisition by any employee benefit plan (or related
trust) sponsored or maintained by the Corporation or any corporation controlled
by the Corporation or (D) any acquisition by any corporation pursuant to a
transaction which complies with clauses (A), (B) and (C) of subsection (III) of
this Section 12(b); or

     (II) Individuals who, as of the date hereof, constitute the Board (the
"Incumbent Board") cease for any reason to constitute at least a majority of the
Board, provided, however, that any individual becoming a director subsequent to
the date hereof whose election, or nomination for election by the Corporation's
shareholders, was approved by a vote of at least a majority of the directors
then comprising the Incumbent Board shall be considered as though such
individual were a member of the Incumbent Board, but excluding, for this
purpose, any such individual whose initial assumption of office occurs as a
result of an actual or threatened election contest with respect to the election
or removal of directors or other actual or threatened solicitation of proxies or
consents by or on behalf of a Person other than the Board; or

     (III) Consummation of a reorganization, merger or consolidation or sale or
other disposition of all or substantially all of the assets of the Corporation
(a "Business Combination"), in each case, unless, following such Business
Combination, (A) all or substantially all of the individuals and entities who
were the beneficial owners, respectively, of the Outstanding Corporation Common
Stock and Outstanding Corporation Voting Securities immediately prior to such
Business Combination beneficially own, directly or indirectly, more than 50% of,
respectively, the then outstanding shares of common stock and the combined
voting power of the then outstanding voting securities entitled to vote
generally in the election of directors, as the case may be, of the corporation
resulting from such Business Combination (including, without limitation, a
corporation which as a result of such transaction owns the Corporation or all or
substantially all of the Corporation's assets either directly or through one or
more subsidiaries) in substantially the same proportions as their ownership,
immediately prior to such Business Combination of the Outstanding Corporation
Common Stock and Outstanding Corporation Voting Securities, as the case may be,
(B) no Person (excluding any corporation resulting from
<PAGE>

such Business Combination or any employee benefit plan (or related trust) of the
Corporation or such corporation resulting from such Business Combination)
beneficially owns, directly or indirectly, 20% of more of, the corporation
resulting from such Business Combination or the combined voting power of the
then outstanding voting securities of such corporation except to the extent that
such ownership existed prior to the Business Combination and (C) at least a
majority of the members of the board of directors of the corporation resulting
from such Business Combination were members of the Incumbent Board at the time
of the execution of the initial agreement, or of the action of the Board,
providing for such Business Combination; or

     (IV) Approval by the shareholders of the Corporation of a complete
liquidation or dissolution of the Corporation.
<PAGE>

                                                    EXHIBIT C

                        RESTRICTED STOCK AWARD AGREEMENT
                        --------------------------------

          THIS AGREEMENT (the "Agreement"), dated March 27, 2000, is between
Bank One Corporation, a Delaware corporation (hereinafter called the "Company"),
and Mr. James Dimon (hereinafter called the "Participant").

          WHEREAS, the Company has adopted the Bank One Corporation Stock
Performance Plan (the "Plan"), which Plan as it may be amended from time to time
is incorporated herein by reference and made a part of this Agreement;

          WHEREAS, the Organization, Compensation and Nominating Committee of
this Board of Directors has determined that it would be in the best interests of
the Company and its stockholders to grant the restricted stock award provided
for herein (the "Restricted Stock Award") to the Participant pursuant to the
Plan and the terms set forth herein;

          WHEREAS, the Company and the Participant have entered into an
Employment Agreement dated March 27, 2000 (the "Employment Agreement"); and

          WHEREAS, the Employment Agreement provides for the grant of Restricted
Shares to the Participant.

          NOW THEREFORE, in consideration of the mutual covenants hereinafter
set forth, the parties hereto agree as follows:

          1.  Grant of the Restricted Shares. Subject to the terms and
conditions of the Plan, the Employment Agreement and the additional terms and
conditions set forth in this Agreement, the Company hereby grants to the
Participant a Restricted Stock Award consisting of 35,242 shares of Common Stock
(hereinafter called the "Restricted Shares"). The Restricted Shares shall vest
(and thus become non-forfeitable) in accordance with Section 2 hereof. Any
capitalized terms set forth herein to the extent not defined herein shall have
the meanings set forth in the Employment Agreement or the Plan.

          2.  Vesting.

          (a) Subject to the Participant's continued employment with the Company
and the terms of this Agreement and the Employment Agreement, the Restricted
Shares shall vest and become non-forfeitable, as follows: 7,048 of the
Restricted Shares on each of the first four anniversaries of the date of this
Agreement and the remainder on the fifth anniversary of such date.
Notwithstanding the foregoing, in the event the above vesting schedule results
in the vesting of any fractional Shares, such fractional Shares shall not be
deemed vested hereunder but shall vest and become nonforfeitable when such
fractional Shares aggregate whole Shares.
<PAGE>

          (b)  (i)  If the Participant's employment with the Company is
                    terminated as a result of the Participant's death or
                    Disability, termination by the Company without Cause or
                    Constructive Discharge (all as defined or described in the
                    Employment Agreement), or if a Change of Control (as defined
                    or described in the Employment Agreement) occurs, the
                    Restricted Shares shall, to the extent not then vested and
                    not previously forfeited, immediately become fully vested.

               (ii) If the Participant's employment with the Company is
                    terminated by the Company for Cause (other than during the
                    three-year period following a Change of Control) or if the
                    Participant voluntarily resigns from the employ of the
                    Company, other than pursuant to a Constructive Discharge,
                    the Restricted Shares shall, to the extent not then vested,
                    be forfeited by the Participant; provided, however, that in
                    such event the Participant shall not have any obligation to
                    reimburse the Company for any amount in respect of any cash
                    dividends theretofore received by the Participant with
                    respect to Restricted Shares.

          3.  Certificates.  The Restricted Shares shall be issued by the
Company and shall be registered in the Participant's name on the stock transfer
books of the Company as of the date hereof. At the request of the Participant,
at any time on or after the vesting of such shares, certificates for such shares
shall be issued in the Participant's name. No certificates shall be issued for
fractional Shares.

          4.  Rights as a Stockholder.  The Participant shall be the record
owner of the Restricted Shares until or unless such Shares are forfeited
pursuant to Section 2 hereof and as record owner shall be entitled to all rights
of a common stockholder of the Company, including, without limitation, voting
rights and dividends with respect to the Restricted Shares; provided that (i)
any in-kind dividends paid with respect to the Restricted Shares which have not
previously vested shall be withheld by the Company and shall be paid to the
Participant only when, and to the extent such Restricted Shares shall become
fully vested pursuant to Section 2 and (ii) the Restricted Shares shall be
subject to the limitations on transfer and encumbrance set forth in Section 6.
As soon as practicable following the vesting of any Restricted Shares pursuant
to Section 2, certificates for the Restricted Shares which shall have vested
shall be delivered to the Participant or to the Participant's legal guardian or
representative along with the stock powers relating thereto.

          5.  Transferability.  The Restricted Shares may not, at any time prior
to becoming vested pursuant to Section 2, be transferred, sold, assigned,
pledged, hypothecated or otherwise disposed of unless such transfer, sale,
assignment, pledge, hypothecation or other disposition complies with the
provisions of the Plan.

                                       2
<PAGE>

          7.  Participant's Employment by the Company. Subject to the terms of
the Employment Agreement, nothing contained in this Agreement (i) obligates the
Company or any subsidiary of the Company to employ the Participant in any
capacity whatsoever or (ii) prohibits or restricts the Company (or any such
subsidiary) from terminating the employment, if any, of the Participant at any
time or for any reason whatsoever, with or without Cause, and the Participant
hereby acknowledges and agrees that, except as otherwise provided in the
Employment Agreement neither the Company nor any other person has made any
representations or promises whatsoever to the Participant concerning the
Participant's employment or continued employment by the Company or any
subsidiary of the Company.

          8.  Change in Capitalization. If, prior to the time the restrictions
imposed by Section 2 on the Restricted Shares lapse, the Company shall be
reorganized, or consolidated or merged with another corporation, any stock,
securities or other property exchangeable for such Restricted Shares pursuant to
such reorganization, consolidation or merger shall be deposited with the Company
and shall become subject to the terms of this Agreement to the same extent as if
it had been the original property granted hereby.

          9.  Withholding.

          (a) It shall be a condition of the obligation of the Company to
deliver to the Participant Restricted Shares that have vested that the
Participant pay to the Company such amount as may be requested by the Company
for the purpose of satisfying any liability for any Federal, state or local
income or other taxes required by law to be withheld with respect to such
Restricted Shares. Any such liability may be satisfied, in whole or in part, by
the Participant's authorizing the Company to withhold from the Restricted Shares
that would otherwise be delivered Restricted Shares whose Fair Market Value
equals the liability. The Company shall be authorized to take such action as may
be necessary in the opinion of the Company's counsel (including, without
limitation, withholding vested Restricted Shares otherwise deliverable to
Participant hereunder and/or withholding amounts from any compensation or other
amount owing from the Company to the Participant) to satisfy all obligations for
the payment of any such taxes.

          (b) Cash dividends paid with respect to the Restricted Shares will be
treated as compensation taxable to the Participant and will be subjected to
applicable withholding, through payroll reductions, when paid for the purpose of
satisfying any liability for any Federal, state or local income or other taxes
required by law to be withheld with respect to such dividends.

          (c) The Participant is hereby advised to seek his own tax counsel
regarding the taxation of the grant of Restricted Shares made hereunder.

          10.  Securities Laws. The Company represents that the Restricted
Shares are registered without restriction under the Securities Act of 1933, and
under any and all applicable state securities laws, and that the Shares shall
remain registered after vesting. Upon the vesting of any Restricted Shares, the
Company may require the Participant to make or enter into such written
representations, warranties and agreements as the Committee may reasonably
request in

                                       3
<PAGE>

order to comply with applicable securities laws or with this Agreement and
appropriate legends may be placed on the certificates. The granting of the
Restricted Shares hereunder shall be subject to all applicable laws, rules and
regulations and to such approvals of any governmental agencies as may be
required and appropriate legends may be placed on the certificates.

          11.  Notices. Any notice to be given under the terms of this Agreement
to the Company shall be addressed to the Company in care of its General Counsel,
and any notice to be given to the Participant shall be addressed to him at the
address given beneath his signature hereto. By a notice given pursuant to
Section 11, either party may hereafter designate a different address for notices
to be given to him. Any notice which is required to be given to the Participant
shall, if the Participant is then deceased, be given to the Participant's
personal representative if such representative has previously informed the
Company of his status and address by written notice under this Section 11. Any
notice shall have been deemed duly given when enclosed in a properly sealed
envelope or wrapper addressed as aforesaid, deposited (with postage prepaid) in
a post office or branch post office regularly maintained by the United States
Postal Service.

          12.  Governing Law. The laws of the State of Delaware (or if the
Company reincorporates in another state, the laws of that state) shall govern
the interpretation, validity and performance of the terms of this Agreement
regardless of the law that might be applied under principles of conflicts of
laws.

          14.  Restricted Stock Award Subject to the Employment Agreement and
Plan. This Restricted Stock Award shall be subject to the terms and provisions
of the Employment Agreement and of the Plan as modified by the Employment
Agreement. In the event of any conflict among this Agreement, the Plan or the
Employment Agreement, the terms of the Employment Agreement shall control.

          15.  Signature in Counterparts. This Agreement may be signed in
counterparts, each of which shall be an original, with the same effect as if the
signatures thereto and hereto were upon the same instrument.

          16.  Resolution of Disputes. Any disputes under the Agreement shall be
resolved in accordance with Section 18 of the Employment Agreement, which shall
be deemed incorporated herein in full.

          17.  The Company's Representations. The Company represents and
warrants that (a) it is fully authorized by action of the Board and the
Committee (and of any other person or body whose action is required) to enter
into this Agreement and to perform its obligations hereunder; (b) the execution,
delivery and performance of this Agreement by the Company does not violate any
applicable law, regulation, order, judgment or decree or any agreement, plan or
corporate governance document of the Company; (c) the Plan is consistent with
the terms of this Agreement; and (d) upon the execution and delivery of this
Agreement by the Company and the Participant, this Agreement shall be the valid
and binding obligation of the Company, enforceable in accordance with its terms.

                                       4
<PAGE>

          IN WITNESS WHEREOF, the parties hereto have executed this Agreement.

                                         BANK ONE CORPORATION

                                         By:   /s/ John R. Hall
                                             -------------------
                                         Its: Chairman

  /s/ James Dimon
----------------------
Participant

                                       5
<PAGE>

                                                    EXHIBIT D

                             STOCK OPTION AGREEMENT
                             ----------------------

          THIS AGREEMENT (the "Agreement"), dated as of March 27, 2000 is made
by and between Bank One Corporation (the "Company"), a Delaware corporation, and
Mr. James Dimon (the "Optionee"), an employee of the Company.

                                    RECITALS
                                    --------

          WHEREAS, the Optionee and the Company have entered into an employment
agreement which provides for the grant of stock options to the Optionee; and

          WHEREAS, the Company wishes to afford the Optionee the opportunity to
purchase 3,240,000 shares of the Company's common stock, $.01 par value per
share (the "Common Stock"); and

          WHEREAS, the Company wishes to award an option to purchase shares of
Common Stock under the Bank One Corporation Stock Performance Plan as amended as
of the date of grant, (the "Plan"), the terms of which are hereby incorporated
by reference and made a part of this Agreement; and

          WHEREAS, the Company's Organization, Compensation and Nominating
Committee (the "Committee"), appointed to administer the Plan, has determined
that it would be to the advantage and in the best interest of the Company and
its stockholders to grant to the Optionee a Stock Option to purchase Common
Stock as an incentive for increased efforts during the Optionee's term of office
with the Company and has advised the Company thereof and instructed it to issue
such Option.

          NOW, THEREFORE, in consideration of the mutual representations,
warranties, covenants and agreements contained herein, the parties hereto hereby
agree as follows:

                                   ARTICLE I

                                  DEFINITIONS
                                  -----------

          "Cause" shall have the meaning set forth in Section 5(c) of the
          Employment Agreement.

          "Change of Control" shall have the meaning set forth in Exhibit C to
          the Employment Agreement.
<PAGE>

          "Constructive Discharge" shall have the meaning set forth in Section
          5(e) of the Employment Agreement.

          "Disability" shall have meaning set forth in Section 5(b) of the
          Employment Agreement.

          "Employment Agreement" shall mean the Employment Agreement executed
          March 27, 2000 between the Optionee and the Company.

          "Fair Market Value" shall have the meaning set forth in the Plan.

          "Code" shall mean the Internal Revenue Code of 1986, as amended.

          "Grant Date" shall mean March 27, 2000.

          "Term" shall mean 10 years from the Grant Date.

          "Termination for Cause" shall have the meaning set forth in Section
          5(c) of the Employment Agreement but shall not include any termination
          that constitutes a Constructive Discharge.

          "Termination without Cause" shall have the meaning set forth in
          Section 5(d) of the Employment Agreement.

          "Vest" shall mean to become exercisable as well as to become vested,
          subject to the terms of this Agreement.

                                  ARTICLE II

                                GRANT OF OPTION
                                ---------------

Section 2.1 - Grant of Option

          On and as of the Grant Date, the Company irrevocably grants to the
Optionee a Stock Option to purchase all or any part of 3,240,000 shares of
Common Stock (any such shares, the "Shares") upon the terms and conditions set
forth herein (the "Option").

Section 2.2 - Exercise Price

          The exercise price shall be $28.375 per Share without commission or
other charge.

                                       2
<PAGE>

Section 2.3 - Consideration to the Company; No Right to Employment

          In consideration of the Option grant, the Optionee agrees to render
faithful and efficient service to the Company with such duties and
responsibilities as the Company shall from time to time prescribe, all in
accordance with the terms of the Employment Agreement. Nothing in this Agreement
or in the Plan shall confer upon the Optionee any right to continue in the
employ of the Company or shall interfere with or restrict in any way the rights
of the Company, which rights hereby are expressly reserved, to terminate the
Optionee's employment at any time for any reason whatsoever, with or without
cause, subject to the terms of the Employment Agreement.

Section 2.4 - Adjustments in Option

          (a) General. In the event of a stock split, stock dividend,
combination of shares or similar event or in the event that the outstanding
shares of Common Stock subject to the Option are, from time to time, changed
into or exchanged for a different number or kind of shares of common stock or
other securities of the Company by reason of a merger, consolidation,
recapitalization, reclassification, or otherwise, the Committee shall make an
appropriate and equitable adjustment in the number and kind of shares or other
consideration as to which the Option, or portions thereof then unexercised,
shall be exercisable and/or in the exercise price and/or other terms and
conditions of this Option (including the prices per share of Common Stock set
forth in Section 3.1 hereof), and/or shall promptly make appropriate
provision(s) for supplemental payments of cash, securities, and/or other
property, so as to avoid dilution or enlargement of the rights of the Optionee
and of the economic opportunity and value represented by the Option. Any such
adjustment made by the Committee shall be final and binding, subject, however,
to the provisions of Section 14 of the Employment Agreement which is
incorporated herein by reference as provided in the Recitals hereto and in
Section 5.5 below.

          (b) Roll-over Provisions. In the event of any merger, consolidation or
other transaction (i) in which the Company is not the surviving entity or the
Company becomes (directly or indirectly) a subsidiary of another entity and (ii)
following which the surviving entity or any entity of which it is a subsidiary,
or, if the Company survives as a subsidiary of another entity, then such other
entity or any entity of which such other entity is a subsidiary, has publicly-
traded equity securities issued and outstanding, the Company shall take such
steps as are necessary to assure that the Optionee shall (at his election) be
provided a replacement option that (x) is exercisable for publicly-traded equity
securities of the surviving entity, or of an entity of which the Company or the
surviving entity is a subsidiary, as the case may be, and (y) provides terms,
conditions and economic opportunity (including, without limitation, an aggregate
spread value) no less favorable to the Optionee than did the Option prior to
such transaction.

          (c) Change of Control. In the event that holders of Common Stock
receive cash, securities or other property in respect of their Common Stock in
connection with a Change of Control transaction, the Company shall use its best
efforts to enable the Optionee (if he so elects) to exercise the Option at a
time and in a fashion that will entitle him to receive in

                                       3
<PAGE>

exchange for any Common Stock thus acquired the same consideration as is
received in such Change of Control transaction by other holders of Common Stock.

                                  ARTICLE III

                           PERIOD OF EXERCISABILITY
                           ------------------------

Section 3.1 - Vesting, and Commencement of Exercisability

          Subject to the provisions of Section 3.2, the Option shall become
exercisable as follows:

          a.   As to 1,240,000 shares the Option shall vest and become
               exercisable at the rate of 20% per year on each of the first five
               anniversaries of the Grant Date.

          b.   As to another 1,000,000 shares, the Option shall vest and become
               exercisable the rate of 20% per year on each of the first five
               anniversaries of the Grant Date, provided that subject to Section
               3.1(d) below the Option shall vest and become immediately
               exercisable with respect to such shares on the date on which the
               closing price of the Common Stock as reported on the New York
               Stock Exchange Composite Transactions Tape is at or above $50 per
               share.

          c.   As to another 1,000,000 shares, the Option shall vest and become
               exercisable the rate of 20% per year on each of the first five
               anniversaries of the Grant Date, provided that subject to Section
               3.1(d) below the Option shall vest and become immediately
               exercisable with respect to such shares on the date on which the
               closing price of the Common Stock as reported on the New York
               Stock Exchange Composite Transactions Tape is at or above $60 per
               share.

          d.   Subject to Section 3.2(a) below, neither tranche of the Option,
               as described in Section b. or c. above, shall become exercisable
               prior to the sixth-month anniversary of the Grant Date.

Section 3.2 - Acceleration of Exercisability

          (a) To the extent not previously vested the Option shall become fully
vested and exercisable on the earlier of a Change of Control or the Optionee's
termination of employment by reason of death, Disability, termination by the
Company without Cause, or Constructive Discharge. To the extent not previously
vested, the Option shall be immediately forfeited in the event of a termination
of the Optionee's employment for Cause or upon the Optionee's resignation from
the employ of the Company other than pursuant to a Constructive Discharge.

                                       4
<PAGE>

          (b) To the extent exercisable on the date of the Optionee's
termination of employment, the Option shall continue to be exercisable by the
Optionee or, in the event of his death, by his estate for the following periods
(but not beyond the original ten-year term of the Options): (A) until the fifth
anniversary of such termination of employment by reason of death, Disability,
termination by the Company without Cause or Constructive Discharge or (B)
subject to the following provisions of this clause (b), until 30 days after
termination of employment by the Company for Cause. Except as provided in the
following sentence, this Option shall cease to be exercisable immediately upon
the Optionee's resignation from the employ of the Company other than pursuant to
a Constructive Discharge. In the event of a Change of Control prior to the first
anniversary of the Grant Date, any termination of the Executive's employment by
the Company after the date of such Change of Control and on or before the close
of business on the first business day following the first anniversary of the
Grant Date shall be treated for purposes of this clause (b) as if it were a
termination by the Company without Cause. The Option shall cease to be
exercisable immediately upon the Optionee's voluntary resignation from the
employ of the Company other than pursuant to a Constructive Discharge. In the
event that the Optionee engages in Competition (within the meaning of Section 8
of the Employment Agreement) within the twelve-month period immediately
following the termination of his employment with the Company for any reason
(including any termination prior to the first anniversary of the Grant Date),
this Option shall be immediately forfeited to the extent not previously
exercised.

                                  ARTICLE IV

                              EXERCISE OF OPTION
                              ------------------

Section 4.1 - Person Eligible to Exercise

          During the Optionee's lifetime, subject to Section 5.1 hereof, only
the Optionee may exercise the Option or any exercisable portion thereof.
Subject to the preceding sentence, after the death of the Optionee and prior to
the close of business on the Expiration Date, the Option or any exercisable
portion thereof may be exercised by the Optionee's personal representative, or
by any person empowered to do so under the Optionee's will or under the then
applicable laws of descent and distribution. The party entitled to exercise the
Option shall be referred to herein as the "Exercising Party."

Section 4.2 - Partial Exercise

          Any exercisable portion of the Option may be exercised in whole or in
part at any time prior to the close of business on the Expiration Date;
provided, however, that any exercise shall be for whole shares only.

Section 4.3 - Manner of Exercise

          (a) Notice in writing, signed by the Exercising Party, shall be
delivered to the Company, stating the number of Shares with respect to which the
Option is being exercised.

                                       5
<PAGE>

          (b) Full payment of the purchase price and resulting tax withholding
liability shall be paid to the Company, which payment can be made in any
combination of the following:

               (i) Cash, wire transfer of immediately available funds or check
payable to the Company, within five business days of exercise. This alternative
can be used for either or both the purchase price and tax withholding liability;

               (ii) "Exchange" of Common Stock owned for at least six months
prior to exercise with a total market value equal to or greater than the
purchase price. This alternative can also be used for either or both the
purchase price and resulting tax withholding liability;

               (iii) Simultaneous exercise and sale through either FCT/Equiserve
or Bank One Securities Corporation;

               (iv) Tendering Option Shares (reducing the number of Shares
actually delivered through the exercise of the Option). This alternative can
only be used to satisfy the resulting minimum tax withholding.

If withholding is not fully paid by one of the tax payment options described
above, tax will be withheld from a paycheck following an option exercise.

          (c) In the event that the Exercising Party is not the Optionee,
appropriate proof, in the sole judgment of the Company, of the right of such
person to exercise the Option shall be delivered to the Company.

Section 4.4 - Restorative Stock Option

          A Restorative Stock Option will be granted to the Optionee upon
exercise during employment of all or a portion of the Option where the option
exercise price is paid by an "exchange" of shares of Common Stock owned for at
least six months prior to exercise with a total Fair Market Value equal to or
greater than the purchase price. The exercise price per share of the Restorative
Stock Option shall be the Fair Market Value of a share of Common Stock on the
date the Restorative Stock Option is granted. The number of shares for each
Restorative Stock Option grant will be equal to the number of shares exchanged
to pay the option exercise price. Restorative Stock Options (i) may be granted
on previously granted Restorative Stock Options that are exercised in a calendar
year subsequent to the year of grant, (ii) may be granted once per calendar year
with respect to this Option, (iii) derived from this Option are only exercisable
through the term of the Option and (iv) shall be exercisable six months after
grant; provided, however, that a Restorative Stock Option exercised in the same
calendar year as granted shall not be eligible for a new Restorative Stock
Option grant.

                                       6
<PAGE>

Section 4.5 - Shares to be Issued

          The Shares deliverable upon the exercise of the Option, or any portion
thereof, may be either previously authorized but unissued shares of Common Stock
or issued shares that have been reacquired subsequently by the Company. When
delivered to Optionee, such shares shall be fully paid and nonassessable.

Section 4.6 - No Rights as Stockholder

          Neither the Optionee nor any Exercising Party shall be a stockholder
of the Company or have any of the rights or privileges thereof in respect of any
shares covered by the Option unless and until certificates representing such
shares shall have been issued by the Company to such Optionee or other
Exercising Party or such shares have been registered in the name of the Optionee
or other Exercising Party on the Company's books.

Section 4.7 - Securities Registration, Securities Law Compliance

          The Company represents that the shares to be issued upon exercise of
the Option are registered without restriction under the Securities Act of 1933
and under any and all applicable state securities laws, and shall remain
registered after the Option is exercised. Upon issuance of any share hereunder,
the Optionee shall, if requested by the Company, make such representations and
furnish such information as may reasonably be necessary to permit the Company to
issue or transfer such share in compliance with the provisions of applicable
Federal and/or state securities laws.

Section 4.8 - Deferral of Option Gains

          To the extent that such rights are provided to any other senior
executive of the Company, the Optionee shall have the right to elect to defer
any gains realized upon or in connection with the exercise of the Option.

                                   ARTICLE V

                                 MISCELLANEOUS
                                 -------------

Section 5.1 - Transferability of Option

          This Agreement and the Optionee's rights hereunder shall be
transferable or assignable by the Optionee (i) by will or by the laws of descent
and distribution, (ii) during his lifetime, by gratuitous transfers to immediate
family members or to trusts for their benefit or (iii) pursuant to a Qualified
Domestic Relations Order (as defined under the Code or Title I of the Employee
Retirement Security Act of 1974, as amended or the rules thereunder). The Option
may be exercised only by the Optionee or his guardian or legal representative
(including any person empowered to do so under the Optionee's will or under the
then applicable laws of descent and distribution) or by a transferee to whom a
transfer is made in accordance with the

                                       7
<PAGE>

preceding sentence (a "Permitted Transferee"). For purposes of this Section 5, a
"Permitted Transferee" shall be deemed to include a transferee from a Permitted
Transferee under circumstances described in clause (i) and (ii) above. Any
Permitted Transferee shall have the same rights and obligations as the Optionee
except that the rights with respect to transfers or assignments under this
Section 5 shall be limited to Permitted Transferees referred to in clauses (i)
and (ii) above.

Section 5.2 - Shares to be Reserved

          The Company shall at all times during the term of the Option reserve
and keep available such number of shares of Common Stock as will be sufficient
to satisfy the requirements of this Agreement.

Section 5.3 - Notices

          Any notice to be given under the terms of this Agreement to the
Company shall be addressed to the Company as follows: Bank One Corporation, 1
Bank One Plaza, Chicago, IL 60670, Attention: General Counsel. Any notice to be
given to the Optionee shall be sent to the address given beneath his signature
to this Agreement. By a notice given pursuant to this Section 5.3, either party
may hereafter designate a different address for notices. Any notice that is
required to be given to the Optionee shall, if the Optionee is then deceased, be
given to the Optionee's personal representative if such representative has
previously informed the Company of his or her status and address by written
notice under this Section 5.3. All notices and other communications under this
Agreement shall be in writing and shall have been deemed duly given when
delivered personally, mailed by registered mail, return receipt requested or
sent by documented overnight delivery service.

Section 5.4 - Titles

          Titles are provided herein for convenience of reference only and are
not to serve as a basis for interpretation or construction of this Agreement.

Section 5.5 - Applicability of Plan, Employment Agreement

          This Agreement, the Option and any Shares issued hereunder shall be
subject to all of the terms and provisions of the Employment Agreement and of
the Plan, as modified by the Employment Agreement. In the event of any conflict
among this Agreement, the Plan or the Employment Agreement, the terms of the
Employment Agreement shall control.

Section 5.6 - Amendment; Waiver

          No provision of this Agreement may be amended or modified except by an
instrument or instruments in writing signed by the parties hereto. Any party may
waive compliance by another with any of the provisions of this Agreement,
provided that (a) no waiver of any provision hereof shall be construed as a
waiver of any other provision or subsequent

                                       8
<PAGE>

breach and (b) any such waiver shall be in writing signed by the party waiving
such compliance. The failure of any party hereto to enforce at any time any
provision hereof shall not be construed to be a waiver of such provision, nor in
any way to affect the validity hereof, or any part hereof, or the right of any
party thereafter to enforce each and every such provision.

Section 5.7 - Governing Law

          To the extent not governed by the laws of the United States, including
the Code, this Agreement shall be governed by, and construed and enforced in
accordance with, the laws of the State of Delaware (without regard to conflicts
of law principles for such state).

Section 5.8 - Jurisdiction

          Subject to Section 5.9 hereof, the Company and the Optionee hereby
irrevocably submit to the jurisdiction of any Illinois or Delaware state court,
or any Federal court in the Northern District of Illinois or in Delaware in any
action or proceeding arising out of or relating to this Agreement, and the
parties hereto irrevocably agree that all claims in respect of such action or
proceeding shall be heard and determined only in such courts. The Company and
the Optionee hereby consent to and grant to any such court jurisdiction over the
persons of such parties and over the subject matter of any such dispute and
agree that delivery or mailing of any process or other papers in the manner
provided in Section 5.3 hereof, or in such other manner as may be permitted by
law, shall be valid and sufficient service thereof.

Section 5.9 - Resolution of Disputes

          Any disputes under this Agreement shall be resolved in accordance with
Section 18 of the Employment Agreement, which shall be deemed incorporated
herein in full.

Section 5.10 - Representations

          The Company represents and warrants that (a) it is fully authorized by
action of its Board and the Committee (and of any other person or body whose
action is required) to enter into this Agreement and to perform its obligations
under it, (b) the execution, delivery and performance of this Agreement by the
Company does not violate any applicable law, regulation, order, judgment or
decree or any agreement, plan or corporate governance document of the Company,
(c) the Plan is consistent with the terms of this Agreement and (d) upon the
execution and delivery of this Agreement by the Company and the Optionee, this
Agreement shall be the valid and binding obligation of the Company, enforceable
in accordance with its terms.

                                       9
<PAGE>

          IN WITNESS WHEREOF, this Agreement has been executed and delivered by
the parties hereto on the date first set forth above.

                              BANK ONE CORPORATION

                              By:  /s/ John R. Hall
                                 -------------------------------

AGREED AND ACCEPTED BY:

  /s/ James Dimon
-----------------------------------
Optionee

                                       10<PAGE>

              INTERCONNECTION AGREEMENT UNDER SECTIONS 251 AND 252
                      OF THE TELECOMMUNICATIONS ACT OF 1996

                                 by and between

                                  NEVADA BELL

                                      and

                            Pac-West Telecomm, Inc.
<PAGE>

TABLE OF CONTENTS

 1. DEFINITIONS ......................................................7
 2. INTERPRETATION AND CONSTRUCTION .................................12

3. IMPLEMENTATION SCHEDULE AND INTERCONNECTION ACTIVATION
 DATES ................. . ............ . . .........................12

4. INTERCONNECTION PURSUANT TO SECTION 251(c)(2)(A),(B),(C);
   ---------------------------------------------------------
    47 CFR. Section51.305(a)(1) ..... ...............................13
-----------------------------------
 4.1 Scope ..........................................................13

   4.2 Interconnection Coverage Section 251(c)(2)(B) and (C),
       ------------------------------------------------------
       47 CFR 4 51.305(a)(2) ........................................13
---------------------------------------------------------------------
   4.3 Methods for Interconnection ..................................14
       --------------------------------------------------------------
     (a)     Ph.sical Collocation ...................................14
        -------------------------------------------------------------

    (b) Virtual Collocation .........................................14
        -------------------------------------------------------------

    (c)    Leased Facility Interconnection ("LFI") ..................14
           ----------------------------------------------------------

    (d) Fiber Meet ..................................................14
        -------------------------------------------------------------

    (e)    Other Interconnection Methods ............................14
           ----------------------

 4.4 Physical Architecture ..........................................15
     ----------------------------------------------------------------
 4.4.2 Mid-Point Meet ...............................................16
       --------------------------------------------------------------

   4.5 Single POI Model .............................................16
       -----------
   4.6 Additional Interconnection ...................................17
       --------------------------------------------------------------
   4.7 Responsibilities of the Parties ..............................17
       ------------------------

5. TRANSMISSION AND ROUTING OF TELEPHONE EXCHANGE SERVICE
   ------------------------------------------------------

     TRAFFIC PURSUANT TO SECTION 251(c)(2)(D); 252(d)(1) and (2);
     ------------------------------------------------------------
      47 CFR 4 51.305(a)(5)   .......................................19
------------------------------
<PAGE>

    5.1    Scope of Traffic ..........................................19
           -----------------------------------------------------------
    5.2    Responsibilities of the Parties ...........................21
           -----------------------------------------------------------
    5.3    Reciprocal Compensation for Termination of Local Traffic ..22
           -------------------------------------------------

       5.3.2 Applicability of Rates ..................................22
             ---------------------------------------------------------
       5.3.3 Rate Elements ...........................................22
             ---------------------------------------------------------
       5.3.4 Local Traffic Interconnection Rates .....................23
             ---------------------------------------------------------

    5.4    Reciprocal Compensation for Transit Traffic ...............23
           -----------------------------------------------------------
    5.5    Reciprocal Compensation for Termination of IntraLATA
           ----------------------------------------------------
           Interexchange Traffic .....................................24
----------------------------------------------------------------------
    5.6    Compensation for Origination and Termination of Switched
           --------------------------------------------------------
           Access Service Traffic to or from an IXC (Meet-Point
---------------------------------------------------------------
           Billing ("MPB") Arrangements) .............................24
----------------------------------------------------------------------

    5.7    Maintenance of Service ....................................26
           ---------------

 6. TRANSMISSION AND ROUTING OF SWITCHED ACCESS TRAFFIC
    ---------------------------------------------------
 PURSUANT TO 251(c)(2) ...............................................27
----------------------------------------------------------------------
 6.1 Scope of Traffic ................................................27
     -----------------------------------------------------------------
 6.2 Trunk Group Architecture and Traffic Routin .....................27
     -----------------------------------------------------------------
 7. TRANSPORT AND TERA41NATION OF OTHER TYPES OF TRAFFIC .............28
    ------------------------------------------------------------------
 7.1 Information Services Traffic ....................................28
     -----------------------------------------------------------------
 7.2 Busy Line Verification ("BLV")/Busy Line
     ----------------------------------------
     Verification/Interrupt ("BLVI") Traffic .........................28
----------------------------------------------------------------------
 S. SIGNALING ........................................................28

 9. NUMBERING .............. .........................................29

 9.9 NXX Migration ...................................................30
     -----------------------------------------------------------------
 10. RESALE - SECTIONS 251(b)(1); 251(c)(4); 252(d)(3);
     --------------------------------------------------
     and 271(c)(2)(B)(xiv) ...........................................30
----------------------------------------------------------------------
 10.1 Availability of NEVADA Retail Telecommunications Services
      ---------------------------------------------------------
      for Resale .....................................................30
----------------------------------------------------------------------
<PAGE>

    10.2 Availability of CLEC Retail Telecommunication Services
         ------------------------------------------------------
        for Resale ...........................................................31
------------------------------------------------------------------------------

11.     UNBUNDLED NETWORK ELEMENTS -SECTIONS 251(c)(3),271(c)(2)(B)
   ----------------------------------------------------------------
        (ii),(iv),'(v),'(vi),(x) .............................................31
------------------------------------------------------------------------------
 12.    NOTICE OF CHANGES - SECTION 251(c)(5) ................................31
        ----------------------------------------------------------------------
 13.    COLLOCATION - SECTION 251(c)(6) ......................................31
        ----------------------------------------------------------------------
 14.    NUMBER PORTABILITY - SECTIONS 251(b)(2) and 271(c)(2)(B)(xi) .........31
        ----------------------------------------------------------------------
 15.    DIALING PARITY - SECTION 251(b)(3); 271(c)(2)(B)(xii); and 271(e)(2) .32
        ----------------------------------------------------------------------
 16.    ACCESS TO RIGHTS-OF-WAY - SECTION 251(b)(4) and 271(c)(2)(B)(iii) ....32
        ----------------------------------------------------------------------
 17.    DATABASE ACCESS -SECTION 271(c)(2)(B)(x) .............................32
        ----------------------------------------------------------------------
 18.    INTERCEPT REFERRAL ANNOUNCEMENTS .....................................32
        ----------------------------------------------------------------------
 19.    COORDINATED REPAIR CALLS .............................................32
        ----------------------------------------------------------------------
 20.    OTHER SERVICES 271(c)(B)(2)(vii) and 271(c)(2)(B)(viii) ..............33
        ----------------------------------------------------------------------
 20.1   White Pages ..........................................................33
        ----------------------------------------------------------------------

    20.2  911 and E91 I Services .............................................33
          --------------
    20.3  Directory Assistance ("DA") ........................................33
          --------------------------------------------------------------------
    20.4  Operator Services ..................................................33
          --------------------------------------------------------------------
    20.5  Signaling System 7 Interconnection .................................33
          --------------------------------------------------------------------

 21. GENERAL RESPONSIBILITIES OF THE PARTIES .................................34
             ------------------------
 21.1 Implementation Schedule ................................................34
      ------------------------------------------------------------------------
 22. EFFECTIVE DATE, TERM, AND TERMINATION ...................................36
     -------------------------------------------------------------------------
 23. DISCLAIMER OF REPRESENTATIONS AND WARRANTIES ............................37
     -------------------------------------------------------------------------
 24. CHANGES IN END USER LOCAL EXCHANGE SERVICE PROVIDER
     ---------------------------------------------------
 SELECTION ...................................................................37
------------------------------------------------------------------------------
<PAGE>

 25.    SEVERABILITY .........................................................38
        ----------------------------------------------------------------------

 26.    INTELLECTUAL PROPERTY ................................................38
        ----------------------------------------------------------------------
 27.    INDEMNIFICATION ......................................................39
        ----------------------------------------------------------------------
 28.    LIMITATION OF LIABILITY ..............................................41
        ----------------------------------------------------------------------
 29.    REGULATORY APPROVAL ..................................................42
        ----------------------------------------------------------------------
 30.    MISCELLANEOUS ........................................................42
        ----------------------------------------------------------------------
 30.1   Authorization ........................................................42
        ----------------------------------------------------------------------

     30.2 Compliance and Certification .......................................43
          --------------------------------------------------------------------
     30.3 Law Enforcement ....................................................43
          --------------------------------------------------------------------
      (a) Intercept Devices: .................................................43
          --------------------------------------------------------------------
      (b) Subpoenas: .........................................................43
          --------------------------------------------------------------------
      (c) Emergencies: .......................................................44
          --------------------------------------------------------------------
     30.4 Independent Contractor .............................................44
          ------------
     30.5 Force Mai eure .....................................................44
          --------------------------------------------------------------------
     30.6 Confidentiality ....................................................45
          --------------------------------------------------------------------
     30.7 Governing Law ......................................................47
          --------------------------------------------------------------------
     30.8 Taxes ..............................................................47
     30.9 Non-Assignm ........................................................49
          --------------------------------------------------------------------

   30.10 Non-Waiver ..........................................................49
         ---------------------------------------------------------------------
   30.11 Audits ..............................................................49
   30.12 Disputed Amounts ....................................................50
         ---------

    30.13    Dispute   Resolution ............................................51
             -----------------------------------------------------------------
<PAGE>

 30.14    Notices ...........................................................51
          -------------------------------------------------------------------

 30.15 Publicity and Use of Trademarks or Service Marks .....................52
       ----------------------------------------------------------------------
 30.16 Section 252(i) Obligations ...........................................52
       ----------------------------------------------------------------------
 30.17 Joint Work Product ...................................................53
       ----------------------------------------------------------------------
 30.18 Intervening Law ......................................................53
       ----------------------------------------------------------------------
 30.19 No Third Party Beneficiaries; Disclaimer of Agenc ....................53
       ----------------------------------------------------------------------
 30.20 No License ...........................................................54
       ----------------------------------------------------------------------
 30.21 Survival .............................................................54
 30.22 Scope of Agreement ...................................................54
       ----------------------------------------------------------------------

 30.23     Entire Agreement
 .............................................................................54
<PAGE>

           INTERCONNECTION AGREEMENT UNDER SECTIONS 251 AND 252 OF THE
                         TELECOMMUNICATIONS ACT OF 1996

         This Interconnection Agreement under Sections 251 and 252 of the
Telecommunications Act of 1996 ("Agreement"), is by and between Nevada Bell
("NEVADA"), a Nevada Corporation, and Pac-West Telecomm, Inc. ("CLEC"), a
California Corporation.

         WHEREAS, the Parties want to interconnect their networks at mutually
agreed upon points of interconnection to provide, directly or indirectly,
Telephone Exchange Services and Exchange Access to residential and business end
users predominantly over their respective telephone exchange service facilities
in Nevada; and

         WHEREAS, the Parties arc entering into this Agreement to set forth the
respective obligations of the Parties and the terms and conditions under which
the Parties will interconnect their networks and provide other services as
required by the Telecommunications Act of 1996 ("the Act") and additional
services as set forth herein; and

         WHEREAS, for purposes of this Agreement, the Parties intend to operate
where NEVADA is the incumbent local exchange carrier and CLEC, a competitive
local exchange carrier, is certified by The Public Utilities Commission of
Nevada, as required.
<PAGE>

1.       DEFINITIONS

1.1     "Act" means the Communications Act of 1934 (47 U.S.C. 153(R)], as
         amended by

         the Telecommunications Act of 1996.

1.2      "Affiliate" is as defined in the Act.

     1.3  "AMA" means the Automated Message Accounting structure inherent in
          switch technology that initially records telecommunication message
          information. AMA format is contained in the Automated Message
          Accounting document, published by Bellcore as GR-1 100-CORE which
          defines the industry standard for message recording.

     1.4  "Automatic Number Identification" or "ANT' is a Feature Group D or a
          CAMA

         signaling parameter that forwards the telephone ("CAMA") or billing
         number ("FG-D") of the calling party.

     1.5  "Busy Line Verification Interrupt" or "BLVI" means a service in which
          an End User requests an operator to confirm the busy status of a line
          and requests an interruption of the call.

 1.6     "Calling  Party  Number" or "CPN" is a  Signaling  System 7 ("SS7")
          parameter  whereby  the ten (10)  digit  number of the
         calling party is forwarded from the End Office.

     1.7  "Central Office Switch" means a single switching system within the
          public switched telecommunications network, including the following:

(a)      "End Office Switches" which are Class 5 switches where

         End User Exchange Services are directly connected and
         offered; and

(b)      "Tandem Office Switches" or "Access Tandems" which are

         Class 4 switches used to connect and switch calls over interoffice
         trunks between Central Office Switches.

Central Offices may be employed as combination End Office/Tandem Office
switches.

     1.8  "CLASS Features" mean certain CCS-based features available to End
          Users including, but not limited to: Automatic Call Back; Call Trace;
          Distinctive Ringing/Call Waiting; Selective Call Forward; and
          Selective Call Rejection.
<PAGE>

 1.9     "Collocation" is defined in Appendix PHYSICAL COLLOCATION. Generally,
         however, "collocation" refers to an arrangement whereby one Party's
         (the "Collocating Party") facilities are terminated in its equipment
         necessary for Interconnection or for access to Network Elements on an
         unbundled basis which has been installed and maintained at the premises
         of a second Party (the "Housing Party"). Collocation may be "physical"
         or "virtual." "Physical Collocation" is defined in Appendix PHYSICAL
         COLLOCATION and generally refers to the Collocating Party installing
         and maintaining its own equipment in the Housing Party's premises.
         "Virtual Collocation is defined in Appendix NIM and generally refers to
         the "Housing Party" owning, installing and maintaining the collocated
         equipment in the Housing Party's premises.

1.10     "Commission" or "PUC" means the Public Utilities Commission of Nevada.

"Common Channel Signaling" or "CCS" is a special network, fully separate from
the transmission path of the public switched network, that digitally transmits
call set-up and network control data. Unless otherwise agreed by the Parties,
the CCS protocol used by the Parties shall be SS7.

 1.12    "Control Office" means an exchange carrier center or office designated
         as its company's single point of contact for the provisioning and
         maintenance of its portion of interconnection arrangements.

     1.13 "Dialing Parity' is as defined in the Act. As used in this Agreement,
          Dialing Parity refers to both Local Dialing Parity and Toll Dialing
          Parity.

 1.14 "Digital Signal Level" means one of several transmission rates in the
time-division multiplex hierarchy.

     1.15 "Digital Signal Level 0" or "DS-0" means the 64 Kbps zero-level signal
          in the time-division multiplex hierarchy.

     1.16 "Digital Signal Level 1" or "DS-1" means the 1.544 Mbps first-level
          signal in the time-division multiplex hierarchy. In the time-division
          multiplexing hierarchy of the telephone network, DS- I is the initial
          level of multiplexing.

     1.17 "Digital Signal Level 3" or "DS-3" means the 44.736 Mbps third-level
          in the time-division multiplex hierarchy. In the time-division
          multiplexing hierarchy of the telephone network, DS-3 is defined as
          the third level of multiplexing.
<PAGE>

1.18     "End User" means a third-party residence or business that subscribes to
         Telecommunications Services provided by either of the Parties or by
         another telecommunications service provider.

1.19     "Exchange Access" see Switched Access.

1.20     "Exchange Message Record" or "EMR" means the standard used for exchange
         of Telecommunications message information among Telecommunications
         Carriers for billable, non-billable, sample, settlement and study data.
         EMR format is contained in Bellcore Practice BR-010-200-010 CRIS
         Exchange Message Record.

1.21     "Fiber Meet" means an Interconnection architecture method whereby the
         Parties physically interconnect their networks via an optical fiber
         interface (as opposed to an electrical interface) at a mutually
         agreed-upon location.

1.22     "Interconnection" is as defined in the Act.

1.23     "Interconnection Activation Date" is the date that the construction of
         the joint facility Interconnection arrangement has been completed,
         trunk groups have been established, and joint hunk testing is
         completed.

1.24     "Interexchange Carrier" or "IXC" (also referred to as "Switched Access
         Customer"), means a carrier that provides, directly or indirectly,
         interLATA or intraLATA Telephone Toll Services. For purposes of Section
         6 of this Agreement, the term "IXC" includes any entity which purchases
         FGB or FGD Switched Access Service in order to originate or terminate
         traffic to/from CLEC's End Users.

1.25     "IntraLATA Toll Traffic" means those intraLATA station calls that are
          not defined as Local Traffic in this Agreement.

1.26     "Line Side" refers to End Office switch connections that have been
         programmed to treat the circuit as a local line connected to a
         terminating station (e.g., an ordinary subscriber's telephone station
         set, a PBX, answering machine, facsimile machine or computer). Line
         Side connections offer only those transmission and signal features
         appropriate for a connection between an End Office and such terminating
         station.

1.27     "Local Exchange Routing Guide" or "LERG" means a Bellcore Reference
         Document used by LECs and IXCs to identify NPA-NXX routing and homing
         information as well as Network Element and equipment designations.

1.28     "Local Exchange Traffic" is as defined in the Act.
<PAGE>

 1.29    "Local Interconnection Trunks/Trunk Groups" are used for the
         termination of Local Exchange Traffic, using Bellcore Technical
         Reference GR-317-CORE ("GR-317").

 1.30    "Local Traffic," or "Local Calling Area" for purposes of intercompany
          compensation, is if

(a)  the call originates and terminates in the same NEVADA exchange area; or

         (b)      originates and terminates within different NEVADA Exchanges
                  that share a common local calling area, e.g.,
                  Extended Area Dialing ("EAD").

1.31     "Losses" means any and all losses, costs (including court costs),
         claims, damages (including fines, penalties, and criminal or civil
         judgments and settlements), injuries, liabilities and expenses
         (including attorneys' fees).

1.32     "MECAB" refers to the Multiple Exchange Carrier Access Billing
         ("MECAB") document prepared by the Billing Committee of the Ordering
         and Billing Forum ("OBF"), which functions under the auspices of the
         Carrier Liaison Committee ("CLC'~ of the Alliance for
         Telecommunications Industry Solutions ("ATIS"). The MECAB document,
         published by Bellcore as Special Report SR-BDS-000983, contains the
         recommended guidelines for the billing of access services provided to
         an IXC by two or more LECs, or by one LEC in two or more states within
         a single LATA. The latest release is issue No. 5, dated June 1994.

1.33     "MECOD" refers to the Multiple Exchange Carriers Ordering and Design
         "MECOD") Guidelines for Access Services - Industry Support Interface, a
         document developed by the Ordering/Provisioning Committee of the
         Ordering and Billing Forum ("OBF"), which functions under the auspices
         of the Carrier Liaison Committee ("CLC") of the Alliance for
         Telecommunications Industry Solutions ("ATIS'). The MECOD document,
         published by Bellcore as Special Report SR STS-002643, establishes
         methods for processing orders for access service which is to be
         provided to an IXC by two or more telecommunications providers. The
         latest release is issue No. 3, dated February 1996.

1.34     "Meet-Point Billing" or "MPB" refers to a billing arrangement whereby
         two or more Telecommunications Carriers jointly provide for Switched
         Access Service to an IXC, with each LEC receiving an appropriate share
         of its switched access revenues as defined by its effective access
         tariffs.

 1.35    "Meet Point Trunks/Trunk Groups" ("MPTGs") are used for the joint
         provision of Switched Access services, utilizing Bellcore Technical
         References GR-394-CORE ("GR-394") and GR-317-CORE ("GR-317"). MPTGs are
         those
<PAGE>

between a local End Office and an Access Tandem as described in FSD 20-24-0000
and 20-24-0300.

 1.36    "Mid-Span Meet" means an interconnection between two LECs whereby each
         provides its own cable and equipment up to the meet point of the cable
         facilities. The meet point is the demarcation establishing ownership of
         and responsibility for each LEC's portion of the transmission facility.

 1.37    "Network Element Bona Fide Request" or "BFR" means the process
         described in Appendix UNE that is attached hereto and incorporated
         herein that prescribes the terms and conditions relating to a Party's
         request that the other Party provide a Network Element.

 1.38    "Originating Line Information ("OLI")" is an SS7 Feature Group D
         signaling parameter which refers to the number transmitted through the
         network identifying the billing number of the calling party.

 1.39    "Point of Interconnection" or "POI" means a physical location at which
         the Parties' networks meet for the purpose of establishing
         interconnection. POIs include a number of different technologies and
         technical interfaces based on the Parties' mutual agreement.

 1.40    "Rating Point" means the Vertical and Horizontal ("V&H") coordinates
         associated with a particular telephone number for rating purposes.

 1.41    "Routing Point" means a location which a LEC has designated on its own
         network as the homing or routing point for traffic inbound to Exchange
         Service provided by the LEC which bears a certain NPA-NXX designation.
         The Routing Point is employed to calculate mileage measurements for the
         distance-sensitive transport element charges of Switched Access
         services. The Routing Point need not be the same as the Rating Point,
         nor must it be located within the Rate Center area, but must be in the
         same LATA as the NPA-NXX.

 1.42    "Switched Access" service means an offering of access to services or
         facilities for the purpose of the origination or termination of traffic
         from or to Exchange Service customers in a given area pursuant to a
         Switched Access tariff. Switched Access Services includes: Feature
         Group A ("FGA)", Feature Group B ("FGB"), Feature Group C ("FGC"),
         Feature Group D ("FGD"), Toll Free Service, 700 and 900 access.
         Switched Access service does not include traffic exchanged between LECs
         for the purpose of local exchange interconnection.

 1.43    "Synchronous Optical Network" or "SONET" means an optical interface
          standard that allows inter-networking of transmission
         products from multiple vendors. The
<PAGE>

base rate is 51.84 Mbps ("OC-1/STS-1") and higher rates are direct multiples of
the base rate, up to 13.22 Gbps.

1.44     "Telephone Exchange Service" is as defined in the Act.

 1.45    "Toll Free Service" means service provided with any dialing sequence
         that invokes toll-free, i.e., 800-like, service processing. Toll Free
         Service includes calls to the Toll Free Service 800/888 NPA SAC codes.

 1.46    "Trunk-Side" refers to a Central Office Switch connection that is
         capable of, and has been programmed to treat the circuit as connecting
         to another switching entity, forexample, another Central Office switch.
         Trunk-Side connections offer those transmission and signaling features
         appropriate for the connection of switching entities and cannot be used
         for the direct connection of ordinary telephone station sets.

 1.47    "Wire Center" means an occupied structure or portion thereof in which a
         Party has the exclusive right of occupancy and which serves as a
         Routing Point for Switched Access Service.

2.       INTERPRETATION AND CONSTRUCTION

         In the event of any amendment of the Act or any legislative,
         regulatory, judicial order, rule or regulations, or other legal action
         that revises or reverses the Act, the FCC's Orders in FCC Docket Nos.
         96-98 and 95-185 or any applicable order or arbitration award
         purporting to apply the provisions of the federal Act, the Parties
         reserve all of their rights and remedies, including those to amend,
         alter, or revise this Agreement. Wherever a tariffed rate is cited or
         quoted, it is understood that said cite incorporates any changes to
         said tariffs as required by the Act.

3.       IMPLEMENTATION SCHEDULE AND INTERCONNECTION ACTIVATION

         DATES

Subject to the terms and conditions of this Agreement, Interconnection of the
Parties' facilities and equipment pursuant to Sections 4, 5, and 6 for the
transmission and routing of Telephone Exchange Service Traffic and Exchange
Access Traffic shall be established on or before the corresponding
"Interconnection Activation Date" shown for each Exchange Area on Appendix DCO
attached hereto and incorporated by reference. Appendix DCO may be revised and
supplemented from time to time upon the mutual agreement of the Parties to
reflect the Interconnection of additional Exchange Areas pursuant to Section 4.6
by modifying or upd. ating Appendix DCO.
<PAGE>

4.       INTERCONNECTION PURSUANT TO SECTION 251(c)(2)(A),(B),(C); 47 CFR

         51.305(a)(1)

4.1      Scope

         This Section describes the physical architecture for Interconnection of
         the Parties' facilities and equipment for the transmission and routing
         of Telephone Exchange Service traffic and Switched Access traffic
         pursuant to Section 251(c)(2) of the Act. Such Interconnections shall
         be equal in quality to that provided by the Parties to themselves or to
         any subsidiary, affiliate or Third Party. Appendix ITR attached hereto
         and incorporated by reference prescribes the specific trunk groups (and
         traffic routing parameters) which will be configured over the physical
         connections described in this Section 4 to provide the facilities for
         the transmission and routing of Telephone Exchange Service traffic (as
         described in Section 5), Switched Access traffic (as described in
         Section 6) and BLV/BLV/I traffic (as described in Section 7.2).

4.2      Interconnection Coverage Section 251(c)(2)(B) and (C). 47 CFR Section
   ---------------------------------------------------------------------------
51.305(a)(2)

The Parties will establish Local Interconnection Trunks to exchange Local and
IntraLATA Toll traffic. All Local Interconnection Trunk Groups established
directly with the other Party's network, including facilities and Points of
Interconnection ("POIs"), will conform with this Section of this Agreement. All
traffic exchanged over Local Interconnection Trunk Groups will be treated as
CLEC traffic and subject to the terms and conditions of this Agreement. Neither
Party shall terminate Switched Access traffic over Local Interconnection Trunks.
Separate two-way Meet Point trunks will be established for the joint
provisioning of Switched Access traffic. Local Interconnection will be provided
via two-way Minks unless both Parties agree to implement one-way trunks on a
case-by-case basis.

4.2. 1. CLEC shall interconnect with NEVADA's facilities as follows:

(a)      Each Party will establish a Local Interconnection Trunk Group with

         each Access Tandem in the LATA(s) in which it originates or terminates
         Local and/or Toll traffic with the other Party. Parties may not route
         Local Interconnection traffic to an Access Tandem destined for an NXX
         that subtends another tandem. The Parties agree that direct trunking to
         an End Office from either Party's End Office or Access Tandem is
         permitted under the terms of this section.
<PAGE>

CLEC will interconnect with any NEVADA Access Tandems in each of the LATA(s) in
which it originates traffic and interconnects with NEVADA.

(b)      In addition to the tandem interconnection described above, either

         Party may establish End Office-to-End Office or End Office-to-tandem or
         tandem-to-tandem trunk groups. In the case of host remote End Offices,
         such interconnection shall occur at the location of the host or remote,
         at the option of the Party deploying the host-remote End Office.

     4.2.2. NEVADA shall interconnect with CLEC's facilities under terms and
          conditions no less favorable than those identified in Section 4.2. 1,
          above.

4.3      Methods for Interconnection

Where the Parties interconnect, for the purpose of exchanging traffic between
networks, the Parties may use the following interconnection methods for each
Tandem and End Office identified in Appendix DCO making use of facilities they
own or lease from a third party or NEVADA:

(a)      Physical Collocation

          As set forth in Appendix PHYSICAL COLLOCATION.

          (b) Virtual Collocation

          As set forth in Appendix NIM.

(c)      Leased Facility Interconnection ("LFI")
   ---------------------------------------------

         Where facilities exist, either Party may lease facilities from the
other Party as defined in Section 6 of Appendix NIM.

(d)      Fiber Meet

         The Parties agree to establish technical interface specifications for
         Fiber Meet arrangements that permit the successful interconnection and
         completion of traffic routed over the facilities that interconnect at
         the Fiber Meet. The technical specifications will be designed so that
         each Party may, as far as is technically feasible, independently select
         the transmission, multiplexing, and fiber terminating equipment to be
         used on its side of the Fiber Meet.

(e)      Other Interconnection Methods

     Other interconnection methods, as negotiated by the Parties, which
          interconnect CLEC's and NEVADA's networks for the transmission and
<PAGE>

routing of telephone exchange traffic, Switched Access traffic, or both; at any
technically feasible point within NEVADA's network including:

the line-side of a local switch;

(ii)     the trunk-side of a local switch;

(iii)    the trunk interconnection points for a tandem switch;

(iv)     central office cross-connect points;

(v)      out-of-band signaling transfer points necessary to exchange traffic

         at these points and access call related databases; and

(vi)     the points of access to unbundled Network Elements;

                  shall be at a level of quality that is equal to that which
                  NEVADA provides itself, a subsidiary, an affiliate, or any
                  other party.

4.4      Physical Architecture

Using one or more of the Interconnection Methods described in Section 4.3 above,
the Parties will agree on a physical architecture plan. This plan will be
documented within Appendix DCO. CLEC and NEVADA agree to interconnect their
networks through existing and/or new facilities between CLEC End Offices and/or
Access Tandem Switches and the corresponding NEVADA End Office and/or Access
Tandems set forth in Appendix DCO. The Parties will establish logical trunk
groups referencing the appropriate CLEC Central Office or Routing Point and
NEVADA Central Office. In addition, where necessary, and as mutually agreed to,
the Parties will define facilities between their networks to permit trunk
group(s) to be established between the points listed in Appendix DCO.

Nothing in the foregoing restricts either Party from ordering and establishing
CLEC/NEVADA Local Interconnection Trunk Groups in addition to the initial
combinations described above. Amendment to the Appendix DCO may be made by
either Party, upon thirty (30) days written notice and acceptance by the other
Party. Acceptance will not be unreasonably withheld. Such amendments may be made
without the need to renegotiate the terms of the rest of this Agreement;
however, such amendments will be effective upon filing with and approval by the
Commission.

     4.4.1 The Parties will mutually agree on the appropriate sizing for
          facilities based on the standards set forth below and in Appendix NIM.
          The
<PAGE>

capacity of interconnection facilities provided by each Party will be based on
mutual forecasts and sound engineering practice, as mutually agreed to by the
Parties during planning and forecasting meetings. The interconnection facilities
provided by each Party shall be formatted using either Alternate Mark Inversion
Line Code or Superframe Format Framing. DS-3 facilities will be optioned for
C-bit Parity.

4.4.1.1     When interconnecting at NEVADA's tandems, the Parties agree to
            optionally establish Bipolar 8 Zero Substitution Extended Super
            Frame ("B8ZS ESF") two-way trunks, where technically feasible, for
            the sole purpose of transmitting 64K CCC data calls. In no case will
            these trunks be used for calls for which the User Service
            Information parameter (also referred to as "Bearer Capability") is
            set for "speech". Where additional equipment is required, such
            equipment would be obtained, engineered, and installed on the same
            basis and with the same intervals as any similar growth job for
            IXC's, CLEC's, or NEVADA's internal customer demand for 64K CCC
            trunks.

         4.4.1.2    When interconnecting at NEVADA's digital End Offices, the
                    Parties have a preference for use of B8ZS ESF two-way trunks
                    for all traffic between their networks. Where available,
                    such trunk equipment will be used for these Local
                    Interconnection Trunk Groups. Where AMI trunks are used,
                    either Party may request upgrade to B8ZS ESF when such
                    equipment is available.

4.4.2    Mid-Point Meet

                  Using the Mid-Point Meet architecture, the Parties will agree
                  upon a Point of Interconnection ("POI"). The POI functions as
                  a demarcation point for each Party. Each Party is responsible
                  to transport all trunking to its side of the POI utilizing any
                  method of interconnection described in Section 4.3 above. Each
                  Party is responsible for the appropriate sizing, operation,
                  and maintenance of the transport facility and trunking to the
                  POI.

4.5      Single POI Model

Unless otherwise agreed by the Parties, for each interconnection between the
Parties for the exchange of Local, IntraLATA Toll, and Meet Point traffic, the
Parties agree that there will be a single Point of Interconnection (at NEVADA's
or another carrier's wire center located in the geographic area where NEVADA
operates as an independent LEC) between any two switching entities.
<PAGE>

4.6      Additional Interconnection

If CLEC decides to offer Telephone Exchange Services in any LATA in which NEVADA
also offers Telephone Exchange Services, CLEC shall provide written notice to
NEVADA of the need to establish Interconnection in such LATA pursuant to Section
4.4 of this Agreement.

4.7      Responsibilities of the Parties

4.7.1    CLEC and NEVADA shall work cooperatively to install and maintain a
         reliable network. CLEC and NEVADA shall exchange appropriate
         information (e.g., maintenance contact numbers, network information,
         information required to comply with law enforcement and other security
         agencies of the Government and such other information as the Parties
         shall mutually agree) to achieve this desired reliability.

4.7.2    CLEC and NEVADA agree to exchange such reports and/or data as provided
         in this Agreement to facilitate the proper billing of traffic. Either
         Party may request an audit of such usage reports on no fewer than ten
         (10) business days written notice and any audit shall be accomplished
         during normal business hours at the office of the Party being audited
         which shall be Stockton, California for CLEC and Reno, Nevada for
         NEVADA). Such audit must be performed by a mutually agreed-to
         independent auditor paid for by the Party requesting the audit and may
         include review of the data described above. Such audits shall be
         requested within six (6) months of having received the PLU factor and
         usage reports from the other Party, and may not be requested more than
         twice per year.

4.7.3    CLEC and NEVADA will review engineering requirements on a semi-annual
         basis and establish forecasts for trunk and facilities utilization
         provided under this Agreement. New wank groups will be implemented as
         dictated by engineering requirements of either NEVADA or CLEC.

4.7.4    CLEC and NEVADA shall share responsibility for all Control Office
         functions for Local Interconnection Trunks and Trunk Groups, and both
         Parties shall share the overall coordination, installation, and
         maintenance responsibilities for these trunks, and trunk groups.

4.7.5    CLEC is responsible for all Control Office functions for the Meet Point
         Trunks and Trunk Groups, and shall be responsible for the overall
         coordination, installation, and maintenance responsibilities for these
         trunks and trunk groups.
<PAGE>

4.7.6 CLEC and NEVADA shall:

         (a)      provide trained personnel with adequate and compatible test
  - equipment to work with each other's technicians;

(b)      notify each other when there is any change affecting the service

         requested, including the due date;

(c)      coordinate and schedule testing activities of their own personnel,

         and others as applicable, to ensure its interconnection trunks/trunk
         groups are installed per the interconnection order, meet agreed upon
         acceptance test requirements, and are placed in service by the due
         date;

(d)      perform sectionalization to determine if a trouble is located in its

        facility or its portion of the interconnection trunks prior to referring
        the trouble to each other;

(e)      advise each other's Control Office if there is an equipment failure

         that may affect the interconnection trunks;

(f)      provide each other with a trouble reporting number that is readily

          accessible and available 24 hours per day/7 days a week;

(g)      provide to each other test-line numbers and access to test lines,

          including a test-line number that returns answer supervision in
          each NPA-NXX opened by a Party;

(h)      provide their respective billing contact numbers to one another on a

         reciprocal basis; and

(i)      will conduct cooperative testing for the proper recording of AMA

         records in each carrier switch(es) before establishing service.

4.7.7    Within ninety (90) days of the due date of the initial installation of
         local interconnection trunks, CLEC will provide to NEVADA CLEC's
         references or internal standards governing each topic in Appendix
         BILATERAL.
<PAGE>

5.       TRANSMISSION AND ROUTING OF TELEPHONE EXCHANGE SERVICE

         TRAFFIC PURSUANT TO SECTION 251(c)(2)(D); 252(d)(1) and (2); 47 CFR
         Section
         51.305(al(5)

5.1      Scope of Traffic

This Section 5 prescribes traffic routing parameters for Local Interconnection
Trunk Group(s) the Parties shall establish over the Interconnections specified
in Section 4.

 5.1.1   Either Party may opt at any time to terminate, i.e., overflow, to the
         other Party some or all Local Exchange Traffic and intraLATA Toll
         traffic originating on its network, together with Switched Access
         traffic, via Feature Group D or Feature Group B Switched Access
         Services. Either Party may otherwise purchase these Switched Access
         Services from the other Party subject to the rates, terms and
         conditions specified in its standard intrastate access tariffs,
         including any usage-sensitive rates for the Local Exchange or intraLATA
         Toll traffic terminated over the Switched Access service.

 5.1.2   Each Party shall deliver to the other Party over the Local
         Interconnection Trunk Group(s) only such traffic which is destined for
         those publicly dialable NPA-NXX codes served by End Offices that
         directly subtend the Access Tandem or to those Wireless Service
         Providers that directly subtend the Access Tandem.

 5.1.3   Unless otherwise agreed to, each Party shall deliver all traffic
         destined to terminate at either Party's End Office or tandem in
         accordance with the serving arrangements defined in the LERG.

 5.1.4   Where the Parties deliver over the Local Interconnection Trunk Group(s)
         miscellaneous calls (e.g., time, weather, NPA-555, Mass Calling Codes)
         destined for each other, they shall deliver such traffic in accordance
         with the serving arrangements defined in the LERG.

5.1.5    N1 1 codes (e.g., 611, 811, & 911) shall not be sent between CLEC's and

          NEVADA's network over the Local Interconnection Trunk Group(s).

 5.1.6   For purposes of compensation under this Agreement, the
         telecommunications traffic traded between CLEC and NEVADA will be
         classified as either Local Traffic, Transit Traffic, IntraLATA
         Interexchange Traffic, interLATA Interexchange Traffic, or FGA Traffic.
         The Parties agree that, notwithstanding the classification of traffic
         under
<PAGE>

         this Agreement, either Party is free to define its own "local" calling
         area(s) for purposes of its provision of Telecommunications Services to
         its End Users.

 5.1.7   Reciprocal compensation should be paid by Nevada Bell to Pac-West for
         traffic originated by a Nevada Bell customer and terminated to any
         customer, including an Internet Service Provider ("ISP"), obtaining
         local access from Pac-West when those customers are located within the
         same Nevada Bell local calling area. Similarly, reciprocal compensation
         should be paid by Pac-West to Nevada Bell for traffic originated by a
         Pac-West customer and terminated to any customer, including an ISP,
         obtaining local access from Nevada Bell when those customers are
         located within the same Nevada Bell local calling area. [NPUC Docket
         No. 99-1007, Order Adopting Revised Arbitration Decision, April 12,
         1999]

5.1.8    Calls originated by one Party's End User and terminated to the other
         Party's End User will be classified as "Local Traffic" for purposes of
         intercompany compensation, if;

(a)      the call originates and terminates in the same NEVADA exchange

         area; or

(b)      originates and terminates within different NEVADA Exchanges

         that share a common local calling area, e.g., Extended Area Dialing
         ("EAD").

 5.1.9   NEVADA shall deliver all traffic destined to terminate at CLEC's End
         Office in accordance with the serving arrangements defined in the LERG,
         except NEVADA will not deliver calls destined to CLEC End Office(s) via
         another LEC's or CLECs tandem.

5.1.10   NEVADA shall terminate traffic from third-party LECs, CLECs, or
         Wireless Service Providers delivered to NEVADA's network through CLEC's
         tandem. Prior to the routing of such traffic, the Parties agree to
         negotiate the issues of network capacity and forecasting caused by such
         termination. The Parties shall conduct such negotiations in good faith
         and shall not unreasonably withhold consent to the routing of such
         traffic.

 5.1.11  NEVADA shall complete traffic delivered from CLEC destined to
         thirdparty LECs, CLECs or WSPs in the LATA, when these third parties
         subtend NEVADA's tandem(s). NEVADA shall have no responsibility to
         ensure that any third-party LEC, CLEC or WSP will accept such traffic.
<PAGE>

5.2      Responsibilities of the Parties

5.2.1 Each Party to this Agreement will be responsible for the accuracy and
  quality of its data as submitted to the respective Parties involved.

5.2.2    Each Party will include in the information transmitted to the other for
         each call being terminated on the other's network, where available, the
         originating Calling Party Number ("CPN").

5.2.3    If the percentage of calls passed with CPN is greater than ninety
         percent (90%), all calls exchanged without CPN information will be
         billed as either Local Traffic or IntraLATA Toll Traffic in direct
         proportion to the minutes of use ("MOU") of calls exchanged with CPN
         information. If the percentage of calls passed with CPN is less than
         ninety percent (90%), all calls passed without CPN will be billed as
         Switched Access.

5.2.4    For intraLATA Toll Free Service calls where such service is provided by
         one of the Parties, the compensation shall be charged by the Party
         originating the call, rather than the Party terminating the call. This
         includes originating charges as well as a Basic Toll Free Access Query
         charge as specified in Appendix PRICING or CLECs local exchange tariff.

5.2.5    Each Party will calculate terminating interconnection minutes of use
         based on standard Automatic Message Accounting ("AMA") recordings made
         within each Party's network. These recordings are the basis for each
         Party to generate bills to the other Party.

5.2.6    Measurement of minutes of use over Local Interconnection Trunk Groups
         shall be in actual conversation seconds. The total conversation seconds
         over each individual Local Interconnection Trunk Group will be totaled
         for the entire monthly bill and then rounded to the next whole minute.

5.2.7    Each Party will provide the other, within thirty (30) calendar days
         after the end of each calendar quarter, a usage report with the
         following information regarding traffic: it sent to (i.e., terminated
         over) the Local Interconnection Trunk arrangements.

 5.2.7.1    Total traffic volume described in terms of minutes and messages and
            by call type (local, toll and other) terminated to each other over
            the Local Interconnection Trunk Groups; and

5.2.7.2     Percent Local Usage ("PLU") and Percent Local Minutes.
<PAGE>

 5.2.8   Upon mutual agreement of the Parties, originating records for local,
         transit, and intraLATA toll traffic shall be exchanged for the purposes
         of billing intercompany terminating compensation.

          5.2.8.1    On a monthly basis, each Party will record its originating
                     MOUs including identification of the originating and
                     terminating NXXs for all intercompany calls.

Each Party will transmit the summarized originating MOUs above to the transiting
and/or terminating Party for subsequent monthly intercompany settlement billing.

          5.2.8.3 Bills rendered by either Party will be paid within thirty (30)
               days of receipt subject to subsequent audit verification.

                  5.2.8.4    MOUs for the rates contained herein will be
                             measured in seconds by call type, and accumulated
                             each billing period into one (1) minute increments
                             for billing purposes in accordance with industry
                             rounding standards.

                  5.2.8.5    Each Party will multiply the tandem routed and end
                             office routed terminating MOUs by the appropriate
                             rate contained in this Section to determine the
                             total monthly billing to each Party.

5.3      Reciprocal Compensation for Termination of Local Traffic

 5.3.1 The Compensation set forth below will apply to all Local Traffic as
defined in Section 5.1.8 of this Agreement.

5.3.2    Applicability of Rates

5.3.2.1  The rates, terms, conditions in this Section 5.3 apply only to the
         termination of Local Traffic, except as explicitly noted.

5.3.2.2 The Parties agree to compensate each other for the termination of Local
Traffic on a minute of use ("MOU') basis.

5.3.3    Rate Elements

 5.3.3.1    A Tandem Served rate element is applicable to Tandem Routed Local
            Traffic on a terminating local MOU basis and includes compensation
            for the following sub-elements:
<PAGE>

                    (a)  Tandem Switching - compensation for the use of tandem
                         switching functions.

                    (b)  Tandem Transport ("Common Transport") compensation for
                         the transmission facilities between the local tandem
                         and the End Offices subtending that tandem.

               (c)  End Office Switching ("Basic Switching Interoffice
                    Terminating") - compensation for the local EO office
                    switching and line termination functions necessary to
                    complete the transmission.

                  5.3.3.2    An End Office Served rate element applies ("Basic
                             Switching Interoffice Terminating") to
                             direct-routed Local Traffic on a terminating local
                             MOU basis and includes compensation for End Office
                             Switching. This includes direct-routed Local
                             Traffic that terminates to offices that have
                             combined tandem and End Office functions.

         5.3.4 Local Traffic Interconnection Rates

                    Serving Method           Rates

                    Tandem Served            See Appendix PRICING
                    End Office Served        See Appendix PRICING

5.4      Reciprocal Compensation for Transit Traffic

         5.4.1    Transit Traffic allows one Party to send traffic to a third
                  party network through the other Party's tandem. A Transit
                  Traffic rate element applies to all MOUs between a Party and
                  third party networks that transit the other Party's tandem
                  switch. The originating Party is responsible for the
                  appropriate rates unless otherwise specified. The Transit
                  Traffic rate element is only applicable when calls do not
                  originate with (or terminate to) the transit Party's End User.

                  The Tandem Transit Switching rate shall be equal to the Tandem
                  Switching rate plus two times the Common Transport Fixed rate
                  element as specified in Appendix PRICING.

               or   Access Tandem switching when either Party 5.4.2 The transit
                    rate provides f uses the other Party's Access Tandem to
                    originate a call to a third party such as another LEC, CLEC,
                    or Wireless Service Provider.
<PAGE>

 5.4.3   If either Party receives a call through the other Party's Access Tandem
         that originates from another LEC, CLEC or Wireless Service Provider,
         the Party receiving the transited call will not charge the other Party
         any rate element for this call regardless of whether the call is local
         or toll. The Parties will establish appropriate billing relationships
         directly with the Wireless Service Provider, other CLEC or LEC with the
         exception of the independent LECs listed in Section 21.11 of this
         Agreement.

 5.4.4   If such traffic is passed without a third party agreement, CLEC will
         hold NEVADA harmless/indenmify/defend or impose a penalty so that
         NEVADA has protection against third party claims including recovery of

         attorney fees.

               5.5  Reciprocal Compensation for Termination of IntraLATA
                    Interexchange Traffic

For intrastate intraLATA interexchange service traffic, compensation for
termination of intercompany traffic will be at terminating access rates for
Message Telephone Service ("MTS") and originating access rates for 800 Service
as set forth in each Party's Intrastate Access Service Tariff. For interstate
intraLATA intercompany service traffic, compensation for termination of
intercompany traffic will be at terminating access rates for MTS and originating
access rates for 800 Service including the CCL charge, as set forth in each
Party's Interstate Access Service Tariff. The rates charged under this section
by CLEC to NEVADA shall be no greater than the rates contained in NEVADA's
Switched Access tariff.

5.6      Compensation for Origination and Termination of Switched Access Service
   -----------------------------------------------------------------------------
         Traffic to or from an IXC (Meet-Point Billing ("MPB") Arrangements)
----------------------------------------------------------------------------

5.6.1    The Parties will establish MPB arrangements in order to provide
         Switched Access Services to IXCs via NEVADA's Access Tandem switch in
         accordance with the MPB guidelines adopted by and contained in the
         Ordering and Billing Forum's MECOD and MECAB; documents. CLEC's Meet
         Points with NEVADA shall be those identified in Appendix DCO and any
         supplements thereto.

5.6.2    For interstate, interLATA traffic, the Parties will charge IXCs
         according to access rates as set forth in each Party's own applicable
         tariffs.

5.6.3    Billing to IXCs for the Switched Access Services jointly provided by
         the Parties via Meet-Point Billing arrangement shall be according to
         the multiple bill/single tariff method. As described in the MECAB
         document, each Party will render a bill in accordance with its own
         tariff for that portion of the service it provides. For the purpose of
         this Agreement, CLEC is the Initial Billing Company ("IBC") and NEVADA
         is the
<PAGE>

Subsequent Billing Company ("SBC"). The assignment of revenues, by rate element,
and the Meet-Point Billing percentages applicable to this Agreement are set
forth in Appendix DCO. The actual rate values for each element shall be the
rates contained in that Party's own applicable access tariffs.

5.6.4    The Parties will maintain provisions in their respective federal and
         state access tariffs, or provisions within the National Exchange
         Carrier Association ("NECA") Tariff No. 4, or any successor tariff,
         sufficient to reflect this MPB arrangement, including MIPB percentages.

5.6.5    As detailed in the MECAB document, the Parties will, in accordance with
         accepted time intervals, exchange all information necessary to
         accurately, reliably, and promptly bill third Parties for Switched
         Access Services traffic jointly handled by the Parties via the Meet
         Point Arrangement. Each Party reserves the right to charge the other
         Party for the recording/processing functions it performs. Information
         shall be exchanged in Exchange Message Record ("EMR") format, on
         magnetic tape or via a mutually acceptable electronic file transfer
         protocol.

5.6.6    Meet-Point Billing shall also apply to all jointly provided MOU traffic
         bearing the 900, 800, and 888 NPAs or any other non-geographic NPAs
         which may likewise be designated for such traffic in the future where
         the responsible party is an IXC. When NEVADA performs 800 database
         queries, NEVADA will charge the service provider for the database query
         in accordance with standard industry practices and applicable tariffs.

5.6.7    Each Party shall coordinate and exchange the billing account reference
         ("BAR") and billing account cross reference ("BACR") numbers for the
         Meet Point Billing service. Each Party shall notify the other if the
         level of billing or other BAR/BACR elements change, resulting in a new
         BAR/BACR number.

5.6.8    Each Party will provide the other with the Switched Access detailed
         usage data within thirty (30) days of the end of the billing period.
         Each Party will provide to the other the Switched Access summary usage
         data within ten (10) working days after the date that a bill is
         rendered to the IXC by the initial Party. To the extent CLEC provides
         NEVADA with Access Usage Records, NEVADA will compensate CLEC on the
         same terms as CLEC compensates NEVADA. NEVADA acknowledges that
         currently there is no charge for Summary Usage Data Records but that
         such a charge may be appropriate. At CLEC's request, NEVADA will
         negotiate a mutual and reciprocal charge for provision of Summary Usage
         Data Records.
<PAGE>

         5.6.9    Errors may be discovered by CLEC, the IXC or NEVADA. Both
                  NEVADA and CLEC agree to provide the other Party with
                  notification of any discovered errors within two (2) business
                  days of the discovery.

         5.6-10   In the event of a loss of data, both Parties shall cooperate
                  to reconstruct the lost data within sixty (60) days of
                  notification and if such reconstruction is not possible, shall
                  accept a reasonable estimate of the lost data, based upon at
                  least three (3), but no more than twelve (12) months of prior
                  usage data, if available.

5.7      Maintenance of Service

         5.7.1    A Maintenance of Service charge applies whenever either Party
                  requests the dispatch of the other Party's personnel for the
                  purpose of performing maintenance activity on the
                  interconnection trunks, and any of the following conditions
                  exist:

               (a)  no trouble is found in the interconnection trunks; or

               (b)  the trouble condition results from equipment, facilities or
                    systems not provided by the Party whose personnel were
                    dispatched; or

               (c)  trouble clearance did not otherwise require dispatch and,
                    upon dispatch requested for repair verification, the
                    interconnection wink did not exceed Maintenance Limits.

         5.7.2    If a Maintenance of Service initial charge has been applied
                  and trouble is subsequently found in the facilities of the
                  Party whose personnel were dispatched, the charge will be
                  canceled.

         5.7.3    Billing for Maintenance of Service is based on each half-hour
                  or fraction thereof expended to perform the work requested-
                  The time worked is categorized and billed at one of the
                  following three rates:

                  (a)      basic time;

                  (b)      overtime; or

                  (c)      premium time,

               as   defined for billing by NEVADA in NEVADA's revised tariff
                    P.S.C.N. No. C Section 13 and in CLEC's Exchange tariff.
<PAGE>

6.       TRANSMISSION AND ROUTING OF SWITCHED ACCESS TRAFFIC

         PURSUANT TO 251(c)(2)

6.1       Scope of Traffic

         Section 6 prescribes parameters for certain trunk groups ("Meet Point
         Trunks") to be established over the Interconnections specified in
         Section 4 above, for the transmission and routing of Switched Access
         traffic between CLEC Telephone Exchange Service End Users and IXCs via
         NEVADA's Access Tandem.

6.2      Trunk Group Architecture and Traffic Routing

 6.2.1   The Parties shall jointly establish two-way Meet Point Trunks as
         described in Appendix ITR, which will jointly provide
         tandem-transported Switched Access Services to IXCs to enable CLEC's
         End Users to originate and terminate traffic to/from such IXCs.

 6.2.2   Meet Point Trunks shall be used solely for the transmission and routing
         of Switched Access to allow CLEC End Users to originate and terminate
         traffic to/from any IXCs which are connected to NEVADA's Access Tandem.
         In addition, the trunks shall be used to allow CLEC's End Users to
         connect to, or be connected to, the Toll Free Services of any
         Telecommunications Carrier connected to NEVADA's Access Tandem.

 6.2.3   The Parties will use separate facilities and separate two-way trunk
         groups to NEVADA's Access Tandem, under which CLEC's NXXs home, using
         DS-1 or DS-3 facilities other than the facilities used for Local
         Interconnection Trunk Groups. Neither Party will charge the other any
         amount for any Meet Point facilities.

 6.2.4   NEVADA will not offer blocking capability for Switched Access customer
         traffic delivered to any NEVADA tandem for completion on CLECs network.
         The Parties understand and agree that Meet Point Trunking arrangements
         are available and functional only to/from Switched Access customers who
         directly connect with any NEVADA tandem that CLEC subtends; in each
         LATA. In no event will NEVADA be required to route such traffic through
         more than one tandem for connection to/from Switched Access customers.
         NEVADA shall have no responsibility to ensure that any Switched Access
         customer will accept traffic that CLEC directs to the Switched Access
         customer. NEVADA also agrees to furnish CLEC, upon request, a list of
         those IXCs which also interconnect with NEVADA's tandem.
<PAGE>

                  6.2.5    CLEC will provide all CCS signaling including,
                           without limitation, Charge Number and originating
                           line information ("OLI"). For terminating FGD, NEVADA
                           will pass all CCS signaling including, without
                           limitation,

CPN  if it receives CPN from FGD carriers. All privacy indicators will be

                           honored- Network signaling information such as
                           Transit Network Selection ("TNS") parameter, Carrier
                           Identification Codes ("CIC"), (CCS platform) and
                           CIC/OZZ information (non-CCS environment) will be
                           provided by CARRIER wherever such information is
                           needed for call routing or billing. The Parties will
                           follow all OBF adopted standards pertaining to TNS
                           and CIC/OZZ codes.

7.       TRANSPORT AND TERMINATION OF OTHER TYPES OF TRAFFIC

7.1      Information Services Traffic

         At such time as the Parties agree to route intraLATA Information
         Services Traffic to one another-, they shall agree to exchange rating
         and billing information to effectively allow the Parties to bill their
         End Users and to charge reciprocal rates.

7.2      Busy Line Verification ("BLV")/Busy Line Verification/Interrupt
         ("BLVI") Traffic

7.2.1    Each Party's operator bureau shall accept BLV and BLVI inquiries from
         the operator bureau of the other Party in order to allow transparent
         provision of BLV/BLVI Traffic between the Parties' networks.

               7.2.2 Each Party shall route BLV/BLVI Traffic inquiries betwee.
                    respective operator bureaus over Local Interconnection trunk
                    Appendix ITR.

8.       SIGNALING

8.1      The Parties will interconnect their networks using SS7 signaling as
         defined in

         GR-000317-CORE7 and GR-000394-CORE, including ISDN User Part ("ISUP")
         for trunk signaling and Transaction Capabilities Application Part
         ("TCAP") for CCS-based features in the interconnection of their
         networks. Either Party may establish CCS interconnections either
         directly and/or through a third party. Whether direct, or by third
         party, CCS interconnection shall be pursuant to PUB L-780023-PB/NB: If
         CCS interconnection is established through a third party, the rates,
         terms, and conditions of the parties' respective tariffs will apply. If
         CCS Interconnection is established directly between CLEC and NEVADA,
         the rates, terms, and conditions of Appendix SS7 will apply.
<PAGE>

8.2      The Parties will cooperate in the exchange of TCAP messages to
         facilitate full interoperability of CCS-based features between their
         respective networks, including all CLASS features and functions, to the
         extent each carrier offers such features and functions to its own End
         Users. All CCS signaling parameters deployed by both Parties will be
         provided including CPN. All privacy indicators will be honored.

8.3      CCS shall be used in conjunction with Meet Point Trunks; except
         multifrequency ("MF") signaling will be used on a separate Meet Point
         Trunk Group to complete originating calls to Switched Access customers
         that use MF FGD signaling protocol. MY and CCS trunk groups shall not
         be provided within a DS- I facility; a separate DS-1 per signaling type
         must be used.

         8.4      Originating FGB calls delivered to NEVADA's tandem shall use
                  GR-317 signaling format unless the associated FGB carrier
                  employs GR-394 signaling for its FGB traffic at the serving
                  Access Tandem.

9.       NUMBERING

9.1      Nothing in this Agreement shall be construed to limit or otherwise
         adversely impact in any manner either Party's right to employ or to
         request and be assigned any North American Numbering Plan ("NANP")
         number resources including, but not limited to, central office ('NXX")
         codes pursuant to the Central Office Code Assignment Guidelines', or to
         establish, by tariff or otherwise, Exchanges and Rating Points
         corresponding to such NXX codes. Each Party is responsible for
         administering the NXX codes it is assigned.

9.2      At a minimum, in those areas where CLEC intends to provide
         facilities-based local exchange service, CLEC shall obtain one NXX per
         incumbent local exchange carrier rate center which is required to
         ensure compliance with the industry-approved Central Office Code NXX
         Assignment Guidelines (April, 1997) and the FCC's Second Report and
         Order in CC Docket 96-116 released August 18, 1997 (Local Number
         Portability).

9.3      Each Party agrees to make available via the LERG, up-to-date listings
         of its own assigned NPA-NXX codes, along with associated Rating Points
         and Exchanges.

9.4      To the extent NEVADA serves as Central Office Code Administrator for a
         given region, NEVADA commits to treat CLEC requests for assignment of
         central office code(s) in a neutral and nondiscriminatory manner,
         consistent with

I Last published by the Industry Numbering Committee ("INC") as INC 95-0407-008,
Revision April 1997, formerly ICCF 93-0729-010.
<PAGE>

     regulatory requirements, and ('NXX") Central Office Code Assignment
     Guidelines. Currently Pacific Bell performs this function for NEVADA.

9.5      Each Party is responsible to program and update its own switches and
         network systems to recognize and route traffic to the other Party's
         assigned NXX codes at all times. Neither Party shall impose fees or
         charges on the other Party for such required programming and updating
         activities.
9.6      Each Party is responsible to input required data into the Routing Data
         Base Systems ("RDBS") and into the Bellcore Rating Administrative Data
         Systems ("BRADS") or other appropriate system(s) necessary to update
         the Local Exchange Routing Guide ("LERG"), unless negotiated otherwise.

9.7      Upon the request of CLEC, NEVADA shall perform LERG input for CLEC.
         CLEC agrees to pay NEVADA the sum of $I 10 per NXX in exchange for
         NEVADA's input of required data necessary to update the Local Exchange
         Routing Guide ("LERG") on CLEC's behalf. NEVADA shall not be liable for
         any losses or damages arising out of errors, defects, or failures
         associated with the input of CLEC's data into the LERG.

9.8      Neither Party is responsible for notifying the other Parties' End Users
         of any changes in dialing arrangements, including those due to NPA
         exhaust, unless otherwise ordered by the law, the Commission, the FCC,
         or a court.
9.9      NXX Migration
         Where either Party has activated an entire NXX for a single End User,
         or activated more than half of an NXX for a single End User with the
         remaining numbers in that NXX either reserved for future use or
         otherwise unused, if such End User chooses to receive service from the
         other Party, the first Party shall cooperate with the second Party to
         have the entire NXX reassigned in the LERG (and associated industry
         databases, routing tables, etc.) to an End Office operated by the
         second Party. Such transfer will require development of a transition
         process to minimize impact on the Network and on the End User(s)'
         service and will be subject to appropriate industry lead times
         (currently forty-five (45) days) for movements of NXXs from one switch
         to another. The Party to whom the NXX is migrated will pay NXX
         migration charges of $10,000 per NXX to the Party formerly assigned the
         NXX.

               10.  RESALE - SECTIONS 251(b)(1); 251(c)(4); 252(d)(3); and
                    271(c)(2)(B)(xiv)

10.1     Availability of NEVADA Retail Telecommunications Services for Resale

         NEVADA shall offer to CLEC for resale at wholesale rates its
         Telecommunications Services, as described in Section 251(c)(4) of the
         Act,
<PAGE>

pursuant to the terms and conditions of Appendix RESALE attached hereto and
incorporated herein by this reference.

         10.2 Availability of CLEC Retail Telecommunication Services for Resale

                  CLEC shall make available its Telecommunications Services for
                  resale at wholesale rates to NEVADA in accordance with Section
                  25 1 (b)(1) of the Act.

11.      UNBUNDLED NETWORK ELEMENTS - SECTIONS 251(c)(3), 271(c)(2)(B)
   -------------------------------------------------------------------

         (ii),(iv),(v),(vi),(x)

         Pursuant to Appendix UNE, which is attached hereto and made a part
         hereof, NEVADA will provide CLEC access to Unbundled Network Elements
         for the provision of a telecommunication service as required by
         Sections 251 and 252 of the Act and in compliance with those portions
         of the FCC's First Report and Order in CC Docket No. 96-98 that are in
         effect, subject to any modifications on reconsideration, stay or
         appeal, under the terms and conditions described herein and in the
         Appendices hereto. CLEC agrees to provide access to network elements to
         NEVADA under the same terms, conditions and prices contained herein.

12.      NOTICE OF CHANGES - SECTION 251(c)(5)
   -------------------------------------------

         Nothing in this Agreement shall limit either Party's ability to upgrade
         its network through the incorporation of new equipment, new software or
         otherwise. Both Parties will comply with the Network Disclosure rules
         adopted by the FCC in CC Docket No. 96-98, Second Report and Order, as
         may be amended from time to time. Both Parties agree to coordinate
         interconnection matters consistent with the requirements of the
         Americans with Disabilities Act (42 U.S.C. 12101) and with Sections 255
         and 256 of the Act.

13.      COLLOCATION - SECTION 251(c)(6)

 13.1 NEVADA shall provide to CLEC Physical Collocation pursuant to Appendix
PHYSICAL COLLOCATION.

         13.2 NEVADA shall provide to CLEC Virtual Collocation pursuant to
Appendix NIM.

14.      NUMBER PORTABILITY - SECTIONS 251(b)(2) and 271(c)(2)(B)(xi)
   ------------------------------------------------------------------

The Parties shall provide to each other Interim Number Portability ("INP") and
Permanent Number Portability ("PNP") on a reciprocal basis. Pursuant to the
provisions in the Act and the FCC's First Report and Order, and in accordance
with the terms and conditions outlined in Appendix PORT, which is attached
hereto and incorporated herein, NEVADA will provide CLEC Interim Number
Portability through Remote Call Forwarding and Direct Inward Dialing technology.
<PAGE>

15.      DIALING PARITY - SECTION 251(b)(3); 271(c)(2)(B)(xii). and 271(e)(2)
   --------------------------------------------------------------------------

               15.1 The Parties shall provide Local Dialing Parity to each other
                    as required under

         Section 25 1 (b)(3) of the Act.

               15.2 NEVADA shall provide IntraLATA Dialing Parity in accordance
                    with Section

               271(e)(2) of the Act and Section 8 of the Commission's
                    regulations in Docket 97-2010.

16.      ACCESS TO RIGHTS-OF-WAY - SECTION 251(b)(4) and 271(c)(2)(B)(iii)
         -----------------------------------------------------------------

Each Party shall provide the other Party access to its poles, ducts,
rights-of-way and conduits it owns or controls, pursuant to Appendix ROW, in
accordance with Section 224 of the Act on terms, conditions, and prices
comparable to those offered to any other Telecommunications provider pursuant to
each Party's applicable tariffs and/or standard agreements.

17.      DATABASE ACCESS -SECTION 271(c)(2)(B)(x)

In accordance with Section 27(c)(2)(B)(x) of the Act, NEVADA shall provide CLEC
with nondiscriminatory access to databases and associated signaling necessary
for call routing and completion. When requesting access to databases not
otherwise provided for in this Agreement, or appropriate interfaces, regardless
of whether they constitute Unbundled Network Elements, CLEC will use the Network
Element Bona Fide Request process. This process is defined in Appendix UNE,
which is attached hereto and incorporated herein by reference.

18.      INTERCEPT REFERRAL ANNOUNCEMENTS

When an End User customer changes from one Party to the other Party and does not
retain its original telephone number, the Party formerly providing service to
the End User will provide a referral announcement on the abandoned telephone
number. This announcement will provide details on the new number to be dialed to
reach this customer. These arrangements will be provided reciprocally, to either
the other Party or the End User customer, for the same period of time and under
the same terms and conditions as NEVADA provides to its existing End User
customers.

19.      COORDINATED REPAIR CALLS

To avoid and minimize the potential for End User confusion, each Party shall
inform their respective End Users of their respective repair bureau telephone
number(s) to access such bureaus. In the event that either Party receives a
misdirected repair call, the Parties agree to employ the following procedures
for handling such calls:
<PAGE>

               (a)  To the extent the correct provider can be determined,
                    misdirected repair calls will

         be referred to the proper provider of local exchange service in a
         courteous manner, at no charge, and the End User will be provided the
         correct contact telephone number.

               (b)  In responding to repair calls, neither Party shall make
                    disparaging remarks about

                  the other, nor shall they use these repair calls as the basis
                  for internal referrals, to solicit customers, or to market
                  services, nor shall they initiate extraneous communications
                  beyond the direct referral to the correct repair telephone
                  number.

20.      OTHER SERVICES 271(c)(B)(2)(vii) and 271(c)(2)(B)(viii)

         20.1 White Pages

         In accordance with Section 271(c)(2)(B)(viii) of the Act, NEVADA will
         make nondiscriminatory access to White Pages service available under
         the terms and conditions of Appendix WP, attached hereto and
         incorporated by reference.

20.2     911 and E91 I Services

         Pursuant to Section 271(c)(2)(B)(vii)(I) of the Act, NEVADA will make
         nondiscriminatory access to 911 and E911 services available under the
         terms and conditions of Appendix 911, attached hereto and incorporated
         by reference.

20.3     Directory Assistance ("DA")

         Pursuant to Section 271(c)(2)(B)(vii)(II) of the Act, NEVADA will
         provide nondiscriminatory access to DA services under the terms and
         conditions identified in Appendix DA, attached hereto and incorporated
         by reference.

20.4     Operator Services

         Pursuant to Section 271(c)(2)(B)(vii)(III) of the Act, NEVADA shall
         provide nondiscriminatory access to Operator Services under the terms
         and conditions identified in Appendix OS, attached hereto and
         incorporated by reference.

20.5     Signaling System 7 Interconnection

At CLECs request, NEVADA shall perform SS7 interconnection services for CLEC
pursuant to Appendix SS7, attached hereto and incorporated by reference.
<PAGE>

21.      GENERAL RESPONSIBILITIES OF THE PARTIES

21.1     Implementation Schedule

         Upon approval by the PUC of Nevada, CLEC agrees to begin providing
         telephone exchange service to business customers within (NUMBER OF
         DAYS) days and to residential customers within (NUMBER OF DAYS) days
         within its certificated service area.

 21.2 NEVADA and CLEC shall each use their best efforts to meet the
Interconnection Activation Dates.

 21.3    Each Party is individually responsible to provide facilities within its
         network that are necessary for routing, transporting, measuring, and
         billing traffic from the other Party's network and for delivering such
         traffic to the other Party's network in the standard format compatible
         with NEVADA's network as referenced in Bellcore's BOC Notes on LEC
         Networks Practice No. SR-TSV-002275, and to terminate the traffic it
         receives in that standard format to the proper address on its network.
         The Parties are each solely responsible for participation in and
         compliance with national network plans, including the National Network
         Security Plan and the Emergency Preparedness Plan.

 21.4    Neither Party shall use any service related to or use any of the
         services or elements provided in this Agreement in any manner that
         interferes with other persons in the use of their service, prevents
         other persons from using their service, or otherwise impairs the
         quality of service to other carriers or to either Party's End Users.
         Either Party may discontinue or refuse service, but only for so long as
         the other Party is violating this provision. Upon such violation,
         either Party shall provide the other Party notice of the violation at
         the earliest practicable time.

     21.5 Each Party is solely responsible for the services it provides to its
     End Users and to other Telecommunications Carriers.

 21.6    The Parties shall work cooperatively to minimize fraud associated with
         third-number billed calls, calling card calls, and any other services
         related to this Agreement.

     21.7 At all times during the term of this Agreement, each Party shall keep
     and maintain in force at each Party's expense all insurance required by law
     (e.g. workers' compensation insurance) as well as general liability
     insurance for personal injury or death to any one person, property damage
     resulting from any one incident, and automobile liability with coverage for
     bodily injury for property damage. Upon
<PAGE>

request from the other Party, each Party shall provide to the other Party
evidence of such insurance (which may be provided through a program of self
insurance).

 21.8    Unless otherwise stated, each Party will render a monthly bill to the
         other for service(s) provided hereunder. Remittance in full will be due
         within thirty (30) days of that billing date. Interest shall apply on
         overdue amounts (other than disputed amounts which are subject to
         Section 30.12) at the rate specified in Section 30.12, unless otherwise
         specified in an applicable tariff. Each Party reserves the right to net
         delinquent amounts against amounts otherwise due the other.

 21.9    NEVADA is participating with the industry to develop standardized
         methods through the OBF and shall implement ordering and billing
         formats/processes consistent with industry guidelines as capabilities
         are deployed. Where such guidelines are not available or NEVADA decides
         not to fully utilize industry guidelines, NEVADA will provide CLEC with
         information on its ordering and billing format/process and requirements
         at the earliest practicable time.

     21-10 NEVADA in its role as Designated Carrier for LATA 720, as established
     by the PUC of Nevada in Docket 86-711, has the responsibility to transport
     originating and terminating traffic for embedded independent local exchange
     carriers under special compensation arrangements. The independent LECs that
     participate in the Designated Carrier Plan ("DCP") are Churchill County
     Telephone & Telegraph, Continental Telephone Company of Nevada ("GTE"),
     C.P. National Corporation (Citizens Telecom), Lincoln County Telephone
     Company, Humboldt Telephone, and Rural Telephone Company. NEVADA is bound
     to continue this arrangement until such time as NEVADA has interconnection
     agreements with all of the embedded independent LECs and the PUC of Nevada
     agrees to discontinue the DCP. All traffic under this plan is independent
     LEC Int-aLATA Toll traffic. Under the DCP, the independent LECs bill NEVADA
     for both originating and terminating access at rates designed to recover
     their relevant costs. NEVADA does not bill the independent LECs any access
     for originating or terminating their traffic. The independent LECs pass the
     toll. revenue associated with their originating traffic to NEVADA as
     compensation to NEVADA for the =sport of their traffic. To meet the
     requirements of the DCP, CLEC agrees to the following stipulations for
     compensation as it pertains to both originating and terminating traffic
     from the participating independent LECs.

 21.10.1    All traffic for the participating independent LECs that transit
            NEVADA's network will be treated for compensation (rating) as if the
            call originated or terminated in NEVADA's network. At such time that
            the DCP is discontinued, this Section 21.11 will no longer apply and
            the compensation and rating defined in this Agreement will be used
            without exception.
<PAGE>

21.10.2    CLEC will not be required to establish an appropriate billing
           relationship directly with the independent LECs for traffic under the
           DCP until such

           time as the DCP is discontinued.

 21-11   For the purposes of establishing provisioning and billing service- to
         the CLEC, the CLEC is required to provide to NEVADA its state-specific
         authorized and nationally recognized OCN/AECNs for facilities-based
         business (interconnection and/or Unbundled Network Elements) in each
         NEVADA state and a single separate and distinct OCN/AECN for resale
         services in any NEVADA state. CLEC name associated with specific resale
         OCN/AECN must be consistent among NEVADA states.

         21.12    Unless otherwise agreed, if the designated Party fails to file
                  the jointly signed agreement with the Commission within thirty
                  (30) days of both Parties signatures, then the signed
                  agreement is null and no longer valid. If the contract becomes
                  null, either Party can initiate negotiations to a new
                  agreement.

22.      EFFECTIVE DATE, TERM. AND TERMINATION

 22.1    This Agreement shall be effective ten (10) days after approval by the
         PUC of Nevada when it has determined that the Agreement complies with
         Sections 251 and 252 of the Act ("Effective Date').

22.2     The initial term of this Agreement shall expire on October 25, 2000.
         Absent the receipt by one Party of written notice from the other Party
         at least sixty (60) days prior to the expiration of the Term to the
         effect that such Party does not intend to extend the Term of this
         Agreement, this Agreement shall automatically renew and remain in full
         force and effect on and after the expiration of the Term until
         terminated by either Party pursuant to Section 22.3, below.

22.3     Either Party may terminate this Agreement in the event that the other-
         Party fails to perform a material obligation that disrupts the
         operation of either Party's network and/or End User service and fails
         to cure such material nonperformance within forty-five (45) days after
         written notice thereof

22.4     If pursuant to Section 22.2, above, this Agreement continues in full
         force and effect after the expiration of the Term, either Party may
         terminate. this Agreement ninety (90) days after delivering written
         notice to the other Party of its intention to terminate this Agreement,
         subject to Section 22.5, below. Neither Party shall have any liability
         to the other Party for termination of this Agreement pursuant to this
         Section 22.4 other than its obligations under Section 22.5, below.
<PAGE>

          22.5 Upon termination or expiration of this Agreement in accordance
with this Section 22, above:

     (a) each Party shall comply immediately with its obligations set forth in
Section 30.6, below; and

     (b) each Party shall promptly pay all amounts (including any late payment
charges) owed under this Agreement; and

     (c) each Party's indemnification obligations shall survive.

          22.6    If upon expiration or termination the Parties are negotiating
                  a successor agreement, during such period each Party shall
                  continue to perform its obligations and provide the services
                  described herein that are to be included in the successor
                  agreement until such time as the latter agreement becomes
                  effective; provided however, that if the Parties are unable to
                  reach agreement within six (6) months after termination or
                  expiration of this Agreement, either Party has the right to
                  submit this matter to the Commission for resolution. Until a
                  survivor agreement is reached or the Commission resolves the
                  matter, whichever is sooner, the terms, conditions, rates, and
                  charges stated herein will continue to apply, subject to a
                  true-up based on the Commission action, if any.

         22.7     No remedy set forth in this Agreement is intended to be
                  exclusive and each and every remedy shall be cumulative and in
                  addition to any other rights or remedies now or hereafter
                  existing under applicable law or otherwise.

23.      DISCLAIMER OF REPRESENTATIONS AND WARRANTIES

         EXCEPT AS EXPRESSLY PROVIDED UNDER THIS AGREEMENT, NO PARTY MAYES OR
         RECEIVES ANY WARRANTY, EXPRESS OR IMPLIED, WITH RESPECT TO THE
         SERVICES, FUNCTIONS AND PRODUCTS IT PROVIDES UNDER OR CONTEMPLATED BY
         THIS AGREEMENT AND THE PARTIES DISCLAIM THE IMPLIED WARRANTIES OF
         MERCHANTABILITY OR OF FITNESS FOR A PARTICULAR PURPOSE. ADDITIONALLY,
         NEITHER NEVADA NOR CLEC ASSUMES RESPONS113ELITY WITH REGARD TO THE
         CORRECTNESS OF DATA OR INFORMATION SUPPLIED BY THE OTHER WHEN THIS DATA
         OR INFORMATION IS ACCESSED AND USED BY A THIRD PARTY.

24.      CHANGES IN END USER LOCAL EXCHANGE SERVICE PROVIDER SELECTION

         Each Party will abide by applicable state or federal laws and
         regulations in obtaining End User authorization prior to changing End
         User's local service provider to itself and in assuming responsibility
         for any applicable charges as specified in Section 258(b) of the
<PAGE>

         Telecommunications Act of 1996. CLEC shall make authorization available
         to NEVADA upon request and at no charge. Only an End User can initiate
         a challenge to a change in its local exchange service provider. If an
         End User notifies NEVADA or CLEC that the End User requests local
         exchange service, the Party receiving such request shall be free to
         immediately provide service to such End User. When an End User changes
         or withdraws authorization, each Party shall release customer-specific
         facilities in accordance with the End User's direction or the End
         User's authorized agent. Further, when an End User abandons the
         premise, NEVADA is free to reclaim the unbundled network element
         facilities for use by another customer and is free to issue service
         orders required to reclaim such facilities.

25.      SEVERABILITY

         25.1     The Parties negotiated the services, arrangements,
                  Interconnection, terms and conditions of this Agreement as a
                  total arrangement and it is intended to be nonseverable,
                  subject only to Section 30.16 of this Agreement.

         25.2     In the event the Commission, the FCC, or a court rejects any
                  portion or determines that any provision of this Agreement is
                  contrary to law, or is invalid or unenforceable for any
                  reason, the Parties shall continue to be bound by the terms of
                  this Agreement, insofar as possible, except for the portion
                  rejected or determined to be unlawful, invalid, or
                  unenforceable. In such event, the Parties shall negotiate in
                  good faith to replace the rejected, unlawful, invalid, or
                  unenforceable provision and shall not discontinue service to
                  the other Party during such period if to do so would disrupt
                  existing service being provided to an End User. Nothing in
                  this Agreement shall be construed as requiring or permitting
                  either Party to contravene any mandatory requirement of
                  federal or state law, or any regulations or orders adopted
                  pursuant to such law.

26.      INTELLECTUAL PROPERTY

         CLEC as the provider of the Unbundled Network Elements will provide all
         features, functions, and capabilities of the individual elements.
         NEVADA will provide a list of all vendors/licensors applicable to the
         subject Unbundled Network Element(s) (which vendors have provided
         NEVADA a software license) within seven (7) days of a request for such
         a list by CLEC. NEVADA agrees to use its best efforts to facilitate the
         obtaining of any necessary license or right to use agreement. NEVADA
         makes no warranties, express or implied, concerning CLEC's (or any
         third party's) rights with the respect to use of intellectual property
         (including without limitation, patent, copyright, and trade secret
         rights). NEVADA reserves the right to amend the Intellectual Property
         provision of this Agreement to reflect the FCC ruling (and any appeal
         therefrom) in CC Docket No. 96-98 (File No. CCBPol 97-4), In the Matter
         of Petition of MCI for Declaratory Ruling.
<PAGE>

27.      INDEMNIFICATION

         27.1     Except as otherwise provided herein or in specific appendices,
                  each Party shall be responsible only for service(s) and
                  facility(ies) which are provided by that Party, its authorized
                  agents, subcontractors, or others retained by such parties,
                  and neither Party shall bear any responsibility for the
                  service(s) and facility(ies) provided by the other Party, its
                  agents, subcontractors, or others retained by such parties.

         27.2     Except as otherwise provided herein or in specific appendices,
                  and to the extent not prohibited by law and not otherwise
                  controlled by tariff, each Party (the "Indemnifying Party")
                  shall defend and indemnify the other Party (the "Indemnified
                  Party) and hold such Indemnified Party harmless against any
                  loss to a third party arising out of the negligence or willful
                  misconduct by such Indemnifying Party, its agents, its End
                  User, contractors, or others retained by such parties, in
                  connection with the indemnifying provision of services or
                  functions under this Agreement.

         27.3     In the case of any loss alleged or made by an End User of
                  either Party, the Party whose End User alleged or made such
                  loss ("Indemnifying Party") shall defend and indemnify the
                  other Party ("Indemnified Party") against any and all such
                  claims or loss by its End Users regardless of whether the
                  underlying service was provided or unbundled element was
                  provisioned by the Indemnified Party, unless the loss was
                  caused by the gross negligence or intentional misconduct of
                  the other ("Indemnified") Party.

         27.4     CLEC agrees to indemnify, defend and hold harmless NEVADA and
                  Pacific Bell from any loss arising out of NEVADA's or Pacific
                  Bell's provision of 911 services or out of CLECs End Users'
                  use of the 911 service, whether suffered, made, instituted, or
                  asserted by CLEC or its End Users, including for any personal
                  injury or death of any person or persons, except for loss
                  which is the direct result of NEVADA's or Pacific Bell's own
                  negligence or willful misconduct.

         27.5     NEVADA shall not be liable for damages to an End User's
                  premises resulting from the furnishing of unbundled elements,
                  including the installation and removal of equipment and
                  associated wiring, unless the damage is caused by NEVADA's
                  negligence or willful misconduct. NEVADA does not guarantee or
                  make any warranty with respect to unbundled elements when used
                  in an explosive atmosphere.

         27.6     Each Party shall be indemnified, defended and held harmless by
                  the other Party against any loss arising from a Party's use of
                  services or elements provided under this Agreement involving:
<PAGE>

(a)      tort claims, including claims for libel;

(b)      slander;

(c)      invasion of privacy; or

(d)      infringement of copyright arising from a Party's own communications or

         the communications of its End Users.

This includes, but is not limited to, suits arising from disclosure of any
customerspecific information associated with either the originating or
terminating numbers used to provision unbundled elements provided hereunder or
all other claims arising out of any act or omission of the End User in the
course of using services or functions provided pursuant to this Agreement.

 27.7    The Indemnifying Party agrees to defend any suit brought against the
         Indemnified Party for any loss identified in this Section or specific
         appendices. The Indemnified Party agrees to notify the Indemnifying
         Party promptly in writing of any written claims, lawsuits or demands
         for which the Indemnifying Party may be responsible under this
         Agreement. The Indemnified Party shall cooperate in every reasonable
         way to facilitate defense or settlement. The Indemnifying Party -shall
         have the right to control and conduct the defense and settlement of any
         action or claim subject to the consultation of the Indemnified Party.
         The Indemnifying Party shall not be responsible for any settlement
         unless the Indemnifying Party approved such settlement in advance and
         agrees to be bound by the settlement agreement.

 27.8    CLEC acknowledges that its right under this contract to interconnect
         with NEVADA's network and to unbundle and/or combine NEVADA's network
         elements (including combining with CLEC's network elements) may be
         subject to or limited by intellectual property (including, without
         limitation, patent, copyright, and trade secret rights) and contract
         rights of third parties. It is the sole obligation of CLEC to obtain
         any consents, authorizations, or licenses under intellectual property
         or proprietary rights held by third parties that may be necessary for
         its use of NEVADA network facilities under this Agreement. NEVADA
         hereby conveys no licenses to use such intellectual property rights and
         makes no warranties, express or implied, concerning CLEC's (or any
         third party's) rights with respect to such intellectual property and
         contract rights, including, without limitation, whether such rights
         will be violated by such interconnection or unbundling and/or combining
         of elements (including combining with CLEC's network elements) in
         NEVADA's network. NEVADA does not and shall not indemnify or defend,
         nor be responsible for indemnifying or defending CLEC for any liability
         losses, claims, costs, damages, demand, penalties, or other expenses
         arising out of, caused by, or relating to CLEC's interconnection with
         NEVADA's network and
<PAGE>

unbundling and/or combining NEVADA's network elements (including combining with
CLEC's network elements).

 27.9    CLEC agrees to indemnify and hold NEVADA harmless from and against all
         liability, losses, claims, costs, damages, demand, penalties, or other
         expenses, including but not limited to costs of litigation and
         reasonable attorneys fees, arising out of, caused by, or relating to
         any real or potential claim, demand, or action that CLEC's
         interconnection with NEVADA's network, or CLEC's use of services or
         functions offered hereunder, or unbundling and/or combining of NEVADA's
         network elements (including combining with CLEC's network elements)
         violates or infringes upon any intellectual property rights of any
         third party or constitutes a breach of contract. CLEC shall notify
         NEVADA in writing within ten (10) days after CLEC receives notification
         of any claim or suit subject to this provision. NEVADA shall undertake
         and control the defense and settlement of any such claim or suit and
         CLEC shall cooperate fully with NEVADA in connection herewith. In no
         event shall NEVADA be liable for any consequential damages or loss of
         profits which CLEC may suffer arising out of same.

         27.10    CLEC shall reimburse NEVADA for damages to NEVADA facilities
                  utilized to provide unbundled elements hereunder caused by the
                  negligence or willful act of CLEC or resulting from CLEC's
                  improper use of NEVADA facilities, or due to malfunction of
                  any facilities or equipment provided by other than NEVADA.
                  Nothing in the foregoing provision shall be interpreted to
                  hold one CLEC liable for another local service provider or End
                  User's actions. Upon reimbursement for damages, NEVADA will
                  cooperate with CLEC in prosecuting a claim against the person
                  causing such damage. CLEC shall be subrogated to the right of
                  recovery by NEVADA for the damages to the extent of such
                  payment.

28.      LIMITATION OF LIABILITY

 28.1    Except for indemnity obligations under this Agreement, or except as
         otherwise provided in specific appendices, each Party's liability to
         the other Party for any loss relating to or arising out of any
         negligent act or omission in its performance under this Agreement,
         whether in contract or tort, shall not exceed in total the amount
         NEVADA or CLEC has to or would have charged the other Party for the
         affected service(s) or function(s) which were not performed or were
         otherwise improperly performed.

 28.2    Except for losses alleged or made by an End User of either Party, or
         except as otherwise provided in specific appendices, in the case of any
         loss alleged or made by a third party arising under the negligence or
         willful misconduct of both Parties, each Party shall bear, and its
         obligation under this section shall be limited to, that portion (as
         mutually agreed to by the Parties) of the resulting expense caused by
<PAGE>

its own negligence or willful misconduct or that of its agents, servants,
contractors, or others acting in aid or concert with it.

         28.3     In-no event shall either Party have any liability whatsoever
                  to the other Party for any indirect, special, consequential,
                  incidental, or punitive damages, including but not limited to,
                  loss of anticipated profits or revenue or other economic loss
                  in connection with or arising from anything said, omitted, or
                  done hereunder (collectively, "Consequential Damages"), even
                  if the other Party has been advised of the possibility of such
                  damages; provided that the foregoing shall not limit a Party's
                  obligation under this Agreement to indemnify, defend, and hold
                  the other Party harmless against any amounts payable to a
                  third party, including any losses, costs, fines, penalties,
                  criminal or civil judgments or settlements, expenses
                  (including attorney's fees) and Consequential Damages of such
                  third party.

29.      REGULATORY APPROVAL

 29.1    The Parties understand and agree that this Agreement will be filed with
         the Commission and may thereafter be filed with the FCC. The Parties
         believe in good faith and agree that the services to be provided under
         this Agreement satisfy the specifically mentioned sections of the Act
         and are in the public interest. Each Party covenants and agrees to
         fully support approval of this Agreement by the Commission or the FCC
         under Section 252 of the Act without modification.

         29.2     The Parties agree that the performance of the terms of this
                  Agreement will satisfy NEVADA's obligation to provide
                  Interconnection under Section 251 of the Act, and the
                  requirements of the Competitive Checklist, under Section 271
                  of the Act. CLEC represents that it is, or intends to become,
                  a provider of Telephone Exchange Service to residential and
                  business subscribers offered exclusively over its own
                  Telephone Exchange Service facilities or predominantly over
                  its own Telephone Exchange Service facilities in combination
                  with the use of unbundled Network Elements purchased from
                  another entity and the resale of the Telecommunications
                  Services of other carriers.

30.      MISCELLANEOUS

30.1     Authorization

 30.1.1   NEVADA is a corporation duly organized, validly existing and in good
          standing under the laws of the State of Nevada and has full power and
          authority to execute and deliver this Agreement and to perform the
          obligations hereunder.

 30-1.2   CLEC is a corporation duly organized, validly existing and in good
          standing under the laws of the State of California and has full power
          and
<PAGE>

     authority to execute and deliver this Agreement and to perform its
obligations hereunder.

30.2     Compliance and Certification

 30.2.1  Each Party shall comply with all federal, state, and local laws, rules,
         and regulations applicable to its performance under this Agreement.

 30.2.2  Each Party wan-ants that it has obtained all necessary state
         certification required in those states in which it has ordered services
         from the other Party pursuant to this Agreement. Upon request by any
         state governmental entity, each Party shall provide proof of
         certification.

         30.2.3   Each Party represents and warrants that any equipment,
                  facilities or services provided to the other Party under this
                  Agreement comply with the Communications Law Enforcement Act
                  ("CALEA"). Each Party shall indemnify and hold the other Party
                  harmless from any and all penalties imposed upon the other
                  Party for such noncompliance and shall at the non-compliant
                  Party's sole cost and expense, modify or replace any
                  equipment, facilities or services provided to the other Party
                  under this Agreement to ensure that such equipment, facilities
                  and services fully comply with CALEA.

30.3     Law Enforcement

NEVADA and CLEC shall handle law enforcement requests as follows:

(a)      Intercept Devices:
   ------------------------

         Local and federal law enforcement agencies periodically request
         information or assistance from local telephone service providers. When
         either Party receives a request associated with an End User of the
         other Party, it shall refer such request to the Party that serves such
         End User, unless the request directs the receiving Party to attach a
         pen register, trapand-trace or form of intercept on the Party's
         facilities, in which case that Party shall comply with any valid
         request.

(b)      Subpoenas:
   ----------------

If a Party receives a subpoena for information concerning an End User the Party
knows to be an End User of the other Party, it shall refer the subpoena to the
requesting party with an indication that the other Party is the responsible
company, unless the subpoena requests records for a period
<PAGE>

                  of time during which the Party was the End User's service
                  provider, in which case the Party will respond to any valid
                  request.

          (c)     Emergencies:

                  If a Party receives a request from a law enforcement agency
                  for temporary number change, temporary disconnect, or one-way
                  denial of outbound calls for an End User of the other Party by
                  the receiving Party's switch, that Party will comply with a
                  valid emergency request. However, neither Party shall be held
                  liable for any claims or damages arising from compliance with
                  such requests on behalf of the other Party's End User and the
                  Party serving such End User agrees to indemnify and hold the
                  other Party harmless against any and all such claims.

30.4 Independent Contractor

         Each Party and each Party's contractor shall be solely responsible for
         the withholding or payment of all applicable federal, state and local
         income taxes" social security taxes and other payroll taxes with
         respect to its employees, as well as any taxes, contributions or other
         obligations imposed by applicable state unemployment or workers'
         compensation acts. Each Party has sole authority and responsibility to
         hire, fire and otherwise control its employees.

30.5 Force Mai eure

         Neither Party shall be liable for any delay or failure in performance
         of any part of this Agreement from any cause beyond its control and
         without its fault or negligence including, without limitation, acts of
         nature, acts of civil or military authority, government regulations,
         embargoes, epidemics, terrorist acts, riots, insurrections, fires,
         explosions, earthquakes, nuclear accidents, floods, work stoppages,
         equipment failure, cable cuts, power blackouts, volcanic action, other
         major environmental disturbances, unusually severe weather conditions,
         inability to secure products or services of other persons or
         transportation facilities or acts or omissions of transportation
         carriers In such event, the Party affected shall, upon giving prompt
         notice to the other Party, be excused from such performance on a
         day-to-day basis to the extent of such interference (and the other
         Party shall likewise be excused from performance of its obligations on
         a day-for-day basis to the extent such Party's obligations related to
         the performance so interfered with). The affected Party shall use its
         best efforts to avoid or remove the cause of nonperformance and both
         Parties shall proceed to perform with dispatch once the causes are
         removed or cease.
<PAGE>

30.6     Confidentiality

 30.6.1  All information, including but not limited to specifications,
         microfilm, photocopies, magnetic disks, magnetic tapes, drawings,
         sketches, models,

         samples, tools, technical information, data, employee records, maps,
financial reports, and market data:

(a)      furnished by one Party (the "Disclosing Party") to the other Party

         (the "Receiving Party") dealing with customer-specific, facility
         specific, or usage-specific information, other than customer
         information communicated for the purpose of publication or directory
         database inclusion, 911, call processing, billing or settlement or as
         otherwise mutually agreed upon; or

(b)      in written, graphic, electromagnetic, or other tangible form and

         marked at the time of delivery as "Confidential" or "Proprietary;";
         or

          (c)     communicated orally and declared to the Receiving Party at the

                  time of delivery, or by written notice given to the Receiving
                  Party within ten (10) days after declaration to be
                  "Confidential" or "Proprietary" (collectively referred to as
                  "Proprietary Information"), shall remain the property of the
                  Disclosing Party.

30.6.2   Upon request by the Disclosing Party, the Receiving Party shall return
         all tangible copies of Proprietary Information, whether written,
         graphic, or otherwise. In the event of the expiration or termination of
         this Agreement for any reason whatsoever, each Party shall return to
         the other Party or destroy all Proprietary Information and other
         documents, work papers and other material (including all copies
         thereof) obtained from the other Party in connection with this
         Agreement.

 30.6.3  Each Party shall keep all the other Party's Proprietary Information
         confidential in the same mariner in which it keeps its own Proprietary
         Information confidential, and shall use the other Party's Proprietary
         Information only for performing the covenants contained in the
         Agreement -and shall disclose such Proprietary Information only to
         those employees, contractors, agents or Affiliates who have a need to
         know. Neither Party shall use the other Party's Proprietary Information
         for any other purpose except upon such terms and conditions as may be
         agreed upon between the Parties in writing.
<PAGE>

 30.6.4  Unless otherwise agreed, the obligations of confidentiality and nonuse
         set forth in the Agreement do not apply to such Proprietary Information
         that:

(a)      was at the time of receipt, already known to the Receiving Party,

         free of any obligation to keep confidential and evidenced by
         written records prepared prior to delivery by the Disclosing Party;

(b)      is, or becomes publicly known through no wrongful act of the

         receiving Party;

(c)      is rightfully received from a third person having no direct or

         indirect secrecy or confidentiality obligation to the Disclosing
         Party with respect to such information;

(d)      is independently developed by an employee, agent, or contractor of

         the Receiving Party which individual is not involved in any manner with
         the provision of services pursuant to the Agreement and does not have
         any direct or indirect access to the Proprietary Information;

(e)      is disclosed to a third person by the Disclosing Party without

         similar restrictions on such third person's rights;

(f)      is approved for release by written authorization of the Disclosing

         Party

(g)      is required to be made public by the Receiving Party pursuant to

         applicable law or regulation provided that the Receiving Party shall
         provide the Disclosing Party with written notice of such requirement as
         soon as possible and prior to such disclosure. The Disclosing Party may
         then either seek appropriate protective relief from all or part of such
         requirement or, if it fails to successfully do so, it shall be deemed
         to have waived the Receiving Party's compliance with Section 30.6 with
         respect to all or part of such requirement. The Receiving Party shall
         use all commercially reasonable efforts to cooperate with the
         Disclosing Party in attempting to obtain any protective relief which
         such Disclosing Party chooses to obtain. Notwithstanding the foregoing,
         NEVADA shall be entitled to disclose confidential information on a
         confidential basis to regulatory agencies upon request for information
         as to NEVADA's activities under the Act.

 30.6.5  Notwithstanding any other provision of this Agreement, the Proprietary
         Information provisions of this Agreement shall apply to all information
<PAGE>

                  furnished by either Party to the other in furtherance of the
                  purpose of this Agreement, even if furnished before the date
                  of this Agreement.

         30.6.6   Pursuant to Section 222(b) of the Act, both Parties agree to
                  limit their use of Proprietary Information received from the
                  other to the permitted purposed identified in the Act.

30.7 Governing Law

         For all claims under this Agreement that are based upon issues within
         the jurisdiction (primary or otherwise) of the FCC, the exclusive
         jurisdiction and remedy for all such claims shall be as provided for by
         the FCC and the Act. For all claims under this Agreement that are based
         upon issues within the jurisdiction (primary or otherwise) of the
         Commission, the exclusive jurisdiction for all such claims shall be
         with such Commission, and the exclusive remedy for such claims shall be
         as provided for by such Commission. In all other respects, this
         Agreement shall be governed by the domestic laws of the State of Nevada
         with-out reference to conflict of law provisions.

30.8 Taxes

               30.8.1 Each Party purchasing services hereunder shall pay or
                    otherwise be responsible for all federal, state, or local
                    sales, use, excise, gross receipts, transaction or similar
                    taxes, fees, or surcharges (hereinafter "Tax") imposed on or
                    with respect to the services provided by or to such Party,
                    except for any Tax on either Party's corporate existence,
                    status, or income. Whenever possible, these amounts shall be
                    billed as a separate item on the invoice. To the extent a
                    sale is claimed to be for resale tax exemption, the
                    purchasing Party shall furnish the providing Party a proper
                    resale tax exemption certificate as authorized or required
                    by statute or regulation by the jurisdiction providing said
                    resale tax exemption. Failure to timely provide said resale
                    tax exemption certificate will result in no exemption being
                    available to the purchasing Party until such time as the
                    purchasing Party presents a valid certificate.

         30.8.2   With respect to any purchase of services, facilities or other
                  arrangements, if any Tax is required or permitted by
                  applicable law to be collected from the purchasing Party by
                  the providing Party, then:

               (a)  the providing Party shall bill the purchasing Party for such
                    Tax;

               (b)  the purchasing Party shall remit such Tax to the providing
                    Party; and
<PAGE>

          (c) the providing Party shall remit such collected Tax to the
          applicable

                  taxing authority.

 30.8.3   With respect to any purchase hereunder of services, facilities or
          arrangements that are resold to a third party, if any Tax is imposed
          by applicable law on the End User in connection with any such
          purchase, then:

(a)      the purchasing Party shall be required to impose and/or collect

         such Tax from the End Useq and

(b)      the purchasing Party shall remit such Tax to the applicable taxing

         authority.

The purchasing Party agrees to indemnify and hold harmless the providing Party
on an after-tax basis for- any costs incurred by the providing Party as a result
of actions taken by the applicable taxing authority to collect the Tax from the
providing Party due to the failure of the purchasing Party to pay or collect and
remit such tax to such authority.

30.8.4   If the providing Party fails to collect any Tax as required herein,
         then, as between the providing Party and the purchasing Party:

          (a) the purchasing Party shall remain liable for such uncollected Tax;
          and

 (b)      the providing Party shall be liable for any penalty and interest
          assessed with respect to such uncollected Tax by such authority.

However, if the purchasing Party fails to pay any taxes properly billed, then,
as between the providing Party and the purchasing Party, the purchasing Party
will be solely responsible for payment of the taxes, penalty and interest.

 30.8.5   If the purchasing Party fails to: impose and/or collect any Tax from
          End Users as required herein, then; a.& between the providing Party
          and the purchasing Party, the purchasing Party shall remain liable for
          such uncollected Tax and any interest and penalty assessed thereon
          with respect to the uncollected Tax by the applicable taxing
          authority. With respect to any Tax that the purchasing Party has
          agreed to pay or impose on and/or collect from End Users, the
          purchasing Party agrees to indemnify and hold harmless the providing
          Party on an after-tax basis for any costs incurred by the providing
          Party as a result of actions taken by the applicable taxing
<PAGE>

                  authority to collect the Tax from the providing Party due to
                  the failure of the purchasing Party to pay or collect and
                  remit such Tax to such authority.

30.9 Non-Assignment

         Each Party covenants that, if it sells or otherwise transfers to a
         third party its Telephone Exchange and Switched Access network
         facilities within any territory within which NEVADA is an Incumbent
         Local Exchange Carrier as of the date of this Agreement ("NEVADA's
         Territory"), or any portion thereof, to a third party, it will require
         as a condition of such transfer that the transferee agree to be bound
         by this Agreement with respect to services provided over the
         transferred facilities. Except as provided in this paragraph, neither
         Party may assign or transfer (whether by operation of law or otherwise)
         this Agreement (or any rights or obligations hereunder) to a third
         party without the prior written consent of the other Party; provided
         that each Party may assign this Agreement to a corporate Affiliate or
         an entity under its common control or an entity acquiring all or
         substantially all of its assets or equity by providing prompt written
         notice to the other Party of such assignment or transfer. Any attempted
         assignment or transfer that is not permitted is void ab initio. Without
         limiting the generality of the foregoing, this Agreement shall be
         binding upon and shall inure to the benefit of the Parties' respective
         successors and assigns.

30.10 Non-Waiver

         Failure of either Party to insist on performance of any term or
         condition of this Agreement or to exercise any right or privilege
         hereunder shall not be construed as a continuing or future waiver of
         such term, condition, right or privilege.

30.11 Audits

Each Party to this Agreement will be responsible for the accuracy and quality of
its data as submitted to the respective Parties involved.

 30.11.1    Upon reasonable written notice and at its own expense, each Party or
            its authorized representative (providing such authorized
            representative does not have a conflict of interest related to other
            matters before one of the Parties) shall have the right to conduct
            an audit of the other Party to give assurances of compliance with
            the provisions of this Agreement; provided, that neither Party may
            request more than two (2) such audits within any twelve (12) month
            period. This includes on-site audits at the other Party's or the
            Party's vendor locations. Each Party, whether or not in connection
            with an audit, shall maintain reasonable records for a minimum of
            twenty-four (24) months and provide the other Party with reasonable
            access to such information as is necessary to determine
<PAGE>

                    amounts receivable or payable under this Agreement. Each
                    Party's right to access information for audit purposes is
                    limited to data not in excess of twenty-four (24) months in
                    age.

30.12 Disputed Amounts

 30.12.1    No claims, under this Agreement or its Appendices, shall be brought
            for disputed amounts more than twenty-four (24) months from the date
            of occurrence which gives rise to the dispute. Under this Section
            30.12, if any portion of an amount due to a Party (the "Billing
            Party") under this Agreement is subject to a bona fide dispute
            between the Parties, the Party billed (the "Non-Paying Party") shall
            within sixty (60) days of its receipt of the invoice containing such
            disputed amount give notice to the Billing Party of the amounts it
            disputes ("Disputed Amounts") and include in such notice the
            specific details and reasons for disputing each item. The Non-Paying
            Party shall pay when due:

            (a) all undisputed amounts to the Billing Party; and

            (b) all Disputed Amounts to the Billing Party.

 30.12.2    If the Parties are unable to resolve the issues related to the
            Disputed Amounts in the normal course of business within sixty (60)
            days after delivery to the Billing Party of notice of the Disputed
            Amounts, each of the Parties shall appoint a designated
            representative who has authority to settle the dispute and who is at
            a higher level of management than the persons with direct
            responsibility for administration of this Agreement. The designated
            representatives shall meet as often as they reasonably deem
            necessary in order to discuss the dispute and negotiate in good
            faith in an effort to resolve such dispute.

 30-12.3    If the Parties are unable to resolve issues related to the Disputed
            Amounts within forty-five (45) days after the Parties' appointment
            of designated representatives pursuant to Section 30.12.2, above,
            then either Party may file a complaint with the Commission to
            resolve such issues or proceed with any other remedy pursuant to law
            or equity.

 30.12.4    The Parties agree that all negotiations pursuant to this Section
            30.12 shall remain confidential and shall be treated as compromise
            and settlement negotiations for purposes of the Federal Rules of
            Evidence and state rules of evidence.

 30.12.5 Any undisputed amounts not paid when due shall accrue interest from the
date such amounts were due at the lesser of.
<PAGE>

                    (a)    one and one-half percent (1-1/2%) per month; or

     (b) the highest rate of interest that may be charged under applicable law.

30.13 Dispute Resolution

         30.13.1    No claims shall be brought for disputes arising under this
                    Agreement or its Appendices more than twenty-four (24)
                    months from the date of occurrence which gives rise to the
                    dispute.

         30.13.2    For disputes other than disputed amounts under this
                    Agreement or its Appendices, each Party shall appoint a
                    designated representative as set forth in Section 30.12.2,
                    above, and if unable to resolve the dispute, proceed as set
                    forth in Section 30.12.3, above.

30.14 Notices

         Any notice to a Party required or permitted under this Agreement shall
         be in writing and shall be deemed to have been received on the date of
         service if served personally; on the date receipt is acknowledged in
         writing by the recipient if delivered by regular mail; or on the date
         stated on the receipt if delivered by certified or registered mail or
         by a courier service that obtains a written receipt. Notice may also be
         provided by facsimile, which shall be effective on the next Business
         Day following the date of transmission as reflected in the facsimile
         confirmation sheet. "Business Day" shall mean Monday through Friday,
         NEVADA/CLEC holidays excepted. Any notice shall be delivered using one
         of the alternatives mentioned in this section and shall be directed to
         the applicable address indicated below or such address as the Party to
         be notified has designated by giving notice in compliance with this
         section.

           NOTICE CONTACT         CLEC CONTACT          NEVADA CONTACT
           NAME/TITLE             John Sumpter, Vice    Account Manager

                                  President Regulatory  LPAT
           STREET ADDRESS         4210 Coronado Ave.    370 3rd Street, Room 716
           CITY, STATE, ZIP CODE  Stockton, CA 95204    San Francisco, CA
                                                        94107
           TELEPHONE NUMBER
           FAX NUMBER
<PAGE>

30.15 Publicity and Use of Trademarks or Service Marks

34-15.1    The Parties agree not to use in any advertising or sales promotion,
           press releases, or other publicity matters any endorsements, direct
           or indirect quotes, or pictures implying endorsement by the other
           Party or any of its employees without such Party's prior written
           approval. The Parties will submit to each other for written approval,
           prior to publication, all publicity matters that mention or display
           one another's name and/or marks or contain language from which a
           connection to said name and/or marks may be inferred or implied; the
           Party to whom a request is directed shall respond promptly. Nothing
           herein, however, shall be construed as preventing either Party from
           publicly stating the fact that it has executed this Agreement with
           the other Party.

         30.15.2    Nothing in this Agreement shall grant, suggest, or imply any
                    authority for one Party to use the name, trademarks, service
                    marks, or trade names of the other for commercial purposes
                    without prior written approval.

30.16 Section 252(i) Obligations

If either Party enters into an agreement (the "Other Agreement") approved by the
Commission or FCC pursuant to Section 252 of the Act (regardless of whether the
approved agreement was negotiated or arbitrated) which provides for the
provision of arrangements covered in this Agreement to another requesting
Telecommunications Carrier, including an Affiliate, such Party shall make
available to the other Party such arrangements upon the same rates, terms and
conditions as those provided in the Other Agreement. At its sole option, the
other Party may avail itself of either:

30.16.1     the Other Agreement in its entirety; or

30.16.2 the prices, terms and conditions of the Other Agreement that directly
relate to any of the following duties as a whole:

               (a)  Interconnection - Section 25 1 (c)(2); 252(d)(1); and
                    271(c)(2)(B)(i) of the Act; or

(b)      Switched Access - Section 251(c)(2) and 271(c)(2)(B)(ii) of the

         Act; or

(c)      Unbundling - Section 251(c)(3) and 271(c)(2)(B)(ii) of the Act;

         or
<PAGE>

(d)      Resale - Section 25 1 (c)(4) and 27 1 (c)(2)(B)(xiv) of the Act; or

(e)      Collocation - Section 25 1 (c)(6) and 27 1 (c)(2)(B)(i) of the Act; or

(f)      Number Portability - Section 251(b)(2) and 271(c)(2)(B)(xi) of

         the Act; or

(g)      Database Access - Section 271(c)(2)(B)(x) of the Act; or

(h)     Access to Rights of Way - Section 251(b)(4) and 271(c)(2)(B)(iii) of
 the Act; or

(i)      Operator Services - Section 271 (c)(2)(B)(vii)(P; or

               0)   Directory Assistance - Section 27 1 (c)(2)(B)(vii)(II).

30.17 Joint Work Product

         This Agreement is the joint work product of the Parties and has been
         negotiated by the Parties and their respective counsel and shall be
         fairly interpreted in accordance with its terms and, in the event of
         any ambiguities, no inferences shall be drawn against either Party.

30.18 Intervening Law

         This Agreement is entered into as a result of both private negotiation
         between the Parties and the incorporation of some of the results of
         arbitration by the Public Utilities Commission of Nevada. If the
         actions of the State of Nevada or federal legislative bodies, courts,
         or regulatory agencies of competent jurisdiction invalidate, modify, or
         stay the enforcement of laws or regulations that were the basis for a
         provision of the contract, the affected provision shall be invalidated,
         modified, or stayed, consistent with the action of the legislative
         body, court, or regulatory agency. In such event, the Parties shall
         expend diligent efforts to arrive at an agreement respecting the
         modifications to the Agreement. If negotiations fail, disputes between
         the Parties concerning the interpretation of the actions required or
         provisions affected by such governmental actions shall be resolved
         pursuant to the dispute resolution process provided for in this
         Agreement.

30.19 No Third Party Beneficiaries; Disclaimer of Agency

This Agreement is for the sole benefit of the Parties and their permitted
assigns, and nothing herein express or implied shall create or be construed to
create any third-party beneficiary rights hereunder. Except for provisions
herein expressly authorizing a Party to act for another, nothing in this
Agreement shall constitute a
<PAGE>

         Party as a legal representative or agent of the other Party, nor shall
         a Party have the right or authority to assume, create or incur any
         liability or any obligation of any kind, express or implied, against or
         in the name or on behalf of the other Party unless otherwise expressly
         permitted by such other Party. Except as otherwise expressly provided
         in this Agreement, no Party undertakes to perform any obligation of the
         other Party, whether regulatory or contractual, or to assume any
         responsibility for the management of the other Party's business.

30.20 No License

         No license under patents, copyrights or any other intellectual property
         right (other than the limited license to use consistent with the terms,
         conditions and restrictions of this Agreement) is granted by either
         Party or shall be implied or arise by estoppel with respect to any
         transactions contemplated under this Agreement.

30.21 Survival

         The Parties' obligations under this Agreement which by their nature are
         intended to continue beyond the termination or expiration of this
         Agreement shall survive the termination or expiration of this
         Agreement.

30-22 Scope of Agreement

         This Agreement is intended to describe and enable specific
         Interconnection and compensation arrangements between the Parties. This
         Agreement does not obligate either Party to provide arrangements not
         specifically provided herein.

30.23 Entire Agreement

The terms contained in this Agreement and any Schedules, Exhibits, Appendices,
tariffs and other documents or instruments referred to herein, which are
incorporated into this Agreement by this reference, constitute the entire
agreement between the Parties with respect to the subject matter hereof
superseding all prior understandings, proposals and other communications, oral
or written. Neither Party shall be bound by any preprinted terms additional to
or different from those in this Agreement that may appear subsequently in the
other Party's form documents, purchase orders, quotations, acknowledgments,
invoices or other communications. This Agreement may only be modified in writing
signed by an officer of each Party.
<PAGE>

IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed
as of this 25th day of

Pac-West Telecomm, Inc.                      *Nevada Bell
                                        By its agent, SBC Communications. Inc.

AECN/OCN
Signature:                                    Signature: Sandy Ke

Name: Richard      Bryson                 Name:          Sandy Kinney

                  (Print or Type)                               (Print or Type)

Title:           e         n a A ci         Title: President - Industry Markets
                 (Print or Type)

   This Agreement is entered into pursuant to an arbitration order of the Nevada
Public Utility Commission, Docket No. 99-1007, Order Adopting Revised
Arbitration Decision, April 12, 1999. It contains provisions with which Nevada
Bell does not agree and as to which there was and is no meeting of the minds of
the parties. In particular, there was and is no agreement that Internet traffic
would be subject to reciprocal compensation as Local Traffic under this
agreement. The FCC has repeatedly asserted its interstate jurisdiction over
Internet traffic, including as recently as in its Declaratory Ruling in CC
Docket 96-98, released February 26, 1999, in which the FCC expressly confirmed
that Internet bound traffic is non-local interstate traffic. For this reason,
Nevada Bell believes that Internet traffic is excluded from this Agreement and
is not subject to reciprocal compensation. Nevada Bell fully reserves it rights
on this issue. Nevada Bell believes it is entitled, under this Agreement, to
receive access charges for facilities used in the carriage of traffic originated
in a local calling area but transported beyond that local calling area to
centralized modem locations in Nevada by a toll-free incoming service,
including, but not limited to, 800 service, 800-like service and foreign
exchange-like service.

**Pac-West disagrees with Nevada Bell's characterization of both this agreement
and the FCC's ruling on the issues regarding telephone calls terminating on the
Internet. Pac-West disagrees with Nevada Bell's characterization of the impact
of the FCC's ruling on this agreement. This agreement speaks for itself. The
addendum to the Pacific Bell signature has no bearing on the fashion in which
the respective rights of the parties to this agreement are determined.
<PAGE>

APPENDIX AIN
<PAGE>

TABLE OF CONTENTS

 1. SERVICE .....................................................I
    -------------------------------------------------------------

 1.2 Access to NEVADA's SCE ...................................I
     ----------------------------------------------------------

 (a)    Option I . .........................................I
        ---------

 (b) Option 2 . ............................................I
     ---------

 (c)    Option 3 . ..........................................I
        ---------
<PAGE>

APPENDIX AIN

AIN CALL RELATED DATABASE

1.       SERVICE

Advanced Intelligent Network ("AIN") is a Network Architecture that uses
distributed intelligence in centralized databases to control call processing and
manage network information, rather than performing those functions in every
switch.

At such time as NEVADA deploys AIN in its network, the following provisions will
apply:

1.1      NEVADA will provide CLEC access to NEVADA's Service Creation

         Environment ("SCE") to design, create, test, and deploy AIN-based
         features. All AIN services will require testing in Pacific Bell's AIN
         laboratory prior to deployment into the network. Testing will ensure
         compatibility with NEVADA's network nodes and interaction with other
         AIN, 800/888 and LIDB services. Testing will validate billing of both
         switched and database services and other switch-based features, and
         ensure appropriate use of network resources.

1.2      Access to NEVADA's SCE
         CLEC may choose among the following forms of access to NEVADA's SCE:

         (a)      Option I -
            ---------------

                  CLEC provides NEVADA with documentation and logic design for
                  the desired service. NEVADA personnel will operate the AIN SCE
                  terminal to create the service as described by CLEC.

(b)      Option 2 -
   ---------------

         CLEC personnel will operate NEVADA's SCE terminal themselves. Option 2
         will be made available when partitioning of NEVADA's SCE is completed.

(c)      Option 3 -
   ---------------

         CLEC will develop service logic using CLEC's Bellcore SPACE platform
         and will transfer the file to NEVADA for testing and deployment. The
         CLEC SPACE platform must be generically compatible with NEVADA'S
         network.

1.3  When CLEC utilizes NEVADA's Local Switching network element and requests

         NEVADA to provision such network element with an AIN trigger which has
         been tested in NEVADA's network, NEVADA will provide access to the
         appropriate
<PAGE>

AIN Call-Related Database residing in NEVADA's SCP for the purpose of invoking
either an unbundled NEVADA AIN feature or a CLEC-developed AIN feature as per
Section 1. 1 above.

 1.4     When CLEC utilizes NEVADA's Resold Exchange Lines and requests NEVADA
         to provision such lines with an AIN trigger which has been tested in
         NEVADA's network, NEVADA will provide access to the appropriate AIN
         Call-Related Database residing in NEVADA's SCP for the purpose of
         invoking a Carrierdeveloped AIN feature as per Section 1. 1.

1.5      When CLEC utilizes its own switch, NEVADA will provide access to the
         appropriate AIN Call-Related Database residing in NEVADA's SCP for the
         purpose of invoking either NEVADA's unbundled AIN feature or a CLEC
         developed AIN feature as per Section 1. 1. CLEC access to NEVADA's AIN
         databases will be via interconnection at NEVADA's regional or NEVADA's
         local STPs consistent with existing network interface specifications
         and using messages conforming with Bellcore's Technical References
         TR-NWT-001284 and TR- NWT-001285. The requirements for these messages
         may be modified by AIN access mediation (specifications not yet
         available).

 1.6     NEVADA will provide access to AIN Call-Related Databases in a
         nondiscriminatory and competitively neutral manner. Any mediation,
         static or dynamic will only provide network reliability, protection,
         security and network management functions consistent with the access
         service provided. Any network management controls found necessary to
         protect the AIN SCP from an overload condition will be applied based on
         non-discriminatory guidelines and procedures. Such management controls
         will be applied to the specific problem source, wherever that source
         is, including NEVADA, and not to all services unless a problem source
         cannot be identified.

 1.7     As requested by CLEC, NEVADA will provide specifications and
         information reasonably necessary for CLEC to utilize NEVADA's SCE as
         provided above.

 1.8     NEVADA will partition and take reasonable steps to protect CLEC service
         logic and data from unauthorized access, execution, or other types of
         compromise, where technically feasible.

 1.9     NEVADA will provide CLEC with access to NEVADA's Service Management
         Systems ("SMS") allowing CLEC to update AIN service data residing in
         NEVADA's AIN network for use on CLEC lines. Access to AIN Service
         Management will be provided via electronic file transfer of CLEC data
         to NEVADA for entry by NEVADA at one of NEVADA's AIN administrative
         terminals as will be used by NEVADA for maintenance of AIN service and
         subscriber data.
<PAGE>

APPENDIX BILATERAL
<PAGE>

<TABLE>
<CAPTION>
<S>     <C>

Worksheet Current As Of.

                  Topic                           NEVADA Reference(s)                                CLEC Reference(s)
                  Notes Status

I    Internetwork provisioning          CLEC Handbook, Section 16.5, Provisions of
     information and guidelines.        LISA.

                                        CLEC Handbook, Appendix F 1, CLEC ISR
Users' Guide.

              Interconnection Agreement between and Nevada, _(date)

2    SS7 & other critical internetwork  CLEC Operations Handbook-SS7, Section
     compatibility testing.             16.7. 3, Pre-service & Protocol Testing.

                                        CCS Network Interface, Section 6.3, Protocol Compatibility Testing.
                                                                                     ----------------------

                                        NOF Handbook, Section III, 3G, SS7

                                        Compatibility Testing.

3 Special protocol implementation CCS Network Interface, Section 2.3, Interface

     agreements.                        Protocol Messages.

                                        TR-246, T 1. 114 (SCCP) & T1. 116 (SCCP); GR-317 and GR-394.

                                        CCS Questionnaire, Section IV, D-2 Switch Parameters.

4 Diversity requirements.               CCS Network Interface, Section 4. 1, Diversity Definition.
                                                                                       -----------

                                        NOF Handbook, Section 111, 2D, Link Responsibilities - Diversity.
</TABLE>
<PAGE>

<TABLE>
<CAPTION>
<S>     <C>    <C>    <C>    <C>    <C>    <C>

                   Topic                            NEVADA Reference(s)                                 CLEC Reference(s)
                   Notes Status

5    Installation, maintenance          CLEC Operations Handbook-LISA, Section
     guidelines and responsibilities.   16.6.2, Responsibilities.

                                        CLEC Operations Handbook-SS7, Section

                                        16.7.2, Responsibilities.

6 Network security requirements. CLEC Operations HB-LISA, Section 16.6.11 &

                                        .12, Call Trace (Emergency & Fraud).

7    Performance standards and          LISA Interface Specification, Section 4,
     service level agreements.          Performance.

8    Specific versions/issues of        CCS Network Interface, Section 1.4, Related
     protocol or interface              Documents.
     specification.

</TABLE>
<PAGE>

<TABLE>
<CAPTION>
<S>     <C>    <C>    <C>    <C>    <C>    <C>

    I              Topic               I             NEVADA Reference(s)                                CLEC Reference(s)
    Notes Status

9    Maintenance procedures,            CLEC Operations Handbook-LISA, Section
     including trouble reporting,       16.6.4, Maintenance
     status, etc.

            CLEC Operations Handbook-SS7, Section 16.7.4, Maintenance

 10 Internetwork trouble resolution     CLEC Operations HB-LISA, Section 16.6.4 &
     and escalation procedures.         .6, Sectionalization; Escalations.

                                        CLEC Operations HB-SS7, Section 16.7.4
&.6, Sectionalization; Escalations.

                                        Interconnection Agreement between

                              and Nevada, _ (date)

I I  In-depth root cause analysis of    S.I. 131 - Customer Service Quality Failure
     significant failures.              Report (Analysis).

12   Explicit forecasting information CLEC HB, Appendix C, Interconnection
     re: direct and subtending traffic. Forecasts.
</TABLE>
<PAGE>

<TABLE>
<CAPTION>
<S>     <C>    <C>    <C>    <C>    <C>    <C>

                   Topic                             NEVADA Reference(s)                                CLEC Reference(s)
                   No                                Status

13 Explicit expectations regarding CLEC Operations Handbook-SS7, Section

     interoperabiliy testing             16.7.3, Protocol/Acceptance Tests.

                                        CCS Network Interface, Section 6.3, Protocol

                                        Compatibility Testing.

                                        CLEC Operations Handbook-LISA, Section 16.6.3 Acceptance Tests.
                                                                                      -----------

14 Network management.                  CLEC Operations HB-LISA, Section 16.6.2, Network Management Guidelines.
                                                                                 -------------------

                                        NOF Handbook, Section VI, Network Management Guidelines.
                                                                          -----------

             Interconnection Agreement between and Nevada, _ (date)

15   Operating procedures.              CLEC Operations Handbook - LISA (all
                                        sections).
                                        CLEC Operations Handbook - SS7, (all
                                        sections).
16 Routing and screening                   LISA Interface Specification, Section 2.2,
     administration.                    Routing & Screening.

                                        CCS Network Interface, Section 2.2, Routing &

                                        Screening (MTP/SCCP).

                                        Interconnection Agreement between

                               and Nevada, _(date)

</TABLE>
<PAGE>

<TABLE>
<CAPTION>
<S>     <C>    <C>    <C>    <C>    <C>    <C>

Topic                             NEVADA Reference(s)                                CLEC Reference(s)                        Notes
/ Status

17   Synchronization design and         CLEC Operations Handbook-SS7, Section
     Company-wide coordinator(s).       16.7.3., Synchronization.
18   Performance requirements.          LISA Interface Specification, Section 4,
                                        Performance.
                                        CCS Network Interface, Section 5, Performance
19   Responsibility assignment          CLEC Operations Handbook - LISA
     (testing, control, etc.).          (throughout).

                                        CLEC Operations Handbook - SS7,

                                         (throughout).

             Interconnection Agreement between and Nevada, _ (date)

  20 Information sharing for analysis   CLEC Oprs HB-LISA, Section 16.6.4 & 16.6.5
      and problem identification.       Sectionalization & Intercarrier Testing.

                 NOF Handbook, Section VII, Information Sharing.

</TABLE>
<PAGE>

<TABLE>
<CAPTION>
                   Topic                             NEVADA Reference(s)                                CLEC Reference(s)
                   Notes Status
<S>     <C>    <C>    <C>    <C>    <C>    <C>

21   Network transition and service      CLEC Operations Handbook-LISA, Section
     rearrangement management,           16.6.3.7, Rearrangements.

                                        CLEC Operations HB-SS7, Section 16.7.3,

                                         Signaling Link Rearrangements.

                                        CCS Questionnaire, Section 111, 2 Trunk Conversion Considerations.

22   Calling Party Number privacy        CLEC HB-LISA, Section 16.5.6, Prerequisites,
     management.                         Limitations &Restrictions.

              Interconnection Agreement between and Nevada, _(date)

23   Traffic engineering design          Interconnection Agreement between
     criteria and capacity                              and Nevada,             (date)

     management.

   24 Tones and announcements for       CLEC Operations HB-LISA, Section 16.6.9,
    unsuccessful call attempts.         Tones and Announcements.

                                        CCS Network Interface, Section 3.4, Tones and Announcements.

                                        NO Handbook, Section III, Pg. 17, Tones and Announcements.
</TABLE>
<PAGE>

<TABLE>
<CAPTION>
<S>     <C>    <C>    <C>    <C>    <C>    <C>

Bilateral Agreement Template                                                       APPENDIX BILATERAL
                                                                                          Page 7 of 7
                                                                       NEVADA/PAC-WEST TELECOMM, INC.
                                                                                               020999

                   Topic                             NEVADA Reference(s)                                CLEC Reference(s)
                   Notes Status

 25 Mutual aid agreement(s).             CLEC Handbook, Section 48, Emergency Preparedness.
                                                                              -------------

                                         Agreement between BOCs for National;

                                        Security Emergency Preparedness.

                                         Mutual Aid Agreement Among IEC and LEC
                                         Carriers in Nevada ....

26   Emergency communications            Emergency Preparedness &Response Program,
     plan.                               Tab 4, Communications.

                                        NOF Handbook, Section III, Pg. 16, Emergency Communications.

27 Billing records data exchange.

28 Pre-cutover internetwork trunk CCS Network Interface, Section 6.3, Protocol

     testing.                            Compatibility Testing.

                                        CLEC Operations HB-LISA, Secfion
16.6.3.,

                                        Pre-Service/Acceptance Tests.

                                        CLEC Operations HB-SS7, Section 16.7.3,

                                        Protocol/Acceptance Tests.

</TABLE>
<PAGE>

APPENDIX DA
<PAGE>

                           NEVADA/PAC-W

TABLE OF CONTENTS

 1. SERVICES ........................................................1
 1.1 Directory Assistance ("DA ") ...................................1
     ----------------------------------------------------------------
 1.2 Express Call Completion Service ("ECCS") .......................I
     ----------------------------------------------------------------
 2. DEFINITIONS .....................................................1
    -----------------------------------------------------------------
 2.1 Non-Published Number ...........................................1
     ----------------------------------------------------------------
 2.2 Published Number ...............................................1
     ----------------------------------------------------------------
 2.3 Call Branding ..................................................1
     ----------------------------------------------------------------
 3. CALL BRANDING AND RATE REFERENCE REQUIREMENTS ...................2
         ------------------------------------------------------------
 3.1 Requirements ...................................................2
     ----------------------------------------------------------------
 3.2 Call Branding ..................................................2
     ----------------------------------------------------------------
 3.3 Directory Assistance ("DA) Rate/Reference Information ..........2
     ----------------------------------------------------------------
 4. RESPONSIBILITIES OF THE PARTIES .................................2
    ------------------------
 5. METHODS AND PRACTICES ...........................................3
    -----------------------------------------------------------------
 6. PRICING .........................................................4

 7.   MONTHLY BILLING ...............................................4
      ---------------------------------------------------------------

 8.  LIABILITY ......................................................4

 9.  TERMS OF APPENDIX ..............................................4
     ----------------------------------------------------------------
<PAGE>

APPENDIX DA

DIRECTORY ASSISTANCE SERVICE

This Appendix sets forth the terms and conditions under which Nevada Bell
("NEVADA") agrees to provide nondiscriminatory access to Directory Assistance
Services ("DA Services") to allow CLEC's End User's to obtain telephone numbers.

1.       SERVICES

         NEVADA -will provide the following DA Services:

          1.1     Directory Assistance ("DA")

                  Consists of providing subscriber listing information (name,
                  address, and published telephone number) to CLEC's End Users
                  who dial NPA+555+1212 and whenever appropriate, performing
                  Non-Published service according to current NEVADA methods and
                  practices.

          1.2     Express Call Completion Service ("ECCS")

                  An optional service where available, in which NEVADA completes
                  a call to the requested number on behalf of CLEC's End User,
                  utilizing an automated voice system or with operator
                  assistance. NEVADA agrees to provide DA with ECCS upon request
                  where available.

2.       DEFINITIONS

The following terms are defined as set forth below:

2.1      Non-Published Number

         A telephone number that, at the request of the telephone subscriber, is
         neither published in a telephone directory nor provided by NEVADA's DA
         operator.

2.2      Published Number

         A telephone number that is published in a telephone directory and/or
         listed with directory assistance, and is available upon request by
         calling NEVADA's DA operator.

2.3      Call Branding

         The procedure of identifying a provider's name audibly and distinctly
         to the consumer at the beginning of each DA Services call, and when
         technically feasible, prior to completion of an ECCS request.
<PAGE>

3.       CALL BRANDING AND RATE REFERENCE REQUIREMENTS

3.1      Requirements

         Pursuant to Section 226 (b) of The Telecommunications Act of 1996, each
provider of Operator Services is required to:

               (a)  Provide its brand at the beginning of each telephone call
                    and before the consumer incurs any charge for the call; and

               (b)  Disclose immediately to the consumer, upon request, a quote
                    of its rates or charges for the call.

3.2      Call Brandin

         Currently NEVADA is unable to provide unique branding for CLEC. All DA
         calls will be unbranded. When NEVADA has the capability to uniquely
         brand CLEC DA calls, the Parties shall negotiate the specific price,
         terms and conditions for this service.

3.3      Directory Assistance ("DA") Rate/Reference Information

         Currently, NEVADA is unable to provide unique Rate/Reference
         Information. When NEVADA has the capability to provide unique
         Rate/Reference Information for CLECs, the Parties shall negotiate the
         specific price, terms and conditions for this service. In the interim,
         CLEC-specific rate quotes will only be provided when CLEC's DA Rates
         exactly mirror NEVADA's rates. To the extent CLEC provides NEVADA its
         customer service center number, NEVADA will provide such referral
         number to CLEC's End User customer for all other rate quotes.

4.       RESPONSIBILITIES OF THE PARTIES

4.1      NEVADA will be the sole provider of DA Services for CLECs local serving
         area(s) beginning on the service effective date.
4.2      CLEC will be responsible for providing the equipment and facilities
         necessary for signaling and routing calls with Automatic Number
         Identification ("ANI") to each NEVADA operator switch. Should CLEC seek
         to provide interexchange DA Service under this agreement, it is
         responsible for ordering the necessary facilities through NEVADA's
         intrastate or interstate Access Service tariffs. Nothing in this
         agreement in any way changes the manner in which an interexchange
         carrier obtains access service for the purpose of originating or
         terminating interexchange traffic.

4.3      Except where CLEC is purchasing NEVADA's Unbundled Local Switching
         ("ULS") Port as defined in Appendix UNE, CLEC must separately purchase
         Traffic Operating Position System ("TOPS") Access at a DS-1 level to
         connect its
<PAGE>

               switch to NEVADA's TOPS switch for purposes of delivering
                    Directory Assistance traffic.

4.3.1 NEVADA will provide nondiscriminatory access to Directory Assistance
Services via any of the following methods:

(a)      CLEC provides its own facilities and orders DA hunks and TOPS

         Access from NEVADA;

 (b)     CLEC is collocated in the Wire Center where NEVADA's TOPS switch is
         located and purchases Expanded Interconnection Service Channel
         Termination from NEVADA's tariff FCC 1, Section 18 in addition to the
         TOPS Access and DA hunks; or

(c)      CLEC purchases facilities, DA hunks and TOPS Access from

         NEVADA.

               4.3.2 Rates for TOPS Access are displayed in Appendix PRICING.
                    Rates, terms and conditions for NEVADA's facilities and DA
                    hunks are available per NEVADA's tariff P.S.C.N. C.

         4.3.3 TOPS trunking requirements are described in Appendix ITR.

4.4      Facilities necessary for the provision of DA Services shall be provided
         by the Parties hereto, using standard trunk traffic engineering
         procedures to insure that the objective grade of service is met. Each
         Party shall bear the costs for its own facilities and equipment.

4.5      CLEC will furnish in writing to NEVADA, forty-five (45) days in advance
         of the date when the DA Services are to be undertaken, all End User
         listing records and information required by NEVADA to provide the DA
         Services.

4.6      CLEC will provide NEVADA timely updates to the OS questionnaire when
         changes are necessary. CLEC will send the DA listing records to NEVADA
         via electronic white page gateway as described in Appendix WP.

4.7      NEVADA will accumulate and provide CLEC such data as necessary for CLEC
         to bill its End Users.

5.       METHODS AND PRACTICES

NEVADA will provide the DA Services to CLEC's End Users in accordance with
NEVADA's DA methods and practices that are in effect at the time the DA call is
made, unless otherwise agreed in writing by both Parties.
<PAGE>

6.       PRICING

Pricing for DA Services shall be based on the rates specified in Exhibit I,
which is attached-hereto and made part of this Appendix and Appendix PRICING.
The prices will apply from the service effective date through the term of this
agreement as specified in Section 9.1 below. Beyond the specified term of this
Appendix, NEVADA may change the prices for the provision of DA Services upon one
hundred-twenty (120) days notice to CLEC.

7.       MONTHLY BILLING

         NEVADA will render monthly billing statements to CLEC, and remittance
         in full will be due within thirty (30) days of receipt.

8.       LIABILITY

         The limitation of liability and indemnification provisions of the
         Agreement shall govern performance under this Appendix. CLEC also
         agrees to release, defend, indemnify, and hold harmless NEVADA from any
         claim, demand or suit that asserts any infringement or invasion of
         privacy or confidentiality of any person or persons caused or claimed
         to be caused, directly, or indirectly, by CLEC employees and equipment
         associated with provision of the DA Services. This provision includes
         but is not limited to suits arising from disclosure of the telephone
         number, address, or name associated with the telephone called or the
         telephone used to call the DA Services.

9.       TERMS OF APPENDIX

9.1      This Appendix will continue in force for the length of this Agreement,
         but no less than 12 months. Thereafter, either Party may terminate this
         agreement upon 90 day written notice to the other Party.

9.2      If CLEC terminates this agreement prior to the agreed-upon term of this
         Appendix, CLEC shall pay NEVADA, within thirty (30) days of the
         issuance of a final bill by NEVADA, all amounts due for actual services
         provided under this Appendix, plus estimated monthly charges for the
         remainder of the term. Estimated charges will be based on an average of
         the actual monthly amounts billed by NEVADA pursuant to this Appendix
         prior to its termination.
9.3      The rates applicable for determining the amount(s) under the terms
         outlined in this Section are those specified in Exhibit I and Appendix
         PRICING.
<PAGE>

EXHIBIT I

PRICING - FACILITIES BASED

EFFECTIVE:

(mm/dd/yr)

The following rates will apply for each service element:

               A.   DIRECTORY ASSISTANCE (DA) This usage rate applies to each DA
                    call. Rate per call $.40 B. EXPRESS CALL COMPLETION SERVICE
                    (ECCS) This usage rate applies to each DA call that has been
                    completed to the requested number. Rate per completed call
                    $.43 C. CALL SET-UP This usage rate applies to each
                    attempted or completed ECCS call in addition to the ECCS per
                    completed call rate. Rate per attempted or completed ECCS
                    call $.0057 D. LATA-WIDE CALL COMPLETION This usage rate
                    applies to each completed ECCS call in addition to the ECCS
                    per completed call rate and the Call Set-Up rate. Rate per
                    MOU for each completed ECCS call $.0120 E. TOPS ACCESS
                    Nonrecurring and monthly charges apply to each TOPS Access
                    arrangement ordered. See Appendix PRICING
<PAGE>

APPENDIX DAL
<PAGE>

TABLE OF CONTENTS

 1. PREAMBLE ..............................................................I

 2. SERVICE PROVIDED ......................................................1
    -----------------------------------------------------------------------
 3. USE OF SUBSCRIBER LISTING INFORMATION .................................2
        -------------------------------------------------------------------

 4.  ASSIGNMENT ...........................................................2
     ----------------------------------------------------------------------
 5.  BREACH OF CONTRACT ...................................................2
     ----------------------------------------------------------------------
 6.  LIABILITY ............................................................2
 7.  TERM OF CONTRACT .....................................................3
     ----------------------------------------------------------------------

 8.  COMPENSATION .........................................................3
     ----------------------------------------------------------------------
<PAGE>

APPENDIX DAL

MUTUAL LICENSE AND COMPENSATION AGREEMENT
- FOR LOCAL DIRECTORY ASSISTANCE LISTINGS

This Appendix contains the terms and conditions under which NEVADA and CLEC
agree to the mutual licensing of subscriber listing information, as follows:

1.       PREAMBLE

1.1      NEVADA and CLEC each own and maintain databases containing the
subscriber

         listing information (name, address and published telephone number) of
         their respective telephone subscribers.

1.2      NEVADA uses the subscriber listing information in its databases to
provide

         directory assistance ("DA") service to individuals who call NEVADA's DA
         to obtain such information.

1.3      Inasmuch as NEVADA provides DA service under contract for other Local

         Exchange Carriers ("LECs") and Competitive Local Exchange Carriers,
         ("CLECs'~, NEVADA's databases also contain subscriber listing
         information for other LEC and CLEC End Users.

          1.4     Now, therefore, in consideration of these premises, NEVADA and
                  CLEC agree to license to each other certain subscriber listing
                  information contained in each Party's database, under the
                  following terms and conditions:

2.       SERVICE PROVIDED

2.1      NEVADA and CLEC shall license to each other the subscriber listing
information

         of their End Users for the book codes listed in Exhibit A.

 2.2     NEVADA shall provide to CLEC published subscriber listing information
         contained in NEVADA's database pertaining to subscribers of all CLECs
         and other LECs that have granted NEVADA written authorization to
         release such subscriber listing information to CLEC.

 2.3     NEVADA currently utilizes manual processes in obtaining and inputting
         subscriber listings of independent Local Exchange Carriers ("LECs")
         into its DA database. CLEC requests for independent LEC subscriber
         listing information will be handled on an individual case basis and
         priced accordingly.
<PAGE>

               2.4  CLEC shall provide NEVADA a minimum of thirty (30) days
                    notice prior to the date when the initial load of listing
                    information is to occur.

3.       USE OF-SUBSCRIBER LISTING INFORMATION

         3.1      CLEC may use the subscriber listing information licensed and
                  provided pursuant to this Appendix for the sole purpose of
                  providing DA services.
         3.2      Upon termination of this Agreement, CLEC shall cease using,
                  for any purpose whatsoever, the subscriber listing information
                  provided hereunder by NEVADA, and shall promptly return such
                  subscriber listing information to NEVADA.

4.       ASSIGNMENT

         The subscriber listing information shall remain the property of NEVADA.
         CLEC shall not sublicense, assign, sell or transfer the subscriber
         listing information licensed hereunder, nor shall CLEC authorize any
         other company or any person to use the subscriber listing information
         for any other purpose. CLEC shall take appropriate measures to guard
         against any unauthorized use of the listings provided to it hereunder
         (at least the same measures it takes to protect its own listings from
         unauthorized use), whether by CLEC, its agents, employees or others.

5.       BREACH OF CONTRACT

In the event a Party is found to have materially breached this Appendix, such
breach shall be remedied immediately and the non-breaching Party shall have the
right to terminate, upon fifteen (15) days notice, until the other Party's
breach is remedied. Further, should CLEC breach this agreement, it shall
immediately cease use of NEVADA's subscriber listing information.

6.       LIABILITY

6.1      NEVADA makes no express or implied warranties whatsoever regarding the

     correctness of the subscriber listing information provided to CLEC. NEVADA
     will not be held liable for any errors or omissions in or arising out of
     CLEC's use of such information

 6.2     CLEC hereby releases NEVADA from any and all liability for damages due
         to errors or omissions in the subscriber listing information provided
         under this Appendix, or by reason of delay in providing the subscriber
         listing information, including, but not limited to, special, indirect,
         consequential, punitive or incidental damages.
<PAGE>

 6.3     CLEC shall indemnify, protect, save harmless and defend NEVADA (or
         NEVADA's officers, employees, agents, assigns and representatives) from
         and against any and all losses, liability, damages and expense arising
         out of any demand, claim, suit or judgment by a third party in any way
         related to NEVADA supplying subscriber listing information, or any
         actual error or omission. CLEC shall so indemnify regardless of whether
         the demand, claim or suit by the third party is brought jointly against
         CLEC and NEVADA, and/or against NEVADA alone. However, if such demand,
         claim or suit specifically alleges that an error or omission appears in
         DA listing information, NEVADA may, at its option, assume and undertake
         its own defense, or assist in the defense of CLEC, in which event CLEC
         shall reimburse NEVADA for reasonable attorneys fees and other expenses
         incurred by it in handling and defending such demand, claim and/or
         suit. CLEC shall not enter into any settlement of any such demand,
         claim or suit without the prior written consent of NEVADA.

7.       TERM OF CONTRACT

This Appendix shall continue in force until terminated by one hundred-twenty
(120) days prior written notice by either Party to the other.

8.       COMPENSATION

CLEC shall compensate NEVADA for the licensing of subscriber listing information
("Directory Listings") as displayed in Appendix PRICING. Each addition,
deletion, or change to the subscriber listing information constitutes an "update
listing", which shall be priced at the same Directory Listings price.
<PAGE>

EXHIBIT A

Database Exchanges Covered

STATE                        Directory                        WPDC
NPA(s)
<PAGE>

APPENDIX DCO
<PAGE>

APPENDIX DCO

CLEC Central Office CLEC Routing Point                             POI
NEVADA Central Office

I
<PAGE>

APPENDIX 911
<PAGE>

TABLE OF CONTENTS

 1. DEFINITIONS .............................................................I
    -------------------------------------------------------------------------

   1.1    Automatic Location Identification ( "ALI") ........................1
          -------------------------------------------------------------------
   1.2    Automatic Number Identification ("ANI") ...........................1
          -------------------------------------------------------------------
   1.3    Centralized Automatic Message Accounting ("CAMA") Trunk ...........1
          --------------------------------------------------
   1.4    Database Management System ("DBMS") ...............................1
          -------------------------------------------------------------------
   1.5    E911 Customer .....................................................1
          -------------------------------------------------------------------
   1.6    E911 Router .......................................................2
          -------------------------------------------------------------------

    1.7   E911 Universal Emergency Number Service ............................2
          --------------------------------
    1.8   Public Safety Answering Point ("PSAP') .............................2
          --------------------------------------------------------------------

 2. RESPONSIBILITIES (Network) ...............................................2
    --------------------------------------------------------------------------
 3. METHODS AND PRACTICES ....................................................3
    --------------------------------------------------------------------------
 4. CONTINGENCY ..............................................................3
    --------------------------------------------------------------------------
 5. RATES ....................................................................3
 6. RESPONSIBILITIES - DATA BASE MANAGEMENT ..................................A
    --------------------------------------------------------------------------
 6.1 E91 I Data Management Services Descriptio ...............................4
     -------------------------------------------------------------------------
 6.2 Responsibilities of the Parties .........................................4
     ------------------------
 7. RATES - DATA MANAGEMENT SERVICES .........................................5
    --------------------------------------------------------------------------
 7.1 Data Management Support for Automatic Location Information ( "ALI")
     Retrieval ...............................5
     --------------------------------------------------------------------------

    7.2   Manual Initial Input of CLEC Subscriber Records (Optional) .........5
          -------------------------------------------------------------------
<PAGE>

 7.3    Error Correction to CLEC Subscriber Records (Optional) .............5
        --------------------------------------------------------------------

 7.4    MSAG Requests ......................................................5
        --------------------------------------------------------------------
 7.5    Security ...........................................................6
        --------------------------------------------------------------------

 8. RESPONSIBILITIES - BILLING - DATA BASE MANAGEMENT .........................6
    ---------------------------------------------------------------------------

 9. LIABILITY .................................................................6

 7. MUTUALITY .................................................................7
<PAGE>

APPENDIX 911

This Appendix between NEVADA and CLEC sets forth the terms and conditions upon
which NEVADA will provide CLEC's network connection to E911 Universal Emergency
Number Service. This Appendix also addresses Data Management Services operated
by Pacific Bell ("PACIFIC"') on its own behalf, on behalf of NEVADA and that of
participating LECs and CLECs.

This Appendix addresses only Enhanced 911 services which are offered only in
NEVADA's Reno Extended Dialing Area Number 1, as described in P.S.C.N. Tariff
A5.1.2. In locations where E911 is not deployed by NEVADA and PACIFIC, CLEC
shall arrange for Basic 911 services directly with appropriate 911 Customers.

1.       DEFINITIONS

         As used herein and for the purpose of this Appendix, the following
terms shall have the meanings set forth below:

          1.1     Automatic Location Identification ("ALM

                  A feature that forwards the name and street address associated
                  with the calling party's telephone number (identified by ANI)
                  to the Public Safety Answering Point ("PSAP") for display.
                  Current ALI deployment status may be obtained from CLEC's
                  NEVADA Account Manager.

1.2      Automatic Number Identification ("ANI")

         A feature that automatically forwards the telephone number of the
         calling party to the E911 Router from which it is switched-to the PSAP
         and is displayed at an attendant position console.

1.3      Centralized Automatic Message Accounting: ("CAMA") Trunk

         A bunk capable of transmitting Automatic Number Identification ("ANI")
         associated with E91 I customer calls from a switch to the E91 I
         Network.

1.4      Database Management System ("DBMS")

         A system of manual procedures and computer programs used to create,
         store, and update the data required for the ALI service features of E91
         I service.

1.5      E911 Customer

         A municipality or other state or local government unit, or an
         authorized agent of one or more municipalities or other state or local
         government units to whom authority has been lawfully. delegated to
         respond to public emergency telephone
<PAGE>

call s, at the minimum, for emergency police and fire services through the use
of one telephone number, 911.

1.6      E91 I Router

         The central office switch feature that provides the capability to route
         a 911 call to the designated primary PSAP based upon the incoming trunk
         group number. NEVADA's E911 Router does not have the capability at this
         time to selectively route by the End User Calling Number.

          1.7     E911 Universal Emergency Number Service

                  (also referred to as Expanded 911 Service or Enhanced 911
                  Service) - A telephone exchange communications service whereby
                  a PSAP designated by the E911 customer may receive and answer
                  telephone calls placed by dialing the number 911. E91 1
                  includes the service provided by the lines and equipment
                  associated with the service arrangement for the answering,
                  transferring, and dispatching of public emergency telephone
                  calls dialed to 911.

          1.8     Public Safety Answering Point ("PSAP")

                  An answering location for 911 calls originating in a given
                  area. The E911 Customer may designate a PSAP as primary or
                  secondary, which refers to the order in which calls are
                  directed for answering. Primary PSAPs respond -first;
                  secondary PSAPs receive calls on a transfer basis. PSAPs are
                  public safety agencies such as police, fire, emergency
                  medical, etc., or a common bureau serving a group of such
                  entities.

2.       RESPONSIBILITIES (Network)

               2.1  NEVADA shall provide and maintain such equipment as the E911
                    Router as is

               necessary to perform the E911 services set forth herein. This
                    shall include some or all of the following:

(a)      transporting the E911 calls from the meet-point with CLEC's facilities

         connecting CLEC's exchanges;

(b)      switching the E911 calls through the E911 Router to the designated

         primary PSAP, according to the incoming trunk group number;

(c)      transmission of ANI and ALI information associated with CLEC's End

         Users accessing E911 service to the PSAP for display at an attendant
         position console.

 2.2     NEVADA shall provide and maintain sufficient dedicated E911 circuits
         from NEVADA's E911 Router to the PSAP of the E911 Customer, according
         to provisions of the E91 1 tariff and specifications of the E91 1
         Customer.
<PAGE>

               2.3  NEVADA shall provide CLEC with a description of the
                    geographic area and PSAPs served by the E911 Router
                    according to industry standards for E911 information
                    sharing.

 2.4     CLEC shall connect its switches to the E911 Router by one-way outgoing
         CAMA hunks dedicated for originating 911 emergency service calls. CLEC
         must forward its End User's full 7-digit Calling Number from the CLEC
         End Office to NEVADA's E911 Router.

         2.5      CLEC acknowledges that its End Users in a single local calling
                  scope may be served by different PSAPs, and CLEC shall be
                  responsible for providing facilities to route calls from its
                  End Users to the proper E91 1 Router.

3.       METHODS AND PRACTICES

         With respect to all matters covered by this Appendix, each Party will
         adopt and comply with standard industry operating methods and practices
         and will observe the terms and conditions of NEVADA's tariff, rules and
         regulation of the FCC, the Public Utilities Commission of Nevada, and
         any Nevada Administrative Codes or Nevada Revised Statutes that may
         apply to the provision of E91 I Service.

4.       CONTINGENCY

4.1      The Parties agree that the E911 service is provided for the use of the
         E911 Customer, as regulated by NEVADA's P.S.C.N. Tariff A9.2, and agree
         to work cooperatively with the E911 customer to facilitate a
         satisfactory emergency service arrangement.

         4.2      The terms and conditions of this Appendix are subject to
                  renegotiation in the event that the E91 I customer orders
                  changes to the E91 1 service that necessitate revision of this
                  Appendix.

5.       RATES

CLEC will be charged recurring and nonrecurring rates to provide transport and
termination of CLEC hunks that terminate at NEVADA's E911 Router as outlined in
Appendix PRICING. The rate elements that will be charged are:

(a)      Installation charge (per trunk) -nonrecurring;

(b)      Per Trunk Monthly - recurring; and

(c)      Mileage (per mile) -.monthly recurring
<PAGE>

6.       RESPONSIBILITIES - DATA BASE MANAGEMENT

Whereas, PACIFIC operates E911 Data Base Management Services, as described below
on its own behalf, on behalf of NEVADA and that of participating LECs and CLECs.

The Parties agree to the following:

6.1      E911 Data Management Services Description

         E911 Data Management Services allows CLECs to provide the Public Safety
         Answering Points ("'PSAPs") with detailed information about the
         location of a 911 caller when the call to 911 originated from CLEC's
         End User's telephone number. CLEC can send the End User's data,
         including name, address and telephone number for inclusion in PACIFIC's
         E91 Database Management System ("'DBMS"). The Automatic Location
         Identification ("ALI") database is created and updated from telephone
         company records by the E91 1 DBMS. This feature is provided by a data
         storage and retrieval system that translates -the telephone number of
         the calling party into the address of the calling party. The ALI
         feature permits display of the address of the calling party at the
         Public Safety Answering Point ("PSAP').

6.2      Responsibilities of the Parties

 6.2.1    CLEC agrees that at a reasonable time prior to establishment of F-911
          Service, CLEC shall download and maintain thereafter all information
          required to establish records necessary for furnishing connection to
          E911 Service and shall promptly notify PACIFIC via PACIFIC's E911 DBMS
          Gateway of any changes to be made to such records. CLEC shall adopt
          and comply with operating methods applicable to downloading and
          maintaining CLEC's End User records in PACIFIC's DBMS, as set forth in
          materials distributed to CLEC by PACIFIC's DBMS Coordinator at the
          time of E91 I establishment.

 6.2.2    PACIFIC shall provide CLEC with a file containing the Master Street
          Address Guide ("MSAG") for the exchanges or communities requested by
          CLEC in accordance with the rate referenced in Section 7 of this
          Appendix.

 6.2.3    PACIFIC will store the names, addresses, and associated telephone
          numbers from CLEC exchanges in the electronic data processing database
          for the E911 DBMS. CLEC is responsible for downloading and updating
          this information to the E911 DBMS Gateway. In addition, PACIFIC shall
          provide CLEC with a statistical report in a timely fashion of CLEC's
          base files downloaded by CLEC to PACIFIC's DBMS, so that CLEC may
          ensure the accuracy of the End User records.
<PAGE>

7.       RATES - DATA MANAGEMENT SERVICES

7.1      Data Management Support for Automatic Location Information ("ALI")
Retrieval

7.1.1    This service provides the data processing systems support necessary to
         create ALI records for ALI Retrieval, and to provide ALI Retrieval
         service. This includes CLEC subscriber record updates.

7.1.2    The rate for this service includes the costs associated with the use of
         the E911 DBMS, the ALI Retrieval System, and the personnel/labor costs
         associated with supporting these operations.

                                             Nonrecurrin                Monthl

 Data Management Support/Storage                                         $99.00
 (Per 1000 main stations)

7.2      Manual Initial Input of CLEC Subscriber Records (Optional)
                ---------------------------------------------------

         This service provides for the manual input of CLEC subscriber records,
         or manual input of periodic updates to CLEC subscriber records. CLEC is
         to provide the subscriber records in the format defined by PACIFIC's
         DBMS Coordinator.

                                                Nonrecurring             Monthl
Manual entry of CLEC subscriber                      $342.00
Telephone Numbers ("IN') Records
(each 0- 100 increments
each additional 0-100 increments)

7.3      Error Correction to CLEC Subscriber Records (Optional)
               ------------------------------------------------

         This service provides for error investigation and correction for CLEC
subscriber records.

                                                 Nonrecurring             Monthl
         Telephone Number Error Correction            $3.50
         (Per chargeable record)

7.4      MSAG Requests

7.4.1    The Master Street Address Guide ("MSAG") is a computerized index of
         virtually all community names, street names, and street ranges that are
         served by the E911 system. It is a database built by the local
         government and the serving telephone company and managed by PACIFIC's
         E911 DBMS.
<PAGE>

7.4.2 MSAGs are available by County on magnetic tape or paper.

                                                         Nonrecurring    Monthl
                           Copy(ies) of MSAG per County       $60.00

         7.5      Securi

                  The Access Control Encryption System ("ACES") provides
                  security for the dialup network for access to the E911 DBMS
                                             Nonrecurring               Monthl

                  ACES Card Management                                  $6.00
                  (each card)
                  ACES Card Replacement          $140.00
                  (each card)

8.       RESPONSIBILITIES - BILLING - DATA BASE MANAGEMENT

PACIFIC will generate a monthly bill to CLEC for Data Base Management Services
rendered.

9.       LIABILITY

 9.1     NEVADA's and PACIFIC's liability and potential damages, if any, for its
         gross negligence, recklessness or intentional misconduct, is not
         limited by any provision of this Appendix. NEVADA and PACIFIC shall not
         be liable to CLEC, its End Users or its E911 calling parties or any
         other parties or persons for any loss or damages arising out of errors,
         interruptions, defects, failures or malfunctions of the E911 Service,
         including any and all equipment and data processing systems associated
         therewith. Damages arising out of such interruptions, defects, failures
         or malfunctions of the system after NEVADA and PACIFIC have been
         notified and have had reasonable time to repair, shall in no event
         exceed an amount equivalent to any charges made for the service
         affected for the period following notice from CLEC until service is
         restored.

 9.2     CLEC's liability and potential damages, if any, for its gross
         negligence, recklessness or intentional misconduct is not limited by
         any provision of this Appendix. In the event, CLEC provides E911
         Service to NEVADA, CLEC shall not be liable to NEVADA, its End Users or
         its E911 calling parties or any other parties or persons for any loss
         or damages arising out of errors, interruptions, defects, failures or
         malfunctions of the E911 Service, including any and all equipment and
         data processing systems associated therewith. Damages arising out of
         such interruptions, defects, failures or malfunctions of the system
         after CLEC has been notified and has had reasonable time to repair,
         shall in no event exceed an amount equivalent to any charges made for
         the service affected for the period following notice from NEVADA until
         service is restored.
<PAGE>

9.3      CLEC agrees to release, indemnify, defend and hold harmless NEVADA and
         PACIFIC from any and all loss, claims, demands, suits and other action,
         or any liability whatsoever, except for claims arising from NEVADA's or
         PACIFIC's own negligence or other wrongful act, arising out of NEVADA's
         or PACIFIC's provision of service hereunder or out of CLECs End Users'
         use of the E911 Service, whether suffered, made, instituted or asserted
         by CLEC, its End Users, or by any other parties or persons, for any
         personal injury or death of any person or persons, or for any loss,
         damage or destruction of any property, whether owned by CLEC, its End
         Users or others.

         9.4      CLEC also agrees to release, indemnify, defend and hold
                  harmless NEVADA and PACIFIC from any and all loss, claims,
                  demands, suits or other actions involving an allegation of the
                  infringement or invasion of the right of privacy or
                  confidentiality of any person or persons, caused or claimed to
                  have caused, directly or indirectly, by the installation,
                  operation, failure to operate, maintenance, removal, presence,
                  condition, occasion or use of the E911 Service features and
                  the equipment associated therewith, including by not limited
                  to the identification of the telephone number, address or name
                  associated with the telephone used by the party or parties
                  accessing E911 Service hereunder, except which arise out of
                  the negligence or other wrongful act of NEVADA or PACIFIC.

7.       MUTUALITY

CLEC agrees that to the extent it offers the type of services covered by this
Appendix to any company, that should NEVADA request such services, CLEC will
provide such services to NEVADA under terms and conditions comparable to the
terms and conditions contained in this Appendix.
<PAGE>

APPENDIX FGA
<PAGE>

                                         TABLE OF CONTENTS

 1. DEFINITIONS ....................................................1
    ----------------------------------------------------------------
 2. UNDERTAKING OF THE PARTIES .....................................2
    ----------------------------------------------------------------
 3. ADMINISTRATION OF REVENUE DISTRIBUTION .........................2
    ----------------------------------------------------------------
 4. MINUTES OF USE ("MOU") DEVELOPMENT .............................3
    ----------------------------------------------------------------
 5. TERMINATING MOU DEVELOPMENT ....................................3
    ----------------------------------------------------------------
 6. CALCULATION OF REVENUE DISTRIBUTION ............................3
    ----------------------------------------------------------------
 7. REVENUE DISTRIBUTION AMOUNTS, MONTHLY STATEMENTS AND
    ----------------------------------------------------
 PAYMENTS ..........................................................3
--------------------------------------------------------------------

 8.  MISCELLANEOUS PROVISIONS ......................................4
     ---------------------------------------------------------------
<PAGE>

APPENDIX FGA

This Appendix sets forth the terms and conditions under which the Parties will
distribute revenue from the joint provision of Feature Group A ("FGA") Switched
Access Services.

These services will be provided within a Local Access and Transport Area
("LATA"). The Primary Company will compensate the Secondary Company only to the
extent that it has not already been compensated under its interstate or
intrastate access service tariffs or other settlement/contract arrangements.
This Appendix is subject to applicable tariffs.

1.       DEFINITIONS

1.1      Access Minutes or Minutes of Use ("MOUs")

         Those minutes of use as described in Part 69 of the Federal
         Communications Commission's Rules, and are limited to those FGA MOUs
         which terminate in the Secondary Office(s) covered by this Appendix.

1.2      Currently Effective Tariff Rate

         The approved tariff rate effective on the first day of the month for
which compensation is being calculated.

1.3      Feature Group A ("FGA") Switched Access Service

         Includes all facilities and services rendered in furnishing FGA access
         service, LATA wide terminating areas, in accordance with the schedule
         or charges, regulations, terms and conditions stated in the interstate
         or intrastate access service tariffs of the Parties.

1.4      Local Access and Transport Area ("LATA")

         LATA is as defined in the Act.

1.5      Primary Company

         The Party with the Primary Office(s).

1.6      Primary Office

         An office which:

 (a)      directly or jointly connects to an interexchange carrier and/or End
User; and;

 (b) provides joint FGA switched access service to that interexchange carrier
and/or End User with other end offices.
<PAGE>

1.7      Revenues

         Under this Appendix, Revenues are those FGA Switched Access amounts due
         the Primary and Secondary Companies under their applicable tariffs,
         less uncollectible revenues. Revenues for any other services are not
         included. Uncollectible revenues are those revenues the Primary Company
         is unable to collect, using its regular established collection
         procedures. The Primary Company may offset uncollectibles against
         current revenue distribution.

1.8      Secondary Compan

         The Party with the secondary office(s).

1.9      Secondary Offic

         Any office involved in providing joint FGA switched access to an
         interexchange carrier and/or End User through the switching facilities
         of the Primary office.

1.10     Subscriber Access Line

         A communication facility provided under a general and/or exchange
         service tariff extended from a customer premise to a central office
         switch which may be used to make and receive exchange service calls,
         intrastate toll service or interstate toll service calls.

2.       UNDERTAKING OF THE PARTIES

2.1      The Secondary Company will notify the Primary Company of all tariff
         rate revisions affecting this Appendix, which the FCC or other
         appropriate regulatory authority allows to take effect, at least thirty
         (30) days in advance of their effective date. Revenue distribution will
         be based on the revised rates forty-five (45) days after the effective
         date of the tariff revisions. However, if the secondary Company fails
         to notify the Primary Company of a new rate within thirty (30) days of
         its effective date, the Primary company may delay implementation of the
         new rate until the next month's revenue distribution cycle, and will
         not be required to adjust the previous bills retroactively.

         2.2      Each party will furnish to the other such information as may
                  reasonably be required for the administration, computation and
                  distribution of revenue, or otherwise to execute the
                  provisions of this Appendix.

3.       ADMINISTRATION OF REVENUE DISTRIBUTION

The Primary Company will be responsible for the administration, computation and
distribution of the FGA access service revenues collected on behalf of the
Secondary Company.
<PAGE>

4.       MINUTES OF USE ("MOU") DEVELOPMENT

         The Parties will calculate the amount of FGA revenues due each Party,
         by determining the amount of FGA MOUs attributable to each Party as
         described below. The Primary Company will then multiply the MOUs by the
         rates in the Secondary Company's applicable tariff to determine the
         amounts tentatively due to the Secondary Company.

5.       TERMINATING MOU DEVELOPMENT

         5.1      Actual monthly premium (charged at equal access end offices)
                  and non-premium (charged at non-equal access end offices)
                  terminating FGA access MOUs for each office in the LATA will
                  be measured by the Primary Company.
         5.2      Where the Primary Company cannot measure or identify the
                  terminating FGA MOUs by end office, terminating MOUs will be
                  total unmeasured MOUs allocated to the LATA. In this event,
                  those MOUs will be distributed based upon the ratio of each
                  Party's subscriber access lines, as identified in Exhibit A,
                  which is attached hereto and made a part hereof, to the total
                  subscriber access lines in the FGA access area as determined
                  by the Primary Company.

6.       CALCULATION OF REVENUE DISTRIBUTION

6.1      The amount of premium or non-premium revenues due each party each month

         will be equal to the sum of Terminating premium or non-premium revenue
         for each end office. These revenues will be calculated by the Primary
         Company by multiplying each of the Secondary Company's effective
         interstate and/or intrastate FGA switched access tariff rate elements
         (except the Local Transport element described below) by the appropriate
         MOU calculation under Section 5 above.

 6.2     Local Transport (or its equivalent under the Secondary Company's tariff
         and called Transport in this agreement) compensation will be determined
         for each company by multiplying each of the Secondary Company's
         Transport rates by the appropriate MOUs (as calculated under Section 5
         above) by the Secondary Company's percentage ownership of facilities
         agreed on by the Parties and set out in Exhibit A, which is attached
         hereto and made a part hereof.

7.       REVENUE DISTRIBUTION AMOUNTS, MONTHLY STATEMENTS AND

         PAYMENTS

7.1      The Primary Company each month will calculate and prepare a monthly
         compensation statement reflecting the revenue distribution amounts for
         FGA, access service due the Secondary Company.
<PAGE>

7.2      The monthly compensation statement will show, where applicable, for
         each Secondary Office, separately:

(a)      the total number of non-premium or premium terminating MOUs and

         revenue;

(b)      the total compensation due the Secondary Company, by rate element;
(c)      the number of terminating MOUs recorded by the Primary Company;
(d)      the percent ownership factor, if any, used to prorate Local Transport

         revenues; and

(e)      adjustments for uncollectibles.

         7.3      Within sixty (60) calendar days after the end of each billing
                  period, the Primary Company will remit the compensation amount
                  due the Secondary Company. Where more than one compensation
                  amount is due, they may be combined into a single payment.

8.       MISCELLANEOUS PROVISIONS

This Appendix will remain in effect until terminated by thirty (30) calendar
day's notice by either Party to the other.
<PAGE>

                                   EXHIBIT A

                       Location for LATA Wide Termination

-                 of Feature Group A Access Service

                            SECONDARY OFFICE COMPANY

                                                     % Ownership of
CLLI CODE      NPA-NXX                Access Line    Transport Facilities  LATA
<PAGE>

APPENDIX ITR
<PAGE>

                                TABLE OF CONTENTS

1. LOCAL AND INTRALATA TOLL, TRAFFIC .....................................1
   ----------------------------------
  1.1 Tandem Trunking - Single Tandem LATA~ ..............................1
      --------------------------------
  1.2 Direct End Office Trouncing ........................................I
      ------------------
  2. MEET POINT TRUNKS ...................................................1
     -----------
  3. 800 (SSS) TRAFFIC ...................................................1
     ----------
  4. E911 ................................................................2
     -----
  s. HIGH VOLLIME CALL-IN NETWORK ........................................!
     ---------------------
  6. OPERATOR SERVICES ...................................................3
  6.1 No Operator Contract - Inward Operator Assistance ..................3
      ---------------------------------------
      6.1.1 Option 1 - Interexchange Carrier ("IXC") .....................3
            -----------------------------------------
  6.2 Operator Contract with NEVADA ......................................3
      ------------------------------
        6.2.1   Directory Assistance ("DA") ..............................3
                ----------------------------
        6.2.2   Express Call Completion Service ("ECCS") .................3
                -----------------------------------------
        6.2.3   Busy Line Verification ...................................3
                ----------
        6.2.4   Operator Assistance (0% 0-) ..............................4
                ----------------------------
7.    TRUNK DESIGN BLOCKING CRITERIA .....................................4
      ----------------------
8.    FORECASTING/SERVICING RESPONSIBILITIES .............................4
      ----------------------
9.    TRUNK SERVICING ....................................................5
      ------
10. SERVICING OBJECTIVE/DATA EXCHANGE ....................................6
    -------------------------
<PAGE>

 11.    TRUNK FACILITY UNDER UTILIZATION ................................6
        ---------------------------------
 12.    NETWORK MANAGEMENT ..............................................6
        -------------------
    12.1 Restrictive Controls ...........................................6
         ---------------------
    12.2 Expansive Controls .............................................6
         ----------
    12.3 Mass Calling ...................................................6
         -----
<PAGE>

                                  APPENDIX ITR
                                                      (TRUNKING REQUIREMENTS)

This Appendix provides descriptions of the trunking requirements for CLEC and
NEVADA interconnection. The attached scenarios depict the recommended trunk
groups for local, intraLATA toll, interLATA "meet point" and mass calling, E911
and Operator Services Interconnection. All references to incoming and outgoing
trunk groups are from the perspective of CLEC.

1.       LOCAL AND INTRALATA TOLL TRAFFIC

1.1 Tandem Trunking - Single Tandem LATAs
                  Where NEVADA has a single Access Tandem in a LATA, IntraLATA
                  Toll and Local traffic shall be combined on a single Local
                  Interconnection mink group at the tandem for calls destined to
                  or from all End Offices that "home" on NEVADA's tandem. This
                  trunk group shall be two-way and will utilize Signaling System
                  7 ("SS7") signaling.

1.2Direct End Office Trunking
                    The Parties shall establish direct End Office primary high
                    usage Local Interconnection trunk groups for the exchange of
                    IntraLATA Toll and Local traffic where actual or projected
                    traffic demand justifies such a trunk group. These trunk
                    groups shall be two-way and will utilize SS7 signaling.

2.         MEET POINT TRUNKS

         InterLATA traffic shall be transported between CLEC's Central Office
         and NEVADA's Access Tandem over a "Meet Point" Trunk Group separate
         from Local and IntraLATA Toll traffic. The Meet Point Trunk Group will
         be established for the transmission and muting of Switched Access
         traffic between CLEC's End Users and Interexchange Carriers via a
         NEVADA Access Tandem. These trunk groups shall be set up as two-way and
         will utilize SS7 signaling, except multifrequency ("MF') signaling will
         be used on a separate Meet Point Trunk Group to complete originating
         calls to Switched Access customers that use MF FGD signaling protocol.
         (See ITR Scenario #1).

3.         800 (888) TRAFFIC

          3.1       All originating Toll Free Service calls for which CLEC
                    requests that NEVADA perform the Service Switching Point
                    ("SSP") function (e.g., perform the database query) shall be
                    delivered using GR-394 format over the Meet Point Trunk
                    Group. Carrier Code "0110' and Circuit Code of"08" shall be
                    used for all such traffic.
<PAGE>

                    3.2 All post-query Toll Free Service calls for which CLEC
                    performs the SSP function, if delivered to NEVADA, shall be
                    delivered using GR-394 format over the Meet Point Trunk
                    Group for calls destined to IXCs, or shall be delivered by
                    CLEC using GR-317 format over the Local Interconnection
                    Trunk Group for calls dustined to End Offices that directly
                    subtend the tandem.

4.          E911

           A segregated trunk group will be required to interconnect with
           NEVADA's E911 tandem within the exchange in which CLEC offers the
           Exchange Service. This trunk group shall be set up as a one-way
           outgoing only and shall utilize MI: CAMA signaling.

5.         HIGH VOLUME CALL-IN NETWORK

 5.1     A separate High Volume Call In-Local Interconnection ("HVCI-LI") trunk
         group may be provisioned between CLEC's end office(s) and NEVADA's
         LERG- designated High Volume Call-In tandem(s) for each of NEVADA's
         Mass Calling NPA-NXX(s) in a LATA or, alternately, between CLEC's
         tandem and NEVADA's LERG-designated HVCI tandem(s). This HVCI-LI trunk
         group shall be designed and built as one-way (CLEC Central
         Office-to-NEVADA tandem) only and shall use MF signaling. As the
         I-IVCI-IJ trunk group is designed to block all excessive attempts
         toward HVCI/Mass Calling NXXs, it is. necessarily exempt fi-om the one
         percent blocking standard described elsewhere for other final Local
         Interconnection Trunk Groups. It is recommended that this group be
         sized as follows:

              Number of Access Lines Served           Number of ltVCI-LI Trunks.
                                 0 - 10,000                                    2
                            10,000 - 20,000                                    3
                            20,000 - 30,000                                    4
                            30,000 - 40,000                                    5
                            40,000 - 50,000                                    6
                            50,000 - 60,000                                    7
                            60,000 - 75,000                                    8
                                   75,000 +                            9 Maximum

5.2      Ail applicable compensation arrangements described elsewhere-for Local
         Interconnection Trunks/Trunk Groups and terminating access shall apply
         to HVCI-LI Trunks/Trunk Groups and traffic.

               5.3  Should CLEC assign a Mass Calling code and establish an
                    HVCI-LI interface for traffic destined to its HVCI central
                    office(s), CLEC must "home" its HVCI- serving office on a
                    NEVADA HVCI tandem, and a similar HVCI-LI thinking
<PAGE>

                  arrangement (1-way outgoing with MI: signaling) will be
                  provided from NEVADA's tandem to CLEC. In order to allow the
                  parties time to order and install such H-VCI-LI thinks, CLEC
                  must provide NEVADA notification of its intention to deploy
                  Mass Calling code(s) at least ninety (90) days before such
                  crudesx are opened in the LERG.

          5.4     MF and SS7 trunk groups shall not be provided within a DS-1
                  facility; a separate DS-1 per signaling type must be used.
                  Where NEVADA and CLEC both provide ffVCI-LI miniring, both
                  parties' HVCI-LI trunks may ride the same DS-1.

6.       OPERATOR SERVICES

6.1    No Operator Contract - Inward Operator Assistance
         CLEC may choose from two interconnection options for Inward Operator
Assistance as follows:

         6.1.1 Option 1 - Interexchange Carrier ("IXC")
                  CLEC may utilize the Interexchange Carrier Network. CLEC
                  operator will route its calls requiring inward operator
                  assistance through its designareal IXC POP to NEVADA's TOPS
                  tandem. NEVADA shall route its calls requiring inward operator
                  assistance to CLEC's Designated Operator Switch through the
                  designated IXC POP.

         6.1.2    BLV and BLVI inquiries between operator bureaus shall be
                  routed using network-routable access codes published in the
                  LERG over the Local Interconnection Thinks.

 6.2     Operator Contract with NEVADA

          6.2.1   Directory Assistance ("DA")
                  CLEC may contract for DA services only. A segregated tnmk
                  group for these services would be required to NEVADA's TOPS
                  tandem. This trunk group is set up as one-way outgoing only
                  and utilizes MF and Operator Services signaling.

         6.2.2 Express Call Completion Service ("ECCS")
                  CLEC contracting for DA services may also contract for ECCS.
                  This requires a segregated one-way trunk group to NEVADA's
                  TOPS tandem. This trunk group is set up as one-way outgoing
                  only and utilizes MI: signaling.

         6.2.3 Busy Line Verification
                  When NEVADA's operator is under contract to verify CLEC's End
                  User loop, NEVADA will utilize a segregated one-way trunk
                  group with MF signaling from NEVADA's Access Tandem to CLEC
                  switch.
<PAGE>

                  6.2.4 Operator Assistance (0+, 0-)
                           This service requires a one-way trunk group from
                           CLEC's switch to NEVADA's TOPS tandem. This trunk
                           group may carry ECCS calls in addition to OA calls.
                           MF and Operator Services signaling will be required -
                           on the trunk group.

7.       TRUNK DESIGN BLOCKING CRITERIA

A        blocking standard of one half of one percent (.005) during the average
         busy hour, for alternate final trunk groups between the Parties
         networks carrying Meet Point traffic shall be maintained. All other
         direct final trunk groups shall be engineered with a blocking standard
         of one percent (.01).

8.       FORECASTING/SERVICING RESPONSIBILITIES

8.1      Both Parties agree to provide an initial forecast for establishing the
         initial interconnection facilities and equipment. Subsequent forecasts
         will be provided on a semi-annual basis concurrent with the publication
         of NEVADA's General Trunk Forecast including yearly forecasted mink
         quantities for all trunk groups described in this Appendix for a
         minimun of three years, and the use of Common Language Location
         Identifier ("CLLI-MSG") which is described in Bellcore documents
         BR795-100-100 and BR795-400-100.

 8.2     The Parties shall work towards the development of joint forecasting
         responsibilities for traffic utilization over trunk groups. Orders for
         trunks that exceed forecasted quantities for forecasted locations will
         be accommodated as facilities and/or equipment becomes available.
         Parties shall make all reasonable efforts and cooperate in good faith
         to develop alternative solutions to accommodate orders when facilities
         are not available. Intercompany forecast information must be provided
         by the Parties to each other twice a year. The semi-annual forecasts
         shall include:

(a)      yearly forecasted trunk quantities (which include measurements that
         reflect actual tandem Local Interconnection and Meet Point minks, End
         Office Local Interconnection minks, and tandem-subtending Local
         Interconnection end office equivalent trunk requirements) for a minimum
         of three (current and plus-1 and plus-2) years; and

(b)      a description of major network projects anticipated for the following
         six months. Major network projects include romking or network
         rearrangements, shifts in anticipated traffic patterns, orders for
         greater than four (4) DS-ls, or other activities that are reflected by
         a significant increase or decrease in trunking demand for the following
         forecasting period.
<PAGE>

         8.3 If differences in semi-annual forecasts of the Parties vary by more
than 48 additional DS-0 two-way trunks for each Local Interconnection Trunk
Group, the
                    Parties shall meet to reconcile the forecast to within 48
DS-0 trunks.

            8.4     Each Party shall provide a specified point of contact for
                    planning, forecasting and trunk servicing purposes.

9.       TRUNK SERVICING

               9.1  Orders between the Parties to establish, add, change or
                    disconnect thinks shall be processed by using an Access
                    Service Request ("ASR").

   9.2     As discussed in this Appendix, both Parties will jointly manage the
           capacity of Local Interconnection Trunk Groups. Both Parties will
           send a Trunk Group Service Request ("TGSR") to the other Party to
           trigger changes to the Local Interconnection Trunk Groups based on
           capacity assessment. Either Party upon receipt of the TGSR will issue
           an ASR to the other Party:

               (a)  within ten (10) business days after receipt of the TGSR,
                    upon review of and in response to the TGSR received; or

           (b)      at any time as a result of either Party's own capacity
                    management assessment, in order to begin the provisioning
                    process. The intervals used for the provisioning process
                    will be the same as those used for NEVADA's Switched Access
                    service.

 9.3       Orders that comprise a major project shall be submitted at the same
           time, and their implementation shall be jointly planned and
           coordinated. Major projects are those that require the coordination
           and execution of multiple orders or related activities between and
           among NEVADA and CLEC work groups, including but not limited to the
           initial establishment of Local Interconnection or Meet Point trunk
           groups and service in an area, NXX code moves, re-homes, facility
           grooming, or network rearrangements.

           9.3.1  Orders that comprise a major project, i.e., five (5) DS-I's or
                  more, shall be submitted in a timely fashion, and their
                  implementation shall be jointly planned and coordinated.

     9.4 CLEC will be responsible for engineering its network on its side of the
     POI. NEVADA will be responsible for engineering its network on its side of
     the POI.

 9.5     Due dates for the installation of Local Interconnection and Meet Point
         Trunks covered by this Appendix shall be based on NEVADA's intrastate
         Switched Access intervals.
<PAGE>

          9.6                            Trunk serving responsibilities for TOPS
                                         minks used for stand-alone operator
                                         service or Directory Assistance are the
                                         sole responsibility of CLEC.

 10.     SERVICING OBJECTIVE/DATA EXCHANGE
         ---------------------------------

         Each Party agrees to service trunk groups to the foregoing blocking
         criteria in a timely manner when trunk groups exceed measured blocking
         thresholds on an average time consistent busy hour for a twenty
         (20)-business day study period. Upon request, each Party will make
         available to the other trunk group measurement reports for trunk groups
         terminating in the requesting Party's network. These reports will
         contain offered load, measured in CCS (100 call seconds), that has been
         adjusted to consider the effects of overflow, retrials, and day-to-day
         variation. They will also contain overflow CCS associated with the
         offered load, day-to-day variation, peakedness factor, the date of the
         last week in the four-week study period and the number of valid days of
         measurement. These reports shall be made available at a minimum on a
         semi-annual basis upon request.

11. TRUNK FACILITY UNDER UTILIZATION
    --------------------------------

         If a trunk group is under 75 percent (75%) of CCS capacity on a monthly
         average basis, for each month of any six month period, either Party may
         request the issuance of an order to resize the trunk group, which shall
         be left with not less than 25 percent excess capacity. In all cases,
         grade of service objectives identified in Section 7 above shall be
         maintained.

12. NETWORK MANAGEMENT
    ------------------

  12.1   Restrictive Controls
         Either Party may use protective network traffic management controls
         such as 7- digit and 10-digit code gaps on traffic toward each other's
         network, when required, to protect the public switched network from
         congestion due to facility failures, switch congestion, or failure or
         focused overload. CLEC and NEVADA will immediately notify each other of
         any protective control action planned or executed.

12.2     Expansive Controls
         Where the capability exists, originating or terminating traffic
         reroutes may be implemented by either Party to temporarily relieve
         network congestion due to facility failures or abnormal calling
         patterns. Reroutes will not be used to circumvent normal trunk
         servicing. Expansive controls will only be used when mutually agreed to
         by the Parties.

  12.3   Mass Calling
         CLEC and NEVADA shall cooperate and share pre-planning information
         regarding cross-network call-ins expected to generate large or focused
         temporary increases in call volumes.
<PAGE>

                                  SCENARIO 1

                                    [CHART]
<PAGE>

APPENDIX - NCS
<PAGE>

TABLE OF CONTENTS

~'      I~ESCRII~TION O1~ Sl~aRVIC~ .............................1
        ------------------
2,      T~R~S A.NI~ CONDITIONS ..................................
        ------------
3,      I~RICI~G ................................................2
        ---------
4,      GI~i~aRAL R~SPO~SIBILITI~S OF T1 "1'~ PA.RTIE~ ..........2
        --------------------------------------                   -
<PAGE>

1.       DESCRIPTION OF SERVICE

Network Component Service ("NCS") is a discretionary offering which NEVADA is
willing to provide under the terms and conditions in this Appendix that are
above and beyond NEVADA's obligations under the Act. Through NCS NEVADA performs
the combining of certain UNEs on behalf of the CLEC for the purpose of the CLEC
providing an end-to-end telecommunications service to end users exclusively
utilizing NEVADA Unbundled Network Elements. Appendix UNE contains a description
of Unbundled Network Elements or, as used herein, "network components" along
with the terms and conditions under which NEVADA will provide Unbundled Network
Elements. NCS will be provided by NEVADA at the prices contained herein. NCS is
market-based priced and is neither subject to me-up nor arbitration. Prices for
NCS that are in addition to the prices for the individual Unbundled Network
Elements are listed in Section 3 of this Appendix.

2.       TERMS AND CONDITIONS

 2.1     The CLEC shall identify on a single NCS order all of the network
         components, all associated ordering codes (as determined by NEVADA),
         and the sequence in which NEVADA is to combine those elements on behalf
         of CLEC. When this order involves only NEVADA's network, the order will
         be for Network Component Service (NCS), even though the individual
         element types are to be derived from Appendix UNE.

 2.2     In addition to the recurring and non-recurring charges for the
         individual Unbundled Network Elements ordered, the Network Component
         Service will be priced as described in section 3 of this Appendix.

 2.3     Any changes or rearrangements of the components shall constitute a new
         NCS offering and applicable non-recurring and service order charges
         apply.

 2.4     The network components provided by NEVADA under the provision of this
         Appendix shall remain the property of NEVADA.

 2.5     Provisioning of NCS under this Appendix may be accomplished over such
         routes, technologies, and facilities as NEVADA may elect as long as the
         connection being requested by the CLEC is functional.

               2.6  NEVADA is responsible only for the installation, operations
                    and maintenance of the NCS originally defined and ordered by
                    the CLEC. NEVADA is not
<PAGE>

responsible for the Telecommunication Services provided by the CLEC through the
use of NCS. 2.7 X~here NCS is provided to CLEC and it is dedicated to a single
end user, if NCS is for any reason disconnected, the individual network
components shall be made available to NEVADA for future provisioning needs,
unless NCS is disconnected in error.
2.8 Network elements identified through the Bona Fide Request process will not
be provisioned under this Appendix.
3. PRICING
3.1 For each NCS arrangement, the CLEC shall pay the full recurring and non
recurring rate per Unbundled Network Element, feature, function, or ancillary
charge as shown in Appendix PRICING plus the additional NCS recurring and
nonrecurring market-based rates, as shown in Section 3.2.
3.2 The prices for providing NCS for NEVADA LINExxs are as follows:
Nonrecurring
<TABLE>
<CAPTION>

                                             Service Order                  Connect                     Disconnect
                        Recurring      First Addi6onal             First    Additional          First   Additional
Network Component
<S>                     <C>            <C>
Service (NCS)           $5.00          $40.00$40.00                N/A      N/A                 N/A     N/A
2-wire cross connect
analog 1oo13 to         N/A            $31.60$15.80                $42.85   $35.25              $24.50  $11.80
analog line port
Other NCS as            Negotiated     NegotiNegotiated            NegotiateNegotiated          NegotiatNegotiated
negotiated by the
Parties
</TABLE>

          3.3 This Appendix is available as a package offering. Any changes to
          prices, terms and conditions of UNEs offered pursuant to Appendix LINE
          shall not be incorporated into this Appendix without the mutual
          agreement of the Parties.

          3.4 Since this offering is discretionary and not subject to the Act,
          any prices set by NEVADA to provide NCS, even if zero (or no charge),
          are fully at NEVADA's discretion. The prices for NCS are subject to
          change.

4. GENERAL RESPONSIBILITIES OF THE PARTIES
4.1 Each Party is solely responsible for the services it provides to its end
users and to other Telecommunications Carriers.
<PAGE>

 4.2       The Parties shall work cooperatively to minimize fraud associated
           with third-number billed calls, calling card calls, and any other
           services related to this Agreement.

 4.3     At all times during the term of an Agreement, executed pursuant to this
         STC, each Party shall keep and maintain in force at each Party's
         expense all insurance required by law (e.g. workers' compensation
         insurance) as well as general liability insurance for personal injury
         or death to any one person, property damage resulting from any one
         incident, automobile liability with coverage for bodily injury for
         property damage. Upon request from the other Party, each Party shall
         provide to the other Party evidence of such insurance (which may be
         provided through a program of self insurance).

4.4      Unless otherwise stated, NEVADA will render a monthly bill to CLEC for
         service(s) provided hereunder. Remittance in full will be due within
         thirty (30) days of that billing date. Interest shall apply on overdue
         amounts at the highest rate allowed by applicable law.

 4.5     For purposes of pre-order, ordering, provisioning, maintenance and
         billing, CLEC will use the same processes, as used in connection with
         Unbundled Network Elements obtained through Appendix UNE.
<PAGE>

APPENDIX NlM
<PAGE>

                                TABLE OF CONTENTS

 1.                    FIBER MEETS ............................................1
                       ------
 2.           AVOIDANCE OF OVER PROVISIONING ..................................2
              ------------------
 3.           JOINT FACILITY GROWTH PLANNING ..................................2
              ----------------------

    3.1 Criteria ............................ .................................2
        ---------

    3.2 Processes .............................................................2

 4.   VIRTUAL COLLOCATION INTERCONNECTION .....................................3
      --------------------
 5.   PHYSICAL COLLOCATION INTERCONNECTION ....................................6
      -------------------------------------
 6.   LEASING OF NEVADA'S FACILITIES ..........................................6
      --------------------
<PAGE>

APPENDIX NETWORK INTERCONNECTION METHODS ("NIM')

Network Interconnection Architecture designates Network Interconnection Methods
("NIMs") to be used by the Parties. These include: Fiber Meets; Virtual
Collocation Interconnection; Physical Collocation Interconnection; leasing of
NEVADA facilities; and other methods as mutually agreed to by the Parties.

1.         HBER MEETS

1.1      Where the Parties interconnect their networks pursuant to a Fiber Meet,
         the Parties shall jointly engineer and operate such interconnection as
         a single SONET transmission system for the purposes of terminating
         calls intended for a End User of one of the Parties, Transit Traffic,
         and jointly provided Exchange Access. The Parties agree to establish
         technical interface specifications for Fiber-Meet arrangements that
         permit the successful interconnection and completion of traffic routed
         over the facilities that interconnect at the Fiber Meet. Each Party is
         responsible for designing, provisioning, ownership, and maintenance of
         equipment and facilities on its side of the POI. Each Party is free to
         select the manufacturer of its Fiber Optic Terminal ("FOT"). Neither
         Party will be allowed to access the Data Communications Channel ("DCC')
         of the other Party's EOT. The technical specifications will be designed
         so that each Party may, as far as is technically feasible,
         independently select the transmission, multiplexing, and fiber
         terminating equipment to be used on its side of the Fiber Meet. The
         Parties will work cooperatively to achieve equipment compatibility.
         Requirements for such interconnection specifications will be defined in
         joint engineering planning sessions between the Parties. The Parties
         will use good faith efforts to develop and agree on these
         specifications within ninety (90) days of the determination by the
         Parties that such specifications shall be implemented, and in any case,
         prior to the establishment of any Fiber Meet arrangements between them.

               1.2  NEVADA shall, wholly at its own expense, procure, install,
                    and maintain the agreed-upon Optical Line Terminating
                    Multiplexer ("OLTM") equipment in each NEVADA Wire Center
                    where the Parties establish a Fiber Meet in capacity
                    sufficient to provision and maintain all logical trunk
                    groups prescribed by Appendix 1TR, Sections 1 and 2. CLEC
                    shall, wholly at its own expense, procure, install and
                    maintain the agreed upon OLTM equipment in each CLEC Wire
                    Center where the Parties establish a Fiber Meet in capacity
                    sufficient to provision and maintain all logical trunk
                    groups prescribed by Appendix ITK, Sections 1 and 2.

1.3NEVADA shall designate a manhole or other suitable entry way immediately
                  outside the Wire Center as a Fiber Meet entry point and shall
                     make all necessary preparations to receive and to allow and
                     enable CLEC to deliver fiber optic
<PAGE>

                  facilities into that manhole with sufficient spare length to
                  reach the OLTM equipment in NEVADA's Wire Center. CLEC shall
                  deliver and maintain such strands wholly at its own expense.

          1.4     CLEC shall designate a manhole or other suitable entry way
                  immediately outside CLEC's Wire Center as a Fiber Meet entry
                  point and shall make all necessary preparations to receive and
                  to allow and enable NEVADA to deliver fiber optic facilities
                  into that manhole with sufficient spare length to reach the
                  OLTM equipment in CLEC's Wire Center. NEVADA shall deliver and
                  maintain such strands wholly at its own expense.

2.   AVOIDANCE OF OVER PROVISIONING Underutilization is the inefficient
     deployment and use of the network due to forecasting a need for more
     capacity than actual usage requires and results in unnecessary costs for
     interconnection facilities. To avoid over provisioning, the Parties will
     agree to joint facility growth planning as detailed below.

3.         JOINT FACILITY GROWTH PLANNING

The initial interconnection facility deployed for each interconnection shall be
the smallest standard available, e.g., for SONET this is an OC-3 system. The
following lists the criteria and processes needed to satisfy additional capacity
requirements beyond the initial system.

3.1 Criteria

           3.1.1  Investment is to be minimized.
           3.1.2  Facilities are to be deployed in a "just-in-time" fashion.
3.1.3Facilities will be planned for in accordance with the trunk forecasts
                  exchanged between the Parties as described in Appendix ITR.

3.2 Processes

3.2.1    Discussions to provide relief to existing facilities will be triggered
         when either Party recognizes that the overall system facility ("DS-Is")
         is at 90% of capacity.

3.2.2    Both Parties will perform a joint validation to ensure interconnecting
         facilities have not been over provisioned. If any systems are over
         provisioned, they will be turned down as appropriate. If any
         interconnecting-facilities resizing lowers the fill level of the
<PAGE>

         interconnecting facilities below 90%, the growth planning process will
         be suspended and will not be reinitiated until a 90% fill level is
         achieved. Trunk design blocking criteria described in Appendix ITR will
         be used in - determining trunk group sizing requirements
and forecasts.

 3.2.3   If based on the forecasted equivalent DS-1 growth the existing fiber
         optic system is not projected to exhaust within one year, the Parties
         will suspend further relief planning on this interconnection until a
         date one year prior to the projected exhaust date. If growth patterns
         change during the suspension period, either Party may re-initiate the
         joint planning process.

3.2.4    If the placement of a minimum size system will not provide adequate
         augmentation capacity for the joint forecast over a two-year period and
         the forecast appears reasonable based upon history, the next larger
         system may be deployed. In the case of a SONET system, the OC-3 system
         could be upgraded to an OC-12. If the forecast does not justify a move
         to the next larger system, another minimal size system (such as on
         OC-3) could be placed. This criteria assumes both Parties have adequate
         fibers for either scenario. If adequate fibers do not exist, both
         Parties would negotiate placement of additional fibers and/or
         equipment.

 3.2.5   Both Parties will negotiate a project service date and corresponding
         work schedule to consmet relief facilities in an effort to achieve
         "just-in-time" deployment.

3.2.6 The joint planning process/negotiations should be completed within two
months of identification of 90% fill.

4.         VIRTUAL COLLOCATION INTERCONNECTION

 4.1     Subject to space availability and technical feasibility, NEVADA will
         provide Virtual Collocation in accordance with the Act, the FCC rules
         promulgated thereunder (e.g., 47 C.F.R. ss. 51.323), and any Commission
         decision. Unless inconsistent with this Section 4, Virtual Collocation
         Interconnection will be provided as set forth in Nevada Bell's
         interstate Virtual Collocation tariffs (Nevada Bell's Tariff FCC No.
         1).

               4.1.1 If CLEC designates permitted telecommunications equipment
                    for Virtual Collocation that is not set forth in Nevada
                    Bell's ("NEVADA's") interstate tariff, the provisioning of
                    such telecommunications equipment shall be handled in the
                    same manner as is used by NEVADA for provisioning non-
                    tariffed equipment under its interstate Virtual Collocation
                    tariffs; provided, however, that in no event shall NEVADA be
                    required to file any tariff, whether interstate or
                    intrastate in jurisdiction. By way of example and not
<PAGE>

                  limitation, CLEC would apply for, and NEVADA would price,
                  provide, and bill such telecommunications equipment as if
                  under Nevada Bell's interstate virtual collocation tariff.

 4.2     When providing Virtual Collocation, NEVADA will, at a minimum, install,
         maintain, and repair Virtual Collocation equipment for CLEC within the
         same time periods and with failure rates that are no greater than those
         that apply to the performance of similar functions for comparable
         equipment of NEVADA.

               4.3  NEVADA will provide Virtual Collocation in "Eligible
                    Structures", as defined in Appendix PHYSICAL COLLOCATION,
                    and permit the Virtual Collocation of telecommunications
                    equipment permitted by 47 U.S.C.ss.251(c) (6), FCC roles
                    promulgated thereunder (e.g., 47 C.F.R.ss.51.323), and
                    Commission decisions.

4.3.1Notwithstanding any other provision hereof, NEVADA is under no
                  obligation to provide and shall not provide Virtual
                  Collocation for any equipment that, by its nature or due to
                  its characteristics and methods of operation, interferes with
                  or impairs service over NEVADA's network equipment, or
                  facilities, or the network, equipment, or facilities of any
                  other person or entity; creates hazards for or cause damage to
                  those networks, equipment, or facilities, the Premises, or the
                  Eligible Structure; impairs the privacy of any communications
                  carded in, fi:om, or through the Eligible Structure; or
                  creates hazards or cause physical harm to any person, entity,
                  or the public. The terms "Premises' and "Eligible Structure"
                  are as defined in Appendix PHYSICAL COLLOCATION.

4.4      Unless otherwise agreed to by NEVADA or required by law, the
         telecommunications equipment that is permitted in any Eligible
         Structure for Virtual Collocation is limited to the same or
         substantially similar telecommunications equipment (determined with
         reference to power and environmental requirements and conditions) that
         NEVADA already places in that particular Eligible Structure (determined
         on an Eligible Structure-by-Eligible Structure basis, and not by class
         of Eligible Structures). To the extent that permitted Virtual
         Collocation equipment is not the same or substantially similar, the
         preparation of the Eligible Structure (e.g., power, environmental) for
         the Vimmi Collocation equipment will be charged to CLEC on an ICB
         basis.

               4.5Unless otherwise agreed to by NEVADA or required by law, all
                    Virtual Collocation equipment shall comply with Bellcore
                    Network Equipment Building System (NEBS) Generic
                    Requirements (GR-63-CORE and GR-1089-CORE) and any successor
                    document(s), including as such may be modified at any time
                    and from time to time and such modifications are adopted and
                    followed by NEVADA, and then where and how adopted and
                    followed by NEVADA ("NEBS Standards"). To the extent that
                    permitted Virtual Collocation equipment does not
<PAGE>

         meet the NEBS Standards, the preparation of the Eligible Structure for
         placement of such non-compliant Virtual Collocation equipment (e.g.,
         firewall construction), if any, will be charged to CLEC on an ICB
         basis.

4.6Virtual Collocation provided hereunder is made available subject to and in
         accordance with:

         (a)      Nevada Bell's Technical Publication for Expanded
                  Interconnection with Nevada Bell - Virtual Collocation & SBI
                  dated October, 1995, and any successor document(s), as may be
                  modified from time to time as set forth below ("Virtual
                  Collocation Technical Publication"). NEVADA concurs in the
                  Virtual Collocation Technical Publication (ignoring any
                  provisions that are applicable only to SONET-Based
                  Interconnection) and adopts it as its own and, therefore, for
                  purposes of this Appendix, any reference therein to Nevada
                  Bell shall be deemed to refer to NEVADA only.

         Co)      any statutory and/or regulatory requirements in effect at the
                  time of the submission of the Virtual Collocation application
                  or subsequently become effective and then when effective.

         CLEC shall strictly observe and abide by each.

 4.7     The Virtual Collocation Technical Publication is attached hereto and,
         along with the NEBS Standards, are incorporated herein by this
         reference. CLEC may obtain a copy of the NEBS Standards by contacting
         Bell Communications Research, Inc. at 1-800--421-2674.

 4.8     If the Virtual Collocation Technical Publication is modified from the
attached, the
         following shall apply:.

               (a)  If a modification is made alter the date on which CLEC has
                    or orders a Virtual Collocation arrangement, NEVADA shall
                    provide CLEC with those modifications or with revised
                    versions of such, listing or noting the modifications as
                    appropriate. Any such modification shall become effective
                    and thereafter applicable under this Agreement thirty (30)
                    days after such amendment is released by NEVADA, except for
                    those specific amendments to which CLEC objects to within
                    thirty (30) days of receipt, providing therewith an
                    explanation for each such objection. The Parties shall
                    pursue such objections informally with each other and, if
                    not resolved within forty-five (45) days, either Party will
                    have fourteen (14) days to invoke the dispute resolution
                    procedures applicable to this Agreement. If neither Party
                    invokes those procedures, the modification is deemed
                    effective and applicable.
<PAGE>

(b)  If a modification is made after this Appendix becomes pan of an effective
     "Statement of Terms and Conditions" or similar document for NEVADA (and the
     modification has not been included in a change to that - "Statement" or
     this Appendix), and before CLEC's initial virtual collocation arrangement,
     then NEVADA will provide CLEC with a copy of such modifications or the most
     recent version or revision of the particular document promptly after
     receipt of CLEC's virtual collocation application. Any CLEC objection to
     those modifications must be received by NEVADA by the thirtieth (30th) day
     after receipt by CLEC. Thereafter, the same process and procedure
     (including timelines) for resolving any objection made under Section 4.8(a)
     shall apply.

(c)      Notwithstanding Sections 4.8(a) and/or (b), any modification made to
         address situations potentially harmful to NEVADA's or another's
         network, equipment, or facilities, the Eligible Structure, the
         Premises, or to comply with statutory or regulatory requirements shall
         become effective immediately and shall not be subject to objection.
         NEVADA will immediately notify CLEC of any such modification.

 4.9     The terms and conditions expressly set forth in this Appendix shall
         control in the event of an irreconcilable conflict with the Virtual
         Collocation Technical Publication or the NEBS Standards (including any
         modification to any of them that can be objected to under this Section
         4.8, regardless of whether CLEC objected to such modification pursuant
         to Section 4.8). Notwithstanding the immediately preceding,
         modifications that are governed by Section 4.8(c) shall apply
         regardless of any conflict or inconsistency with any other term or
         condition governing a Virtual Collocation arrangement unless contrary
         to law.

  4.10   Sections 14.3, 14.4, and 14.6 of Appendix PHYSICAL COLLOCATION are
         incorporated by this reference into this Appendix NIM for purposes of
         virtual collocation.

5.         PHYSICAL COLLOCATION INTERCONNECTION

          NEVADA will provide Physical Collocation in accordance with the Act,
          the FCC rules promulgated thereunder (e.g., 47 C.F.R. ss.51.323), any
          Commission decision and subject to Appendix PHYSICAL COLLOCATION.

6.       LEASING OF NEVADA'S FACILITIES

 6.1     CLEC's leasing of NEVADA's facilities for purposes of Appendix FrR,
         Sections 1 and 2: Network Interconnection Architecture will be subject
         to the mutual agreement of the Parties.
<PAGE>

 6.2     CLEC's leasing of NEVADA's facilities for purposes of Section 4.3 of
         the Main Agreement: Network Interconnection Methods, will be subject to
         the mutual agreement of the Parties.

6.3      CLEC will provide a written leased facility request that will specify
         the A- and Z-ends (CLLI codes, where known), equipment and muxing
         required and provide quantities requested. Requests for leasing of
         NEVADA's facilities for the purposes of interconnection and any future
         augmentations are subject to facility availability at the time of the
         request.

 6.4     Any request by the CLEC for leased facilities where facilities,
         equipment, or riser cable do not exist will be considered, and NEVADA
         may agree to provide under a Leased Facilities Bona Fide Request
         ("BFR") Process as defined below:

          6.4.1   A Leased Facilities BFR will be submitted by CLEC in writing
                  and will include a description of the facilities needed
                  including the quantity, size (DS-3 or DS-l), A- and Z-end of
                  the facilities, equipment and muxing requirements, and date
                  needed.

          6.4.2   The CLEC may cancel a Leased Facilities BFR at any time, but
                  will pay NEVADA any reasonable and demonstrable costs of
                  processing and/or implementing the Leased Facilities BFR up to
                  the date of cancellation.

          6.4.3   Within ten (10) business days of its receipt, NEVADA will
                  acknowledge receipt of the Leased Facilities BFR.

         6.4.4    Except under extraordinary circumstances, within thirty (30)
                  days of its receipt of a Leased Facilities BFR, NEVADA will
                  provide to CLEC a written response to the request. The
                  response will confirm whether NEVADA will offer the leased
                  facilities or not. If NEVADA determines it will offer the
                  leased facilities, NEVADA will provide the CLEC a Leased
                  Facilities BFR quote which will include the applicable
                  recurring and nonrecurring rates and installation intervals.

         6.4.5    Within sixty-five (65) business days of its receipt of the
                  Leased Facilities BFR quote, CLEC must confirm its order. If
                  not confirmed within sixty-five (65) business days, NEVADA
                  reserves the fight to modify or withdraw its Leased Facilities
                  BFR quote.
<PAGE>

APPENDIX PORT
<PAGE>

-                        TABLE OF CONTENTS

    1. INTERIM NUMBER PORTABILITY ("INP") .................................1
       -----------------------------------
    1.1 General ...........................................................1
    1.2 Terms, Conditions Under Which NEVADA Shall Provide INP ............1
        ---------------------------------------------------

        1.2.1   Service Provided ..........................................1
                --------
        1.2.2   Obligations of NEVADA .....................................2
                ------------
        1.2.3   Obligations of CLECs ......................................2
                ------------
        1.2.4   Limitations Of Service ....................................3
                ------------
    1.3 Service Descriptions ..............................................3
        ---------------------
    1.3.1 INP - DNCF ......................................................3
          -----------
    1.3.2 ~ - FlexDID .....................................................4
          ----
    1.4 Intercompany Terminating Compe~qation .............................4
        --------------------------------------
    1'.5 Pricing ..........................................................5
    2. PERM. ANENT NUMBER PORTABILITY ("PNP") .............................5
       -------------------------------
    2.1 General ...........................................................5
    2.2 Terms and Conditions Under Which NEVADA Shall Provide PNP .........5
        ----------------------------------------------------------
      2.2.1    Service Provided ...........................................5
               --------
      2.2.2    Obligations Of NEVADA ......................................6
               ------------
      2.2.3    Obligations of CLEC ........................................6
               --------------------
<PAGE>

2.2.4Obligations of Both Parties ...........................................7
     --------------------
        2.2.5   Limitations Of Service .....................................8
                ------------
        2.2.6   Service Descriptions .......................................8
                ---------------------
        2.2.7   Pricing ....................................................9

 3.      INP TO PNP TRANSITION ..............................................9
         -----------
 4.      MASS CALLING CODES .................................................9
         -------------------
     4.1 General.: ..........................................................9
     4.2 Service Provided ..................................................10
         --------

     4.3   Obligations of NEVADA ...........................................l0
           ----------------------
           ..................................................................?
     4.4   Obligations of CLEC .............................................11
           --------------------
     4.5   CLEC Mass CailinE Codes .........................................11
           ------------------------
     4.6   Limitations of Service ..........................................11
           ------------

5. PROVISION OF INP AND PNP BY CLEC TO NEVAD.s .............................11
   --------------------------------------------
<PAGE>

1.       INTERI~ NUMBER PORTABILITY ("INP")
         ----------------------------------

         1.1 General
                  NEVADA and CLEC will provide Interim Number Portability
                  ("INP") in accordance with requirements of the Act. INP will
                  be provided by each Party to the other upon request. INP will
                  be provided with minimum impairment of functionality, quality,
                  reliability and convenience to subscribers of CLEC or NEVADA.
                  As described herein, INP is a service arrangement whereby an
                  End User,, who switches subscription of exchange service from
                  one provider to another is permitted to retain, for its use,
                  the existing assigned number provided that the End. User
                  remains in the same serving wire center.

          1.2     Terms, Conditions Under Which NEVADA Shall Provide INP
                  1.2.1 Service Provided

1.2.1.1 NEVADA shall only provide INP, as described herein, to CLEC.

1.2.1.2  NEVADA shall only provide INP services and facilities where technically
         feasible, subject to the availability of facilities, and only from
         properly equipped central offices. NEVADA does not offer INP services
         and facilities for NXX codes 555, 800, 888, 950 or any NXX codes that
         are not specific to a geographic location and wire center.

1.2.1.3  NEVADA shall not provide INP services for End User accounts where the
         End User's payments are thirty (30) days or more in arrears, or where
         contract termination liabilities would be assessed by NEVADA to the End
         User, unless full payment is made, or an agreement is reached where
         CLEC agrees to make full payment on the End User's behalf, including
         any termination amounts due.

1.2.1.4  When the exchange service offerings associated with INP service are
         provisioned using DNCF switching arrangements, NEVADA shall, for
         technical reasons, provide service - from host central offices. INP
         service for remote arrangements will be served from the host central
         office.
<PAGE>

 1.2-2   Obligations of NEVADA
         NEVADA's sole responsibility is to comply with the service requests it
         receives from CLEC and to provide INP in accordance with this
-        Appendix.

1.2.3    Obligations of CLECs

 1.2.3.1   CLEC shall coordinate the provision of service with NEVADA to assure
           that CLEC's switch is capable of accepting INP ported traffic.

1.2.3.2 CLEC is solely responsible to provide equipment and facilities that are
     compatible with NEVADA's service parameters, interfaces, equipment and
     facilities. CLEC shall provide sufficient terminating facilities and
     services at the terminating end of an INP call to adequately handle all
     traffic to that location and shall ensure that its facilities, equipment
     and services do not interfere with or impair any facility, equipment or
     service of NEVADA or any of its End Users. In the event that NEVADA
     determines, in its sole judgment, that CLEC will likely impair or is
     impairing, or interfering with any equipment, facility, or service of
     NEVADA or any of its End Users, NEVADA may either refuse to provide INP
     service or terminate it in accordance with other provisions of this
     Agreement or NEVADA's tariffs, where applicable.

1.2.3.3  CLEC shall provide an appropriate intercept announcement service for
         any telephone numbers subscribed to INP service for which CLEC is not
         presently providing exchange service or terminating to an End User.

1.2.3.4  When a ported telephone number becomes vacant, e.g., the telephone
         number is no longer in service by the original End User and a period
         for intercept and referral equivalent to that which is provided by
         NEVADA to its own End User subscribers has elapsed, the ported
         telephone number will be released back to NEVADA.

1.2.3.4.1Formerly ported telephone numbers which revert to NEVADA as described
         above shall be reassigned or provided with a standard NEVADA intercept
         announcement in accordance with NEVADA's standard operating procedures
         then in effect.
<PAGE>

               1.2.3.5 CLEC shall designate to NEVADA at the time of its initial
                    service request for INP service one of the following options
                    for handling and processing of Calling Card, Collect, Third
                    Party, - and other operator handled non-sent paid calls from
                    or to CLEC assigned telephone numbers:

                               (a)      CLEC may elect to block the completion
                                        of third number and calling card calls
                                        through the use of LIDB to select ported
                                        numbers.

                             Co)     For non-sent paid calls billed to INP
                                     assigned numbers, a separate
                                     sub-clearinghouse billing arrangement must
                                     be established which will provide for the
                                     transmission of the ElYIR 01-01-01 billing
                                     records, and settlement of toll revenues.

         1.2.4 Limitations Of Service

                  1.2.4.1  NEVADA is not responsible for adverse effects on any
                           service, facility or equipment from the use of IN'P
                           service.

                  1.2.4.2  End-to-end transmission characteristics cannot be
                           specified by NEVADA for calls over INP facilities
                           because end-to-end transmission characteristics may
                           vary depending on the distance and routing necessary
                           to complete calls over INP facilities and the fact
                           that another carder is involved in the provisioning
                           of service.

 1.3     Service Descriptions

         1.3.1 INP - DNCF
                  INP-DNCF is a service whereby a call dialed to an INP-DNCF
                  equipped telephone number, assigned to NEVADA, is
                  automatically forwarded to CLEC-assigned, 7- or 10-digit
                  telephone number. The forwarded-to-number must be specified by
                  CLEC at the same wire center wherein the ported number
                  resides.

                    1.3.1.1  INP-DNCF provides an initial call path and one
                             additional path for the forwarding of no more than
                             two (2) simultaneous calls to CLEC's specified
                             forwarded-to number. Additional call paths are
                             available on a per path basis up to a maximum of
                             ninety-nine (99) call paths.
<PAGE>

          1.3.1.2 CLEC-assigned forwarded-to number shall be treated as two
          separate calls with respect to interconnection compensation, End User
          toll billing, and intercompany settlement and access billing, i.e., an
          incoming call to NEVADA's ported number shall be handled like any
          other NEVADA call being terminated to that End Office and the ported
          call to CLEC's assigned telephone number in CLEC's switch shall be
          handled as any local calls between NEVADA and CLEC.

          1.3.1.3 Where facilities exist, NEVADA will provide identification of
          the originating telephone number, via SS7 signaling, to CLEC.

1.3.2 INP - FlexDID'

         INP-FlexDID is a service which provides for the delivery of the called
         (dialed) number to CLEC's switching (central office or premises)
         equipment for identification and subsequent routing and call completion
         over a dedicated direct final trunk group.

          1.3-2.1 R%TP-FlexDD:) is available either on a per voice grade channel
          basis or a per DS-1 (24 equivalent voice grade channels) basis.

          1.3.2.1.1 Where the location of CLEC's switching equipment to which
          NEVADA is providing voice grade or DS- I INP-FlexDID service resides
          outside the exchange or central office serving area from which the
          INP-FlexDID service is purchased, CLEC shall pay applicable
          interoffice mileage charges as specified in NEVADA's Tariff P.S.C.N.
          C, Section 7.

          1.3.2.2 INP-FlexDID service must be established with a minimum
          configuration of two (2) voice grade channels and one unassigned
          telephone number per NEVADA switch. Transport facilities arranged for
          INP-FlexDID may not be mixed with any other type of trunk group.
          Outgoing calls may not be placed over facilities arranged for
          INP-FlexDID service.

               1.3.2.3 SS7 Signaling is not available on the INP-FlexDID
                    facilities.

1.4      Interco any Terminating Compensation

         With regard to the division of intercompany compensation and switched
         access revenues associated with interim number portability, the Porting
         Party shall pay the Ported-to-Party $1.75 per month for each business
         line and $1.25 per month for each residence line associated with the
         INP arrangement. Determination of the number of lines to which the
         above payment shall apply will be made at the time
<PAGE>

the INP arrangement is established. Such payment shall continue until the INP
arrangement is disconnected or PNP is made available for the INP number,
whichever occurs first. Such amount is in consideration of the Switched Access
compensation and reciprocal compensation that would have been received by each
Party if PNP had been in effect.

1.5      Pricin

          1.5.1 The Parties will comply with all effective FCC, Commission
          and/or court orders governing INP cost recovery and compensation. The
          Parties acknowledge that the Telephone Number Portability Order is
          subject to pending Petitions for Reconsideration and may be appealed.
          As such, the Number Portability Order may be reconsidered, revised and
          remanded, or vacated, subject to further proceedings before the FCC.
          As such, until a final decision is rendered on INP cost recovery, the
          Parties agree to track the costs associated with the implementation
          and provision of INP and to "true-up" INP-related accruals to reflect
          the final terms of any such order.

          1.5.2 Neither Party waives its rights to advocate its views on INP
          cost recovery, or to present its views before any appropriate
          regulatory agency.

          1.5.3 Charges associated with the Provision of INP are described in
          Appendix PRICING.

2.       PERMANENT NUMBER PORTABILITY ("PNP")

         2.1      General

                  The FCCs Telephone Number Portability, CC Docket No. 95-116,
                  First Memorandum Opinion and Order on Reconsideration, 12 FCC
                  Rcd. 7236 (1997), requires " . . all LECs to implement a long
                  term service provider portability method in the 100 largest
                  Metropolitan Statistical Areas ("MSA") according to a phased
                  schedule that commences October 1, 1997, and concludes
                  December 31, 1998." While the FCC declined " . . . (to]
                  choose[s] a particular technology for providing number
                  portability", it did establish performance criteria that LECs
                  must meet. The technology that meets the FCC's performance
                  criteria is Location Routing Number ("LRN"). LRN is currently
                  being used by the telecommunications industry to provide PNP.

         2.2      Terms and Conditions Under Which NEVADA Shall Provide PNP

2.2.1 Service Provided

2.2. 1.1 NEVADA will provide CLEC the use of NEVADA's PNP

            database via the Service Provider Number Portability ("SPNP")
<PAGE>

Database Query. CLEC's STP, Tandem, and/or End Office's LRN software will
determine the need for accessing NEVADA's PNP database, and triggers the query.
NEVADA's PNP database will determine if the number has, or has not, been ported
and will provide LRN if a number is ported.

          2.2.1.2 NEVADA will provide CLEC the use of th NEVADA PNP database,
          PNP software, and SS7 network via the SPNP Query.

          2.2.1.3 NEVADA shall only provide PNP services and facilities where
          technically feasible, subject to the availability of facilities, and
          only from properly equipped central offices.

          2.2.1.4 NEVADA does not offer PNP services and facilities for NXX
          codes 555, and 950.

2.2.2 Obligations Of NEVADA

          2.2.2.1 NEVADA will deploy LRN in the followin MSAs per the timelines
          set forth by the FCC, unless such timelines are extended by the FCC:

MSA                          DEPLOYNENT COMPLETED BY

Las Vegas                                June 30, 1998 *

         2.2.2.2     After December 31, 1998, NEVADA will deploy LRN in other
                     MSAs within six (6) months after receipt of a Bona Fide
                     Request (see ATTACHMENT 1) from CLEC.

2.2.3 Obligations of CLEC

          2.2.3.1 When purchasing the SPNP Database Query, CLEC will access
          NEVADA's facilities via an SS7 link (Section 6 of FCC No. 1 Access
          Service Tariff) to NEVADA's STP.

          2.2.3.2 When purchasing the SPNP Query - Prearranged, CLEC will advise
          NEVADA of the entry point(s) of queries to NEVADA's network and
          provide a query forecast for each entry point.

* If one or more switches are selected to become PNP capable
<PAGE>

          2.2.3.3 CLEC is responsible for advising the Number Portability
          Administration Center ("NPAC"), of telephone numbers that they import,
          and the associated data as identified in industry forums as being
          required for PNP.

          2.2.3.4 After the initial deployment of PNP in an MSA, CLEC shall
          submit a Bona Fide Request (see ATTACHMENT 1) to request that a NEVADA
          switch become LRN capable. The requested switch will be made LRN
          capable within the time frame stipulated by the FCC.

          2.2.3.5 When CLEC requests that an NXX in an LRN-capabl NEVADA switch
          become portable, CLEC shall follow the industry standard LERG
          procedures.

          2.2.3.6 CLEC shall be certified by the Regional NPAC prior to
          scheduling Intercompany testing of PNP.

          2.2.3.7 CLEC shall adhere to NEVADA's Local Service Request ("LSR")
          format and PNP due date intervals.

          2.2.3.8 CLEC shall adhere to NEVADA's reserved number terms and
          conditions.

2.2.4 Obligations of Both Parties

          2.2.4.1 When a ported telephone number becomes vacant, e.g., the
          telephone number is no longer in service by the original End User, the
          ported telephone number will be released back to the carrier owning
          the switch in which the telephone number's NXX is native.

          2.2.4.2 Each Party has the right to block a default routed call
          entering a network in order to protect the public switched network
          from overload, congestion, or failure propagation.

          2.2.4.3 Industry guidelines shall be followed regarding all aspects of
          porting numbers from one network to another.

          2.2.4.4 Intracompany testing shall be performed prior t scheduling of
          intercompany testing.

          2.2.4.5 Each Party shall designate a single point of contact ("SPOC")
          to schedule and perform required testing. These tests will be
<PAGE>

           performed during a mutually agreed upon time frame and must meet the
           criteria set forth by the Pacific West Region for porting.

          2.2.4.6 Each Party shall abide by NANC and Pacific West Region
          provisioning and implementation processes.

          2.2.4.7 The Parties agree to implement PNP in compliance with the FCC
          or Commission orders, and pursuant to PUBL-780050-PB/NB, Pacific
          Bell/Nevada Bell Number Portability Network Interface Specification.

2.2.5 Limitations Of Service

          2.2.5.1 Telephone numbers can be ported only within NEVADA wire
          centers as approved by the State Commission.

          2.2.5.2 Telephone numbers in the following NEVADA NXXs shall not be
          ported:

(a) wireless NXXs.

          2.2.5.3 Telephone numbers with NXXs dedicated to High Volume Call In
          ("HVCI") networks are not portable via LRN. HVCI numbers will be
          ported as described in Section 4 of this Appendix.

2.2.6 Service Descriptions

          2.2.6.1 The switch's LRN software determines if the called party is in
          a portable NXX. If the called party is in a portable NXX, a query is
          launched to the PNP database to determine whether or not the called
          number is ported.

          2.2.6.2 When the called number with a portable NXX is ported, an LRN
          is returned to the switch that launched the query. Per industry
          standards, the LRN appears in the CdPN ("Called Party Number") field
          of the SS7 message and the called number then appears in the GAP
          ("Generic Address Parameters") field.

          2.2.6.3 When the called number with a portable NXX is not ported, the
          call is completed as in the pre-PNP environment.

          2.2.6.4 The FCI ("Forward Call Identifier") field's entry is changed
          from 0 to 1 by the switch triggering the query when a query is made,
          regardless of whether the called number is ported or not.
<PAGE>

          2.2.6.5 The N- I carrier (N carrier is the responsible Party for
          terminating a call to the End User) has the responsibility to
          determine if a query is required, to launch the query, and to route
          the call to the switch or network in which the telephone number
          resides.

          2.2.6.6 If CLEC chooses not to fulfill their N-1 carrie
          responsibility, NEVADA will perform queries on calls to telephone
          numbers with portable NXXs received from the N- I carrier and route
          the call to the switch or network in which the telephone number
          resides.

          2.2.6.7 CLEC shall be responsible for payment of charge to NEVADA for
          any queries made on the N-1 carrier's behalf

2.2.7 Pricing

         The price of PNP queries shall be the same as those in the FCC No. 1

         Access Services Tariff, Section 19.

3.       INP TO PNP TRANSITION

          3.1 NEVADA will deploy LRN in the switches requested as a result of
          the State Commission's poll of CLECs to name the switches in which
          they want LRN deployed.

          3.2 CLECs shall issue LSRs to change their existing INP accounts to
          PNP within a 90 day window for all the selected switches in an MSA
          which starts immediately after the PNP Phase completes for that MSA,
          e.g., for all selected switches in the Los Angeles MSA the window
          starts 7/19/98 and completes 10/17/98.

          3.3 New requests for INP will not be provided in a NEVADA switch once
          LRN has been deployed in that switch.

          3.4 The Parties shall coordinate each MSA's transition from INP to
          PNP. When a service provider's INP lines exceed eight (8) in an NXX
          and/or fifty (50) lines in a MSA, they shall send advance notice to
          the owner of the switch(es) in which those TNs are homed, indicating
          the volume of orders involved in the INP to PNP transition.

4.       MASS CALLING CODES

4.1      General

         Mass calling codes, i.e., High Volume Call-In ("HVCI") NXXs, are used
         in a network serving arrangement provided by NEVADA in special
         circumstances
<PAGE>

where large numbers of incoming calls are solicited by an End User and the
number of calls far exceeds the switching capacity of the terminating office,
the number of lines available for terminating those calls, and/or the STP's
query capacity to the PNP database. The following two different sets of End User
objectives usually create this condition:

(a)      low call completion; and

(b)      high call completion.

Given the potentially hazardous effect calling conditions of this nature could
have on the network, NEVADA will provide mass calling code portability using a
non-LRN solution.

4.2      Service Provided

          4.2.1 NEVADA will offer the ability to port telephone numbers with a
          mass calling NXX code via the use of pseudo codes or route index
          numbers. In this non-LRN scenario, calls to the NEVADA mass calling
          NXX code will leave the originating end office over dedicated NT trunk
          groups to the NEVADA mass calling tandem. The mass calling tandem will
          then route the calls over dedicated MF trunks to the NEVADA HVCI
          serving office. The HVCI serving office will translate the dialed mass
          calling number to a non-dialable pseudo code or a route index number
          that mutes the call to the mass calling customer.

          4.2.2 When a CLEC requests that a NEVADA number with a mass calling
          NXX code be ported to their network, NEVADA will build translations at
          the HVCI serving office to route the incoming calls to a CLEC provided
          dedicated Direct Inward Dial (DID) MY trunk group from the HVCI
          serving office to the CLEC central office.

4.3      Obligations of NEVADA

          4.3.1 NEVADA will port its numbers with mass calling NXXS upon request
          by the CLEC. Non-LRN porting will be done via pseudo code or route
          index translation in the NEVADA HVCI serving office rather than STP
          queries to the PNP database. This method of porting mass call numbers
          will be used during both INP and PNP period in each market.

          4.3.2 NEVADA will not charge the CLEC for the use of its HVCI network
          by the CLEC's mass calling customer. In exchange, NEVADA will not pay
          intercompany terminating compensation for terminating minutes of use
          (MOU) for ported HVCI calls.
<PAGE>

4.4      Obligations of CLEC

4.4.1 CLEC shall adhere to NEVADA's Local Service Request (LSR) format and mass
calling due date intervals.

               4.4.2 The CLEC shall provide the facility and DID trunk group
                    from the NEVADA HVCI serving office to the CLEC's serving
                    office. The CLEC shall size this one-way MF trunk group.

               4.4.3 The CLEC shall forego any inter-company terminating MOU
                    compensation for termination calls coming in on this trunk
                    group.

4.5      CLEC Mass Calling Codes

               4.5.1 Should the CLEC assign a mass calling NXX code(s) and
                    establish a mass calling interface for traffic destined to
                    its HVCI serving office(s), the CLEC shall home its HVCI
                    serving office(s) on a NEVADA mass calling tandem and a
                    similar mass calling trunking arrangement (one-way outgoing
                    with MF signaling) will be provided from NEVADA's tandem to
                    the CLEC. In order to allow the Parties time to order and
                    install such mass calling trunks, the CLEC shall provide
                    NEVADA notification of its intention to deploy mass calling
                    NXX code(s) at least 90 days before such codes are opened in
                    the LERG. See Appendix ITR for more information regarding
                    this mass local interconnection trunk group.

               4.5.2 MF and SS7 trunk groups shall not be provided within a DS1
                    facility. A separate DS1 facility per signaling type shall
                    be used. Where NEVADA and CLEC both provide mass calling
                    trunking, both Parties' mass calling trunks may ride the
                    same DS I facility.

4.6      Limitations of Service

               CLEC shall adhere to NEVADA's reserved number terms and
                    conditions. When a ported number with a mass calling NXX
                    code becomes vacant, e.g., the ported number is no longer in
                    service by the original end user, the ported number shall be
                    released back to the carrier owning the switch in which the
                    telephone number's NXX is native.

5.       PROVISION OF INP AND PNP BY CLEC TO NEVADA

CLEC shall provide INP and PNP to NEVADA under no less favorable terms and
conditions as when NEVADA provides such services to CLEC.
<PAGE>

ATTACHMENT I

                      PERMANENT NUMBER PORTABILITY ("PNP")
                        BONA FIDE REQUEST ("BFR") PROCESS

The Permanent Number Portability ("PNP") Bona Fide Request ("BFR") is a process
which Competitive Local Exchange Carriers ("CLECs") shall use to request that
PNP be deployed:

     (a) in a Metropolitan Statistical Area ("MSA") beyond the 100 largest MSAs
in the country, and

(b)  in additional switch(es) in an MSA in which PNP has been deployed. Per the
     FCC's First Report And Order And Further Notice Of Proposed Rulemaking
     (July, 1996, paragraph 80), CLEC can request that PNP be deployed in
     additional MSAs beginning January 1, 1999. NEVADA is to provide PNP in that
     MSA in the requested switches within six (6) months of receipt of a BFR.

Per the FCC's First Memorandum Opinion And Order On Reconsideration (March,
1997, 165,66), switches that were not requested to be PNP capable in the initial
PNP deployment in the top 100 MSAs can be requested to be made PNP capable. The
following time frames begin after an MSA's phase end date has been reached:

(a)      equipped DNCF switches within 30 days

(b)      hardware capable switches within 60 days

(c)      capable switches requiring hardware within 180 days

(d)      non-capable switches within 180 days

These time frames begin after the receipt of a BFR.
<PAGE>

ATTACHMENT 1

REQUEST FOR INSTALLATION OF PNP SOFTWARE

The request to make one or more switches in an MSA PNP capable shall be made in
the form of a letter from CLEC to its NEVADA Account Manager which shall specify
the following:

(a)      the MSA in which requested switch(es) are located;

(b)      the- switch(es), by CLLI code, that are to become PNP capable;

(c)  the date when PNP capability is requested with the FCC established time
     frames being the least amount of time; and

(d)  the projected quantity of queries that result from this new capability with
     a demand forecast per Tandem or End Office with which CLEC interconnects.

An initial response from NEVADA's Account Manager, acknowledging receipt of the
BFR and the date when requested switch(es) will be PNP capable, must be made to
CLEC within ten (10) business days of receipt of the BFR.

NEVADA BELL                          PAC-WEST TELECOMM, INC.

Signature                       Signature

Title                            Title

Date                              Date
<PAGE>

APPENDIX OS
<PAGE>

                            APPENDIX OS

                                 Page i of ii NEVADAIPAC-WEST TELECOMM, INC.

                                     020999

TABLE OF CONTENTS

  1. SERVICES ..............................................................I

  1. 1 Fully Automated Call Processin .......................................1
       -------------------------------

  1.2 Operator-Assisted Call Processin ......................................1
      ---------------------------------

  2. DEFINITIONS ............................................................I
     ------------

  2.1 Fully Automated Call Processin ........................................1
      -------------------------------

  2.1.1 Fully Automated Calling Card Station-To-Station .....................1
        ------------------------------------------------

  2.2 Operator-Assisted Call Processin ......................................2
      ---------------------------------
  2.2.1   Semi-Automated Station-To-Station .................................2
          ----------------------------------

  2.2.2   Semi-Automated Person-To-Person ...................................2
          --------------------------------

  2.2.3   Semi-Automated Calling Card Station-To-Station ....................2
          -----------------------------------------------

  2.2.4   Station-To-Station ("Operator Handled") ...........................3
          ----------------------------------------

  2.2.5   Person-To-Person ("Operator Handled") .............................3
          --------------------------------------

  2.2.6   Line Status Verification ..........................................3
          -------------------------

  2.2.7   Busy Line Interrupt ...............................................3
          ----------

  2.2.8   Miscellaneous .....................................................3
          --------------

  3. CALL BRANDING AND RATE REFERENCE REQUIREMENTS ..........................4
     ----------------------------------------------

  3.1 Requirements ..........................................................4
      -------------

  3.2 Call Branding .........................................................4
      --------------

  3.3   Operator Services ("'OS") Rate/Reference Information ................4
        -----------------------------------------------------
<PAGE>

  4. HANDLING OF EMERGENCY CALLS TO OPERATOR ................................4
     ----------------------------------------

  5. RESPONSIBILITIES OF THE PARTIES ........................................4
     --------------------------------
  6. METHODS AND PRACTICES ..................................................6
     ----------------------

  7. PRICING ................................................................6

  8. MONTHLY BILLING ........................................................6
     ----------------

  9. LIABILITY ..............................................................6

  10.........................................................................
TERM OF
-------
APPENDIX ....................................................................6
---------
<PAGE>

OPERATOR SERVICES

This Appendix sets forth the terms and conditions under which Nevada Bell
("NEVADA") agrees to provide nondiscriminatory access to Operator Services for
CLEC.

1.       SERVICES

NEVADA will provide the following Operator Services:

1.1      Fully Automated Call Processing

         Allows the caller to complete a call utilizing equipment without the
         assistance of NEVADA's operator, hereafter called "Operator."

                  This allows the caller the option of inputting calling card
                  numbers using the Mechanized Calling Card Service ("MCCS").

          1.2     Operator-Assisted Call Processing

                  Allows the caller to complete a call by receiving assistance
from an Operator.

2.       DEFINITIONS

2.1      Fully Automated Call Processin

         NEVADA will support the following fully automated call types for CLEC:

         2.1.1 Fully Automated Calling Card Station-To-Station

                  This service is provided when the caller dials zero ("0'% plus
                  the desired telephone number and the telecommunications
                  calling card number to which the call is to be charged. The
                  call is completed without the assistance of an Operator. An
                  authorized telecommunications calling card for the purpose of
                  this Appendix is one for which NEVADA can perform billing
                  validation. Fully- Automated Calling Card Call Service may
                  also include the following situations:

               (a)  When an individual with a disability dials zero ("0") and
                    identifies himself or herself as disabled, he or she will
                    provide the Operator the desired telephone number and the
                    calling card number to which the call is to be billed.

               (b)  When due to trouble-on the network, or lack of service
                    components (facilities to the MCCS network), the automated
                    call processing cannot be completed without assistance from
                    an Operator.
<PAGE>

               (c)  When an Operator reestablishes an interrupted call that
                    meets any

                           of the situations described in this call type.

2.2      Operator-Assisted Call Processin

         NEVADA will support the following operator-assisted call types for
CLEC:

         2.2.1    Semi-Automated Station-To-Station

                  A service provided when the caller dials zero ("0") plus the
                  telephone number desired and the call is completed with the
                  assistance of an Operator. Semi-Automated Station-to-Station
                  service may also include the following situations:

          (a)     Where the caller does not dial zero ("0") prior to calling the

                  number desired from a public or semi-public telephone, or from
                  a telephone where the call is routed directly to an Operator
                  (excluding calling card calls).

               (b)  When an Operator re-establishes an interrupted call that
                    meets any

                  of the situations described in this call type.

2.2.2    Semi-Automated Person-To-Person

         A service in which the caller dials zero ("0") plus the telephone
         number desired and specifies to the Operator the particular person to
         be reached or a particular PBX station, department or office to be
         reached through a PBX attendant. This service applies even if the
         caller agrees, after the connection is established, to speak to any
         party other than the party previously specified. Semi- Automated
         Person-to- Person service may also include:

(a)      Where the caller does not dial a zero ("0") prior to dialing the

         number from a public or semi-public telephone, or where the call is
         routed directly to an Operator.

               (b)  When an operator reestablishes an interrupted call that
                    meets any

                  of the situations described in this call type.

2.2.3 Semi-Automated Calling Card Station-To-Station

         A service provided when the caller dials zero ("0") plus the desired
         telephone number and provides the Operator the calling card number to
         which the call is to be charged. Semi-Automated Calling Card
         Station-toStation service may also include the following situations:
<PAGE>

(a)      When the caller does not dial zero ("0") prior to dialing the number

         desired from a public or semi-public telephone, or from a telephone
         that is directly routed to an Operator, and the call is billed to a
         calling card.

               (b)  When an Operator reestablishes an interrupted call that
                    meets any

                   of the situations described in this call type.

2.2.4 Station-To-Station ("Operator Handled")

         A service provided when the caller dials zero ("0") and places a sent
         paid, collect, third number or calling card station-to-station call
         using an Operator's assistance. These calls may originate from a
         private, public or semi-public telephone. The service may also include
         the situation when an Operator reestablishes an interrupted call that
         meets any of the situations described in this call type.

2.2.5 Person-To-Person ("Operator Handled")

         A service in which the caller dials zero ("0") and specifies to the
         Operator the number desired and the person to be reached, or a
         particular PBX station, department or office to be reached through a
         PBX attendant. The call remains a person-to-person call even if the
         caller agrees, after the connection is established, to speak to any
         party other than the party previously specified. The service may also
         include situations when an Operator reestablishes an interrupted call
         that meets any of the situations described in this call type.

2.2.6 Line Status Verification

         A service in which the caller asks the Operator to determine the
condition of a telephone line.

2.2.7 Busy Line Interrupt

         A service in which the caller asks the Operator to interrupt a
         conversation in progress, to determine if one of the parties is willing
         to speak to the caller requesting the interrupt. A Busy Line Interrupt
         charge will apply even if no conversation is in progress at the time of
         the interrupt attempt, or when the parties interrupted refuse to
         terminate the conversation in progress.

2.2.8 Miscellaneous

         Includes the following call types: General Assistance 800, 888 and
         connections to all other Toll Free services, CLEC Repair Bureau and
         Business Office requests, credit requests, NPA-NXX location requests,
         and all other 0- No Attempt services.
<PAGE>

3.       CALL BRANDING AND RATE REFERENCE REQUIREMENTS

3.1      Requirements

         Pursuant to Section 226 (b) of The Telecommunications Act of 1996, each
         provider of Operator Services is required to:

          (a) provide its brand at the beginning of each telephone call and
          before the consumer incurs any charge for the call; and (b) disclose
          immediately to the consumer, upon request, a quote of its rates or
          charges for the call.

          3.2      Call Brandin

                  Currently NEVADA is unable to provide unique branding for
                  CLEC. All OS calls will be unbranded. When NEVADA has the
                  capability to uniquely brand CLEC's OS calls, the Parties
                  shall negotiate the specific price, terms and conditions for
                  this service.

          3.3      Operator Services ("OS") Rate/Reference Information

                   Currently, NEVADA is unable to provide unique Rate/Reference
Information.

                  When NEVADA has the capability to provide unique
                  Rate/Reference Information for CLECs, the Parties shall
                  negotiate the specific price, terms and conditions for this
                  service. In the interim, CLEC specific rate quotes will only
                  be provided when CLEC's OS Rates exactly mirror NEVADA rates.
                  To the extent CLEC provides NEVADA its customer service center
                  number, NEVADA will provide such referral number to CLEC's End
                  User customer for all other rate quotes.

4.       HANDLING OF EMERGENCY CALLS TO OPERATOR

         To the extent CLEC's NXX encompasses multiple emergency agencies,
         NEVADA will agree to query the caller on his/her community and to
         transfer the caller to the appropriate emergency agency for the
         caller's area. CLEC must provide NEVADA with the correct information to
         enable the transfer. CLEC will also provide default emergency agency
         numbers to use when the customer is unable to provide his/her
         community. When the assistance of another Carrier's operator is
         required, NEVADA will attempt to reach the appropriate operator if the
         network facilities for inward assistance exist. CLEC agrees to
         indemnify NEVADA for any misdirected calls.

5.       RESPONSIBILITIES OF THE PARTIES

          5.1 NEVADA will be the sole provider of Operator Services fo CLEC's
          local service area(s) beginning on the service effective date. NEVADA
          will provide Operator Services only where the necessary physical
          facilities are available and in place and under conditions previously
          stated in this Appendix.
<PAGE>

          5.2 CLEC will be responsible for providing the equipment and
          facilities necessary for signaling and routing calls with Automatic
          Number Identification ("ANI") to each NEVADA operator switch. Should
          CLEC seek to provide interexchange Operator Services under this
          agreement, it is responsible for ordering the necessary facilities
          through NEVADA's interstate or intrastate Access Service tariffs.
          Nothing in this agreement in any way changes the manner in which an
          interexchange carrier obtains access service for the purpose of
          originating or terminating interexchange traffic.

          5.3 Except where CLEC is purchasing Unbundled Local Switchin ("ULS")
          Port as defined in Appendix UNE, CLEC must separately purchase TOPS
          Access at a DS-1 level to connect its switch to NEVADA's TOPS switch
          for purposes of delivering operator traffic. 5.3.1 NEVADA will provide
          nondiscriminatory access to Operator Services via any of the following
          methods

          (a) CLEC provides its own facilities and orders OS trunks and TOPS

                  Access from NEVADA;

(b)      CLEC is collocated in the Wire Center where NEVADA's TOPS

         switch is located and purchases Expanded Interconnection Service
         Channel Termination from NEVADA's tariff FCC 1, Section 18 in addition
         to the TOPS Access and OS trunks; or

(c)      CLEC purchases facilities, OS trunks and TOPS Access from

         NEVADA.

          5.3.2 Rates for TOPS Access are displayed in Appendix PRICING. Rates,
          terms and conditions for NEVADA's facilities and OS trunks are
          available per NEVADA's tariff P.S.C.N. C.

          5.3.3 TOPS trunking requirements are described in Appendix ITR.

          5.4 Facilities necessary for the provision of Operator Services shall
          be provided by the Parties hereto, using standard trunk traffic
          engineering procedures to insure that the objective grade of service
          is met. Each Party shall bear the costs for its own facilities and
          equipment.

5.5      CLEC will furnish to NEVADA a completed Operator Services
         questionnaire, forty-five (45) days in advance of the date when the
         Operator Services are to be undertaken, unless otherwise agreed to by
         the Parties.
<PAGE>

          5.6 CLEC will provide NEVADA timely updates to the OS questionnaire
          when changes are necessary. CLEC will provide any necessary records
          and changes to records to NEVADA in writing or in any other mutually
          agreeable format.

          5.7 NEVADA will accumulate and provide CLEC such data as necessary for
          CLEC to bill its End Users.

6.       METHODS AND PRACTICES

         NEVADA will provide the Operator Services to CLEC's End Users in
         accordance with NEVADA's OS methods and practices in effect for NEVADA
         at the time the OS call is made, unless otherwise agreed in writing by
         both Parties.

7.       PRICING

Pricing for Operator Services shall be based on the rates specified in Exhibit
I, which is attached and made part of this Appendix, and Appendix PRICING. The
rates will apply from the service effective date through the term of this
agreement as specified in Section 10.1 below. At any time beyond the specified
or the term of this Appendix, NEVADA may change the prices for the provision of
OS upon one hundred-twenty (120) days' notice to CLEC.

8.       MONTHLY BILLING

         NEVADA will render monthly billing statements to CLEC, and remittance
         in full will be due within thirty (30) days of receipt.

9.       LIABILITY

In addition to the limitation of liability and indemnification provisions of the
Agreement, CLEC also agrees to release, defend, indemnify, and hold harmless
NEVADA from any claim, demand or suit that asserts any infringement or invasion
of privacy or confidentiality of any person or persons caused or claimed to be
caused, directly, or indirectly, by NEVADA employees and equipment associated
with provision of the Operator Services. This provision includes but is not
limited to suits arising from disclosure of the telephone number, address, or
name associated with the telephone called or the telephone used to call the
Operator Services.

10.      TERM OF APPENDIX

          10.1 This Appendix will continue in force for the length of the
          Interconnection Agreement, but no less than 12 months. Thereafter,
          either Party may terminate this agreement upon 90 days written notice
          to the other Party.
<PAGE>

          10.2 If CLEC terminates this agreement prior to the first twelve (12)
          months, CLEC shall pay, within thirty (30) days of the issuance of a
          final bill by NEVADA, all amounts due for actual services provided
          under this Appendix, plus estimated monthly charges for the remainder
          of the term. Estimated charges will be based on an average of the
          actual monthly amounts billed by NEVADA pursuant to this Appendix
          prior to its termination.

     10.3 The rates applicable for determining the amount(s) under the terms
outlined in this Section are those specified in Exhibit I attached hereto and
incorporated by reference and in Appendix PRICING.
<PAGE>

                           APPENDIX OSS-RESALE & UNE
<PAGE>

                ACCESS TO OPERATIONS SUPPORT SYSTEMS FUNCTIONS

1.       General Conditions

          1.1 This Appendix sets forth the terms and conditions under which
NEVADA provides nondiscriminatory access to NEVADA'S operations support systems
(OSS) "functions" to CLEC for pre- ordering, ordering, provisioning, maintenance
/ repair, and billing. NEVADA has established performance measurements to
illustrate non-discriminatory access. These measurements are represented in
Appendix Performance Measurements.

          1.2 Resale and Unbundled Network Elements (UNE) functions, will be
accessible via electronic interface, as described herein, where such functions
are available. Manual access is available for all pre-ordering, ordering,
provisioning, and billing functions via the Local Service Center (LSC). Repair
and maintenance functions are available in a manual mode through the Local
Operations Center (LOC).

          1.3 CLEC agrees to utilize NEVADA electronic interfaces, as described
herein , only for the purposes of establishing and maintaining Resale services
or UNEs through NEVADA. In addition, CLEC agrees that such use will comply with
the summary of SBC's security practices as attached on the user ID request form.
Failure to comply with such security guidelines may result in forfeiture of
electronic access to OSS functionality.

          1.4 CLEC's access to pre-order functions described in 2.2.2 and 2.3.2
will only be used to view Customer Proprietary Network Information (CPNI) of
another carrier's end-user where CLEC has obtained an authorization for release
of CPNI from the end user and has obtained an authorization to become the end
user's local service provider. The authorization for release of CPNI must
substantially reflect the following:

                   1.4.1 "This written consent serves as instruction to all
holders of my local exchange telecommunications Customer Proprietary Network
Information (CPNI) and account identification information to provide such
information to the undersigned. Specifically, I authorize disclosure of my
account billing name, billing address, and directory listing information, and
CPNI, including, service address, service and feature subscription, long
distance carrier identity, and all pending service order activity. This
Authorization remains in effect until such time that I revoke it directly or
appoint another individual/company with such capacity or undersigned receives
notice to disconnect my local exchange service or notice that a service
disconnect has been performed. At and from such time, this Authorization is null
and void."

Or

                   1.4.2 Authorization for change in local exchange service and
release of CPNI with documentation that adheres to all requirements of state and
federal law, as applicable.
<PAGE>

               1.5  By utilizing electronic interfaces to access OSS functions,
                    CLEC agrees to

perform accurate and correct ordering as it relates to the application of Resale
rates and charges where they are subject to the terms of this Interconnection
Agreement and applicable NEVADA tariffs, and CLEC agrees to perform accurate and
correct ordering as it relates to NEVADA UNE rates and charges per the terms of
this Interconnection Agreement. All exception handling must be requested
manually from the LSC.

          1.6 In areas where Resale and UNE. order functions are not available
via an electronic interface for the pre-order, ordering and provisioning
processes, NEVADA and CLEC will use manual processes. Should NEVADA develop
electronic interfaces for these functions for itself, NEVADA will make
electronic access available to CLEC.

          1.7 The Information Services (I.S.) Call Center will provide technical
support function for electronic interfaces. CLEC will also provide a single
point of contact for technical issues related to the electronic interfaces.

          1.8 NEVADA and CLEC will establish interface contingency plans and
disaster recovery plans for the pre-order, ordering and provisioning of Resale
services and UNE.

          1.9 NEVADA reserves the right to modify or discontinue the use of any
          system or interface as it deems appropriate. Provided however,

(a) NEVADA shall provide CLEC with at least 90 days prior written notice of any
planned discontinuance and provide CLEC with a functionally equivalent interface
to access the OSS functions for any system or interface that is discontinued.
Upon CLEC request, NEVADA shall also provide a reasonable transition period.

(b) NEVADA shall provide CLEC with reasonable prior written notice of any
significant system modifications.

          1.10 If CLEC elects to utilize electronic interfaces based upon
industry guidelines for Resale or UNE, NEVADA and CLEC agree to participate in
the Order and Billing Forum (OBF) and the Telecommunications Industry Forum
(TCIF) to establish and conform to uniform industry guidelines for electronic
interfaces for pre- order, ordering, and provisioning. Neither Party waives its
rights as participants in such forums or in the implementation of the
guidelines. To achieve system functionality as quickly as possible, the Parties
acknowledge that NEVADA may deploy these interfaces with requirements developed
in advance of industry guidelines. Thus, subsequent modifications may be
necessary to comply with emerging guidelines. CLEC and NEVADA are individually
responsible for evaluating the risk of developing their respective systems in
advance of guidelines and agree to support their own system modifications to
comply with new requirements. In addition, NEVADA has the right to define LSR
Usage requirements according to the General Section 1.0, paragraph 1.4 of the
practices in the OBF Local Service Ordering Guidelines (LSOG), which states:
"Options described in this practice may not be
<PAGE>

applicable to individual providers tariffs; therefore, use of either the field
or valid entries within the field is based on the providers tariffs/practices."

          1.11 Due to enhancements and on-going development of access to the
functionalities of NEVADA'S OSS, certain interfaces described in this Appendix
may be modified, temporarily unavailable or may be phased out after execution of
this Appendix. In compliance with section 1.9 of this Appendix, NEVADA agrees
that interfaces phased out will be accompanied with proper notice. For those
interfaces that are not available at time of execution, but which will become
available after signature of this Appendix, NEVADA will provide CLEC notice of
when such interfaces will be available.

          1.12 CLEC is responsible for obtaining operating system software and
hardware to access OSS functions as specified in the document "Requirements for
Access to Nevada Bell OSS Functions."

2.       Pre-Order

          2.1 NEVADA will provide real time access to pre-order functions to
support CLEC ordering of Resale services and UNE. The Parties acknowledge that
ordering requirements necessitate the use of current, real time pre-order
information to accurately build service orders. The following lists represent
pre-order functions that are available to CLEC so that CLEC order requests may
be created to comply with NEVADA ordering requirements.

          2.2      Pre-ordering functions for Resale services include:

          2.2.1 features and services available at a valid service address (as
          applicable);

                  2.2.2 access to NEVADA retail or resold customer proprietary
network information (CPNI) and account information for pre-ordering will
include: billing name, service address, billing address, service and feature
subscription, directory listing information, long distance carrier identity, and
pending service order activity (CLEC agrees that CLEC's representatives will not
access the information specified in this subsection until after the customer
requests that his or her local exchange service provider be changed to CLEC and
customer authorization for release of CPNI has been obtained which complies with
conditions as described in section 1.4 of this Appendix.);

          2.2.3 a telephone number (if the customer does not have one assigned)
          with the customer on-line,

2.2.4 service availability dates to the customer;

2.2.5 information regarding whether dispatch is required;
<PAGE>

               2.2.6 Primary Interexchange Carrier (PIC) options for intraLATA
                    toll (when available) and interLATA toll;

2-2.7    service address verification.

2.3      Pre-ordering functions for UNE include:

2.3.1    features available at an end office for a valid service address (as

applicable);

               2.3.2 access to NEVADA retail or resold customer proprietary
                    network information (CPNI) and account information for
                    pre-ordering will include: billing name, service address,
                    billing address, service and feature subscription, directory
                    listing information, long distance carrier identity, and
                    pending service order activity (CLEC agrees that CLEC's
                    representatives will not access the information specified in
                    this subsection until after the customer requests that his
                    or her local exchange service provider be changed to CLEC
                    and customer authorization for release of CPNI has been
                    obtained which complies with conditions as described in
                    section 1.4 of this Appendix.);

          2.3.3 telephone number assignment (if the customer does not have one
          assigned) with the customer on-line;

               2.3.4 Primary Interexchange Carrier options for intraLATA toll
                    (when available) and interLATA toll;

2.3.5    service address verification.

               2.4. Electronic Access to Pre-Order Functions: NEVADA will
                    provide CLEC access to one or more of the following systems:

                  2.4.1 Resale Services Pre-order System Availability:

                  2.4.1.1 Service Order Retrieval and Distribution (SORD) will
be available for the pre-order function of viewing the CPNI, when SORD is used
to order NEVADA resale service.

2.4.2 Resale and UNE Pre-order System Availability:

               2.4.2.1 DataGate is a transaction-based data query system through
                    which NEVADA will provide CLEC access to pre-ordering
                    functions. This gateway shall be a Transmission Control
                    Protocol/Internet Protocol (TCP/IP) gateway and will allow
                    CLEC to access the pre-order functions for Resale services
                    and UNE by CLEC developing its own enduser interface. NEVADA
                    and CLEC agree to cooperate in developing and implementing
                    an
<PAGE>

electronic communication interface that will be consistent with industry
guidelines developed by the OBF and the TCIF, assuming they are different from
that which NEVADA is providing.

                   - 2.4.2.2 Verigate is an end-user interface developed by
NEVADA that provides access to the pre-ordering functions for Resale Services
and UNE. Verigate may be used in connection with electronic or manual ordering.
Verigate will be accessible via Toolbar.

     2.4.2.3 CLEO is a NEVADA system which is available to provide the CLEC with
pre- order functions for Resale Service and UNE, with the exception of viewing
CPNI. CLEO will be replaced by Verigate.

2.5      Other Pre-order Function Availability:

                  2.5.1 Where pre-ordering functions are not available
electronically CLEC will manually request this information from NEVADA'S LSC for
inclusion on the service order request.

3.       Ordering/Provisioning

         3.1 NEVADA provides real time access to ordering functions (as measured
from the time NEVADA receives accurate service requests from the interface) to
support CLEC provisioning of Resale services and UNE via one or more electronic
interfaces. To order Resale services and LNEs, CLEC will format the service
request to identify what features, services, or elements it wishes NEVADA to
provision in accordance with NEVADA ordering requirements. NEVADA will provide
CLEC access to one or more of the following systems or interfaces:

         3.2      Resale Services Order Request System Availability:

                  3.2.1 NEVADA Bell Service Manager (PBSM) is available for
ordering Centrex and ISDN Resale Services.

                  3.2.2 When available, Service Order Retrieval and Distribution
(SORD) system will support the ordering of all Resale Services.

     3.3 Resale and UNE Service Order Request Ordering System Availability:

                  3.3.1 NEVADA makes available to CLEC an Electronic Data
Interchange (EDI) interface for transmission of NEVADA ordering requirements via
formats provided on the Local Service Request (LSR) as defined by the Ordering
and Billing Forum (OBF) and via EDI mapping as defined by TCIF. In ordering and
provisioning Resale, CLEC and NEVADA will utilize industry guidelines developed
by OBF and TCIF EDI to transmit data based upon NEVADA'S Resale ordering
requirements. In ordering and provisioning UNE CLEC and NEVADA will utilize
industry guidelines developed by OBF and TCIF EDI to transmit data
<PAGE>

based upon NEVADAS UNE ordering requirements. In addition, Interim Number
Portability will be ordered consistent with the OBF LSR and EDI process. EDI
ordering functionality will be made available as negotiated in time frames
mutually acceptable to NEVADA and CLEC.

                  3.3.2 CESAR supports the ordering of unbundled dedicated
transport and local interconnection hunks. In ordering and provisioning
unbundled dedicated transport and local interconnection hunks, CLEC and NEVADA
will utilize industry guidelines developed by OBF based upon NEVADA ordering
requirements.

                  3.3.3 When available, LSR Exchange (LEX) is a graphical user
interface provided by NEVADA that will provide access to the ordering functions
for Resale Services and UNE.

         3.4 Provisioning for Resale services and UNE: NEVADA will provision
Resale Services and UNE as detailed in CLEC order requests. Access to status on
such orders will be provided via the following electronic interfaces:

                  3.4.1 When available, NEVADA Bell Order Dispatch (PBOD)
functions via DataGate will allow CLEC to check status of basic exchange service
orders that require field work.

                  3.4.2 In cases of EDI ordering, NEVADA will provide CLEC with
an EDI interface for transferring and receiving orders, Firm Order Confirmation
(FOC), service completion, and, as available, other provisioning data and
information. NEVADA will provide CLEC with a FOC for each Resale and UNE service
request. The FOC will include: purchase order number, telephone number, Local
Service Request number, due date, Service Order number, and completion date.
Upon work completion, NEVADA will provide CLEC with an 855 EDI transaction-based
Order Completion that states when that order was completed. CLEC may submit
supplement requests via the 860 EDI transaction, and, where available, NEVADA
will provide CLEC an 865 EDI transaction-based Completion notice.

4.       Maintenance/Repair

         4.1 Two real time electronic interfaces are accessible to place, and
check the status of trouble reports for both Resale and UNE. Upon request, CLEC
may access these functions via the following methods:

                  4.1.1 NEVADA Bell Service Manager (PBSM) allows CLECs to
perform NET, issue trouble tickets, view status, and view trouble history
on-line.

     4.1.2 Electronic Bonding Interface (EBI) is an interface that is available
for trouble report submission and status updates. This EBI conforms to ANSI
guidelines T1:227:1995 and T1.228:1995, Electronic. Communications
Implementation Committee (ECIC)
<PAGE>

Trouble Report Format Definition (TFRD) Number 1 as defined in ECIC document
ECICITRA/95-003, and all guidelines referenced within those documents, as
mutually agreed upon by CLEC and NEVADA. Functions currently implemented will
include Enter Trouble, Request Trouble- Report Status, Add Trouble Information,
Modify Trouble Report Attributes, Trouble Report Attribute Value Change
Notification, and Cancel Trouble Report, as explained in 6 and 9 of ANSI
TI.228:1995. CLEC and NEVADA will exchange requests over a mutually agreeable
X.25-based network.

5.       Billing

         5.1 NEVADA shall bill CLEC for resold services and UNE. NEVADA shall
send associated billing information to CLEC as necessary to allow CLEC to
perform billing functions. At minimum NEVADA will provide CLEC billing
information in a paper format or via magnetic tape, as agreed to between CLEC
and NEVADA.

     5.2 Electronic access to billing information for Resale Services will also
be available via the following interfaces:

                  5.2.1 NEVADA shall provide CLECs a Usage Extract Feed
electronically, on a daily basis, with information on the usage billed to its
accounts for resale services in the industry standardized Exchange Message
Record (EMR) format.

     5.3 Electronic access to billing information for UNE will also be available
via the following interfaces:

                  5.3.1 NEVADA makes available to CLECs a local Bill Data Tape
to receive data in an electronic format from its CABS database, the same
information that would appear on its paper bill.

                  5.3.2 NEVADA shall provide CLECs a Usage Extract Feed
electronically, on a daily basis, with information on the usage billed to its
accounts for UNE in the industry standardized Exchange Message Record (EMR)
format.

6.       Remote Access Facility

         6.1 CLEC must access the NEVADA OSS interfaces via the NEVADA Remote
Access Facility (PRAF). Connection to the PRAF will be established via a "port"'
either through dial-up or direct connection. CLEC may utilize a single port to
access these interfaces to perform the supported functions in NEVADA where CLEC
has executed an Appendix OSS and purchases System Access.
<PAGE>

7.       Operational Readiness Test (ORT) for Ordering/Provisioning and Repair/

         Maintenance Interfaces

         7.1 Prior to live access to interface functionality, the Parties must
conduct Operational Readiness Testing (ORT), which will allow for the testing of
the systems, interfaces, and processes for the OSS functions. ORT will be
completed in conformance with NEVADA requirements and implementation scheduling.

          7.2 Prior to live system usage, CLEC must complete user education
          classes for

NEVADA-provided interfaces that affect the NEVADA network. Classes are
train-the-trainer format to enable CLEC to devise its own course work for its
own employees. Charges will apply for each class. Classes will be available for
and required for PBSM, CESAR, LEX, and SORD.

          Optional classes will be available for Verigate and CLEO. Schedules
          will be made available

upon request and are subject to change. The length of classes vary; the
following table presents the applicable rates. Ongoing class schedules may be
requested from CLEC's account manager.
<TABLE>
<CAPTION>

Training Rates    5 day     4.5 day   4 day     3.5 day   3 day    2.5 day   2 day     1.5 day    I day    1/2 day
                  class      class    class      class    class     class    class      class     class     class

<S>  <C>           <C>       <C>       <C>       <C>      <C>        <C>      <C>        <C>          <C>        <C>
I to 5 students    $4,050    $3,650    $3,240    $2,835   $2,430     $2,025   $1,620     $1,215      S810       S405
6 students         $4,860    $4,380    $3,890    $3,402   $2,915     $2,430   $1,945     $1,455      S970       S490
7 students         $5,670    $5,100    $4,535    $3,969   $3,400     $2,835   $2,270     $1,705    $1,135       S570
8 students         $6,480    $5,830    $5,185    $4,536   $3,890     $3,240   $2,590     $1,950    S1,300       $650
9 students         $7,290    S6,570    S5,830    S5,103   S4,375     S3,645   S2,915     S2,190    S1,460       S730
10 students        $8,100    $7,300    $6,480    $5,670   S4,860     $4,050   S3,240     $2,430    S1,620       S810
I I students       $8,910    $8,030    $7,130    $6,237   S5,345     S4,455   S3,565     $2,670    $1,780       $890
12 students        $9,720    $8,760    S7,780    $6,804   $5,830     S4,860   $3,890     $2,920    S1,945       $970
</TABLE>

     7.3 A separate agreement will be required as a commitment to pay for a
specific

number of CLEC students in each class. CLEC agrees that charges will be billed
by NEVADA and CLEC payment is due 30 days later. CLEC agrees that personnel from
other competitive Local Service Providers may be scheduled into any class to
fill any seats for which the CLEC has not contracted. Class availability is
first-come, first served with priority given to CLECs who have not yet attended
the specific class.

         7.4 Class dates will based upon NEVADA availability and will be
coordinated between CLEC, NEVADA Account Manager and Product Management.

         7.5 CLEC agrees to pay cancellation fee of the full price noted in the
separate agreement if CLEC cancels scheduled classes less than two weeks prior
to the scheduled start date. CLEC agrees to provide to NEVADA completed
registration forms for each student no later than one week prior to the
scheduled training class.

         7.6 CLEC agrees that CLEC personnel attending classes are to utilize
only training databases and training presented to them in class. Attempts to
access any other NEVADA or SBC system are strictly prohibited.
<PAGE>

         7.7 CLEC further agrees that training material, manuals and instructor
guides 'Can be duplicated only for use internally for the purpose of training
employees to utilize capabilities of NEVADA's OSSs in accordance with this
Appendix.

8.       Rates

         8.1 Not forgoing the PUC of Nevada's ability to establish costing and
pricing rules for access to OSS, NEVADA and CLEC agree on the following terms in
establishment of OSS rates for access to NEVADA's OSS functions. CLEC will pay
NEVADA the OSS rate(s) that will be established within 14 calendar days from the
date NEVADA OSS rates are set forth in California Public Utilities Commission's
first rulemaking in the Open Access and Network Architecture Development (OANAD)
proceeding. Should an OSS rate(s) not be established in OANAD by September 30,
1998, CLEC will pay NEVADA the OSS rate(s) that NEVADA determine* (within 14
days) but that are based upon the methodology NEVADA uses to propose rate(s) in
OANAD. Such rates paid will be subject to true-up should the final outcome of
OANAD establish a different rate methodology. Should the PUC of Nevada set forth
a proceeding that will establish OSS rates, the terms of the section will be
modified to reflect the final outcome of such proceeding. This rate waiver is
expressly for access to OSS functions, and not applicable to any other product,
unless expressly documented in this Agreement. Neither party waives its rights
pursuant to OSS or any other product in the OANAD proceeding, nor rights in any
other product cost proceeding.

9.       Effective Date

         9.1 Whereas CLEC is currently operational under an existing, approved
Interconnection Agreement, this Appendix OSS will be effective, pending
commission approval, 10 days after it is filed with the state commission.
Alternatively, this Appendix will be effective upon approval by the state
commission when it is approved as a part of the Interconnection Agreement.
<PAGE>

APPENDIX

Performance Measures
<PAGE>

1.0      Introduction

The parties agree that the measurements set forth in this appendix, if met by
Nevada Bell, illustrate non- discriminatory access to Nevada Bell's Operations
Support Systems (OSS) and cover the five recognized OSS functions (Pre-Ordering,
Ordering, Provisioning, Maintenance and Repair, and Billing).

The performance measures contained herein, notwithstanding any provisions in any
other appendix in this Agreement, are not intended to create, modify or
otherwise affect parties' rights and obligations. The existence of any
particular performance measure, or the language describing that measure, is not
evidence that CLEC is entitled to any particular manner of access, that these
measures relate solely to access to OSS, or is it evidence that Nevada Bell's
obligations are limited to providing any particular manner of access. The
parties' rights and obligations to such access are defined elsewhere, including
the relevant laws, FCC and NPUC decisions/regulations, tariffs, and
interconnection agreements.

The Performance Measures, Remedies Plan, related auditing and review procedures
contained herein are subject to modification by final decisions of the
Commission and subsequent approval by Nevada Bell.

2.0       Reservation of Rights

By agreeing to the performance measures contained in this agreement, Nevada
Bell:

          o does not make any admission regarding the propriety or
          reasonableness of the NPUC establishing performance penalties;

          o reserves the right to contest the level of disaggregatio for purpose
          of assessing penalties by the NPUC;

          o reserves the right to contend that any resulting penalties
          established by the NPUC should be viewed as liquidated damages and as
          the exclusive remedy for any failure of performance; and,

          o does not admit that an apparent less-than-parity condition reflects
          discriminatory treatment without further factual analysis.

3.0      Reporting Process

Performance reports will be made available to the CLEC by the fifteenth calendar
day of the month succeeding the reporting period (calendar month, unless
otherwise noted). If the fifteenth falls on a weekend or holiday, the reports
will be made available the next business day. Positive reporting will be done
for all measures, even those reported on an exception only basis.

CLEC will have access to monthly reports through an interactive website to
include individual CLEC data, aggregate CLEC data, and Nevada Bell's data.
<PAGE>

4.0      Auditing

CLEC and Nevada Bell will consult with one another and attempt in good faith to
resolve any issues regarding the accuracy or integrity of data collected,
generated, and reported pursuant to this Appendix. In the event that CLEC
requests such consultation and the issues raised by CLEC have not been resolved
within 30 days after CLEC's request for consultation, then Nevada Bell will
allow CLEC to commence a mini-audit, at CLEC's expense, upon providing Nevada
Bell 5 days advance written notice (including e-mail).

CLEC may not request more than five (5) mini-audits of performance measures
during the year and is limited to auditing five (5) single measures during the
year. CLEC will pay for the miniaudits, including Nevada Bell's reasonable
associated costs and expenses, unless Nevada Bell is found to be misreporting or
misrepresenting data or to have non-compliant procedures, in which case, Nevada
Bell will pay for the mini-audit, including CLEC reasonable associated costs and
expenses. If during the mini-audit of individual measures, more than 50% of the
measures in a major service category are found to have flawed data or reporting
problems, the entire service category will be re-audited at the expense of
Nevada Bell. The major service categories are listed below:

                              o  Pre-Ordering

                              o  Ordering

                              o  Provisioning

                              o Maintenance

                              o  Network Performance

                              o  Billing

                              o  Database Updates

                              o Collocation

                              o  Interfaces

In addition to the mini-audits, Nevada Bell will perform an annual comprehensive
of Nevada Bell's reporting procedures and reportable data. This audit will be
performed on behalf of the aggregate of CLECs and performed by independent
auditors. The cost of the annual audit will be shared between CLEC and Nevada
Bell.

5.0      Review Procedures

The parties agree that as experience is acquired with Performance Measures and
underlying business processes, parties will learn which measures set forth in
Section 9.0 have not been properly defined or are more or less useful than
others. Parties also agree that experience will show whether new measures are
needed or whether certain existing measures are not needed or require
modification. Accordingly, the parties agree to review the effectiveness of and
modifications to the Performance Measures in February 2000. In the event parties
cannot agree on any addition, deletion or modification, parties will jointly
submit such dispute for resolution by the NPUC.
<PAGE>

If, prior to the agreed-upon review date, there is consensus that one or more
measures are not effective, Parties will meet to discuss modifying the
measure(s) or process(es). If there is no consensus, the individual Party
seeking formal review by the NPUC shall give notice to the other Party of its
intent to do so. The Party will also describe the action it intends to take and
the reason(s) for its proposed actions.

6.0      Performance Remedies Plan

This section sets forth the terms and conditions by which Nevada Bell will pay
CLEC liquidated damages in the event Nevada Bell fails to meet specified
performance measures. The Parties agree and acknowledge that a) the Liquidated
Damages are not a penalty and have been determined based upon the facts and
circumstances known to the Parties at the time of the negotiation and entering
into of this Agreement, with due consideration given to the performance
expectations of each Party; b) the Liquidated Damages constitute a reasonable
approximation of the damages the CLEC would sustain if its damages were readily
ascertainable.

6.1      Sole Remedy

These liquidated damages shall be the sole and exclusive monetary remedy of CLEC
for Nevada Bell's failure to meet specified performance measures and shall be in
lieu of any other damages CLEC might otherwise seek for such breach through any
claim or suit brought under any contract or tariff.

6.2      Payments/Credits

Payments/credits are made directly to the CLEC. Nevada Bell's obligations to
provide nondiscriminatory access to its operations support systems, under the
Act and under the interconnection agreements, is to the CLEC. Accordingly,
payments/credits for out of parity performance will be made to the CLEC in the
form of liquidated damages.

6.3      Sample Size

Liquidated damages only apply to those measures where the sample is large enough
to provide a valid statistical comparison. The minimum sample size is 20
occurrences per submeasure/measure per month.

6.4      Commencement Of Remedies

None of the liquidated damages provisions set forth in this Agreement will apply
during the first three months after CLEC purchases the type of service or
unbundled network elements(s) associated with a particular performance measure.
<PAGE>

6.5      Review Period

Should performance payments be reviewed with performance measures by the NPUC,
the Parties agree to meet and negotiate any changes required to bring this
agreement into compliance with any recommendations for changes made by the NPUC.

6.6      Parity Submeasures

Generally, the measures and submeasures contained in this Appendix specify
parity with Nevada Bell performance (i.e., performance equal to that which
Nevada Bell achieves for itself) as the Performance Criterion. Performance on a
single measure or submeasure that is 1.65 standard deviations below-the level of
service that Nevada Bell provides to itself constitutes a failure. An increased
performance remedy is imposed when the out of parity condition remains in this
range for three consecutive months ("chronic" occurrence), or when the out of
parity condition is more than three standard deviations below the level of
Nevada Bell's performance for itself (a "severe" miss).

For a chronic miss (three consecutive months) or severe miss (greater than three
standard deviations), the amount of the remedy will triple for a one month miss
greater than 1.65 or 2.36 standard deviations. In other words, in the third
month, Nevada Bell will pay twice that amount to the CLEC.

6.7      Benchmark Submeasures

For certain measures/submeasures, a specific quantitative target has been
adopted. Nevada Bell will pay for any occurrences beyond the acceptable level in
the benchmark. The chronic and severity elements analogous to those set forth
for the parity measures are also applicable.
<PAGE>

  6.8      Remedies Plan

  The table below sets forth the parameters for the specific criteria under
  which performance remedies will be imposed on Nevada Bell.

          Degree of Deviation 1 month 3 consecutive months 1.65(lesser than)
          S.D. plus or minus 2.36 for $125. $3750 parity submeasures (0 LT
          occurrences LT or equal to 5% for benchmark submeasures) 2.36 LT SD LT
          or equal to 3.0 for parity $375 $3750 submeasures (5% LT occurrences
          LT or equal to 10% for benchmark submeasures) GT 3 S.D. for parity
          $625 $3750 submeasures (GT 10% for benchmark submeasureel .1 1 1 1

Payments/credits are based on the number of submeasures that were out of parity
(i.e., greater than 1.65 standard deviations or those submeasures below the
benchmark) for the given submeasure, and escalated by a factor of three for
chronic and severe problems. Nevada Bell will receive a "forgiveness" every six
months, for each submeasure, which Nevada Bell can use to offset a missed
submeasure.
<PAGE>

Limitations

Nevada Bell receives one forgiveness each 6 months per submeasure. Subject to
the additional limitations below, the forgiveness must be used at the first
available opportunity.
A forgiveness cannot be used immediately after a missed month. A forgiveness
cannot be used to offset a chronic (a miss three or more consecutive months) or
severe (a miss of more than 3 standard deviations) miss. A forgiveness cannot be
applied to other than the submeasure to which it is originally assigned.
Nevada Bell cannot accrue (hold) more than two forgiveness units, at any one
time, for any given submeasure.

6.9      Procedural Cap

If the total liquidated damages amounts computed within one month for all CLECs
exceeds $100,000, an expedited hearing will be held to determine whether the
amounts exceeding $100,000 should be paid by Nevada Bell. The amounts owed up to
$100,000 will be prorated and paid to CLEC. Nevada Bell will be required to make
the payments/credits in excess of $100,000 only if a preponderance of the
evidence shows that Nevada Bell engaged in negligent or intentional misconduct
and that CLEC suffered substantial competitive harm.

7.0      Exceptions

In no event will Nevada Bell be liable to pay liquidated damages if Nevada
Bell's failure to meet or exceed any of the specified measures is caused,
directly or indirectly, by a Delaying Event. A "Delaying Event" 'means; a) a
failure by the CLEC to perform any of its obligations set forth in this
Agreement; b) any delay, act or failure to act by an end user, agent or
subcontractor of either Party-, c) any force majeure event; d) for Out of
Service Repairs for unbundled loops, where either Party lacks automatic testing
capability, or e) situations where Nevada Bell's failure to meet any of the
specified measures is beyond the control of Nevada Bell for other reasons. If a
Delaying Event (i) prevents Nevada Bell from performing a specified measure,
then such specified measure will be excluded from the calculation of liquidated
damage, or (H) only suspends Nevada Bell's ability to timely perform the
specified measure, the applicable time frame in which Nevada Bell's compliance
with the performance criteria is measured will be extended on an hour-for-hour
or day-for-day basis, as applicable, equal to the duration of the Delaying
Event.

The most obvious of such exceptions would include items such as force majeure
events, situations where the CLEC is at fault for the apparent less-than-parity
performance result, or situations where such result is beyond the control of
Nevada Bell for other reasons.

In addition, there will be situations where the process is really in parity but
inherent limitations in the performance measures suggest an out of parity
condition. Nevada Bell will conduct a factual analysis on those atypical
situations and present the results of such analysis to CLEC within 30
<PAGE>

days of presenting the performance results containing the apparent out of parity
condition to CLEC to show the apparent less-than-parity performance result is
not the result of discriminatory treatment.

  Nevada Bell will also be relieved from payment of remedies for failures on
  certain performance measures associated with Pre-Ordering, Ordering,
  Provisioning, , Network Performance, Billing, Database Updates, Collocation,
  and Interfaces, that are affected by the CLEC's failure to provide accurate
  and timely forecasts. CLEC must forecast product volumes within 20% of actual
  results and submit orders without discrepancies for 80% of its orders. Order
  accuracy will be used to offset any amounts owed by Nevada Bell under this
  remedies plan.

8.0       Specified Measures To Which Remedies Apply

Liquidated damages for Nevada Bell's failure to meet specified performance
measures will only apply to the Specified Measures listed below:

           Pre-Ordering
           Average Response Time (to Pre-Order Queries)

           Ordering
           Average FOC/LSC Notice Interval
           Average Reject Notice Interval
           Percent Of Flow Through Orders

           Provisioning
           Percent of Orders Given Jeopardy Notice Average Jeopardy Notice
           Interval Average Completed Interval Coordinated Customer Conversion
           LNP Network Provisioning Percent of Due Dates Missed Held Order
           Interval Provisioning Trouble Reports Percent Troubles in 30 Days For
           New Orders Average Completion Notice Interval

           Maintenance
           Customer Trouble Report Rate
           Percent of Customer Trouble Not Resolved Within Estimated Time
           Average Time to Restore
           Frequency of Repeat Troubles In 30 Day Period

           Network Performance
           Percent Blocking On Common Trunks
           Percent Blocking On Interconnection Trunks
<PAGE>

NXX Loaded by LERG Effective Date
Network Outage Notification

Billing
Usage Timeliness
Accuracy of Usage Feed
Wholesale Bill Timeliness
Usage Completeness
Recurring Charge Completeness
Non-Recurring Charge Completeness
Bill Accuracy
Duplicate Billing
Accuracy of Mechanized Bill Feed

Database Updates
Average Database Update Interval
Percent Database Accuracy
E911/911 MS Database Update Interval

Collocation
Average Time To Respond To A Collocation Request
Average Time To Provide A Collocation Arrangement

Interfaces
Percent Of Time Interface Is Available
Average Notification Of Interface Outages
Center Responsiveness
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 10 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

9.0  Performance Measures

     Nevada Bell will provide the following Performance Measures under this
agreement:

                             Performance Measures

Report Requirements
================================================================================
Pre-Ordering                                                Measure 1
------------

Measurement:             Average Response Time (to Pre-Order Queries)
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             The response interval for each pre-ordering query is
                         determined by computing the elapsed time from Nevada
                         Bell's receipt of the query from the CLEC, whether or
                         not syntactically correct, to the time Nevada Bell
                         returns the requested data to the CLEC.

                         .    Address Verification/Dispatch Required
                         .    Request for Telephone Number
                         .    Request for Customer Service Record
                         .    Service Availability
                         .    Service Appointment Scheduling (due date)
                         .    Rejected/Failed inquires
                         .    Facility Availability
--------------------------------------------------------------------------------
Market of Calculation:   Mechanized:
                         Sum ((Query Response Date and Time) - (Query Submission
                         Date and Time)) / (Number of Queries Submitted in
                         Reporting Period)

                         Manual: - CSRs only
                         Sum ((Fax Date and Time Returned) - (Business Date and
                         Time of receipt of valid fax service request)) / Number
                         of Faxes Submitted in Reporting Period)
--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLECs, CLECs in the aggregate, by Nevada
                         Bell (if analog applies) and Nevada Bell affiliate
--------------------------------------------------------------------------------
Reported By:             By query type and by interface type, including fax
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:

                         Mechanized:
                         (To be determined)

                         Manual CSRs:
                         .    Standard - 95% in 4 hours

                         Manual Check for Facilities Availability:
                         (To be determined)

--------------------------------------------------------------------------------
Business Rules:          .    Elapsed time is measured in seconds.
--------------------------------------------------------------------------------

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 11 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Ordering                                                    Measure 2
--------

Measurement:    Average FOC/LSC Notice Interval
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the average time from receipt of a service
                         request to returning a Firm Order Confirmation
                         (FOC)/Local Service Confirmation (LSC).

--------------------------------------------------------------------------------
Method of Calculation:   Mechanized:
                         Sum ((Date and Time of FOC/LSC) - (Business Date and
                         Time of Receipt of Valid Service Request)) / (Number of
                         FOCs/LSCs Sent in Reporting Period)

                         Manual:
                         Sum ((Fax Date and Time Returned) - (Business Date and
                         Time receipt of valid fax service request)) / (Number
                         of Faxes Submitted in Reporting period)
--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLECs, CLECs in the aggregate, by Nevada
                         Bell (if analog applies) and Nevada Bell affiliates.
--------------------------------------------------------------------------------
Reported By:             .    Electronically received/electronically handled
                         .    Electronically received and manually handled
                         .    Manually received and manually handled
                         .    By service group type
                         .    Nevada Bell Bell will report Interconnection
                              trunks by New and Augment
                         .    SOT for flow through orders
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:

                         Fully Electronic/Flow Through:
                         (To be determined)

                         Electronically Received/Manually Handled (Benchmark
                         level to be determined)
                         Manually received/Manually Handled (Benchmark level to
                         be determined)

                         Interconnection Trunks
                              Standard - Average 7 days (New)
                                         Average 4 days (Augment)

                         The standards below are interim and subject to review
                         in February, 2000.
                         Electronically Received/Manually Handled (to be
                         determined)
                         Manually received/Manually Handled (to be determined)

--------------------------------------------------------------------------------
Business Rules:          .  Elapsed time calculated in hours.
                         .    The start time of requests received after the end
                              of the business day will be the beginning of the
                              next business day. Business day is defined as
                              published hours of operation for Nevada Bell
                              ordering center.
                         .    Business day = Monday through Friday, excluding
                              weekends and Nevada Bell published holidays
                         .    Excludes non-business days.
--------------------------------------------------------------------------------
Notes:                   .    Incorporation of the results for Projects is
                              currently under study (up to 50 lines) by Nevada
                              Bell.

--------------------------------------------------------------------------------
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 12 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Ordering                                                    Measure 3
--------

Measurement:    Average Reject Notice Interval
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Reject interval is the elapsed time between Nevada
                         Bell's receipt of an order from the CLEC to Nevada
                         Bell's return of a notice of a rejection to the CLEC.
--------------------------------------------------------------------------------
Market of Calculation:   Mechanized

                         Sum ((Business Date and Time of Nevada Bell's
                         Transmission of Order Rejection) - Business Date and
                         Time of Order Receipt)) / (# of Orders Rejected)

                         Manual

                         Sum ((Fax Date and Time Returned) -(Business Date and
                         Time Receipt of valid fax service request)) / (Number
                         of Faxes Submitted in reporting Period)
--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada
                         Bell (if analog applies) and Nevada Bell Affiliates
--------------------------------------------------------------------------------
Reported By:             .    Electronically received, electronically handled
                                   .    All interfaces
                                   .    Syntax (edit engine) and content errors
                                        (other edits)
                                   .    SOT (To be determined)
                         .    Electronically received, manually handled
                                   .    All interfaces
                                   .    Syntax (edit engine) and content errors
                                        (other edits)
                                   .    Resale orders and Facility based/UNE
                                        orders
                                   .    SOT (To be determined)
                         .    Manually received and handled (fax)
                                   .    Resale orders and Facility based/UNE
                                        orders
                                   .    SOT (To be determined)
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     (To be determined)

--------------------------------------------------------------------------------
Business Rules:          .    Elapsed time calculated in hours.
                         .    Calculation of requests received after the end of
                              the business day starts at the beginning of the
                              next business day. Business day is defined as
                              published hours of operation for Nevada Bell.
                         .    Business day = Monday through Friday, excluding
                              weekends and Nevada Bell published holidays.
                         .    Excludes non-business days.
--------------------------------------------------------------------------------
Notes:                   .    Availability of Nevada Bell Affiliate data for
                              review will be determined by the NPUC.
--------------------------------------------------------------------------------
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 13 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Ordering                                          Measure 4
--------

Measurement:     Percentage of Flow-Through Orders
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the percentage of merchanized service requests
                         processed on a flow through basis.

--------------------------------------------------------------------------------
Method of Calculation:   [(Number of valid mechanized orders that flow-through
                         without manual intervention) / (Total valid mechanized
                         service requests)]x 100

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLECs, CLECs in the aggregate, and Nevada
                         Bell Affiliates
--------------------------------------------------------------------------------
Reported By:             .    All electronic interfaces
                         .    SGT/SOT (including PNP) limited to those currently
                              programmed to flow-through
                         .    SGT/SOT aggregate data includes all service
                              group/service order combinations received
                              electronically.

--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     The process to evaluate performance on this measure is
                         under development. Issues, if any, are not yet finally
                         defined. Final resolution depends on completed
                         development on an agreed to Flow-Through Plan.

--------------------------------------------------------------------------------
Notes                    .    Availability of Nevada Bell Affiliate data for
                              review will be determined by the NPUC.
================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 15 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM. INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Provisioning                                                Measure 6
------------

Measurement:    Average Jeopardy Notice Interval
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the remaining time between the pre-existing
                         committed order completion date and time (communicated
                         via the FOC) and the date and time Nevada Bell issues a
                         notice to the CLEC indicating an order is in jeopardy
                         of missing the due date (or the due date/time has been
                         missed).
--------------------------------------------------------------------------------
Method of Calculation:   Assignment:
                         ----------
                         Jeopardies identified during assignment

                         Sum ((Date of Committed Due Date for the Order) - (Date
                         of Jeopardy Notice)) / (Number of Order Jeopardized)

                         Installation:
                         ------------
                         Jeopardies identified during installation prior to due
                         time

                         Sum ((Date & Time of Committed Due Date for the Order)-
                         (Date & Time of Jeopardy Notices)) / (Number of
                         Installation Jeopardy Notices)

                         Notification of Missed Commitments

                         Sum (Due Date and Time of Missed Commit Notice - Due
                         Date and Time of Order) / (Number of Missed Commit
                         Notices)

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLECs, CLECs in the aggregate, and Nevada
                         Bell Affiliates
--------------------------------------------------------------------------------
Reported By:             .    By electronic interface
                         .    By service group type
                         .    By lack of facilities and all other
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     (To be determined)

--------------------------------------------------------------------------------
Business Rules:          .    Excludes delays for customer reasons.

--------------------------------------------------------------------------------
Notes:                   .    Availability of Nevada Bell Affiliate data for
                              review will be determined by the NPUC.
                         .    If Nevada Bell's policy changes regarding jeopardy
                              notices to their Retail customers, this measure
                              should be evaluated for analog.

                         .    Implementation of this measure is postponed until
                              process is mechanized. (end of 2/nd/ quarter 1999)

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Notes:

--------------------------------------------------------------------------------
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 16 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

<TABLE>
<CAPTION>
Performance Measures
Report Requirements
=============================================================================================================================
<S>                                   <C>                                            <C>            <C>
Provisioning                                                                                        Measure 7
------------

Measurement:                          Average Completed Interval
=============================================================================================================================
Area                                  Requirement Description
-----------------------------------------------------------------------------------------------------------------------------
Description:                          Average business days from receipt of valid, error-free service request to completion
                                      date in service order system for new, move, and change orders.

-----------------------------------------------------------------------------------------------------------------------------
Method of Calculation:                Total business days from receipt of valid, error-free service request to completion
                                      date in service order system for new, move and change orders / Total new, move and
                                      change orders

-----------------------------------------------------------------------------------------------------------------------------
Report Period:                        Monthly
-----------------------------------------------------------------------------------------------------------------------------
Report Structure:                     Individual CLEC, CLECs in the aggregate, by Nevada Bell (if analog applies), and
                                      Nevada Bell Affiliates
-----------------------------------------------------------------------------------------------------------------------------
Reported By:                          By service group type and field work/no field work where applicable.
-----------------------------------------------------------------------------------------------------------------------------
Geographic Level:                     Region
-----------------------------------------------------------------------------------------------------------------------------
Measurable Standards:                 Parity for Resale is Retail

                                      Parity for UNE measured                        Nevada Bell Bell Retail
                                      for the following UNEs:
                                      2/4w (8db) analog loop                         POTS - Business (fielded)
                                        (incl. Coin/analog PBX)
                                      2/4w (5.5 db) assured analog loop              POTS - Business (Assured)
                                      2w digital loop (ISDN capable)                 ISDN(BRI)
                                      2w digital loop (xDSL capable)                 ADSL
                                      4w digital loop (1.544Mbps                     ISDN(PRI)/DS1
                                        capable/HDSL)
                                      UNE Port-Basic Analog/Coin                     POTS - Business (fielded)
                                      UNE Port-CENTREX                               CENTREX
                                      UNE Port-ISDN (BRI)                            CENTREX
                                      UNE Port-DS1/ISDN-PRI                          DS1/ISDN(PRI)
                                        (incl. DS1 line port)
                                      UNE Port-PBX DID                               PBX DID
                                      UNE Dedicated Transport                        HICAP
                                        (incl. DS1 and DS3)
                                      UNE Platform                                   Analogous Retail Service

                                      Interconnection Trunks                         Nevada Bell Dedicated Trunks

-----------------------------------------------------------------------------------------------------------------------------
Business Rules:                       .   Excludes customer requested due dates beyond interval offered, and orders
                                         delayed for customer reasons.
-----------------------------------------------------------------------------------------------------------------------------
Notes:                                .   Incorporation of the results for Projects is currently under study
                                          (up to 50 lines) Nevada Bell.
                                          .   Availability of Nevada Bell Affiliate data for review will be determined by
                                              the NPUC.

                                      .   ADSL was selected as the analog for resale services and UNE DSL 2-wire loop
                                          because it currently is the most relevant analog.
                                      .   Currently, Nevada Bell can not differentiate between residential and business
                                          2-wire (8db) Therefore, the Measurable Standard for such loops is POTS-Business.
=============================================================================================================================
</TABLE>
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 17 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

<TABLE>
<S>                <C>                                           <C>
Performance Measures
Report Requirements
===========================================================================================================
Provisioning                                                     Measure 8
------------

Measurement:       Percent Completed Within Standard Interval
===========================================================================================================
Area                     Requirement Description
-----------------------------------------------------------------------------------------------------------
Description:             Measures of orders completed within the standard interval of receipt of valid,
                         error-free service request.

-----------------------------------------------------------------------------------------------------------
Method of Calculation:   Total New, Move and Change Orders Completed Within the Standard interval of
                         Receipt of Valid, Error-free Service Request/Total New, Move and Change Orders

-----------------------------------------------------------------------------------------------------------
Report Period:           Monthly
-----------------------------------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell (if analog applies), and
                         Nevada Bell Affiliates
-----------------------------------------------------------------------------------------------------------
Reported By:             By service group type excluding services with flexible due dates.
-----------------------------------------------------------------------------------------------------------
Geographic Level:        Region
-----------------------------------------------------------------------------------------------------------
Measurable Standard:     Parity for Resale is Retail
                                                                      Nevada Bell Bell Retail
                         Parity for UNE measured
                         for the following UNEs:
                         2/4w (5.5 db) assured analog loop            POTS - Business (Assured)
                         2w digital loop(ISDN capable)                ISDN(BRI)
                         2w digital loop(xDSL capable)                ADSL
                         4w digital loop (1.544Mbps capable/HDSL)     ISDN(PRI)/DS1
                         UNE Port-Basic Analog/Coin                   POTS - Business (fielded)
                         UNE Port-CENTREX                             CENTREX
                         UNE Port-ISDN (BRI)                          CENTREX
                         UNE-Port-DS1/ISDN-PRI                        DS1/ISDN(PRI)
                            (incl. DS1 line port)
                         UNE Port-PBX DID                             PBX DID
                         UNE Dedicated Transport                      HICAP
                            (DS1 and DS3)
                         UNE Platform                                 Analogous Retail Service

                         Interconnection Trunks                       Nevada Bell Dedicated Trunks

-----------------------------------------------------------------------------------------------------------
Business Rules:          .    Excludes customer requested due dates greater than the standard interval,
                              and orders delayed for customer reasons.
                         .    Excludes services with flexible due date i.e., Basic Exchange services/POTS

-----------------------------------------------------------------------------------------------------------
Notes:                   .    Incorporation of the results for Projects is currently under study (up to 50
                              lines) by Nevada Bell.
                         .    Availability of Nevada Bell Affiliate data for review will be determined by the
                              NPUC.

                         .    ADSL was selected as the analog for resale services and UNE DSL 2-wire loop
                              because it currently is the most relevant analog.
===========================================================================================================
</TABLE>
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 18 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Provisioning                                      Measure 9
------------

Measurement:       -     Coordinated Customer Conversion as a Percentage On-Time
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the percentage of coordinated orders
                         (TBCC/CHC) completed on time* for all orders where CLEC
                         has requested coordination (including PNP).

                         * Note: "On time" means within one hour of committed
                         order due time

--------------------------------------------------------------------------------
Method of Calculation:   ((Number of coordinated orders completed by due date
                         and time) / (Count of coordinated orders completed in
                         reporting period)) x 100

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell
                         (if analog applies), by Nevada Bell Affiliates
--------------------------------------------------------------------------------
Reported By:             Residence and Business conversions, including PNP
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     Parity, except for PNP:
                                                        Nevada Bell Bell Retail

                         Coor. Conversions (Res.)          Coor. Conv. -Res
                         Coor. Conversions (Bus.)          Coor. Conv. -Bus
                         Coor. Conversions (PNP-Port Out)  Coor. Conv. -(PNP-
                                                            Port In/Bank)

--------------------------------------------------------------------------------
Business Rules:          .    Excludes CLEC caused misses
                         .    Applies to CLEC requested coordinated orders only
                              (including Number Portability orders where
                              coordination is requested by the CLEC).

--------------------------------------------------------------------------------
Notes:                   .    Availability of Nevada Bell Affiliate data for
                              review will be determined by the NPUC.

================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 19 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Provisioning                                                Measure 10
------------

Measurement:             PNP Network Provisioning
--------------------------------------------------------------------------------
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures PNP network provisioning failures as a
                         percentage of the total number of NPAC broadcasts of
                         telephone number subscription versions to port.

                         (No agreement has reached among parties on this measure
                         at this time.)
--------------------------------------------------------------------------------
Method of Calculation:   (Total number of PNP network provisioning
                         failures/Total number of NPAC porting broadcasts) x 100

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell
                         (if analog applies), and Nevada Bell Affiliates
--------------------------------------------------------------------------------
Reported By:
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     Parity

--------------------------------------------------------------------------------
Business Rules:          .    Provisioning failure data will be collected at two
                              points in the provisioning process:
                                .  Partial failures of NPAC broadcasts to reach
                                   and be processed by Nevada Bell LSMS
                                .  Individual network database failures -
                                   failures to provision between Nevada Bell
                                   LSMS and PNP network databases (STP or SCP)
                         .    Excludes total failures from the NPAC to all LSMS
                              systems.
                         .    Excludes broadcasts failing due to a lack of GTT
                              information made available to Nevada Bell (no SS7
                              signaling agreement in place between Nevada Bell
                              and CLEC)

--------------------------------------------------------------------------------
Notes:                   .    Availability of Nevada Bell Affiliate data for
                              review will be determined by the NPUC.

================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 20 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

<TABLE>
<CAPTION>
Performance Measures
Report Requirements
==============================================================================================
Provisioning                                      Measure 11
------------

Measurement:     Percent of Due Dates Missed
==============================================================================================
Area                     Requirement Description
----------------------------------------------------------------------------------------------
<S>                      <C>
Description:             Measures the percent of new, move and change orders where
                         installation was not completed by the due date.

----------------------------------------------------------------------------------------------
Method of Calculation:   (Total Number of Missed Due Dates Due to Nevada Bell Reasons for
                         New, Move and Change Orders/ Total Number of New, Move and Change
                         Orders) x 100
----------------------------------------------------------------------------------------------
Report Period:           Monthly
----------------------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell (if analog
                         applies), by Nevada Bell Affiliates
----------------------------------------------------------------------------------------------
Reported By:             By service group type and Field Work/No Field Work as appropriate
----------------------------------------------------------------------------------------------
Geographic Level:        Region
----------------------------------------------------------------------------------------------
Measurable Standard:     Parity for Resale is Retail              Nevada Bell Bell Retail

                         Parity for UNE measured
                         for the following UNEs:
                         2/4w (8db) analog loop                   POTS - Business (fielded)
                            (incl. Coin/analog PBX)
                         2/4w (5.5 db) assured analog loop        POTS - Business (Assured)
                         2w digital loop(ISDN capable)            ISDN(BRI)
                         2w digital loop(xDSL capable)            ADSL
                         4w digital loop (1.544Mbps               ISDN(PRI)DS1
                            capable/HDSL)
                         UNE Port-Basic Analog/Coin               POTS - Business (fielded)
                         UNE Port-CENTREX                         CENTREX
                         UNE Port-ISDN (BRI)                      CENTREX
                         UNE Port-DS1/ISDN-PRI                    DS1/ISDN(PRI)
                              (incl. DS1 line port)
                         UNE Port-PBX DID                         PBX DID
                         UNE Dedicated Transport                  HICAP
                            (incl. DS1 and DS3)
                         UNE Platform                             Analogous Retail Service

                         Interconnection Trunks                   Nevada Bell Dedicated Trunks

----------------------------------------------------------------------------------------------
Business Rules:          .    Excludes customer misses
                         .    Due date is defined as either original due date or final due
                              date if the original due date was missed to customer reasons.
----------------------------------------------------------------------------------------------
Notes:                   .    Availability of Nevada Bell Affiliate data for review will be
                              determined by the NPUC.
                         .    When results are less than parity for a reporting period,
                              Nevada Bell will provide disaggregation by Missed Appointment
                              reason codes as diagnostic data.

                         .    ADSL was selected as the analog for resale services and UNE
                              DSL 2-wire loop because it currently is the most relevant
                              analog.
==============================================================================================
</TABLE>

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                  PAGES 21 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599
Performance Measures
Report Requirements

<TABLE>
<CAPTION>
======================================================================================================
Provisioning                                           Measure 12
------------

Measurement:    Percent of Due Dates Missed Due to Lack of Facilities
======================================================================================================
 Area                    Requirement Description
------------------------------------------------------------------------------------------------------
<S>                      <C>
 Description:            Measures the percent of new, move and change orders missed due to lack of
                         facilities.

                         Note: Results also included in Measure "Percent Missed Due Dates"
------------------------------------------------------------------------------------------------------
 Method of Calculation:  ((Total New, Move and Change Orders Missed Due Dates Due to Lack of
                         Facilities) / (Total Number of New, Move and Change Orders)) X 100

------------------------------------------------------------------------------------------------------
 Report Period:          Monthly
------------------------------------------------------------------------------------------------------
 Report Structure:       Individual CLEC, CLECs in the aggregate, by Nevada Bell (if analog applies),
                         and by Nevada Bell Affiliates
------------------------------------------------------------------------------------------------------
 Reported By:            By service group type and Field Work/No Field Work as appropriate
------------------------------------------------------------------------------------------------------
 Geographic Level:       Region
------------------------------------------------------------------------------------------------------
 Measurable Standard:    Parity for Resale is Retail

                         Parity for UNE measured                      Nevada Bell Bell Retail
                         for the following UNEs:
                         2/4w (8db) analog loop
                           (incl. Coin/analog PBX)                    POTS - Business (fielded)
                         2/4w (5.5 db) assured analog loop            POTS - Business (Assured)
                         2w digital loop(ISDN capable)                ISDN(BRI)
                         2w digital loop(xDSL capable)                ADSL
                         4w digital loop(1.544Mbps capable/HDSL)      ISDN(PRI)/DS1
                         UNE Dedicated Transport                      HICAP
                           (incl. DS1 and DS3)
                         UNE Platform                                 Analogous Retail Service

                         Interconnection Trunks                       Nevada Bell Dedicated Trunks

------------------------------------------------------------------------------------------------------
 Business Rules:         .  Due date is defined as either original due date or final due date if the
                            original due date was missed due to customer reasons.
------------------------------------------------------------------------------------------------------
 Notes:                  .  Availability of Nevada Bell Affiliate data for review will be determined
                            by the NPUC.

                         .  ADSL was selected as the analog for resale services and UNE DSL 2-wire
                            loop because it currently is the most relevant analog.
------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 22 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Provisioning                                      Measure 13
------------

Measurement:             Delay Order Interval to Completion Date (For Lack of
                         Facilities)
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the average calendar days from due date to
                         completion date on company missed orders due to lack of
                         Nevada Bell facilities.

--------------------------------------------------------------------------------
Method of Calculation:   Sum (Completion Date - Committed Order Due Date (for
                         orders missed due to lack of Nevada Bell facilities)) /
                         (Number of Orders Missed due to Lack of Nevada Bell
                         Facilities in the Reporting Period)
--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell
                         (if analog applies), and by Nevada Bell Affiliates
--------------------------------------------------------------------------------
Reported By:             .    By service group type
                         .    Disaggregated by 1-30 days, 31-90 days and *90
                              days
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     Parity for Resale is Retail

                         Parity for UNE measured      Nevada Bell Bell Retail
                         for the following UNEs:

                         2/4w (8db) analog loop       POTS - Business (fielded)
                         (incl. Coin/analog PBX)
                         2/4w (5.5 db) assured
                         analog loop                  POTS - Business (Assured)
                         2w digital loop (ISDN
                         capable)                     ISDN(BRI)
                         2w digital loop (xDSL
                         capable)                     ADSL
                         4w digital loop (1.544       ISDN(PRI)/DSI
                         MBPS capable/HDSL)
                         UNE Dedicated Transport      HICAP
                         UNE Platform                 Analogous Retail Service

                         Interconnection Trunks       Nevada Bell Dedicated
                                                      Trunks

--------------------------------------------------------------------------------
 Business Rules:
--------------------------------------------------------------------------------
 Notes:                  .  Availability of Nevada Bell Affiliate data for
                            review will be determined by the NPUC.

                         .  ADSL was selected as the analog for resale services
                            and UNE DSL 2-wire loop because it currently is the
                            most relevant analog.

* Greater than
================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 23 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

  Performance Measures
  Report Requirements
================================================================================
  Provisioning                                    Measure 14
  ------------

  Measurement:   Held Order Interval
================================================================================
  Area                  Requirement Description
 -------------------------------------------------------------------------------
  Description:          Measures the time period that service orders are not
                        completed by the original due dates for all Nevada
                        Bell reasons (including lack of facilities).

--------------------------------------------------------------------------------
  Method of             Sum (Reporting Period Close Date - Committed Order Due
  Calculation:          Date) / (Number of Orders Pending and Past the Committed
                        Due Date)
                        Note: For all orders pending and past the committed
                        due date.
--------------------------------------------------------------------------------
  Report Period:        Monthly
--------------------------------------------------------------------------------
  Report Structure:     Individual CLEC, CLECs in the aggregate, by Nevada Bell
                        (if analog applies), by Nevada Bell Affiliates
--------------------------------------------------------------------------------
  Reported By:          . By service group type
--------------------------------------------------------------------------------
  Geographic Level:     Statewide
--------------------------------------------------------------------------------
  Measurable Standard:  Parity for Resale is Retail

                        Parity for UNE measured       Nevada Bell Bell Retail
                        for the following UNEs:
                        2/4w (8db) analog loop        POTS - Business (fielded)
                          (incl. Coin/analog PBX)
                        2/4w (5.5db) assured analog
                         loop                         POTS - Business (Assured)
                        2w digital loop(ISDN capable) ISDN(BRI)
                        2w digital loop(xDSL capable) ADSL
                        4w digital loop (1.544 Mbps   ISDN(PRI)/DS1
                        capable/HDSL)
                        UNE Port-Basic Analog/Coin    POTS - Business (fielded)
                        UNE Port-CENTREX              CENTREX
                        UNE Port-ISDN (BRI)           CENTREX
                        UNE Port-DS1/ISDN-PRI         DS1/ISDN(PRI)
                           (incl. DS1 line port)
                        UNE Port-PBX DID              PBX DID
                        UNE Dedicated Transport       HICAP
                           (incl. DS1 and DS3)
                        UNE Platform                  Analogous Retail Service

                        Interconnection Trunks        Nevada Bell Dedicated
                                                      Trunks

--------------------------------------------------------------------------------
Business Rules:         . Excludes customer caused misses.
--------------------------------------------------------------------------------
Notes:                  . Availability of Nevada Bell Affiliate data for review
                          will be determined by the NPUC.
                        . When results are less than parity for a reporting
                          period, Nevada Bell will provide disaggregation by
                          Missed Appointment reason codes as diagnostic data.

                        . ADSL was selected as the analog for resale services
                          and UNE DSL 2-wire loop because it currently is the
                          most relevant analog.
================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 24 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
===============================================================================
Provisioning                                             Measure 15
------------

<TABLE>
<CAPTION>
Measurement:  Provisioning Trouble Reports (Prior to Service Order Completion)
================================================================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------------------------------------------------------
<S>                      <C>
Description:             Measures the percent of troubles that are reported (via customer or indirectly by CLEC) that occur
                         during the provisioning process.
--------------------------------------------------------------------------------------------------------------------------------
Method of Calculation:   (Number of trouble reports that occur from the time of service order creation, up to and including
                         the date of service order completion)/ (Total Number of service orders in reporting period)

--------------------------------------------------------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell (if analog applies), by Nevada Bell Affiliates
--------------------------------------------------------------------------------------------------------------------------------
Reported By:             .  By Resale, UNE Loop, UNE Port and PNP
                         .  By Affecting Service and Out of Service
--------------------------------------------------------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------------------------------------------------------
Measurable Standard:     Parity:
                                                            Nevada Bell Bell Retail
                         Resale                             Retail services
                         UNE Loop                           Retail services (outside plant disposition codes)
                         UNE Port                           Retail services (central office disposition codes)
                         PNP - Port Out                     (To be determined)

--------------------------------------------------------------------------------------------------------------------------------
Business Rules:          .  Excludes CPE and IEC/CLEC caused troubles
                         .  Excludes Subsequent reports
                         .  Excludes Message Reports (circuit reports for which Nevada Bell has no records)
                         .  Excludes Nevada Bell employee generated reports

--------------------------------------------------------------------------------------------------------------------------------
Notes:                   .  Availability of Nevada Bell Affiliate data for review will be determined by the NPUC.
                         .  When results are less than parity for a reporting period, Nevada Bell will provide disaggregation
                            by Maintenance Disposition codes as diagnostic data.
================================================================================================================================
</TABLE>

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 25 OF 53
                                             NEVADA BELL/PAC WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Provisioning                                            Measure 16
------------

Measurement:   Percentage Troubles in 30 Days for New Orders
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the percent of network customer trouble
                         reports received within 30 calendar days of service
                         order completion.
--------------------------------------------------------------------------------
Method of Calculation:   (Total Number of Customer Trouble reports received
                         within 30 calendar days of service order completion/
                         Total Number of new, move and change completed orders)
                         X 100
--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell
                         (if analog applies), and by Nevada Bell Affiliates
--------------------------------------------------------------------------------
Reported By:             By service group type (including PNP)
--------------------------------------------------------------------------------
Geographic Level:        Region
--------------------------------------------------------------------------------
Measurable Standard:     Parity for Resale is Retail

                         Parity for UNE measured      Nevada Bell Bell Retail
                         for the following UNEs:
                         2/4w (8db) analog loop
                            (incl. Coin/analog PBX)    POTS - Business (fielded)
                         2/4w (5.5 db) assured analog
                            loop                       POTS - Business (Assured)
                         2w digital loop (ISDN
                            capable)                   ISDN(BRI)
                         2w digital loop(xDSL
                            capable)                   ASDL
                         4w digital loop (1.544Mbps    ISDN(PRI)/DS1
                         capable/HSDL)
                         UNE Port-Basic Analog/Coin    POTS - Business (fielded)
                         UNE Port-CENTREX              CENTREX
                         UNE Port-ISDN (BRI)           CENTREX
                         UNE Port-DS1/ISDN-PRI         DS1/ISDN(PRI)
                            (incl. DS1 line port)
                         UNE Port-PBX DID              PBX DID
                         UNE Dedicated Transport       HICAP
                            (incl. DS1 AND DS3)
                         UNE Platform                  Analogous Retail Service

                         Interconnection Trunks        Nevada Bell Dedicated
                                                       Trunks

                         PNP (Port out)                (To be determined)

--------------------------------------------------------------------------------
Business Rules:          .  Excludes CPE and IEC/CLEC caused troubles
                         .  Excludes troubles associated with inside wire
                         .  Excludes Trouble Reports Received on the Due Date
                            (which instead are reported in the
                            "Provisioning Troubles" measure)
                         .  Excludes Subsequent reports
                         .  Excludes Message Reports (circuit reports for which
                            Nevada Bell has no records)
                         .  Excludes Nevada Bell employee generated reports
--------------------------------------------------------------------------------
Notes:                   .  Availability of Nevada Bell Affiliate data for
                            review will be determined by the NPUC.
                         .  When results are less than parity for a reporting
                            period, Nevada Bell will provide disaggregation by
                            Maintenance Disposition codes as diagnostic data.
                         .  ADSL was selected as the analog for resale services
                            and UNE DSL 2-wire loop because it currently is the
                            most relevant analog.
================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 26 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Provisioning                                           Measure 17
------------

Measurement:   Average Completion Notice Interval
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the average time per order to issue
                         notification to CLEC of a completed order.

--------------------------------------------------------------------------------
Method of Calculation:   Sum ((Date and Time of Completion Notification to CLEC)
                         - (Date and Time of Work Completion)) / (Number of
                         Orders Completed)

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, and by Nevada
                         Bell Affiliates
--------------------------------------------------------------------------------
Reported By:             All interfaces
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:
                         Fully electronic (LEX, EDI) -standard
                         All other interfaces
                              .  Standard- 90% within 24 hours

-------------------------------------------------------------------------------
Business Rules:          .    24 hour clock is used to measure interval
                         .    Excludes weekends and Nevada Bell published
                              holidays
--------------------------------------------------------------------------------
Notes:                   .    Availability of Nevada Bell Affiliate data for
                              review will be determined by NPUC.
================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 27 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Maintenance                                                 Measure 18
-----------

<TABLE>
<CAPTION>
 Measurement:       Customer Trouble Report Rate
===============================================================================================================
 Area                         Requirement Description
---------------------------------------------------------------------------------------------------------------
<S>                           <C>
 Description:                 Measures the total number of network customer trouble reports received within a
                              calendar month per 100 circuits/UNEs.

---------------------------------------------------------------------------------------------------------------
 Method of Calculation:       (Total Number of Customer initial and repeat network trouble reports / Number
                              of access lines/circuits/UNEs in service at the end of the prior reporting
                              period) X 100
---------------------------------------------------------------------------------------------------------------
 Report Period:               Monthly
---------------------------------------------------------------------------------------------------------------
 Report Structure:            Individual CLEC, CLECs in the aggregate, by Nevada Bell (if analog applies),
                              and by Nevada Bell Affiliates
---------------------------------------------------------------------------------------------------------------
 Report By:                   By service group type (including PNP) & NXX Code Opening Troubles
---------------------------------------------------------------------------------------------------------------
 Geographic Level:            Statewide
---------------------------------------------------------------------------------------------------------------
 Measurable Standard:         Parity for Resale is Retail

                              Parity for UNE measured for the              Nevada Bell Bell Retail
                              following UNEs:
                              2/4w (8db) analog loop                       POTS - Business (fielded)
                              2/4w (5.5 db) assured analog loop            POTS - Business (Assured)
                              2w digital loop (ISDN)                       ISDN(BRI)
                              2w digital loop (xDSL)                       ADSL
                              4w digital loop (ISDN PRI)                   ISDN(PRI)/DSI
                              UNE Port -- Basic Analog                     POTS - Business (fielded)
                              UNE Port -- CENTREX                          CENTREX
                              UNE Port -- PBX DID                          PBX DID
                              UNE Port -- ISDN (BRI)                       CENTREX
                              UNE Port -- DSI/ISDN (PRI)                   DSI/ISDN(PRI)
                              UNE Dedicated Transport                      HICAP
                              UNE Platform                                 Analogous Retail Service
                              Interconnection Trunks                       Nevada Bell Dedicated Trunks

                              PNP - Port Out                               (to be determined)

---------------------------------------------------------------------------------------------------------------
Business Rules:               .    Excludes CPE and IEC/CLEC caused troubles
                              .    Excludes Subsequent reports
                              .    Excludes Messages Reports (circuit reports for which Nevada Bell has no
                                   records)
                              .    Access line/circuit count taken from previous month
                              .    Excludes Nevada Bell employee generated reports
---------------------------------------------------------------------------------------------------------------
Notes:                        .    Availability of Nevada Bell Affiliate data for review will be determined
                                   by the NPUC.
                              .    When results are less that parity for a reporting period, Nevada Bell
                                   will provide disaggregation by Maintenance Disposition codes as diagnostic
                                   data.

                              .    ADSL was selected as the analog for resale services and UNE DSL 2-wire
                                   loop because it currently is the most relevant analog.
===============================================================================================================
</TABLE>

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 28 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599
<TABLE>
<CAPTION>
 Performance Measures
 Report Requirements
 ===============================================================================
 Maintenance                                      Measure 19
 -----------
 <S>                       <C>
 Measurement:              Percentage of Customer Trouble Not Resolved Within
                           Estimated Time
================================================================================
 Area                      Requirement Description
--------------------------------------------------------------------------------
 Description:              Measures the percent of trouble reports not cleared
                           by the commitment time.
--------------------------------------------------------------------------------
 Method of Calculation:    (Total network trouble reports not cleared by the
                           commitment time for Nevada Bell reasons / Total
                           network trouble reports completed) X 100
--------------------------------------------------------------------------------
 Report Period:            Monthly
--------------------------------------------------------------------------------
 Report Structure:         Individual CLEC, CLECs in the aggregate, by Nevada
                           Bell (if analog applies), and by Nevada Bell
                           Affiliates
--------------------------------------------------------------------------------
 Report By:                .     By service group type (including PNP) & NXX
                                 Code Opening Troubles
                           .     By dispatch and no dispatch
--------------------------------------------------------------------------------
 Geographic Level:         Statewide
--------------------------------------------------------------------------------
 Measurable Standard:      Parity for Resale is Retail

                           Parity for UNE measured for the    Nevada Bell Bell Retail
                           following UNEs:
                           2/4w (8db) analog loop             POTS - Business (fielded)
                           2/4w (5.5db) assured analog loop   POTS - Business (Assured)
                           2w digital loop (ISDN)             ISDN(BRI)
                           2w digital loop (xDSL)             ADSL
                           4w digital loop (ISDN PRI)         ISDN(PRI)/DS1
                           UNE Port - Basic Analog            POTS - Business (fielded)
                           UNE Port - CENTREX                 CENTREX
                           UNE Port - PBX DID                 PBX DID
                           UNE Port - ISDN (BRI)              CENTREX
                           UNE Port - DS1/ISDN (PRI)          DS1/ISDN (PRI)
                           UNE Port - Dedicated Transport     HICAP
                           UNE Platform                       Analogous Retail Service
                           Interconnection Trunks             Nevada Bell Dedicated Trunks

                           PNP - Port Out                     (To be determined)

--------------------------------------------------------------------------------
 Business Rules:           .     Excludes CPE and IEC/CLEC caused troubles
                           .     Excludes Subsequent reports
                           .     Excludes Message Reports (circuit reports which
                                 Nevada Bell has no records on)
                           .     Excludes Nevada Bell employee generated reports
                           .     Excludes customer caused misses
--------------------------------------------------------------------------------
 Notes:                    .     Availability of Nevada Bell Affiliate data for
                                 review will be determined by the NPUC.
                           .     When results are less than parity for a
                                 reporting period, Nevada Bell will provide
                                 disaggregation by Maintenance Disposition codes
                                 as diagnostic data.
                           .     ADSL was selected as the analog for resale
                                 services and UNE DSL 2-wire loop because it
                                 currently is the most relevant analog.
================================================================================
</TABLE>
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 29 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599
<TABLE>
<CAPTION>
 Performance Measures
 Report Requirements
 ====================================================================================================
 Maintenance                                     Measure 20
 -----------

 Measurement:              Average time to Restore
=====================================================================================================
 Area                      Requirement Descriptiom
-----------------------------------------------------------------------------------------------------
<S>                        <C>
 Description:              Measures the average duration of customer trouble
                           reports from the receipt of the customer trouble
                           report to the time the trouble is cleared.
-----------------------------------------------------------------------------------------------------
 Method of Calculation:    (Total duration of customer network trouble reports)
                           / (Total customer network trouble reports)
-----------------------------------------------------------------------------------------------------
 Report Period:            Monthly
-----------------------------------------------------------------------------------------------------
 Report Structure:         Individual CLEC, CLECs in the aggregate, by Nevada
                           Bell (if analog applies), and by Nevada Bell
                           Affiliates
-----------------------------------------------------------------------------------------------------
 Reported By:              .     By service group type (including PNP) & NXX
                                 Code Opening Troubles
                           .     By dispatch and no dispatch
-----------------------------------------------------------------------------------------------------
 Geographic Level:         Statewide
-----------------------------------------------------------------------------------------------------
 Measurable Standard:      Parity for Resale is Retail

                           Parity for UNE measured for the      Nevada Bell Bell Retail
                           following UNEs:
                           2/4w (8db) analog loop               POTS - Business (fielded)
                           2/4w (5.5db) assured analog loop     POTS - Business (Assured)
                           2w digital loop (ISDN)               ISDN(BRI)
                           2w digital loop (xDSL)               ADSL
                           4w digital loop (ISDN PRI)           ISDN(PRI)/DSI
                           UNE Port - Basic Analog              POTS - Business (fielded)
                           UNE Port - CENTREX                   CENTREX
                           UNE Port - PBX DID                   PBX DID
                           UNE Port - ISDN (BRI)                CENTREX
                           UNE Port - DSI/ISDN (PRI)            DSI/ISDN(PRI)
                           UNE Dedicated Transport              HICAP
                           UNE Platform                         Analogous Retail Service

                           Interconnection Trunks               Nevada Bell Dedicated Trunks

                           PNP - Port Back                      (To be determined)

-----------------------------------------------------------------------------------------------------
 Business Rules:           .     Excludes CPE and IEC/CLEC caused troubles
                           .     Excludes Subsequent reports
                           .     Excludes Message Reports (circuit reports which
                                 Nevada Bell has no records on)
                           .     Excludes Nevada Bell employee generated reports
-----------------------------------------------------------------------------------------------------
 Notes:                    .     Availability of Nevada Bell Affiliate data for
                                 review will be determined by the NPUC.
                           .     When results are less than parity for a
                                 reporting period, Nevada Bell will provide
                                 disaggregation by Maintenance Disposition codes
                                 as diagnostic data.
                           .     ADSL was selected as the analog for resale
                                 services and UNE DSL 2-wire loop because it
                                 currently is the most relevant analog.
=====================================================================================================
</TABLE>

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 30 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

 Performance Measures
 Report Requirements
 ===============================================================================
 Maintenance                                       Measure 21
 -----------

 Measurement:   POTS Out of Service Less Than 24 Hours
================================================================================
 Area                     Requirement Description
--------------------------------------------------------------------------------
 Description:             Measures the percent of POTS out-of-service trouble
                          reports cleared in less than 24 hours.

--------------------------------------------------------------------------------
 Method of Calculation:   (Total number of out of service network troubles
                          cleared in less than 24 hours / Total number of out of
                          service network troubles reported) x 100

                          Note: For non-design services only

--------------------------------------------------------------------------------
 Report Period:           Monthly
--------------------------------------------------------------------------------
 Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada
                          Bell (if analog applies), and by Nevada Bell
                          Affiliates
--------------------------------------------------------------------------------
 Reported By:             By POTS Residence and Business (Resale and (UNE)
--------------------------------------------------------------------------------
 Geographic Level:        Statewide
--------------------------------------------------------------------------------
 Measurable Standard:     Parity for Resale (POTS)

                          Parity for UNEs (Basic)      Nevada Bell Bell Retail

                          2/4w (8db) analog loop       POTS - Business (fielded)
                          UNE Port - Basic Analog      POTS - Business (fielded)
                          UNE Platform - POTS          Analogous Retail Service

--------------------------------------------------------------------------------
 Business Rules:          .    Residential and Business POTS only
                          .    Excludes no access
                          .    Interval for tickets received Saturday and Sunday
                               begins no later than Monday morning
                          .    Excludes CPE and IEC/CLEC caused troubles
                          .    Excludes Subsequent reports
                          .    Excludes Message Reports (circuit reports for
                               which Nevada Bell has no records)
                          .    Excludes Nevada Bell employee generated reports
--------------------------------------------------------------------------------
 Notes:                   .    Availability of Nevada Bell Affiliate data for
                               review will be determined by the NPUC.
                          .    When results are less than parity for a reporting
                               period, Nevada Bell will provide disaggregation
                               by Maintenance Disposition codes as diagnostic
                               data.
================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 31 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Maintenance                                              Measure 22
-----------

Measurement:   Frequency of Repeat Troubles in 30 Day Period
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the percent of customer network trouble
                         reports received within 30 calendar days of a previous
                         report.
--------------------------------------------------------------------------------
Method of Calculation:   (Total customer network trouble reports received within
                         30 calendar days of a previous customer report / Total
                         customer network trouble reports) x 100

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell
                         (if analog applies), and by Nevada Bell Affiliates
--------------------------------------------------------------------------------
Report By:               By service group type (including PNP) & NXX Code
                         Operating Troubles

--------------------------------------------------------------------------------
Geographic Level         Statewide
--------------------------------------------------------------------------------
Measurable Standard:     Parity for Resale is Retail

                         Parity for UNE measured for   Nevada Bell Bell Retail
                         the following UNEs:
                         2/4w (8db) analog loop        POTS - Business (fielded)
                         2/4w (5.5 db) assured analog  POTS - Business (Assured)
                         loop
                         2w digital loop (ISDN)        ISDN(BRI)
                         2w digital loop (xDSL)        ADSL
                         4w digital loop (ISDN PRI)    ISDN(PRI)/DS1
                         UNE Port - Basic Analog       POTS - Business (fielded)
                         UNE Port - CENTREX            CENTREX
                         UNE Port - PBX DID            PBX DID
                         UNE Port - ISDN (BRI)         CENTREX
                         UNE Port - DS1/ISDN (PRI)     DS1/ISDN(PRI)
                         UNE Dedicated Transport       HICAP
                         UNE Platform                  Analogous Retail Service

                         Interconnection Trunks        Nevada Bell Dedicated
                                                       Trunks

                         PNP - Port Out                (To be determined)

--------------------------------------------------------------------------------
Business Rules:
--------------------------------------------------------------------------------
Notes:                   .  Availability of Nevada Bell Affiliate data for
                            review will be determined by the NPUC.
                         .  When results are less than parity for a reporting
                            period, Nevada Bell will provide disaggregation by
                            Maintenance Disposition codes as diagnostic data.
                         .  ADSL was selected as the analog for resale services
                            and UNE DSL 2-wire loop because it currently is the
                            most relevant analog.
===============================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 32 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Network Performance                          Measure 23
-------------------

Measurements:     Percent Blocking on Common Trunks
================================================================================
Area                   Requirement Description
--------------------------------------------------------------------------------
Description:           Measures the percent of common and shared transport trunk
                       groups exceeding 2% blockage.

                       Note: Includes histogram distribution chart

--------------------------------------------------------------------------------

Method of Calculation: (Number of common and shared transport trunk groups
                       exceeding 2% blockage / Total number of common and shared
                       transport trunk groups) x 100

--------------------------------------------------------------------------------
Report Period:         Monthly (Exception Reporting Only)
--------------------------------------------------------------------------------
Report Structure:      Reported by common/shared transport trunk group.
--------------------------------------------------------------------------------
Report By:             By Central Office and Trunk type where individual trunk
                       types can be distinguished
--------------------------------------------------------------------------------
Geographic Level:      Statewide
--------------------------------------------------------------------------------
Measurable Standard:   To be determined

--------------------------------------------------------------------------------
Business Rules:

--------------------------------------------------------------------------------
Notes:                 Measured by:
                       .   Trunk type (e.g., EAS, Toll, InterLATA, 911, etc.)
                       .   Total trunk groups
                       .   Percent Blocking
                       .   Location "A"
                       .   Report month
                       .   Threshold exceptions

================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 33 OF 35
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Network Performance                          Measure 24
-------------------

Measurement:      Percent Blocking on Interconnection Trunks
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the percentage of final dedicated
                         interconnection trunk groups exceeding 2% blockage.

                         Notes: 1) Includes histogram distribution chart.
                                2) Applies to those trunks where Nevada Bell
                                   has augmentation control.
                                3) Does not apply when trunks are provisioned as
                                   two-way trunks.
--------------------------------------------------------------------------------
Method of Calculation:   (Number of final dedicated interconnection trunk groups
                         exceeding 2% blockage/ Total number of final dedicated
                         interconnection trunk groups) x 100

--------------------------------------------------------------------------------
Report Period:           Monthly (Exception Reporting Only)
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell
                         (if analog applies), by Nevada Bell Affiliates
--------------------------------------------------------------------------------
Report By:               By Central Office and Trunk type where individual
                         trunk types can be distinguished
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     Parity-comparison made to Nevada Bell final trunk
                         groups

--------------------------------------------------------------------------------
Business Rules:          .  Only measured on trunks where Nevada Bell has
                            outgoing traffic to ClECs, and where Nevada Bell
                            controls trunk capacity.
                         .  Threshold exception detail
                         .  Report month

--------------------------------------------------------------------------------
Notes:                   Measured by:
                         .  Trunk type (e.g., EAS, Toll, InterLATA, 911, etc.)
                         .  Total trunk groups
                         .  Nevada Bell trunk groups
                         .  CLEC trunk groups
                         .  Threshold exceptions
                         .  Nevada Bell end office to CLEC end office
                         .  Nevada Bell tandem to CLEC end office
                         .  Availability of Nevada Bell affiliate data for
                            review will be determined by the NPUC.

================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 34 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Network Performance                               Measure 25
-------------------

Measurement:             NXX Loaded by LERG Effective Date
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the number of NXXs loaded and tested by the
                         LERG effective date.

--------------------------------------------------------------------------------
Method of Calculation:  ((Number of NXXs loaded and tested by LERG effective
                         date)/(Number of NXXs scheduled to be loaded and tested
                         by LERG effective date)) x 100

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada Bell
                         (if analog applies) and by Nevada Bell Affiliates
--------------------------------------------------------------------------------
Reported By:             Reported for all NXX codes scheduled to be loaded in
                         reporting period
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     Parity-comparison made to results for loading Nevada
                         Bell NXX codes by the LERG effective date.

--------------------------------------------------------------------------------
Business Rules:          .    Excludes any NXX codes with requested loading
                              interval of less than the industry standard
                              (currently 45 days).

--------------------------------------------------------------------------------
Notes:                   .    NXX loading procedures include central
                              office/tandem translations, verification of
                              translations, call through testing, and AMA
                              testing.
                         .    TRUCALL billing validation testing is not used
                              unless maintenance trouble is reported
                         .    Availability of Nevada Bell Affiliate data for
                              review will be determined by the NPUC.

================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 35 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Network Performance--                      Measure 26
-------------------

Measurement:                  Network Outage Notification
================================================================================
Area:                         Requirement Description:
--------------------------------------------------------------------------------
Description:                  Measures the time period for notification of a
                              network outage. To be measured for the following:
                              .    Switching
                              .    Transport
                              .    Network Fire Related Incident
                              .    Network Blockage
                              .    911
                              .    SS7
--------------------------------------------------------------------------------
Method of Calculation:        Sum (Date & Time of Outage Notification)-(Date &
                              Time of Nevada Bell Outage Awareness)/Number of
                              Outages

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLEC, CLECs in the aggregate, Nevada
                              Bell (if analog applies), and Nevada Bell
                              affiliates
--------------------------------------------------------------------------------
Report By:                    Switching transport, network fire related
                              incident, network blockage, 911, SS7
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable  Standard:         Parity

--------------------------------------------------------------------------------
Business Rules:               .    Exception reporting only by central office.

--------------------------------------------------------------------------------
Notes:                        .    CLECs will be notified of all qualifying
                                   outages
                              .    If Nevada Bell develops a notification
                                   process which is parity by design, once all
                                   parties agree that complete parity is being
                                   provided, Nevada Bell may petition to have
                                   this measure deleted.
                              .    Availability of Nevada Bell Affiliate data
                                   for review will be determined by the NPUC.

================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 36 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599
<TABLE>
<CAPTION>
Performance Measures
Report Requirements
================================================================================
  Billing                                           Measure 27
  -------

  Measurement:           Usage Timelines

====================================================================================================================================
  Area                        Requirement Description
------------------------------------------------------------------------------------------------------------------------------------
<S>                           <C>
 Description:                 This measure captures the elapsed time between the recording of usage data generated either by CLEC
                              retail customers or access usage associated with CLEC customers and the time when the data set, in a
                              compliant format, is successfully transmitted to the CLEC.
------------------------------------------------------------------------------------------------------------------------------------
 Method of Calculation:       Sum ((Data Set Transmission Availability Date) - (Date of Message Recording)) / (Count of All Messages
                              available for Transmission in Reporting Period)

------------------------------------------------------------------------------------------------------------------------------------
 Report Period:               Monthly
------------------------------------------------------------------------------------------------------------------------------------
 Report Structure:            Individual CLEC's, CLEC's in the aggregate, by Nevada Bell (if analog applies) and by Nevada Bell
                              Affiliates
------------------------------------------------------------------------------------------------------------------------------------
Report By:                    .    Resale
                              .    UNE (IntraLATA and InterLATA, etc.)
                              .    Jointly provided switched access (associated with meet point billing)
------------------------------------------------------------------------------------------------------------------------------------
 Geographic Level:            Statewide
------------------------------------------------------------------------------------------------------------------------------------
 Measurable Standard:
                              Parity for Resale and UNE
                              Benchmark for jointly provided switched access (to be determined)

------------------------------------------------------------------------------------------------------------------------------------
 Business Rules:

------------------------------------------------------------------------------------------------------------------------------------
 Notes:                       .    Availability of Nevada Bell Affiliate data for review will be determined by the NPUC.
====================================================================================================================================
</TABLE>
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 37 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Billing                                      Measure 28
-------

Measurement:        Accuracy of Usage Feed
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  Measures the completeness of content, accuracy of
                              information and conformance of formatting of the
                              records Nevada Bell transmits to the CLEC in the
                              reporting period.

                              Note: This data will be reported by CLECs. If no
                              data received from CLEC, Nevada Bell will not
                              report the measure.

--------------------------------------------------------------------------------
Method of Calculation:        ((Number of Usage Records Delivered in the
                              Reporting Period That Reflected Complete
                              Information Content and Proper Formatting)/(Total
                              Number of Usage Records Transmitted)) x 100

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLECs, CLECs in the aggregate
--------------------------------------------------------------------------------
Report By:
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:          Benchmark

--------------------------------------------------------------------------------
Business Rules:

--------------------------------------------------------------------------------
Notes:
================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 38 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

  Performance Measures
  Report Requirements
  ==============================================================================
  Billing                                    Measure 29
  -------

  Measurement:      Wholesale Bill Timelines
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  This measure captures the elapsed number of days
                              between the scheduled close of a Bill Cycle and
                              Nevada Bell's successful transmission of the
                              associated invoice to the CLEC. Disaggregated by:

                              .    Resale
                              .    UNE (IntraLATA and InterLATA, etc.)
                              .    Facilities/Interconnection

--------------------------------------------------------------------------------
Method of Calculation:        Sum ((Invoice Transmission Availability Date) -
                              (Date of Scheduled Bill Cycle Close*)) / (Count
                              of Invoices Transmitted in Reporting Period )

                              *Bill Cycle Close = Bill Date

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLEC, CLECs in the aggregate, and by
                              Nevada Bell Affiliates
--------------------------------------------------------------------------------
Report By:                    .    Resale
                              .    UNE (IntraLATA and InterLATA, etc.)
                              .    Facilities/Interconnection
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:          Standard - 99% within 10 days

--------------------------------------------------------------------------------
Business Rules:               .    Includes only mechanized bills.

                              .    Excludes paper bill, magnetic bill, CD ROM
                                   bill or Custom Bill diskette bill.

--------------------------------------------------------------------------------
Notes:                        .    Availability of Nevada Bell Affiliate data
                                   for review will be determined by the NPUC.
================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 39 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Billing                                    Measure 30
-------

Measurement:      Usage Completeness
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  Measures the percentage of usage charges appearing
                              on the correct bill.

--------------------------------------------------------------------------------
Method of Calculation:        (Count of usage charges on the bill that were
                              recorded within last 30 days / total count of
                              usage charges on the bill) x 100

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLEC, CLECs in the aggregate, by
                              Nevada Bell (if analog applies) and by Nevada Bell
                              Affiliates
--------------------------------------------------------------------------------
Report By:                    .    Resale
                              .    UNE (IntraLATA and InterLATA, etc.)
                              .    Facilities/Interconnection
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:
                              Parity for Resale and UNE

                              Benchmark for Facilities/Interconnection
                                   (to be determined)

--------------------------------------------------------------------------------
Business Rules:               .    Excludes summarized charges

--------------------------------------------------------------------------------
Notes:                        .    Availability of Nevada Bell Affiliate data
                                   for review will be determined by the NPUC.
================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 40 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Billing                                       Measure 31
-------

Measurement:      Recurring Charge Completeness
================================================================================
Area                          Requirements Description
--------------------------------------------------------------------------------
Description:                  Measures the percentage of fractional recurring
                              charges appearing on the correct bill.

--------------------------------------------------------------------------------
Method of Calculation:        (Count of fractional recurring charges that are on
                              the correct bill* / total count of fractional
                              recurring charges that are on the bill) x 100

                              * Correct bill = next available bill

                              Note: Nevada Bell Bell will provide by count of
                                    charges.

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLEC, CLECs in the aggregate, by Nevada
                              Bell (if analog applies) and by Nevada Bell
                              Affiliates
--------------------------------------------------------------------------------
Report By:                    .    Resale
                              .    UNE (IntraLATA and InterLATA, etc.)
                              .    Facilities/Interconnection
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:
                              Parity for Resale and UNE POTS
                              Benchmark for Facilities/Interconnection
                              and UNE Specials (to be determined)

--------------------------------------------------------------------------------
Business Rules:               .   The effective date of the recurring charge
                                 must be within 30 days of the bill date for the
                                 charge to appear on the correct bill.

--------------------------------------------------------------------------------
Notes:                        .   Availability of Nevada Bell Affiliate data for
                                 review will be determined by the NPUC.
================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 41 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Billing                                                Measure 32
-------

Measurement:             Non-Recurring Charge Completeness
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  Measures the percentage of non-recurring charges
                              appearing on the correct bill.

--------------------------------------------------------------------------------
Method of Calculation:        (Count of non-recurring charges that are on the
                              correct bill / total count of non-recurring
                              charges that are on the bill) x 100

                              *Correct bill = next available bill

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLEC, CLECs in the aggregate, by Nevada
                              Bell (if analog applies) and by Nevada Bell
                              Affiliates
--------------------------------------------------------------------------------
Report By:                    .    Resale
                              .    UNE (IntraLATA and InterLATA, etc.)
                              .    Facilities/Interconnection
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:
                              Parity for Resale and UNE POTS
                              Benchmark for Facilities/Interconnection and UNE
                              Specials (to be determined)

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
Business Rules:               .    The effective date of the non-recurring
                                   charge must be within 30 days of the bill
                                   date for the charge to appear on the correct
                                   bill.

--------------------------------------------------------------------------------
Notes:                        .    Availability of Nevada Bell Affiliate data
                                   for review will be determined by the NPUC.

================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 42 0F 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

 Performance Measures
 Report Requirements
 ===============================================================================
 Billing                                          Measure 33
 -------

 Measurement:    Bill Accuracy
================================================================================
 Area                      Requirement Description
--------------------------------------------------------------------------------
 Description:              Measures the percentage of the total bill amount that
                           is not adjusted by correcting service orders or
                           adjustments for the month.

--------------------------------------------------------------------------------
 Method of Calculation:    (Total monies billed without corrections/ total
                           monies billed) x 100

--------------------------------------------------------------------------------
 Report Period:            Monthly
--------------------------------------------------------------------------------
 Report Structure:         Individual CLEC, CLECs in the aggregate, by Nevada
                           Bell (if analog applies) and by Nevada Bell
                           Affiliates
--------------------------------------------------------------------------------
 Report By:                .     Resale
                                      .     Usage
                                      .     Recurring Charges
                                      .     Non-Recurring Charges
                           .     UNE (IntraLATA and InterLATA, etc.)
                                      .     Usage
                                      .     Recurring Charges
                                      .     Non-Recurring Charges
                           .     Facilities/Interconnection
                                      .     Usage
                                      .     Recurring Charges
                                      .     Non-Recurring Charges

--------------------------------------------------------------------------------
 Geographic Level:         Statewide
--------------------------------------------------------------------------------
 Measurable Standard:
                           Parity for Resale and UNE POTS
                           Benchmark for Facilities/Interconnection and UNE
                           Specials (to be determined)

--------------------------------------------------------------------------------
 Business Rules:
--------------------------------------------------------------------------------
 Notes:                    .     Availability of Nevada Bell Affiliate data for
                                 review will be determined by the NPUC.
================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 43 0F 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

 Performance Measures
 Report Requirements
 ===============================================================================
 Billing                                         Measure 34
 -------

 Measurement:     Duplicate Billing (Disconnect Bill Accuracy)
================================================================================
 Area                      Requirement Description
--------------------------------------------------------------------------------
 Description:              Measures the number of former Nevada Bell customers
                           sent bills erroneously after conversion to CLEC.

--------------------------------------------------------------------------------
 Method of Calculation:    (Number of former Nevada Bell customers who receive
                           erroneous bills after conversion/ Number of former
                           Nevada Bell customers converted) x 100

--------------------------------------------------------------------------------
 Report Period:            Monthly
--------------------------------------------------------------------------------
 Report Structure:         Individual CLEC, CLECs in the aggregate, by Nevada
                           Bell (if analog applies) and by Nevada Affiliates
--------------------------------------------------------------------------------
 Report By:                Full Facilities based conversion, Resale and UNE
--------------------------------------------------------------------------------
 Geographic Level:         Statewide
--------------------------------------------------------------------------------
 Measurable Standard:      (To be determined)

--------------------------------------------------------------------------------
 Business Rules:

-------------------------------------------------------------------------------
 Notes:                    .     Excludes the final bill to an end user and
                                 bills for an residual retail services provided
                                 by Nevada Bell to the end user
                           .     Availability of Nevada Bell Affiliate data for
                                 review will be determined by the NPUC.

================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 44 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Billing                                                   Measure 35
-------

Measurement:        Accuracy of Mechanized Bill Feed
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the percentage of mechanized bill feeds that
                         are accurately passed to the CLEC in the reporting
                         period.

                         Note: This data will be reported by CLECs. If no data
                         received from CLEC, Nevada Bell will not report the
                         measure.

--------------------------------------------------------------------------------
Method of Calculation:   (Total # of files that passed / Total # of files sent
                         in that reporting period) x 100

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLECs, CLECs in the aggregate
--------------------------------------------------------------------------------
Report By:
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:     Benchmark

--------------------------------------------------------------------------------
Business Rules:

--------------------------------------------------------------------------------
Notes:

================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 45 0F 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

 Performance Measures
 Report Requirements
================================================================================
 Database Updates                           Measure 36
-----------------

 Measurement:     Average Database Update Interval
================================================================================
 Area                      Requirement Description
--------------------------------------------------------------------------------
 Description:              Measures the average time to update database.

                           .     DA/Listings Database

--------------------------------------------------------------------------------
 Method of Calculation:    ((Completion Date & Time) - (Update Submission Date &
                           Time)) / Count of Updates Completed in Reporting
                           Period

--------------------------------------------------------------------------------
 Report Period:            Monthly
--------------------------------------------------------------------------------
 Report Structure:         Individual CLECs, CLECs in the aggregate, by Nevada
                           Bell (if analog applies) and by Nevada Bell
                           Affiliates
--------------------------------------------------------------------------------
 Report By:                .     Service Order generated updates
                           .     Direct gateway input

--------------------------------------------------------------------------------
 Geographic Level:         Statewide
--------------------------------------------------------------------------------
 Measurable Standard:      Parity for service order generated updates
                           Benchmark for direct gateway input updates (to be
                           determined)

--------------------------------------------------------------------------------
 Business Rules:

--------------------------------------------------------------------------------
 Notes:                    .     CLECs reverse the right to request additional
                                 databases be included in this measure.
                           .     Availability of Nevada Bell Affiliate data for
                                 review will be determined by the NPUC.

================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 46 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Database Updates                                            Measure 37
----------------

Measurement:    Percent Database Accuracy
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the percentage of database updates completed
                         without error.

                         .    911 Database

                         .    DA/Listings Database
--------------------------------------------------------------------------------
Method of Calculation:   ((Count of Updates Completed without error)/(Count of
                         Updates Completed)) x 100

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        Individual CLEC, CLECs in the aggregate, by Nevada
                         Bell (if analog applies) and by Nevada Bell Affiliates
--------------------------------------------------------------------------------
Report By:               DA/Listings:
                         .    Service Order generated updates
                         .    Direct gateway input
                         E911 Database
                         .    Service Order generated updates
                         .    Direct gateway input
--------------------------------------------------------------------------------
Geographic Level:        Statewide

--------------------------------------------------------------------------------
Measurable Standard:     Parity for service order generated updates
                         Direct Gateway Input (To be determined)

--------------------------------------------------------------------------------
Business Rules:          .    Excludes CLEC caused errors

--------------------------------------------------------------------------------
Notes:                   .    CLECs reserve the right to request additional
                              databases be included in this measure.
                         .    Availability of Nevada Bell Affiliate data for
                              review will be determined by the NPUC.
================================================================================

<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 47 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

  Performance Measures
  Report Requirements
  ==============================================================================
  Database Updates                           Measure 38
  ----------------

  Measurement:                E911/911 MS Database Update Average
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  Measures the percentage of E911/911 database
                              updates completed within 48 hours.

--------------------------------------------------------------------------------
Method of Calculation:        (Number of records updated within 48 hours / Total
                              number of records updated) x 100

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLECs, CLECs in the aggregate, by
                              Nevada Bell (if analog applies) and by Nevada Bell
                              Affiliates
--------------------------------------------------------------------------------
Report By:                    (To be determined)
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:

                              Parity for service order generated updates

                              Direct gateway input (To be determined)

--------------------------------------------------------------------------------
Business Rules:

--------------------------------------------------------------------------------
Notes:                        .    Availability of Nevada Bell Affiliate data
                                   for review will be determined by the NPUC.
================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 48 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

  Performance Measures
  Report Requirements
  ==============================================================================
  Collocation                                Measure 39
  -----------

  Measurement:      Average Time to Respond to a Collocation Request
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  Measures the average time Nevada Bell takes to
                              respond to a CLEC's collocation request.

--------------------------------------------------------------------------------
Method of Calculation:        Sum ((Request Response Date)-(Request submission
                              Date)) / Count of Requests submitted in Reporting
                              Period

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLECs, CLECs in the aggregate and by
                              Nevada Bell Affiliates
--------------------------------------------------------------------------------
Report By:                    .    All Collocation
                                        .    Space Availability
                                        .    Price and Schedule Quote

--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:          Benchmark (to be determined)

--------------------------------------------------------------------------------
Business Rules:               .    Excludes orders canceled by CLEC

--------------------------------------------------------------------------------
Notes:
                              .    Availability of Nevada Bell Affiliate data
                                   for review will be determined by the NPUC.
================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 49 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Collocation                                                 Measure 40
-----------

Measurement:   Average Time to Provide a Collocation Arrangement
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  Measures the average time it takes Nevada Bell to
                              complete (build) a collocation arrangement.

--------------------------------------------------------------------------------
Method of Calculation:        Sum((Date Collocation Arrangement is Complete)-
                              (Date Application for Collocation Arrangement is
                              approved* by Nevada Bell))/ Total Number of
                              Collocation Arrangements Completed during the
                              Reporting Period

                              *"Approved" means Nevada Bell approves the
                              application and receives, from CLEC, financial
                              payment or bond.

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLECs, CLECs in the aggregate and by
                              Nevada Bell Affiliates
--------------------------------------------------------------------------------
Report By:                    .  All Collocation
                                   .  New
                                   .  Augment

--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:          Benchmark (to be determined)

--------------------------------------------------------------------------------
Business Rules:               .  Excludes orders canceled by CLEC

--------------------------------------------------------------------------------
Notes:                        .  Availability of Nevada Bell Affiliate data for
                                 review will be determined by the NPUC.

================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 50 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Interfaces                                        Measure 41
----------

Measurement:             Percentage of Time Interface is Available
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  Measures percent of time OSS interface is
                              available compared to scheduled availability.

--------------------------------------------------------------------------------
Method of Calculation:        ((Number of Scheduled System Available Hours) -
                              (Number of Unscheduled System Unavailable Hours))
                              / Scheduled System Available Hours) x 100

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             CLECs in the aggregate, by Nevada Bell (if analog
                              applies)
--------------------------------------------------------------------------------
Reported By:                  By interface type for all interfaces accessed by
                              CLECs (e.g., pre-ordering, ordering, and
                              maintenance)
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:          Parity for systems used by both Nevada Bell and
                              CLEC

                              Benchmark for all other systems (to be determined)

--------------------------------------------------------------------------------
Business Rules:               .   Outage hours are obtained from outage reports
                              .   Any change requests for extended availability
                                  during the reporting period are added to the
                                  schedule hours.

--------------------------------------------------------------------------------
Notes:

================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 51 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Interfaces                                  Measure 42
----------

Measurement:         Average Notification of Interface Outages
================================================================================
Area                          Requirement Description
--------------------------------------------------------------------------------
Description:                  Measures the time it takes Nevada Bell to notify
                              the CLEC of an outage of an interface.

--------------------------------------------------------------------------------
Method of Calculation:        Sum((Date and time of Outage Notification to
                              CLECs)-(Date and time of Nevada Bell awareness of
                              Interface Outage))/Total Number of Interface
                              Outages

--------------------------------------------------------------------------------
Report Period:                Monthly
--------------------------------------------------------------------------------
Report Structure:             Individual CLEC, CLECs in the aggregate, and by
                              Nevada Bell Affiliates
--------------------------------------------------------------------------------
Reported By:                  By interface type for all interfaces accessed by
                              CLECs
--------------------------------------------------------------------------------
Geographic Level:             Statewide
--------------------------------------------------------------------------------
Measurable Standard:          Standard - 97% in 15 minutes

--------------------------------------------------------------------------------
Business Rules:

--------------------------------------------------------------------------------
Notes:                        .   Availability of Nevada Bell Affiliate data
                                  for review will be determined by the NPUC.
================================================================================
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 52 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Performance Measures
Report Requirements
================================================================================
Interfaces                                        Measure 43
----------

Measurement:        Center Responsiveness
================================================================================
Area                     Requirement Description
--------------------------------------------------------------------------------
Description:             Measures the average time it takes Nevada Bell work
                         center to answer a call.

--------------------------------------------------------------------------------
Method of Calculation:   Sum (Date and Time of Call answer - Date and Time of
                         Call Receipt) / (Total calls answered by center))

--------------------------------------------------------------------------------
Report Period:           Monthly
--------------------------------------------------------------------------------
Report Structure:        CLECs in the aggregate, and by Nevada Bell (if analog
                         applies)
--------------------------------------------------------------------------------
Report By:
                         .  Nevada Bell Ordering Center
                         .  Nevada Bell Repair Center
--------------------------------------------------------------------------------
Geographic Level:        Statewide
--------------------------------------------------------------------------------
Measurable Standard:
                         Repair Centers
                           Parity
                         Benchmark for Ordering Centers
                                .  Standard - average 15 seconds

--------------------------------------------------------------------------------
Business Rules

--------------------------------------------------------------------------------
Notes:                   .  Measured by individual queue, if applicable, in each
                            Nevada Bell center.

================================================================================

              APPLICABILITY OF OTHER RATES, TERMS AND CONDITIONS

This appendix, and every interconnection, service and network element provided
hereunder, shall be subject to all rates, terms and conditions contained in this
Agreement or any other appendices or attachments to this Agreement which are
legitimately related to such interconnection, service or network element; and
all such rates, terms and conditions are incorporated by reference herein and as
part of every interconnection, service and network element provided hereunder.
Without limiting the general applicability of the foregoing, the following terms
and conditions of the General Terms and Conditions are specifically agreed by
the Parties to be legitimately related to, and to be applicable to, each
interconnection, service and network element provided hereunder: definitions,
interpretation and construction, notice of changes, general responsibilities of
the
<PAGE>

                                                   APPENDIX PERFORMANCE MEASURES
                                                                   PAGE 53 OF 53
                                             NEVADA BELL/PAC-WEST TELECOMM, INC.
                                                                          031599

Parties, effective date, term, termination, disclaimer of representations and
warranties, changes in end user local exchange service provider selection,
severability, intellectual property, indemnification, limitation of liability,
force majeure, confidentiality, audits, disputed amounts, dispute resolution,
intervening law and miscellaneous.
<PAGE>

APPENDIX

PHYSICAL COLLOCATION

                                      213
<PAGE>

TABLE OF CONTENTS

 1.      GENERAL OFFERING ....................................................1

 2.      DEFINITIONS .........................................................1

 3.      APPLICATION .........................................................3

 4.      SPACE AVAILABILITY ..................................................3

 5.      PREMISES AND PREPARATION ............................................4

  5.6 Movement of Premises ...................................................6
      ------------------------------------------------------------------------

7

6.       TERM

7

7.       PREMISES CHARGES

 8.      BILLING ............................................................10

 9.      INTERCONNECTION CHARGES ............................................11

 10.     SERVICE COORDINATION ...............................................11

 11.     USE OF PREMISES ....................................................11

 12.     STANDARDS ..........................................................14

 13.     POWER ..............................................................16

 14.     OPERATIONAL RESPONSIBILITIES .......................................16

                                      214
<PAGE>

 15.     ASSIGNMENT .........................................................18

 16.     CASUALTY LOSS ......................................................18

 17.     RE-ENTRY ...........................................................19

 18.     LIMITATION OF LIABILITY ............................................19

 19.     INDEMNIFICATION OF NEVADA ..........................................21

 20.     SERVICES, UTILITIES, MAINTENANCE AND FACILITIES ....................21

 21.     SUCCESSORS BOUND ...................................................22

 22.     NOTICES ............................................................22

 23.     COMPLIANCE WITH LAWS ...............................................23

 24.     OSHA STATEMENT .....................................................23

 25.     INSURANCE ..........................................................23

 26.     PROTECTON OF SERVICE AND PROPERTY ..................................25

 27.     PURPOSE AND SCOPE OF THIS APPENDIX .................................27

 28.     MISCELLANEOUS ......................................................28

                                      215
<PAGE>

APPENDIX PHYSICAL COLLOCATION

1.       GENERAL OFFERING

1.1      This Appendix sets forth the descriptions and requirements for Physical

         Collocation that NEVADA offers and will provide to CLEC under this
         Agreement.

          1.2 Except where Physical Collocation is not practical for technical
          reasons or

         because of space limitations, NEVADA will provide Physical Collocation
         to CLEC in accordance with this Appendix for the purposes of
         interconnection to NEVADA pursuant to 47 U.S.C. Section 251(c)(2) and
         for obtaining access to NEVADA's unbundled network elements pursuant to
         47 U.S.C. Section 251(c)(3). Physical Collocation shall be provided on
         a non-discriminatory basis, on a "first come, first-served" basis, and
         otherwise in accordance with the requirements of the Act (including 47
         U.S.C. Section 25 1 (c)(6)), and applicable FCC rules thereunder.

     1.3 Unless contrary to the terms and conditions contained in this Appendix,
the terms

         and conditions of this Agreement are incorporated herein by this
         reference and shall apply as if set forth herein.

2.       DEFINITIONS

2.1      CLEC Telecom Equipment

         The telecommunications equipment and ancillary telecommunications
         facilities that the CLEC is permitted to and does place in the Premises
         as allowed by this Appendix. "CLEC Telecom Equipment" includes
         telecommunications equipment necessary for interconnection to NEVADA or
         access to its unbundled network elements in accordance with the Act,
         applicable FCC rules, and paragraphs 579-582 of the FCC's First Report
         and Order, FCC 96-325, 11 FCC Rcd 15499 (1996) ("First Interconnection
         Order'). Such telecommunications equipment includes but is not limited
         to:

(a)      transmission equipment, such as optical terminating equipment and

         multiplexers;

          (b) equipment for the termination of basic transmission facilities
          pursuant to

         47 C.F.R. Sections 64.1401 and 64.1402 as of August 1, 1996;
         and

(c)      such additional telecommunications equipment that may be agreed to by

         NEVADA and CLEC, or designated in future FCC or Commission decisions.
         By way of example, "CLEC Telecom Equipment" includes remote switch
         modules ("RSMs") and monitoring equipment installed in

                                      216
<PAGE>

          the Premises to send data to CLEC's work center for analysis.

By way of further example and of limitation, equipment used to provide
"information services" or "enhanced services" (as each is defined by applicable
federal statutes and regulations) is not permitted to be placed by CLEC in the
Premises or in the Eligible Structure, and thus are not included within "CLEC
Telecom Equipment."

2.2      Eligible Structure

         The structure in which the Premises is located, and is:

(a)      a NEVADA tandem office, central office, or serving wire center; or

(b)      a building or similar structure owned or leased by NEVADA that houses

         its network facilities; or

(c)      a structure that houses NEVADA facilities on public rights-of-way,

         including, where space exists and it is not impractical for technical
         reasons and not prohibited or restricted by legal obligation,
         controlled environment vaults ("CEVs'~, huts, and cabinets

               (i)  that serve as remote terminal sites and house NEVADA
                    interoffice network facilities such a loop concentrators or
                    multiplexers; and

                  (ii)     house interoffice network facilities.

2.3      Physical Collocation

         Physical Collocation is as defined in 47 C.F.R. Section 51.5.

2.4      Physical Collocation Arrangement

     Refers to a single, specific provision of Physical Collocation in a
particular

         Premises.

2.5      Power
         Refers to any electrical power source for use in or used within the
         Premises or Eligible Structure.

2.6      Premises
         The space designated for CLEC's Physical Collocation arrangement.
2.7      Virtual Collocation
         Virtual Collocation is as defined in 47 C.F.R. Section 51.5.

                                      217
<PAGE>

3.       APPLICATION

          3.1 CLEC shall complete and submit, along with any application charge,
          the then

          standard NEVADA application for Physical Collocation. Such application
          and associated instructions can be found in NEVADA's "Collocation
          Services Handbook" (as defined in Section 12. 1 (b)).

3.2      If a request by CLEC for Physical Collocation or to place a specific
         piece of telecommunications equipment in an Eligible Structure is
         denied on the basis of that equipment, NEVADA shall prove to the
         Commission that such equipment is not "necessary" (as defined by the
         FCC) for interconnection to NEVADA or access to its unbundled network
         elements, or that Physical Collocation of such equipment is not
         practical for technical reasons or is not allowed due to legal
         obligations or restrictions.

4.       SPACE AVAILABILITY

         4.1      NEVADA is not required to provide Physical Collocation at a
                  particular Eligible Structure if it demonstrates to the
                  Commission that Physical Collocation is not practical for
                  technical reasons or because of space limitations. In such
                  cases, NEVADA will provide Virtual Collocation, except at
                  points where NEVADA proves to the Commission that Virtual
                  Collocation is not technically feasible. If Virtual
                  Collocation is not technically feasible, NEVADA will provide
                  other methods of interconnection and access to unbundled
                  network elements to the extent technically feasible.

4.2      At the request of CLEC or direction of the Commission, NEVADA will
         submit to the Commission detailed floor plans or diagrams of any
         Eligible Structure where NEVADA claims that Physical Collocation is not
         practical because of space limitations, where such plans or diagrams
         exist. Where such plans or diagrams do not exist or when otherwise
         agreed, NEVADA and CLEC will either agree to an alternate method of
         addressing a NEVADA claim of space unavailability, or NEVADA will
         comply with the Commission's direction.

          4.3 NEVADA is not required to lease or construct additional space to
          provide for Physical Collocation when existing space has been
          exhausted. Moreover, NEVADA is not required to, nor shall this
          Appendix create any obligation or expectation, to relinquish used or
          forecasted space or facilities subject to the provisions hereof, or to
          undertake the construction of new quarters or to construct additions
          to existing quarters in order to satisfy any request for additional
          space or the placement of equipment or facilities, whether through an
          initial request for Physical Collocation or a subsequent request for
          more space in an Eligible Structure.

                                      218
<PAGE>

4.4      To the extent possible, NEVADA will make contiguous space available to
         CLEC if CLEC seeks to expand an existing Physical Collocation
         arrangement and such request meets NEVADA's non-discriminatory
         practices regarding efficient space utilization.

4.5      When planning renovations of existing Eligible Structures or
         constructing or leasing new Eligible Structures, NEVADA will take into
         account known projected demand for Collocation.

4.6      NEVADA may retain a limited amount of floor space for NEVADA's own
         specific future uses for a time period on terms no more favorable to
         NEVADA than those that apply to other telecommunications carriers,
         including CLEC, seeking to reserve Collocation space for their own
         future use. Except for space needed for switching equipment
         "turnaround" (e.g., the installation of new switching equipment to
         replace then-existing switching equipment), if any, NEVADA will
         relinquish any space held for future use before denying a request for
         Virtual Collocation on grounds of space limitations, unless NEVADA
         proves to the Commission that Virtual Collocation at that point is not
         technically feasible, including that space does not exist. In any such
         event, NEVADA and CLEC will attempt to reach a mutually agreeable
         alternative method of interconnection.
4.7      NEVADA may impose reasonable restrictions on its provision of
         additional unused space available for Collocation (so-called
         "warehousing") as described in paragraph 586 of the First
         Interconnection Order; provided, however, that NEVADA shall not set a
         maximum space limitation on CLEC unless NEVADA proves to the Commission
         that space constraints make such restrictions necessary.

5.       PREMISES AND PREPARATION

               5.1  NEVADA will construct the Premises in compliance with the
                    Parties mutually

          agreed-upon design for cable holes, ground bars, doors, and
          convenience outlets.

         After CLEC has made the initial preparation payment required hereunder
         (with the application charge, if any, not considered a preparation
         payment, initial or otherwise), NEVADA agrees to pursue diligently the
         preparation of the Premises for use by CLEC.

5.2      NEVADA shall provide the following to CLEC no later than the "First
         Customer Meeting," which is described in the Collocation Services
         Handbook.

(a)      non-architectural drawings depicting the location and dimensions of the
         Premises and any physical obstructions;
(b)      Telephone Equipment drawings depicting the path with dimensions for
         CLEC outside plant fiber ingress/egress into the Eligible Structure and

                                      219
<PAGE>

          Premises, if CLEC fiber is to be brought to the Physical Collocation
          arrangement;

          (e) NEVADA or industry technical publication guidelines that impact
          the

                  design of CLEC Telecom Equipment;

          (d) work restriction guidelines; (e) escalation process for NEVADA
          representatives (names, telephone

          numbers, escalation order) for any dispute or problem that might arise
          pursuant to CLEC's Physical Collocation;

          M- NEVADA contacts (name and telephone number) for the following
          areas,

          with CLEC to provide a list with counterparts for each such area:

                  (i)      Engineering

                  (ii)     Physical & Logical Security

                  (iii)    Provisioning

                  (iv)     Billing

                  (v)      Operations

                  (vi)     Site and/or Building Managers

5.3      NEVADA shall provide positive confirmation to CLEC when construction of
         CLEC Premises is underway. No later than the second meeting of CLEC and
         NEVADA representatives scheduled to address a Physical Collocation
         application ("Second Customer Meeting'% NEVADA shall notify CLEC of the
         scheduled completion and turnover dates, and shall provide CLEC the
         following: (a) drawings depicting the path, with dimensions, for CLEC's
         fiber
                  ingress/egress into the Premise; and

               (b)  power cabling connectivity information, including drawings,
                    identifying the sizes and number of power feeders.

5.4      CLEC and NEVADA will complete an acceptance walk-through of the
         Premises prior to turning the Premises over to CLEC. Exceptions that
         are noted during this acceptance walk-through shall be corrected by
         NEVADA as soon as commercially reasonable after those exceptions are
         provided in writing, which exceptions shall be provided no more than 5.
         days after the walk through. The correction of these

                                      220
<PAGE>

          exceptions from CLEC's Physical Collocation request shall be at
          NEVADA's expense.

5.5      NEVADA shall ensure that the Premises and the Eligible Structure comply
         with all applicable fire and safety codes. The preparation shall be
         arranged by NEVADA in compliance with all applicable codes, ordinances,
         resolutions, regulations and laws.

5.6      Movement of Premises

 5.6.1   In the event that NEVADA determines it necessary for the Premises to be
         moved within the Eligible Structure or to another NEVADA structure
         where Physical Collocation is offered, CLEC is required to do so. In
         such an event, CLEC shall be responsible for the preparation of the new
         premises at the new location if such relocation arises from
         circumstances beyond the reasonable control of NEVADA, including
         condemnation or government order or regulation that makes the continued
         occupancy of the Premises or Eligible Structure uneconomical in
         NEVADA's sole judgment. Otherwise NEVADA shall be responsible for any
         such preparation.

 5.6.2   In the event that CLEC requests that the Premises be moved within the
         Eligible Structure or to another NEVADA structure where Physical
         Collocation is offered, NEVADA shall permit CLEC to relocate, subject
         to the availability of space and associated requirements. CLEC shall be
         responsible for all applicable charges associated with the move,
         including the reinstallation of the CLEC Telecom Equipment and the
         preparation of the new structure to which the Physical Collocation
         arrangement is to be moved.

 5.6.3   In either such event, the new premises shall be deemed the "Premises"
         hereunder and the new structure the "Eligible Structure."

5.7      NEVADA agrees to negotiate CLEC requests for diversity of fiber or
         power cabling on an Individual Case Basis ("ICB") basis.

5.8      Bathroom access will be provided where available in common areas.

5.9      NEVADA will contract for and perform the construction and preparation
         activities underlying the "Preparation Charge," including the "Common
         Charge," the "Premises Charge," and the "Subcontractor Charges," and
         any "Custom Work" charges, using same or consistent practices that are
         used by NEVADA for

                                      221
<PAGE>

          other construction and preparation work performed in the Eligible
          Structure.

                  (Each of capitalized phrases in the preceding set apart by
quotation marks are defined in Section 7.)

                  5.9.1    Notwithstanding the above, NEVADA will permit CLEC to
                           subcontract the construction of Physical Collocation
                           arrangements with contractors approved by NEVADA,
                           provided that NEVADA will not unreasonably withhold
                           approval of contractors. Approval by NEVADA will be
                           based on the same criteria NEVADA uses in approving
                           contractors for its own purposes.

6.       TERM
         6.1      Unless otherwise terminated by CLEC providing sixty (60) days'
                  written notice, any Physical Collocation arrangement hereunder
                  shall terminate when and in the same manner that this
                  Agreement terminates.
         6.2      Unless there are unusual circumstances, a Physical Collocation
                  arrangement shall be established within the time frames
                  provided in NEVADA's Tariff FCC No. 1, Section 18, as may be
                  amended from time to time, which time frame is currently one
                  hundred eighty (180) days in most cases. NEVADA will promptly
                  notify CLEC upon completion of the preparation of the Premises
                  and will permit CLEC's use thereof as soon as such
                  arrangements are available.

          6.3 CLEC must place CLEC Telecom Equipment in the Premises and
          interconnect to

                  NEVADA's network or to its unbundled network elements within
                  sixty (60) days after receipt of such notice. If CLEC fails to
                  do so, NEVADA may, upon notice, terminate that Physical
                  Collocation arrangement, and CLEC shall be liable in an amount
                  equal to the unpaid balance of the charges due under and,
                  further, shall continue to be bound by the provisions of this
                  Appendix, the terms or context of which indicate continued
                  viability or applicability beyond termination. For purposes of
                  this Section, CLEC Telecom Equipment is considered to be
                  interconnected when physically connected to NEVADA's network
                  or a NEVADA unbundled network element for the purpose of CLEC
                  providing a telecommunications service.

7.       PREMISES CHARGES

          7.1 The charges for a Physical Collocation arrangement in an Eligible
          Structure where

          interstate expanded interconnection is required to be provided
          pursuant to 47

          C.F.R. [two section symbols] 64.1401(a), 64.1401(b)shall be as set
          forth in Nevada's FCC Tariff No. 1, Section 18. To the extent that any
          of those charges are subject to appeal, the result of any such appeal
          shall be retroactively applied to any Physical Collocation arrangement
          ordered or provided under any such charge.

                                      222
<PAGE>

7.2      In the event that any CLEC Telecom Equipment that is to be placed in
         the Premises was not contemplated by that interstate tariff (which was
         based upon the requirements of 47 C.F.R. Section 64.1401), CLEC may be
         subject to additional
charges
         under an ICB if NEVADA's costs of providing the necessary Premises
         requirements (eg., space, power, environmental, grounding) for any such
         CLEC Telecom Equipment is not recovered by those tariffed rates. Any
         ICB quote shall be included as part of the quote provided to the CLEC
         in response to its Physical Collocation application. To the extent that
         any such quote separately states a quote for subcontractor charges,
         such charges shall be subject to the true-up process contemplated in
         Section 7.3(f).

7.3      The charges for a Physical Collocation arrangement that is provided in
         an Eligible Structure not included in Section 7.1 ("Other Eligible
         Structure") shall be determined on Individual Case Basis ("ICB") in
         accordance herewith.

          (a) An ICB quote will be prepared and provided to CLEC after it
          submits an

          application for a Physical Collocation arrangement in an Other
          Eligible

                  Structure.

(b)      The quote shall consist of the following components:

(i)      monthly recurring charges; and
(ii)     the estimate of the one-time charge associated with preparing the

         Premises for Physical Collocation (the "Preparation Charge"),

         which will consist of two components: (A) the charge to CLEC associated
         with modifying the Eligible Structure to provide Physical Collocation
         ("Common Charge'% and (B) the charge associated with preparing the
         Premises ("Premises Charge"). Of the Preparation Charge, a separate
         amount will be estimated for total subcontractor charges
         ("Subcontractor Charges"); and

 (iii) any custom work charge needed to create or vacate an entrance facility
for CLEC ("Custom Work").

     (c) CLEC will have sixty-five (65) business days in which to either accept
or

         reject NEVADA's quote.

          (d) Prior to any NEVADA obligation to start any preparation of the
          Premises,

         CLEC shall pay NEVADA fifty percent (50%) of the quoted Premises

         Charge, fifty percent (50%) of the quoted Common Charges, and eighty
         five percent (85%) of any quoted Custom Work charge. Such amounts shall
         be due no later than ten (10) business days after the CLEC accepts

                                      223
<PAGE>

         the ICB quote. If such amounts are not received, the acceptance is
         deemed void and shall be treated as having not been given.

         The remainder of the quoted Premises Charge, the quoted Common Charge,
         and any quoted Custom Work charge are due from CLEC before NEVADA has
         any obligation to permit CLEC to occupy the Premises.

         NEVADA will not permit CLEC to have access to the Premises for any
         purpose other than inspection until NEVADA is in receipt of complete
         payment of all quoted non-recurring charges due hereunder.

         Within one hundred twenty (120) days of the completion date of the
         Premises, NEVADA will perform a true-up of all Subcontractor Charges
         using the actual amounts billed by subcontractors. Any amounts charged
         above the Subcontractor Charges will be billed to CLEC or,
         alternatively, any amount below such Charges will be remitted to CLEC.

         (i)      Subject to an appropriate non-disclosure agreement, NEVADA

                  will permit CLEC to inspect supporting documents for the
                  Preparation Charge, including the Common Charge if CLEC is the
                  "initial physical collocator" (as such phrase used herein),
                  the Premises Charge, and any Custom Work charge. Any dispute
                  regarding such NEVADA charges will be subject to the dispute
                  resolution provisions outlined in the General Terms and
                  Conditions of this Agreement.

(g)      The first carrier to which NEVADA provides Physical Collocation in a

         particular Other Eligible Structure shall be responsible for all costs
         incurred by NEVADA associated with the preparation of that Eligible
         Structure to provide Physical Collocation in the space where Physical
         Collocation is to be located ("Initial Common Charge"). Thereafter the
         Initial Common Charge will be prorated and the prorated share refunded
         to the previous physical collocator(s) if and as additional carriers
         use Physical Collocation in that same Other Eligible Structure within
         twelve (12) months of the first billing date of the initial monthly
         recurring charge for the first physical collocator in that Other
         Eligible Structure, using the following schedule:

<TABLE>
<CAPTION>
          Collocator                Initial Common Charge                       Refund
<S>       <C>                                <C>
          1st                                100%                               NA
          2nd                                50%                                50%
          3rd                                33 1/3%                            162/3%
          4th                                25%                                   8 1/3%
          5th and beyond                     0%                                    0%
</TABLE>

                                      224
<PAGE>

                           To the extent that a physical collocator uses a space
                           other than such initial space, NEVADA shall refund to
                           CLEC the portion of the Initial Common Charge
                           applicable to such collocator based on the relative
                           use of such initial space in a manner consistent with
                           the above methodology and other terms of this
                           Appendix. CLEC will be charged in accordance with the
                           above (e.g., if CLEC is first collocator, if CLEC is
                           second collocator).

          (h) No interest will be paid on any refund. Refunds shall be based on
          the

                           Initial Common Charge actually paid by the first
                           physical collocator and, similarly, the Initial
                           Common Charge paid by subsequent collocators.

          (i) Notwithstanding any other provision hereof, NEVADA shall have no

                           obligation to refund any amount that would result in
                           NEVADA being unable to retain the full amount of the
                           Initial Common Charge or to refund any amount based
                           upon charges not actually collected.

          The monthly recurring charge(s) in an Other Eligible Structure may be

                            increased upon thirty (30) days' notice by NEVADA.

         7.4      In the event that CLEC materially breaches this Appendix by
                  purporting to terminate the Physical Collocation arrangement
                  after NEVADA has begun preparation of the Premises but before
                  NEVADA has been paid the entire nonrecurring amounts due under
                  this Appendix, then in addition to any other remedies that
                  NEVADA might have, CLEC shall be liable in the amount equal to
                  the non-recoverable costs less estimated net salvage.
                  Non-recoverable costs include, as applicable, the
                  non-recoverable cost of equipment and material ordered,
                  provided or used; trued-up Subcontractor Charges, the
                  non-recoverable cost of installation and removal, including
                  the costs of equipment and material ordered, provided or used;
                  labor, transportation and any other associated costs.

         7.5      The monthly recurring charge(s) shall begin to apply no later
                  than the date that NEVADA sends written notice to CLEC that
                  NEVADA has completed the preparation of the Premises,
                  including to the extent possible in light of the failure by
                  CLEC to complete its work (eg., late in providing a fiber
                  optic cable to pull into the Eligible Structure). The fact
                  that NEVADA may have additional work to perform after CLEC
                  does complete its work shall not bar the start of such
                  charges.

8.       BILLING

         8.1      Payment of any amount charged hereunder shall be due thirty
                  (30) days from the billing date. NEVADA may change its billing
                  date practices upon thirty (30) days notice to CLEC.

                                      225
<PAGE>

         8.2      In the event that any charge is not paid when due, the unpaid
                  amounts shall bear interest in accordance with the terms and
                  conditions set forth in NEVADA's intrastate tariff late
                  payment provision(s) applicable to access services, or the
                  highest rate permitted by law, whichever is lower, from the
                  due date until paid.

9.       INTERCONNECTION CHARGES

         9.1      Charges for interconnection shall be as set forth in this
Agreement and any
                  applicable NEVADA tariffs.
         9.2      NEVADA shall provide an Expanded Interconnection Service Cross
                  Connect ("EISCT") or applicable point-of-access cross connects
                  for intraoffice cross connects (described in Appendix UNE) as
                  requested by CLEC to meet CLEC's need for placement of CLEC
                  Telecom Equipment, interconnection, or provision of
                  telecommunications service. CLEC requests for cross connects
                  at transmission rates not specified in Appendix UNE are
                  subject to the bonafide request process described therein.
         9.3      CLEC shall have the right, at the point of termination for the
                  cross connect, to assign the tie pair facilities and the
                  channels on CLEC Telecom Equipment located within the
                  premises, under CLEC's control, that are used for
                  telecommunications service in the Physical Collocation
                  arrangement.

10.      SERVICE COORDINATION

         Transferring CLEC interconnection from NEVADA's current access service
         transport or entrance facilities to cross connects will be accomplished
         within a mutually agreed-upon time frame; however, to ensure a smooth
         transition from such access services to point of access cross connects,
         CLEC must provide forecasts of its future needs for cross connect
         capacity on a Premises-by-Premises basis at least ninety (90) days in
         advance of CLEC's desired transition date.

11.      USE OF PREMISES

         11.1     The Premises are to be used by CLEC for purposes of placing
                  CLEC Telecom Equipment for the purposes of interconnecting
                  with NEVADA under 47 U.S.C. Section 251(c)(2), or obtaining
                  access to its unbundled network elements under 47 U.S.C.
                  Section 251(c)(3). Equipment used to provide "information
                  services" or "enhanced services" (as each is defined by
                  applicable federal statutes and regulations) is not permitted
                  to be placed by CLEC in the Premises or in the Eligible
                  Structure. CLEC shall not use the Premises for office, retail,
                  or sales purposes. No signage or markings of any kind by CLEC
                  shall be permitted on the Eligible Structure or

                  on the grounds surrounding the Eligible Structure.

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 11.2    A list of all of CLEC Telecom Equipment that will be placed within the
         Premises shall be set forth on the CLEC's Physical Collocation
         application, which includes associated power requirements, floor
         loading, and heat release of each piece of CLEC Telecom Equipment. CLEC
         wan-ants and represents that the Physical Collocation application
         contains a complete and accurate list of such. CLEC Telecom Equipment,
         and acknowledges that any incompleteness or inaccuracy would be a
         breach of this Appendix. CLEC shall not place or leave any other
         equipment or facilities within the Premises without the express written
         consent of NEVADA.

 11.3    In the event that subsequent to the submission of the Physical
         Collocation application and its list of CLEC Telecom Equipment with the
         required technical information, CLEC desires to place in the Premises
         any telecommuni cations equipment or such ancillary telecommunications
         facilities not so set forth in the Physical Collocation application,
         CLEC shall furnish to NEVADA a new Physical Collocation application to
         cover such equipment or facilities. Thereafter, consistent with its
         obligations under the Act and applicable FCC and Commission rules,
         orders, and awards, NEVADA may provide such written consent- or may
         condition any such consent on additional charges arising from the-
         request; including any engineering design charges and any additional
         requirements such aspower and environmental requirements for such
         requested telecommunications equipment and/or facilities. Upon the
         execution by both NEVADA and CLEC of a final list and description and
         receipt by NEVADA of payment of any applicable non-recurring charges,
         the Physical Collocation arrangement shall be deemedto have been
         amended and such requested telecommunications equipment and/or
         facilities shall be included within "CLEC Telecom Equipment."

 11.4    CLEC may use the Premises for placement of CLEC Telecom Equipment only.
         CLEC's employees, agents and contractors shall be permitted access- to-
         the Premises at all reasonable times, provided that CLEC's employees,
         agents: and contractors comply with NEVADA's policies and practices
         pertaining. to-- fire and security. CLEC agrees to comply promptly with
         all laws, ordinances and regulations affecting the use of the Premises.

 11.5    Other than the security restrictions described herein, NEVADA shall
         place no restriction on access to CLEC's Premises by CLECs employees
         and desi gnated Such space shall be available to CLEC designated agents
         twenty-four (24) hours per day each day of the week. NEVADA will not
         impose unreasonable security restrictions for the Eligible Structure,
         including the Premises.

 11.6    Upon the expiration of a Physical Collocation arrangement, CLEC shall
         surrender the Premises to NEVADA, in the same condition as when first
         occupied by CLEC, ordinary wear and tear excepted.

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<PAGE>

 11.7    CLEC Telecom Equipment, CLEC operating practices, or other activities
         or conditions attributable to CLEC that represent a significant
         demonstrable technical threat to NEVADA's network, equipment, or
         facilities, including the Eligible Structure, or to the network,
         equipment, or facilities of any person or entity located in the
         Eligible Structure, are strictly prohibited.

 11.8    Notwithstanding any other provision hereof, the characteristics and
         methods of operation of any equipment, facilities or any other item
         placed in the Premises shall not interfere with or impair service over
         NEVADA's network, equipment, or facilities, or the network, equipment,
         or facilities of any other person or entity located in the Eligible
         Structure; create hazards for or cause damage to those networks,
         equipment, or facilities, the Premises, or the Eligible Structure;
         impair the privacy of any communications carried in, from, or through
         the Eligible Structure; or create hazards or cause physical harm to any
         person, entity, or the public. Any of the foregoing events would be a
         material breach of this Appendix.

 11.9    NEVADA will permit CLEC to interconnect the CLEC Telecom Equipment with
         other telecommunications carriers Collocating in the Eligible
         Structure; provided, however, that any CLEC Telecom Equipment is also
         used for interconnection with NEVADA or for access to its unbundled
         network elements. NEVADA will provide such connection between CLEC and
         such other Collocating telecommunication carriers via cage-to-cage
         cross connections and any necessary Digital Cross Connect ("DCSS") or
         other telecommunications equipment at CLEC's expense, unless NEVADA
         permits one or more of the Collocating carriers to provide this
         connection for themselves. NEVADA need not permit CLEC or other
         collocating telecommunications carriers to place its own connecting
         transmission facilities within the Eligible Structure outside of the
         Premises. Rates for cage-to-cage connections are as described in
         Appendix PRICING.

 11.10   Subject to the limitations and restrictions of this Appendix, CLEC may
         place or install in or on the Premises such fixtures and unpowered
         facilities as it shall deem desirable for the conduct of business.
         Personal property, fixtures and unpowered facilities placed by CLEC in
         the Premises shall not become a part of the Premises, even if nailed,
         screwed or otherwise fastened to the Premises, but shall retain their
         status as personal property and may be removed by CLEC at any time. Any
         damage caused to the Premises by the removal of such property shall be
         repaired at CLEC's expense.

     11. 11 In no case shall CLEC or any person or entity purporting to be
acting through or on behalf of CLEC make any- rearrangement, modification,
improvement, addition, repair, or other alteration to the Premises or the
Eligible Structure without the advance written permission and direction of
NEVADA. NEVADA

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<PAGE>

shall consider a modification, improvement, addition, repair, or other
alteration requested by CLEC, provided that NEVADA shall have the right to
reject or modify any such request. NEVADA will perform any such construction,
and the associated cost shall be paid by CLEC in accordance with NEVADA's
thenstandard custom work order process.

12.      STANDARDS

     12.1 This Appendix and the Physical Collocation provided hereunder is made
available subject to and in accordance with the:

(a       Bellcore Network Equipment Building System (NEBS) Generic

         Requirements (GR-63-CORE and GR-1089-CORE) and any successor
         document(s), including as such may be modified at any time and from
         time to time and such modifications are adopted and followed by NEVADA,
         and then where and how adopted and followed by NEVADA ("NEBS
         Standards");

 (b)     NEVADA's Collocation Services Handbook dated March 5, 1996, and any
         successor document(s), as may be modified from time to time as set
         forth below ("Collocation Services Handbook");

(c)      NEVADA's "Central Office Equipment Installation and Job Acceptance

         Handbook" followed in installing network equipment, and facilities
         within NEVADA central offices and any successor document(s), as may be
         modified from time to time as set forth below ("IJAH"); and

          (d) any statutory and/or regulatory requirements in effect at the time
          of the

         submission of the Physical Collocation application or that subsequently
         become effective and then when effective.

CLEC shall strictly observe and abide by each.

 12.2    The Collocation Services Handbook and the IJAH are attached hereto and,
         along with the NEBS Standards, are incorporated herein by this
         reference. CLEC may obtain a copy of the NEBS Standards by contacting
         Bell Communications Research, Inc. at 1-800-421-2674.

     12.3 If the Collocation Services Handbook, the IJAH, or Emergency are
modified from the attached, the following shall apply:

         (a)      If a modification is made after the date on which CLEC has or
                  orders a Physical Collocation arrangement, NEVADA shall
                  provide CLEC with those modifications.or with revised versions
                  of such, listing or noting the

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<PAGE>

modifications as appropriate. Any such modification shall become effective and
thereafter applicable under this Agreement thirty (30) days after such amendment
is released by NEVADA, except for those specific amendments to which CLEC
objects to within thirty (30) days of receipt, providing therewith an
explanation for each such objection. The Parties shall pursue such objections
informally with each other and, if not resolved within forty-five (45) days,
either Party will have fourteen (14) days to invoke the dispute resolution
procedures applicable to this Agreement. If neither Party invokes those
procedures, the modification is deemed effective and applicable.

          (b) If a modification is made after this Appendix becomes part of an
          effective

         "Statement of Generally Available Terms and Conditions" or similar
         document for NEVADA (and the modification has not been included in a
         change to that "Statement" or this Appendix), then NEVADA will provide
         CLEC with a copy of such modifications or the most recent version or
         revision of the particular document promptly after receipt of CLEC's
         physical collocation application. Any CLEC objection to those
         modifications must be received by NEVADA by the thirtieth (30th) day
         after their receipt by CLEC or the date, whichever is later.
         Thereafter, the same process and procedure (including timelines) for
         resolving any objection made under Section 12.3(a) shall apply.

(c)      Notwithstanding Sections 17.3(a) and/or (b), any modification made to

         address situations potentially harmful to NEVADA's or another's
         network, equipment, or facilities, the Eligible Structure, the
         Premises, or to comply with statutory or regulatory requirements shall
         become effective immediately and shall not be subject to objection.
         NEVADA will immediately notify CLEC of any such modification.

The terms and conditions expressly set forth in this Appendix shall control in
the event of an irreconcilable conflict with the Collocation Services Handbook
and the IJAH, or the NEBS Standards (including any modification to any of them
that can be objected to under this Section 12.3, regardless of whether CLEC
objected to such modification pursuant to Section 12.2). Notwithstanding the
immediately preceding, modifications that are governed by Section 12.3(c) shall
apply regardless of any conflict or inconsistency with any other term or
condition governing a Physical Collocation arrangement unless contrary to law.

          12.4 CLEC warrants and represents compliance with the NEBS Standards
          for each item of the CLEC Telecom Equipment. CLEC also warrants and
          represents that any other telecommunications equipment or ancillary
          telecommunications facilities that may be placed in the Premises as
          permitted hereunder or otherwise shall be so compliant. DISCLOSURE OF
          ANY NON-COMPLIANT

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<PAGE>

EQUIPMENT OR FACILITIES TO NEVADA IN A PHYSICAL COLLOCATION APPLICATION OR
OTHERWISE SHALL NOT QUALIFY THIS ABSOLUTE CERTIFICATION IN ANY MANNER.

13.      POWER

          13.1    Unless otherwise expressly agreed in writing, NEVADA will
                  provide all Power to the Premises, the CLEC Telecom Equipment,
                  and any other powered equipment or facilities placed in the
                  Premises. CLEC is not permitted to, and will not, place any AC
                  or DC power-generating or power-storing devices (including,
                  for example, generators and back-up batteries) in the
                  Premises, Eligible Structure, or other NEVADA property.

          13.2    Power will support CLEC Telecom Equipment at the specified DC
                  and AC voltages. At a minimum, the Power and NEVADA's
                  associated performance, availability, restoration, and other
                  operational characteristics shall be at parity with that
                  provided to NEVADA's substantially similar telecommunications
                  equipment unless otherwise mutually agreed in writing.

14.      OPERATIONAL RESPONSIBILITIES

 14.1    CLEC and NEVADA are each responsible for providing to the other contact
         numbers for technical personnel who are readily accessible twenty- four
         (24) hours a day, seven (7) days a week.

 14.2     CLEC and NEVADA are each responsible for providing trouble report
          status or any network trouble of problems when requested by the other.

 14.3    NEVADA shall provide an interconnection point or points, physically
         accessible by both NEVADA and CLEC (typically a NEVADA manhole) at
         which a CLEC fiber optic cable can enter the Eligible Structure,
         provided that NEVADA will designate interconnection points as close as
         reasonably possible to the Eligible Structure. NEVADA will provide at
         least two such interconnection points at each Eligible Structure where
         there are at least two entry points for NEVADA's cable facilities and
         at which space is available for new facilities in at least two of those
         entry points. CLEC is responsible for bringing its fiber optic cable to
         an accessible point outside of the Eligible Structure designated by
         NEVADA, and for leaving sufficient cable length in order for NEVADA to
         fully extend such CLECprovided cable to the Premises.

          14.4 NEVADA will not require CLEC to bring its own transmission
          facilities to the Eligible Structure in which CLEC seeks to Collocate.

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<PAGE>

14.5     Where existing space is available in the entrance facilities or
         equivalent for the Eligible Structure, NEVADA will permit intercon
         nection by copper or coaxial cable if CLEC can prove to the Commission
         that no harm can be caused to NEVADA's network or networks of other
         interconnecting carriers.

          14.6 Upon request by CLEC, NEVADA will permit interconnection by
          microwave transmission facilities under an ICB arrangement.

14.7     Regeneration of either DS- I or DS-3 signal levels may be provided by
         CLEC or NEVADA under its then-standard custom work order process,
         including payment requirements prior to the installation of the
         regeneration equipment.

14.8     CLEC is responsible for removing any equipment, facilities, fixtures,
         personal property or other items, including the CLEC Telecom Equipment,
         that it brings into the Premises. If CLEC fails to remove such from the
         Premises within thirty (30) days after discontinuance of use, NEVADA
         may perform the removal and shall charge CLEC for any materials used in
         any such removal, and the time spent on such removal at the
         then-applicable hourly rate for custom work. Further, in addition to
         the other provisions herein, CLEC shall indemnify and hold NEVADA
         harmless from any and all claims, expenses, fees, or other costs
         associated with any such removal by NEVADA.

14.9     CLEC is solely responsible for the design, engineering, testing,
         performance, and maintenance of the CLEC Telecom Equipment used by CLEC
         in the Premises.

         CLEC is also responsible for servicing, supplying, repairing,
         installing and maintaining the following facilities within the
         Premises:

         (a)      its fiber optic cable(s);

         (b)      its CLEC Telecom Equipment;

          (c) required point of termination cross-connects; (d) point of
          termination maintenance, including replacement of fuses and

                  circuit breaker restoration, if and as required; and

          (e) the connection cable and associated equipment which may be
          required

                  within the Premises to the point(s) of termination.

         NEVADA BELL NEITHER ACCEPTS NOR ASSUMES ANY RESPONSIBILITY WHATSOEVER
IN ANY OF THESE AREAS.

          14. 10 NEVADA will allow CLEC to select its own vendors for all
          required engineering and installation services associated with the
          CLEC Telecom Equipment (e.g.,

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<PAGE>

NEVADA shall not require CLEC to use NEVADA's internal engineering or
installation work forces for the engineering and installation of the CLEC
Telecom Equipment). Installation of the CLEC Telecom Equipment in the Premises
must nevertheless comply with NEVADA's Installation and Job Acceptance Handbook.

 14.11   Each Party is responsible for immediate verbal notification to the
         other of significant outages or operations problems which could impact
         or degrade that other's network, equipment, facilities, or services,
         and for providing an estimated clearing time for restoration. In
         addition, written notification must be provided within twenty-four (24)
         hours.

     14.12 CLEC is responsible for coordinating with NEVADA to ensure that
services are installed in accordance with a service request.

 14-13   CLEC is responsible for testing, to identify and clear a trouble when
         the trouble has been isolated to inside the Premise, or to any piece of
         CLEC Telecom Equipment, or any other CLEC-provided facility or piece of
         equipment. If NEVADA testing is also required, it will be provided at
         charges specified in NEVADA's tariff PSCN C, Section 13.

15.      ASSIGNMENT

CLEC shall not assign or otherwise transfer any Physical Collocation arrangement
provided under this Appendix, neither in whole nor in part, or permit the use of
any part of the Premises by any other person or entity, without the prior
written consent of NEVADA. Any purported assignment or transfer made without
such consent shall be voidable at the option of NEVADA. CLEC shall not permit
any third party to jointly occupy the Premises.

16,      CASUALTY LOSS

 16.1 If the Eligible Structure or the Premises are damaged by fire or other
casualty, and:

(a)      the Premises are not rendered untenantable in whole or in part, NEVADA

         shall repair the same at its expense (as herein limited) and the
         recurring
         charges shall not be abated, or

(b)       the Premises are rendered untenantable in whole or in part and such

         damage or destruction can be repaired within ninety (90) days, NEVADA
         has the option to repair the Premises at its expense (as herein
         limited) and the recurring charges, shall be proportionately abated to
         the extent and while CLEC was deprived of the use. If the Premises
         cannot be repaired within ninety (90) days, or NEVADA opts not to
         rebuild, then the Physical

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<PAGE>

                  Collocation arrangement provided in the Premises shall (upon
                  notice to CLEC within thirty (30) days following such
                  occurrence) terminate as of the date of such damage.

 16.2    Any obligation on the part of NEVADA to repair the Premises shall be
         limited to repairing, restoring and rebuilding the Premises as
         originally prepared for CLEC and shall not include any obligation to
         repair, restore, rebuild or replace any alterations or improvements
         made by CLEC or by NEVADA on request of CLEC; any CLEC Telecom
         Equipment; or other facilities or equipment located in the Premises by
         CLEC or by NEVADA on request of CLEC.

 16.3    In the event that the Eligible Structure shall be so damaged by fire or
         other casualty that closing, demolition or substantial alteration or
         reconstruction thereof shall, in NEVADA's opinion, be advisable, then,
         notwithstanding that the Premises may be unaffected thereby, NEVADA, at
         its option, may terminate any Physical Collocation arrangement in that
         Eligible Structure by giving CLEC ten (10) days prior written notice
         within thirty (30) days following the date of such

         occurrence, if at all possible.

17.

 17.1    Unless otherwise set forth herein, if CLEC shall default in performance
         of any term or condition herein, and the default shall continue for
         thirty (30) days after receipt of written notice, or if CLEC is
         declared bankrupt or insolvent or makes an assignment for the benefit
         of creditors, NEVADA may, immediately or at any time thereafter,
         without notice or demand, enter and repossess the Premises, expel CLEC
         and any claiming under CLEC, remove any CLEC Telecom Equipment and any
         other items in the Premises, forcibly if necessary, and thereupon such
         Physical Collocation arrangement shall terminate, without prejudice to
         any other remedies NEVADA might have. NEVADA may exercise this
         authority on a Premises-byPremises basis.

 17.2    NEVADA may also refuse additional applications for collocation and/or
         refuse to complete any pending orders for additional space or
         collocation by CLEC at any time thereafter.

18.      LIMITATION OF LIABILITY

 18.1    With respect to any claim or suit -for damages arising in connection
         with the mistakes, omissions, interruptions, delays or errors, or
         defects in transmission occurring in the course of furnishing service
         hereunder, the liability of NEVADA, if any, shall not exceed an amount
         equivalent to the proportionate monthly charge to CLEC for the period
         during which such mistake, omission, interruption, delay, error, or
         defect in transmission or service occurs and continues. However, any

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<PAGE>

such mistakes, omissions, interruptions, delays, errors, or defects in
transmission or service which are caused or contributed to by the negligence or
willful act of CLEC or which arise in connection with the use of CLEC-provided
facilities or equipment shall not result in the imposition of any liability
whatsoever upon NEVADA.

 18.2    Neither Party shall be responsible to the other for any indirect,
         special, consequential, lost profit, or punitive damages, whether in
         contract or tort.

 18.3    Each Party shall be indemnified and held harmless by the other against
         claims and damages by any third party arising from provision of the
         other Party's services or equipment except those claims and damages
         directly associated with the provision of services to the other Party
         which are governed by the provisioning Party's applicable tariffs.

 18.4    Neither Party shall have any liability whatsoever to the customers of
         the other Party for claims arising from the provision of the other
         Party's service to its customers, including claims for interruption of
         service, quality of service or billing disputes.

 18.5    The liability of either Party for its willful misconduct, if any, is
         not limited by this Appendix. With respect to any other claim or suit,
         by a customer or by any others, for damages associated with the
         installation, provision, preemption, termination, maintenance, repair
         or restoration of service, NEVADA's liability, if any, shall not exceed
         an amount equal to the proportionate monthly charge for the affected
         period.

 18.6    NEVADA shall not be liable for any act or omission of any other carrier
         or customer providing a portion of a service, nor shall NEVADA for its
         own act or omission hold liable any other carrier or customer providing
         a portion of a service.

 18.7    When CLEC is provided Physical Collocation under this Appendix, NEVADA
         shall be indemnified, defended and held harmless by CLEC against any
         claim, loss or damage arising from CLEC's use of NEVADA's Premises
         provided under this Appendix, involving:

(a)      claims for libel, slander, invasion of privacy, or infringement of
         copyright

         arising from the customer's own communications;

          (b) claims for patent infringement arising from the customer's acts
          combi i g

          or using the service furnished by NEVADA in connection with facilities
          or equipment furnished by the customer; or

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     (c) all other claims arising in connection with any act or omission of CLEC
in

               the  course of using Physical Collocation provided pursuant to
                    this Appendix.

          18.8    CLEC acknowledges and understands that NEVADA may provide
                  space in or access to the Eligible Structure to other persons
                  or entities ("Others"), which may include competitors of
                  CLECs; that such space or access may be close to the Premises,
                  possibly including space adjacent to the Premises and/or with
                  access to the outside of the Premises; and that any cage
                  placed around the Premises is a permeable boundary that will
                  not prevent the Others from observing or even damaging CLECs
                  equipment and facilities. In addition to any other applicable
                  limitation, NEVADA shall-have absolutely no liability with
                  respect to any action or omission by any Other, regardless of
                  the degree of culpability of any such Other or NEVADA, and
                  regardless of whether any claimed NEVADA liability arises in
                  tort or in contract. CLEC shall save and hold NEVADA harmless
                  from any and all costs, expenses, and claims associated with
                  any such acts or omission by any Other acting for, through, or
                  as a result of CLEC.

19.      INDENMFICATION OF NEVADA

         In addition to any other provision hereof or of this Agreement, CLEC
         agrees to indemnify, defend and save harmless NEVADA (including its
         officers, directors, employees, and other agents) from any and all
         claims, liabilities, losses, damages, fines, penalties, costs,
         attorney's fees or other expenses of any kind, arising in connection
         with CLEC's use of the Premises, conduct of its business or any
         activity, in or about the Premises, performance of any terms of this
         Appendix, or any act or omission of CLEC (including its officers,
         directors, employees, agents, contractors, servants, invitees, or
         licensees). Defense of any claim shall be reasonably satisfactory to
         NEVADA.

20.      SERVICES, UTILITIES, MAINTENANCE AND FACILITIES

 20.1    NEVADA shall maintain for the Eligible Structure customary building
         services, utilities (excluding telephone facilities), including janitor
         and elevator services, 24 hours a day.

 20.2    At CLEC's request, NEVADA shall provide business telephone service with
         a connection jack from NEVADA in the Premises subject to applicable
         NEVADA tariffs including charges thereof. Upon CLEC's request,
         sufficiently in advance, such service shall be available at Premises on
         the day that the space is turned over to CLEC by NEVADA.

 20.3    NEVADA will provide negative DC and AC power, back-up power, lighting,
         ventilation, heat, air conditioning and other environmental conditions
         necessary for the CLEC Telecom Equipment in the same manner and at the
         same standar 0

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telephone of any emergency power activity that would impact CLEC Telecom
Equipment.

23.      COMPLIANCE WITH LAWS

CLEC and all persons and entities acting through or on behalf of CLEC shall
comply with the provisions of the Fair Labor Standards Act, the Occupational
Safety and Health Act, and all other applicable federal, state, county, and
local laws, ordinances, regulations and codes (including identification and
procurement of required permits, certificates, approvals and inspections) in its
performance hereunder. CLEC further agrees during the term of any Physical
Collocation arrangement to comply with all applicable Executive and Federal
regulations.

24.      OSHA STATEMENT

CLEC, in recognition of NEVADA's status as an employer, agrees to abide by and
to undertake the duty of compliance on behalf of NEVADA with all federal, state
and local laws, safety and health regulations relating to the Premises which
CLEC has assumed the duty to maintain pursuant to this Appendix, and to
indemnify and hold NEVADA harmless for any judgments, citations, fines, or other
penalties which are assessed against NEVADA as the result of CLEC's failure to
comply with any of the foregoing.

NEVADA, in its status as an employer, shall comply with all federal, state and
local laws, safety and health standards and regulations with respect to the
structure and those other portions of the Premises which NEVADA has agreed to
maintain pursuant hereto.

25.      INSURANCE

 25.1    CLEC shall, at its sole cost and expense procure, maintain, pay for and
         keep in force the following insurance coverage and any additional
         insurance and/or bonds required by law and underwritten by insurance
         companies having a BEST Insurance rating of A+Vl1 or better, and which
         is authorized to do business in the State of Nevada. NEVADA shall be
         named as an ADDITIONAL INSURED on general liability policy.

 25.1.1   Comprehensive General Liability insurance including Products/Completed
          Operations Liability insurance including the Broad Form Comprehensive
          General Liability endorsement (or its equivalent(s)) with a Combined
          Single limit for Bodily Injury and Property Damage of $1 million. Said
          coverage shall include the contractual, independent contractors
          products/completed operations, broad form property, personal injury
          and fire legal liability.

25.1.2   If use of an automobile is required or if CLEC is provided or otherwise
         allowed parking space by NEVADA in connection with Physical

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Collocation provided under this Appendix, automobile liability insurance with
minimum limits of $1 million each accident for Bodily Injury, Death and Property
Damage combine. Coverage shall extend to all owned, hired and non-owned
automobiles. CLEC hereby waives any rights of recovery against NEVADA for damage
to CLEC's vehicles while on the grounds of the Eligible Structure and CLEC will
hold NEVADA harmless and indemnify it with respect to any such damage or damage
to vehicles of CLEC's employees, contractors, invitees, licensees or agents.

 25.1.3 Workers' Compensation insurance with benefits afforded in accordance
with the laws of the state of Nevada.

25.1.4   Employer's Liability insurance with minimum limits of $100,000 for
         bodily injury by accident, $100,000 for bodily injury by disease per
         employee and $500,000 for bodily injury by disease policy aggregate.

               25.1.5 Umbrella/Excess liability coverage in an amount of $5
                    million excess of coverage specified above.

25.1.6   All Risk Property coverage on a full replacement cost basis insuring
         all of CLEC's personal property situated on or within the Eligible
         Structure or the Premises. CLEC releases NEVADA from and waives any and
         all right of recovery, claim, action or cause of action against NEVADA,
         its agents, directors, officers, employees, independent contractors,
         and other representatives for any loss or damage that may occur to
         equipment or any other personal property belonging to CLEC or located
         on or in the space at the instance of CLEC by reason of fire or water
         or the elements or any other risks would customarily be included in a
         standard all risk casualty insurance policy covering such property,
         regardless of cause or origin, including negligence of NEVADA, its
         agents, directors, officers, employees, independent contractors, and
         other representatives. Property insurance on CLECs fixtures and other
         personal property shall contain a waiver of subrogation against NEVADA,
         and any rights of CLEC against NEVADA for damage to CLEC's fixtures or
         personal property are hereby waived.

 25.2     CLEC may also elect to purchase business interruption and contingent
          business interruption insurance, knowing that NEVADA has no liability
          for loss of profit or revenues should an interruption of service occur
          that is attributable to any Physical Collocation arrangement provided
          under this Appendix.

25.3     The limits set forth in this Section may be increased by NEVADA from
         time to time during the term of a Physical Collocation arrangement to
         at least such

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minimum limits as shall then be customary in respect of comparable situations
within the existing NEVADA structure.

               25.4 All policies purchased by CLEC shall be deemed to be primary
                    and not contributing to or in excess of any similar coverage
                    purchased by NEVADA.

 25.5    All insurance must be in effect on or before occupancy date and shall
         remain in force as long as any of CLEC's Telecom Equipment or other
         CLEC facilities or equipment remain within the Premises or the Eligible
         Structure. If CLEC fails to maintain the coverage, NEVADA may pay the
         premiums thereon and, if so, shall be reimbursed by CLEC.

 25.6    CLEC shall submit certificates of insurance and policy binders
         reflecting the coverages specified above prior to, and as a condition
         of, NEVADA's obligation to turn over the Premises to CLEC or to permit
         any CLEC-designated subcontractors into the Eligible Structure pursuant
         to Section 5.9.1. CLEC shall arrange for NEVADA to receive thirty (30)
         days advance written notice from CLEC's insurance company(ies) of
         cancellation, non-renewal or substantial alteration of its terms.

 25.7    CLEC must also conform to recommendations made by NEVADA's Property
         Insurance Company, if any, unless a recommendation is also applicable
         to NEVADA and NEVADA does not so conform in the Eligible Structure
         where the Premises is located.

               25.8 Failure to comply with the provisions of this "Insurance"
                    Section will be deemed a material violation of this
                    Appendix.

26.      PROTECTON OF SERVICE AND PROPERTY

 26.1    For the purpose of notice permitted or required by this Appendix, each
         Party shall provide the other Party a Single Point of Contact ("SPOC")
         available twenty-four (24) hours a day, seven (7) days a week.

26.2     Except as may otherwise be provided:

(a)      NEVADA and CLEC shall each exercise reasonable care to prevent harm

          or damage to the other Party, its employees, agents or customers, or
          their property, and

(a)      Each Party, its employees, agents, or representatives agree to take

         reasonable and prudent steps to ensure the adequate protection of
         property and services of the other Party.

                                      239
<PAGE>

          26.3 Each Party shall restrict access to the Eligible Structure and
          the Premises to employees and authorized agents of that other Party.

 26.4    NEVADA shall use electronic access controls to protect all spaces which
         house or contain CLEC equipment or equipment enclosures, but if
         electronic controls are not available, NEVADA shall either furnish
         security guards at those NEVADA locations already protected by security
         guards on a seven (7) day per week, twenty-four (24) hour a day basis;
         and if none, NEVADA shall permit CLEC to install monitoring equipment
         in the collocation space to carry data back to CLEC's work center for
         analysis. CLEC agrees that CLEC is responsible for problems or alarms
         related to CLEC's equipment or equipment enclosures located on NEVADA's
         premises.

          26.5 NEVADA shall furnish CLEC with samples of the identifying
          credentials to be carried by its employees and authorized agents.

26.6     CLEC shall furnish NEVADA with samples of the identifying credentials
         to be carried by its employees and authorized agents.

26.7     CLEC shall comply with the security and safety procedures and
         requirements of NEVADA, including but not limited to sign-in,
         identification and escort requirements.

26.8     NEVADA shall allow CLEC to inspect or observe spaces which house or
         contain CLEC equipment or equipment enclosures at any time within
         normal business hours and shall furnish CLEC with all keys, entry
         codes, lock combinations, or other materials or information which may
         be needed to gain entry into any secured CLEC space. In the event of an
         emergency, CLEC shall contact a SPOC provided by NEVADA for access to
         spaces which house or contain CLEC equipment or equipment enclosures.
         Such NEVADA SPOC shall be available to receive calls from CLEC
         twenty-four (24) hours a day, seven (7) days a week and make access
         available to CLEC within three (3) hours after receiving a call from
         CLEC within the Reno Metropolitan area and within a timeframe to be
         negotiated for all other offices.

 26.9    Keys used in NEVADA's keying systems for spaces which contain or house
         CLEC equipment or equipment enclosures shall be limited to NEVADA
         employees and representatives for emergency access only. CLEC shall
         have the right to require NEVADA to change locks at NEVADA's expense
         where there is evidence of inadequate security. In all other cases,
         CLEC may require NEVADA to change locks at CLEC's expense.

                                      240
<PAGE>

 26.10   NEVADA shall use reasonable measures to control unauthorized access
         from passenger and freight elevators to spaces which contain or house
         CLEC equipment or equipment enclosures.

 26.11   NEVADA shall use best efforts to provide notification within two (2)
hours to designated CLEC personnel to indicate an
         actual security breach.

 26.12   NEVADA shall be responsible for the security of the Eligible Structure.
         If a security issue arises or if CLEC believes that NEVADA's security
         measures are unreasonably lax, CLEC shall notify NEVADA and the Parties
         shall work together to address the problem. NEVADA shall, at a minimum,
         do the following:

 26.12.1    Where a cage is used, NEVADA shall design collocation cages to
            prevent unauthorized access; provided, however, that CLEC realizes
            and assents to the fact that the cage will be made of wire mesh.

 26.12.2    NEVADA shall establish procedures for controlling access to the
            collocation areas by employees, security guards and others. Those
            procedures shall limit access to the collocation areas to NEVADA's
            employees, agents or invitees having a business need, such as a
            periodic review of the premises, to be in these areas. NEVADA shall
            require all persons entering the collocation areas to wear
            identification badges.

 26.12.3    NEVADA shall provide card key access to all collocation equipment
            areas where a secured pathway to the collocation space is made
            available to collocators, along with a positive key control system
            for each collocator's caged Premises.

         26.12.4     In emergency situations common courtesy will be extended
                     between CLEC and NEVADA's employees, including the
                     provision of first aid and first aid supplies.

 26.13   CLEC security personnel may audit the collocation area at a
         NEVADA location for compliance with security procedures.

 26.14   CLEC shall limit access to CLEC employees directly to and from
the Premises and will not enter unauthorized areas under
         any circumstances.

27.      PURPOSE AND SCOPE OF THIS APPENDIX

         Through this Appendix, CLEC is placing the CLEC Telecom Equipment on
         NEVADA property for the purposes of interconnecting with NEVADA and
         obtaining access to its unbundled network elements. This Appendix does
         not constitute, and shall not be

                                      241
<PAGE>

asserted to constitute, an admission or waiver or precedent with the Commission,
the FCC, any other regulatory body, any State or Federal Court, or in any other
form that NEVADA has agreed or acquiesced that any particular piece of CLEC
Telecom Equipment -is "equipment necessary for interconnection or access to
unbundled network elements" under 47 U.S.C. Section 251(c)(6), or that such
piece must be provided in a Virtual Collocation arrangement.

28.      MISCELLANEOUS

 28.1    NEVADA shall protect as proprietary to CLEC all information provided by
         CLEC in requesting or maintaining a Physical Collocation arrangement.
         NEVADA shall not provide such information to any third parties and
         shall limit access to the information to NEVADA or affiliated employees
         having a need to know.

 28.2    If CLEC constitutes more than one person, partnership, corporation, or
         other legal entities, the obligation of all such entities under this
         Appendix is joint and several.

 28.3    NEVADA may refuse requests for additional space in the Eligible
         Structure or in any other NEVADA premises if CLEC is in material breach
         of this Appendix, including having any past due charges hereunder. In
         any and each such event, CLEC hereby releases and shall hold NEVADA
         harmless from any duty to negotiate with CLEC or any of its affiliates
         for any additional space or Collocation arrangement.

 28.4    If any of the provisions hereof are otherwise deemed invalid, such
         invalidity shall not invalidate the entire Appendix, but rather the
         entire Appendix shall be construed as if not containing the particular
         invalid provision(s), and the rights and obligations of NEVADA and CLEC
         shall be construed accordingly.

 28.5    The headings contained herein are inserted for convenience only and
 are not intended to affect the meaning or
         interpretation of this Appendix.

 28.6    Whenever this Appendix requires the consent of a Party, any request
 for such consent shall be in writing.

 28.7    Neither Party shall be deemed to have waived or impaired any right,
         authority, or option reserved by this Appendix (including the right to
         demand exact compliance with every term, condition and covenant herein,
         or to declare any breach hereof to be a default and to terminate this
         Appendix prior to the expiration of its term), by virtue of any custom
         or practice of the Parties at variance with the terms hereof or any
         failure, refusal or neglect to exercise any right under this Appendix
         or to insist upon exact compliance by the other with its obligations
         hereunder, including any rule or procedure, or any waiver, forbearance,
         delay, failure or omission by

                                      242
<PAGE>

NEVADA to exercise any right, power or option, whether of the same, similar or
different nature, with respect to one or more other CLECs.

 28.8    The rights of a Party hereunder are cumulative and no exercise or
         enforcement by such Party of any right or remedy hereunder shall
         preclude the exercise or enforcement of any other right or remedy
         hereunder or to which such Party is entitled to enforce.

 28.9    This Appendix is binding upon the Parties hereto, their respective
         executors, administrators, heirs, assigns and successors in interest.

 28.10   All obligations by either Party which expressly or by their nature
         survive the expiration or termination of this Appendix shall continue
         in full force and effect subsequent to and notwithstanding its
         expiration or termination and until they are satisfied in full or by
         their nature.

                                      243
<PAGE>

PRICING                 January 23 1998            NEVEDA/PAC-WEST TELECOMM, INC
                                                                    PAGE 1 of 10

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
         NEVADA
------------------------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------------------------------
<S>                                      <C>       <C>      <C>      <C>        <C>        <C>       <C>      <C>      <C>    <C>
            LOOP

  2-Wire Analog
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                $13.55   $31.60   $15.80     $60.90     $45.15    $21.40    $7.80  $107.05   $59.85
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                $18.15   $31.60   $15.80     $60.90     $45.15    $21.40    $7.80  $107.05   $59.85
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                                $34.55   $31.60   $15.80     $66.60     $50.00    $22.75    $9.10  $123.95   $71.10
                                       ---------------------------------------------------------------------------------------------
  4-Wire Analog
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                $30.80   $31.60   $15.80    $214.30    $152.40    $68.50   $39.20  $181.50  $112.35
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                $40.75   $31.60   $15.80    $214.30    $152.40    $68.50   $39.20  $181.50  $112.35
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                                $73.70   $31.60   $15.80    $254.40    $181.90    $69.85   $40.50  $210.20  $133.60
                                       ---------------------------------------------------------------------------------------------
  2-Wire Digital
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                $16.60   $31.60   $15.80     $75.95     $56.40    $31.30   $15.50  $123.15   $73.65
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                $21.95   $31.60   $15.80     $75.95     $56.40    $31.30   $15.50  $123.15   $73.65
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                                $38.80   $31.60   $15.80     $84.95     $63.95    $35.10   $18.80  $144.70   $89.05
                                       ---------------------------------------------------------------------------------------------
  2-Wire Digital Loop Conditioning
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                   N/A      N/A      N/A  $1,083.15  $1,083.15       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                   N/A      N/A      N/A  $1,083.15  $1,083.15       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                                   N/A      N/A      N/A  $1,083.15  $1,083.15       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
  2-Wire Digital Loop Facilities Request
  Form Processing
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                   N/A      N/A      N/A     $41.10        N/A       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                   N/A      N/A      N/A     $41.10        N/A       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                                   N/A      N/A      N/A     $41.10        N/A       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
  4-Wire Digital
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                $84.45   $31.60   $15.80    $836.25    $422.65   $236.75  $175.45  $756.00  $642.60
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                $99.05   $31.60   $15.80    $836.25    $422.65   $236.75  $175.45  $756.00  $642.60
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                               $122.20   $31.60   $15.80  $1,050.85    $528.10   $292.80  $220.80  $964.60  $829.90
                                       ---------------------------------------------------------------------------------------------
  5db Conditioning (2-Wire Analog)
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                 $1.90   $31.60   $15.80    $305.00    $210.95   $202.70  $189.80  $310.20  $200.35
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                 $2.35   $31.60   $15.80    $305.00    $210.95   $202.70  $189.80  $310.20  $200.35
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                                 $2.65   $31.60   $15.80    $352.95    $255.05   $246.75  $233.85  $376.30  $244.40
                                       ---------------------------------------------------------------------------------------------
  NETWORK INTERFACE DEVICE (NID)
  Simple
  ------
  Dispatch w/o Install of NID
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                   N/A   $15.80    $7.90     $59.30      $8.00       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                   N/A   $15.80    $7.90     $59.30      $8.00       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                                   N/A   $15.80    $7.90     $74.10      $9.80       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
  Complex
  -------
  Dispatch w/o Install of NID
                                       ---------------------------------------------------------------------------------------------
    -Zone 1                                   N/A   $15.80    $7.90     $59.30      $8.00       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
    -Zone 2                                   N/A   $15.80    $7.90     $59.30      $8.00       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
    -Zone 3                                   N/A   $15.80    $7.90     $74.10      $9.80       N/A      N/A      N/A      N/A
                                       ---------------------------------------------------------------------------------------------
</TABLE>

<PAGE>

<TABLE>
<CAPTION>
PRICING                                           January 23 1998                                     NEVADA/PAC-WEST TELECOMM, INC.
                                                                                                                        PAGE 2 of 10

------------------------------------------------------------------------------------------------------------------------------------
               NEVADA
------------------------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------------------------------
<S>                                <C>            <C>       <C>       <C>       <C>       <C>       <C>       <C>       <C>
          VERTICAL FEATURES

  Call Forwarding Variable

                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.0887   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.1467   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
  DID Number Block (per 100
  numbers)
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.0029   $31.60    $15.80    $37.35   $ 10.10    $32.40   $ 14.25    $69.00    $25.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.0084   $31.60    $15.80    $39.30   $ 11.20    $34.30   $ 15.40    $70.90    $27.05
                                   -------------------------------------------------------------------------------------------------
  Hunting Business
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.2580   $31.60    $15.80    $37.35   $ 10.10    $32.40   $ 14.25    $69.00    $25.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.3091   $31.60    $15.80    $39.30   $ 11.20    $34.30   $ 15.40    $70.90    $27.05
                                   -------------------------------------------------------------------------------------------------
  Busy Call Forwarding
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.0044   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.0129   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
  Delayed Call Forwarding
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.0084   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.0247   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
  Call Waiting
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.0019   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.0052   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
  Three Way Calling
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.0613   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.0747   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
  Call Screen
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.1814   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.4624   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
  Message Waiting Indicator
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.0843   $31.60    $15.80    $11.20   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.2076   $31.60    $15.80    $11.20   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
  Repeat Dialling
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.1517   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.85    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.3421   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.85    $16.90
                                   -------------------------------------------------------------------------------------------------
  Call Return
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.4067   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.4639   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
  Call Forwarding Busy/Delay
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                            $0.0143   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                            $0.0203   $31.60    $15.80    $11.05   $  1.10    $15.80   $  5.25    $42.65    $16.90
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>

PRICING                  January 23 1998          NEVADA/PAC-WEST TELECOMM, INC.
                                                                    PAGE 3 of 10

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
               NEVADA                                                           ????????????????????
------------------------------------------------------------------------------------------------------------------------------------
  ???????????????                              ??????       ????????       ???????? ????       ????????  ???????????    ????????
------------------------------------------------------------------------------------------------------------------------------------
  <S>                                          <C>         <C>     <C>     <C>     <C>     <C>     <C>     <C>     <C>     <C>
  Remote Call Forwarding
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  1.6277  $31.60  $15.80  $11.40  $1.10   $15.80  $5.25   $43.00  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.3967  $31.60  $15.80  $11.40  $1.10   $15.80  $5.25   $43.00  $16.90
                                               -------------------------------------------------------------------------------------
  Remote Access to Call Forwarding
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  0.2234  $31.60  $15.80  $11.40  $1.10   $15.80  $5.25   $43.00  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.4912  $31.60  $15.80  $11.40  $1.10   $15.80  $5.25   $43.00  $16.90
                                               -------------------------------------------------------------------------------------
  Intercomm +
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  0.0611  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.0330  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
  Speed Calling 8
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  0.1913  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.5562  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
  Speed Calling 30
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  0.2046  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.5857  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
  Priority Ringing
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  0.1347  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.3815  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
  Call Trace
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  1.8182  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  1.8866  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
  Caller ID
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  0.9594  $31.60  $15.80  $11.40  $1.10   $15.80  $5.25   $43.00  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  2.7487  $31.60  $15.80  $11.40  $1.10   $15.80  $5.25   $43.00  $16.90
                                               -------------------------------------------------------------------------------------
  Per Line Blocking
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  0.0027  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.0065  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
  Per Call Blocking
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $0.000019  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $0.000044  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
  Blocked Call Rejection
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  1.1638  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.6681  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
  Simplified Message Desk Interface (per line)
                                               -------------------------------------------------------------------------------------
     -Zone 1                                    $  0.0972  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
                                               -------------------------------------------------------------------------------------
     -Zone 2                                    $  0.2829  $31.60  $15.80  $11.05  $1.10   $15.80  $5.25   $42.65  $16.90
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

PRICING                  January 23 1998          NEVADA/PAC-WEST TELECOMM, INC.
                                                                    PAGE 4 of 10

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
               NEVADA
------------------------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------------------------------
  <S>                              <C>        <C>      <C>     <C>         <C>      <C>        <C>       <C>        <C>     <C>
          LOCAL SWITCHING
  Analog Line Port
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                       $    2.80  $ 31.60  $15.80  $    42.15  $ 31.30  $   15.80  $    5.25 $   42.65  $ 16.90
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                       $    5.65  $ 31.60  $15.80  $    42.15  $ 31.30  $   15.80  $    5.25 $   42.65  $ 16.90
                                   -------------------------------------------------------------------------------------------------
  ISDN (BRI) Port
                                   -------------------------------------------------------------------------------------------------
     -Zone 1 -Metro                $   23.20  $ 31.60  $15.80  $    69.00  $ 51.10  $   55.05  $   28.85 $   74.20  $ 40.45
                                   -------------------------------------------------------------------------------------------------
     -Zone 2 (Pahrump Only)              TBD      TBD     TBD         TBD      TBD        TBD        TBD       TBD      TBD       5
                                   -------------------------------------------------------------------------------------------------

  5ESS Switching Establishment
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                             N/A  $827.25     N/A  $13,954.00      N/A  $3,925.70        N/A $3,988.95      N/A       7
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                             N/A  $827.25     N/A  $13,954.00      N/A  $3,925.70        N/A $3,988.95      N/A       7
                                   -------------------------------------------------------------------------------------------------
  DMS-100 Switching Establishment
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                             N/A  $827.25     N/A  $13,954.00      N/A  $3,925.70        N/A $3,988.95      N/A       7
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                             N/A  $827.25     N/A  $13,954.00      N/A  $3,925.70        N/A $3,988.95      N/A       7
                                   -------------------------------------------------------------------------------------------------
  Customized Routing
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                             ICB      ICB     ICB         ICB      ICB        ICB        ICB       ICB      ICB       2
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                             ICB      ICB     ICB         ICB      ICB        ICB        ICB       ICB      ICB       2
                                   -------------------------------------------------------------------------------------------------

  End Office Dedicated DS-1 Port
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                       $  250.95  $ 31.60  $15.80  $   855.80  $203.65  $  495.20  $  168.70 $  552.40  $213.60
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                       $  303.60  $ 31.60  $15.80  $   944.90  $217.50  $  541.40  $  181.75 $  599.50  $227.45
                                   -------------------------------------------------------------------------------------------------
  Tandem Dedicated DS-1 Port
                                   -------------------------------------------------------------------------------------------------
     -Zone 1                       $  317.05  $ 31.60  $15.80  $   855.80  $203.65  $  495.20  $  168.70 $  552.40  $213.60
                                   -------------------------------------------------------------------------------------------------
     -Zone 2                       $  317.05  $ 31.60  $15.80  $   944.90  $217.50  $  541.40  $  181.75 $  599.50  $227.45
                                   -------------------------------------------------------------------------------------------------
       BASIC SWITCHING FUNCTIONS
  Interoffice - Originating
                                   -------------------------------------------------------------------------------------------------
   Setup per Attempt               $0.003047      N/A     N/A         N/A      N/A        N/A        N/A       N/A      N/A
                                   -------------------------------------------------------------------------------------------------
   MOU                             $0.002538      N/A     N/A         N/A      N/A        N/A        N/A       N/A      N/A
                                   -------------------------------------------------------------------------------------------------
  Interoffice - Terminating
                                   -------------------------------------------------------------------------------------------------
   Setup per Call                  $0.003091      N/A     N/A         N/A      N/A        N/A        N/A       N/A      N/A
                                   -------------------------------------------------------------------------------------------------
   MOU                             $0.002491      N/A     N/A         N/A      N/A        N/A        N/A       N/A      N/A
                                   -------------------------------------------------------------------------------------------------
  Intraoffice
                                   -------------------------------------------------------------------------------------------------
   Setup per Call                  $0.001460      N/A     N/A         N/A      N/A        N/A        N/A       N/A      N/A
                                   -------------------------------------------------------------------------------------------------
   MOU                             $0.002740      N/A     N/A         N/A      N/A        N/A        N/A       N/A      N/A
                                   -------------------------------------------------------------------------------------------------
  Tandem Switching
                                   -------------------------------------------------------------------------------------------------
   Setup per Call                  $0.002642      N/A     N/A         N/A      N/A        N/A        N/A       N/A      N/A
                                   -------------------------------------------------------------------------------------------------
   MOU                             $0.001253      N/A     N/A         N/A      N/A        N/A        N/A       N/A      N/A
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

<TABLE>
<CAPTION>
PRICING                                     January 23 1998                                           NEVADA/PAC-WEST TELECOMM, INC.
                                                                                                                        PAGE 5 of 10

------------------------------------------------------------------------------------------------------------------------------------
               NEVADA
------------------------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------------------------------
<S>                                        <C>     <C>        <C>      <C>       <C>        <C>       <C>       <C>    <C>  <C>
 ACCESS TO UNBUNDLED NETWORK ELEMENTS

          CROSS CONNECTS (All Zones)
 - Loop Cross Connects
 2-Wire Analog Loop to Point of Access
                                         -------------------------------------------------------------------------------------------

   - Method 1                              $1.10   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 2                              $1.10   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 3                              $1.10   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 4                              $1.10   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 5                              $0.70   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
 4-Wire Analog Loop to Point of Access
                                         -------------------------------------------------------------------------------------------
   - Method 1                              $1.45   $31.60     $15.80   $128.85   $122.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 2                              $1.45   $31.60     $15.80   $128.85   $122.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 3                              $1.45   $31.60     $15.80   $128.85   $122.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 4                              $1.45   $31.60     $15.80   $128.85   $122.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 5                              $1.05   $31.60     $15.80   $128.85   $122.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
 2-Wire Digital Loop to Point of Access
                                         -------------------------------------------------------------------------------------------
   - Method 1                              $1.10   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 2                              $1.10   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 3                              $1.10   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 4                              $1.10   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 5                              $0.70   $31.60     $15.80   $111.95   $104.35    $55.90    $43.20    N/A    N/A
                                         -------------------------------------------------------------------------------------------
 4-Wire Digital Loop to Point of Access
                                         -------------------------------------------------------------------------------------------
   - Method 1                              $1.45   $31.60     $15.80   $184.00   $143.70    $64.70    $47.40    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 2                              $1.45   $31.60     $15.80   $184.00   $143.70    $64.70    $47.40    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 3                              $1.45   $31.60     $15.80   $184.00   $143.70    $64.70    $47.40    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 4                              $1.45   $31.60     $15.80   $184.00   $143.70    $64.70    $47.40    N/A    N/A
                                         -------------------------------------------------------------------------------------------
   - Method 5                              $1.05   $31.60     $15.80   $184.00   $143.70    $64.70    $47.40    N/A    N/A
------------------------------------------------------------------------------------------------------------------------------------
 </TABLE>
<PAGE>

PRICING                  January 23 1998          NEVADA/PAC-WEST TELECOMM, INC.
                                                                    PAGE 6 of 10

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
          NEVADA
------------------------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------------------------------
  <S>                                 <C>                  <C>      <C>      <C>       <C>       <C>       <C>       <C>  <C>  <C>
  - Switch Cross Connects
  Analog Line Port to Point of Access
                                      ----------------------------------------------------------------------------------------------
    - Method 1                                    $ 1.10   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 2                                    $ 1.10   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 3                                    $ 1.10   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 4                                    $ 1.10   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 5                                    $ 0.70   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
  ISDN BRI Port to Point of Access
                                      ----------------------------------------------------------------------------------------------
    - Method 1                                    $ 1.10   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 2                                    $ 1.10   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 3                                    $ 1.10   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 4                                    $ 1.10   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 5                                    $ 0.70   $31.60   $15.80   $ 64.85   $ 57.25   $24.50    $11.80    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Unbundled Dedicated Transport Cross Connects
                                      ----------------------------------------------------------------------------------------------
  DS-1 to Point of Access
                                      ----------------------------------------------------------------------------------------------
    - Method 1                                    $11.60   $31.60   $15.80   $184.00   $143.70   $64.70    $47.40    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 2                                    $11.50   $31.60   $15.80   $184.00   $143.70   $64.70    $47.40    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 3                                    $11.50   $31.60   $15.80   $184.00   $143.70   $64.70    $47.40    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 4                                    $11.50   $31.60   $15.80   $184.00   $143.70   $64.70    $47.40    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 5                                    $11.20   $31.60   $15.80   $184.00   $143.70   $64.70    $47.40    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
  DS-3 to Point of Access
                                      ----------------------------------------------------------------------------------------------
    - Method 1                                       TBD      TBD      TBD       TBD       TBD      TBD       TBD    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 2                                       TBD      TBD      TBD       TBD       TBD      TBD       TBD    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 3                                       TBD      TBD      TBD       TBD       TBD      TBD       TBD    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 4                                       TBD      TBD      TBD       TBD       TBD      TBD       TBD    N/A  N/A
                                      ----------------------------------------------------------------------------------------------
    - Method 5                                       TBD      TBD      TBD       TBD       TBD      TBD       TBD    N/A  N/A
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

PRICING                       JANUARY 23 1998      NEVADA/PAC-WEST TELECOMM,INC.
                                                                    PAGE 7 of 10
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
        NEVADA
------------------------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------------------------------
       TRANSPORT
    - Common Transport
<S>                          <C>           <C>         <C>         <C>            <C>         <C>        <C>       <C>   <C>   <C>
                             -------------------------------------------------------------------------------------------------------
    Zone 1
       Fixed Per MOU          $0.000288       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
       Per Mi Per MOU         $0.000029       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
    Zone 2
                             -------------------------------------------------------------------------------------------------------
       Fixed Per MOU          $0.000303       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
       Per Mi Per MOU         $0.000019       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
    - Shared Transport
    Zone 1
                             -------------------------------------------------------------------------------------------------------
       Fixed Per MOU          $0.000986       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
       Per Mi Per MOU         $0.000047       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
    Zone 2
                             -------------------------------------------------------------------------------------------------------
       Fixed Per MOU          $0.001530       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
       Per Mi Per MOU         $0.000117       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
       DEDICATED TRANSPORT
     -DS1 Interoffice Transport
    Zone 1
                             -------------------------------------------------------------------------------------------------------
     Fixed (per termination)    $ 30.80    $31.60      $15.80       $822.65       $172.45     $458.15    $142.55   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
     Variable (per mile)        $  8.07       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A    1
                             -------------------------------------------------------------------------------------------------------
    Zone 2
                             -------------------------------------------------------------------------------------------------------
     Fixed (per termination)    $ 45.05    $31.60      $15.80       $909.25       $183.80     $501.00    $153.60   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
     Variable (per mile)        $  7.18       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A    1
                             -------------------------------------------------------------------------------------------------------
     -DS3 Interoffice Transport
    Zone 1
                             -------------------------------------------------------------------------------------------------------
                                $378.45    $31.60      $15.80       $822.65       $253.05     $458.15    $142.55   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
     Fixed (per termination)    $ 97.66       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A    1
                             -------------------------------------------------------------------------------------------------------
     Variable (per mile)
    Zone 2
                             -------------------------------------------------------------------------------------------------------
     Fixed (per termination)    $780.55    $31.60      $15.80       $909.25       $274.90     $501.00    $153.60   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
     Variable (per mile)        $166.39       N/A         N/A           N/A           N/A         N/A        N/A   N/A   N/A    1
                             -------------------------------------------------------------------------------------------------------
       - Entrance Facilities
                             -------------------------------------------------------------------------------------------------------
     DS-1                       $ 84.45    $31.60      $15.80       $822.65       $172.45     $458.15    $142.55   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
     DS-3                       $900.15    $31.60      $15.80       $823.00       $253.15     $458.15    $142.55   N/A   N/A
                             -------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

PRICING                January 23 1998           NEVADA/PAC-WEST TELECOMM, INC.
                                                                    PAGE 8 of 10

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                 NEVADA
------------------------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------------------------------

  - Multiplexing
                                        --------------------------------------------------------------------------------------------
<S>                                       <C>      <C>       <C>      <C>       <C>      <C>       <C>      <C>      <C>      <C>
DS-1 / DS-0 Mutliplexing                  $258.80  $31.60    $15.80   $284.75   $151.10  $270.80   $128.85  $313.05  $166.90
                                        --------------------------------------------------------------------------------------------
DS-3 / DS-1 Multiplexing                  $373.55  $31.60    $15.80   $553.45   $151.10  $190.20   $128.85  $232.45  $166.90
                                        --------------------------------------------------------------------------------------------
DCS                                           BFR     BFR       BFR       BFR       BFR      BFR       BFR      N/A      N/A     2
                                        --------------------------------------------------------------------------------------------

                                        --------------------------------------------------------------------------------------------
     SIGNALING SYSTEM 7 (SS7)
                                        --------------------------------------------------------------------------------------------
STP Port                                $2,235.65  $31.60    $15.80   $170.95    $71.30  $156.20    $75.45  $202.55   $87.10
                                        --------------------------------------------------------------------------------------------
SS7 Link                                   $18.85  $31.60    $15.80   $170.95    $71.30  $156.20    $75.45  $202.55   $87.10
                                        --------------------------------------------------------------------------------------------
Link Mileage                                $0.34     N/A       N/A       N/A       N/A      N/A       N/A      N/A      N/A
                                        --------------------------------------------------------------------------------------------
Transit Signaling                             TBD  $31.60    $15.80   $170.95    $71.30  $156.20    $75.45  $202.55   $87.10     4
                                        --------------------------------------------------------------------------------------------
SS7 cross connect                           $1.45  $31.60    $15.80   $184.00   $143.70   $64.70    $47.40      N/A      N/A
                                        --------------------------------------------------------------------------------------------
SS7 Transport (per octet)                     TBD     N/A       N/A       N/A       N/A      N/A       N/A      N/A      N/A     4
                                        --------------------------------------------------------------------------------------------
            800
                                        --------------------------------------------------------------------------------------------
Basic Toll Free Access Query            $0.005355     N/A       N/A       N/A       N/A      N/A       N/A      N/A      N/A
                                        --------------------------------------------------------------------------------------------
POTS Translations                       $0.000000     N/A       N/A       N/A       N/A      N/A       N/A      N/A      N/A
                                        --------------------------------------------------------------------------------------------
Multiple Destination Routing            $0.000526     N/A       N/A       N/A       N/A      N/A       N/A      N/A      N/A
                                        --------------------------------------------------------------------------------------------
Six-Digit Master Number List
 Turnaround                             $0.003652     N/A       N/A       N/A       N/A      N/A       N/A      N/A      N/A
                                        --------------------------------------------------------------------------------------------
            AIN
                                        --------------------------------------------------------------------------------------------
AIN                                           TBD     TBD       TBD       TBD       TBD      TBD       TBD      TBD      TBD     5
                                        --------------------------------------------------------------------------------------------
      DIRECTORY LISTINGS
                                        --------------------------------------------------------------------------------------------
Directory Listings (per listing)        $0.086615     N/A       N/A       N/A       N/A      N/A       N/A      N/A      N/A
                                        --------------------------------------------------------------------------------------------
Independent Company Directory Listing         ICB     N/A       N/A       N/A       N/A      N/A       N/A      N/A      N/A
                                        --------------------------------------------------------------------------------------------
     INTERIM NUMBER PORTABILITY
                                        --------------------------------------------------------------------------------------------
DNCF                                       $ 0.00  $ 0.00    $ 0.00    $ 0.00    $ 0.00   $ 0.00    $ 0.00   $ 0.00   $ 0.00
                                        --------------------------------------------------------------------------------------------
Flex DID                                   $ 0.00  $ 0.00    $ 0.00    $ 0.00    $ 0.00   $ 0.00    $ 0.00   $ 0.00   $ 0.00
                                        --------------------------------------------------------------------------------------------
      MANUAL SERVICE ORDER CHARGE
                                        --------------------------------------------------------------------------------------------
Service Order Charge                          N/A  $15.80       N/A       N/A       N/A   $15.80       N/A   $15.80      N/A     3
                                        --------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

PRICING                  January 23 1998          NEVADA/PAC-WEST TELECOMM, INC.
                                                                    PAGE 9 of 10

<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
          NEVADA
-----------------------------------------------------------------------------------------------------------------------------------

-----------------------------------------------------------------------------------------------------------------------------------
          OSS
                                        --------------------------------------------------------------------------------------------
<S>                                     <C>       <C>      <C>      <C>        <C>        <C>        <C>         <C>       <C>  <C>
Access to OSS                               TBD      TBD      TBD       TBD        TBD        TBD        TBD     TBD       TBD   5
                                        --------------------------------------------------------------------------------------------
     COLLOCATION
                                        --------------------------------------------------------------------------------------------
Cage-to-Cage Cross Connect DS-1           $7.90   $31.60   $15.80   $204.15    $151.10    $189.75    $128.85     N/A       N/A
                                        --------------------------------------------------------------------------------------------
Cage-to-Cage Cross Connect DS-3         $265.40   $31.60   $15.80   $204.15    $151.10    $189.75    $128.85     N/A       N/A
                                        -------------------------------------------------------------------------------------------
     RESALE DISCOUNT
                                        -------------------------------------------------------------------------------------------
- Residence                               10.37%     N/A      N/A       N/A        N/A        N/A        N/A     N/A       N/A
                                        -------------------------------------------------------------------------------------------
- Business                                13.51%     N/A      N/A       N/A        N/A        N/A        N/A     N/A       N/A
                                        -------------------------------------------------------------------------------------------
Resale Migration Charge
                                        -------------------------------------------------------------------------------------------
- Residence per line                        N/A      N/A      N/A    $30.00        N/A        N/A        N/A     N/A       N/A
                                        -------------------------------------------------------------------------------------------
- Business per line                         N/A      N/A      N/A    $38.00        N/A        N/A        N/A     N/A       N/A
                                        -------------------------------------------------------------------------------------------
Suspension Service
                                        -------------------------------------------------------------------------------------------
- Residence per line                        N/A      N/A      N/A    $30.00        N/A        N/A        N/A     N/A       N/A
                                        -------------------------------------------------------------------------------------------
- Business per line                         N/A      N/A      N/A    $38.00        N/A        N/A        N/A     N/A       N/A
                                        -------------------------------------------------------------------------------------------
     ENHANCED 911
                                        -------------------------------------------------------------------------------------------
1-Way Outgoing 4-wire Trunk               $9.30      N/A      N/A   $175.07        N/A        N/A        N/A     N/A       N/A   6
                                        -------------------------------------------------------------------------------------------
Mileage (Per Mile)                        $0.40      N/A      N/A       N/A        N/A        N/A        N/A     N/A       N/A
                                        -------------------------------------------------------------------------------------------
     OPERATOR SERVICES (OS)
                                        -------------------------------------------------------------------------------------------
TOPS Access
                                        -------------------------------------------------------------------------------------------
     -Zone 1                            $317.05   $31.60   $15.80   $855.80    $203.65    $495.20    $168.70 $552.40   $213.60
                                        -------------------------------------------------------------------------------------------
     -Zone 2                                N/A      N/A      N/A       N/A        N/A        N/A        N/A     N/A       N/A    8
                                        -------------------------------------------------------------------------------------------
CLEC Branding - Per Script                  TBD      TBD      TBD       TBD        TBD        TBD        TBD     TBD       TBD    5
                                        -------------------------------------------------------------------------------------------
CLEC Rate/Reference Information             TBD      TBD      TBD       TBD        TBD        TBD        TBD     TBD       TBD    5
                                        -------------------------------------------------------------------------------------------
     DIRECTORY ASSISTANCE (DA)
                                        -------------------------------------------------------------------------------------------
TOPS Acess
                                        -------------------------------------------------------------------------------------------
     -Zone 1                            $317.05   $31.60   $15.80   $855.80    $203.65    $495.20    $168.70 $552.40   $213.60
                                        -------------------------------------------------------------------------------------------
     -Zone 2                                N/A      N/A      N/A       N/A        N/A        N/A        N/A     N/A       N/A    8
                                        -------------------------------------------------------------------------------------------
CLEC Branding - Per Script                  TBD      TBD      TBD       TBD        TBD        TBD        TBD     TBD       TBD    5
                                        -------------------------------------------------------------------------------------------
CLEC Rate/Reference Information             TBD      TBD      TBD       TBD        TBD        TBD        TBD     TBD       TBD    5
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>

PRICING                   January 23 1998          NEVADA/PAC-WEST TELECOMM,INC.
                                                                   PAGE 10 of 10
--------------------------------------------------------------------------------

     Overall Assumptions:
     --------------------
     a)  Zone for loops are defined as 1, 2, and 3.
          Zone 1 for loops includes RENONV02, SPRKNV11, RENOVN13, CRCYN01,
          RENONV12, RENONV14, and RENONV15.
          Zone 2 for loops includes INVGNV11, STEDNV11, SNVYNV11, SPRKNV12,
             DYTNNV11, WASONV11, FRNLNV11, VERDNV11, SVSPNV11, VRCYNV12,
             CHBTNV11, LCWDNV11, and CRPLNV11.
          Zone 3 for loops includes all other offices not defined in zone 1 or
          2.
     b)  Zones for local switching capability, Port features, Vertical features
         and Optional Centrex features are defined as Zone 1 and Zone 2.
          Zone 1 includes offices identified in Zones 1 and 2 for loops above.
          Zone 2 includes offices identified in Zone 3 for loops above.
     c)  Zones for interoffice transmission are defined Zone 1 and Zone 2.
          Zone 1 includes offices identified in Zones 1 and 2 for loops above.
          Zone 2 includes a statewide average for all offices identified in
          Zones 1, 2 and 3 for loops above.
     d)  For non-recurring activities, changes are defined as a request for an
         addition, partial disconnect, rearrangement or modification of the
         existing end user arrangement.

     Notes:
     ------
     1) Recurring variable costs are per airline mile.
     2) BFR refers to Innerconnect Network Element Request and relates to
        feasibility of the project. ICB refers to Individual Case Basis Study
        and shows that each request varies in cost.
     3) The non-recurring charges shown here can apply to all initial non-
        recurring service order, disconnect and change activities.
     4) The recurring charge will be determined when Nevada/California begins
        measuring this element.
     5) Once Nevada Bell deploys the technology and successful testing is
        completed, then the costing for this element can be completed.
     6) CLEC must order a minimum of 2 Trunks.
     7) Vendor pre-conditioning costs by switch technology are to be addressed
        through the ICB process and are in addition to prices displayed for the
        rate element.
     8) Currently there is no TOPS Switch in Zone 2; therefore, there are no
        applicable rates.
--------------------------------------------------------------------------------
<PAGE>

APPENDIX RESALE

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TABLE OF CONTENTS

 1. TELECOMMUNICATIONS SERVICES PROVIDED FOR RESALE ...........................1
    ---------------------------------------------------------------------------

 2.  TERMS AND CONDITIONS OF SERVICE ..........................................2
     --------------------------------------------------------------------------

 3.  ANCILLARY SERVICES .......................................................5
     --------------------------------------------------------------------------

  3.191 1/E911 ................................................................5

  3.2 White Page Directories: Listings, Distribution & Information Page........5
      -------------------------------------------------------------------------
  ..............................................................................
  3.3 Directory Assistance ("DA") .............................................6
      -------------------------------------------------------------------------

  3.4 Operator Services .......................................................6
---------------

 4.  BRANDING .................................................................7
     --------------------------------------------------------------------------
     4.2 Requirements .........................................................7
         ----------------------------------------------------------------------

  4.3 Call Brandin ............................................................7
      -------------------------------------------------------------------------

     4.4 Rate/Reference Information ...........................................7
         ----------------------------------------------------------------------
 5.  RESPONSIBILITIES OF NEVADA ...............................................8
     --------------------------------------------------------------------------

 6.  RESPONSIBILITIES OF CLEC .................................................9
     --------------------------------------------------------------------------

 7. PROCEDURES FOR NONPAYMENT AND DISCONNECTION ..............................12
    --------------------------------------------------------------------------

 8. INTERVENING LAW AND PRESERVATION OF RIGHTS ...............................13
    ------------------------------------

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                      APPENDIX RESALE
                                Page I of 14
NEVADA/PAC-WEST TELECOMM, INC.
                                052198

APPENDIX RESALE

This Appendix sets forth the rates, terms and conditions. for those services
available for sale at retail to End Users which are made available to CLECs by
NEVADA for resale.

1.       TELECOMMUNICATIONS SERVICES PROVIDED FOR RESALE

          1.1 For services included in this Appendix, the rules and regulations
          associated with

         the corresponding tariffs apply, except- for- applicable resale
         restrictions, and except as otherwise provided herein.

          1.2 Attached hereto as Exhibit A is a list of Telecommunications
          Services provided to

         End Users through NEVADA's retail operations and available for resale
         at the wholesale discount rate of 13.51% for business and 10.37% for
         residence off the retail rate for each service. Except as otherwise
         expressed herein and consistent with NEVADA's obligation under Section
         251(c.)(4)(A) of the Telecommunications Act, CLEC may resell other
         Telecommunications Services offered by NEVADA and not listed in Exhibit
         A. Exhibit B contains- a list of other services available for resale at
         the discount included in the Exhibit

 1.3     NEVADA shall make available for resale- by CLEC the following NEVADA
         services at NEVADA's tariffed rate for each service (or in the event a
         service is not tariffed, at the rate NEVADA charges-- its subscribers,
         except as otherwise provided herein):

(a)      Construction Charges;

(b)      Connections with Terminal Equipment and Communication Systems;
(c)      Maintenance of Service Charges/Additional Labor Billing Charges;
(d)      Telecommunications Service Priority Systems;

(e)      Access Services;

Exchange Connection Services;

(g)      Public Telephone Access Line Service;

(h)      Customer Provided Inmate Calling Service;

Suspension Service; and

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6)  Shared Tenant Service.

1.3.1    When CLEC resells Shared Tenant Service, CLEC will receive the discount
         associated with the underlying service used in the shared tenant
         arrangement.

1.4      NEVADA shall be under no obligation to offer the following for resale:

         (a)      Customer Provided Equipment;

(b)      Inside Wiring;

(c)      911 Universal Emergency Number Equipment;

(d)      Voice Mail;

(e)      Supersedure;

Public Sector Digital Network Services.

(g)      Alarm Plus.

          1.5 Grandfathered services are also available for resale at the
          applicable wholesale

          discount to the same customers to which NEVADA offers the service.

2.       TERMS AND CONDITIONS OF SERVICE

2.1      Telecommunications Services will be resold to CLEC on terms and
         conditions that are reasonable and nondiscriminatory. For services
         included in this Appendix, all the use restrictions and limitations and
         the rules and regulations contained in NEVADA's corresponding tariffs
         apply to CLEC's End Users.
2.2      Except where otherwise explicitly provided in the corresponding tariffs
         established by the Commission, CLEC shall not permit the sharing of a
         service by multiple End Users or the aggregation of traffic from
         multiple End Users onto a single service.

2.3      The rights, obligations and duties set forth in this Appendix are
         subject to the Act, regulations thereunder, and relevant Commission
         decisions.

2.4      CLEC shall resell these telecommunications services only to the same
         class of customers to which NEVADA sells the services, e.g. residence
         service may not be resold to business customers. CLEC may only resell
         Lifeline Assistance, Link Up, and other like services to similarly
         situated customers who are eligible for

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<PAGE>

such services. Further, to the extent CLEC resells services that require
certification on the part of the buyer, CLEC will ensure that the buyer has
received proper certification and complies with all rules and regulations as
established by the Commission.

2.5      NEVADA shall apply the wholesale discount to the retail price or
         ordinary rate for a retail service rather than a special promotional
         rate when such promotions will be in effect for no more than 90 days.

2.5.1    If NEVADA offers a new Telecommunications Service or a
         Telecommunications Service which has not been tariffed on a short-term

         promotional basis, it must establish the standard retail price or
        ordinary

         rate for those Telecommunications Services and make those

         Telecommunications Services available to CLEC at that price less the
         wholesale discount.

2.5.2    Nothing in this Agreement shall require NEVADA to provide to CLEC
         promotional service elements that are not Telecommunications Services
         such as CPE and Inside Wire Maintenance Plans.

2.6      CLEC shall not use a resold service to avoid the rates, terms and
         conditions of NEVADA's corresponding retail tariff.
2.7      CLEC shall not use resold local exchange telephone service to provide
         access or interconnection services to itself, interexchange carriers
         ("IXCs'), wireless carriers, competitive access providers ("CAPs") or
         other telecommunications providers. CLEC may permit its End Users to
         use resold local exchange telephone service to access IXCs, wireless
         carriers, CAPs, or other retail telecommunications providers.

2.8      An End User Common Line ("EUCL") charge and any other mandated charge
         will continue to apply for each local exchange line resold under this
         Appendix. All federal rules and regulations associated with EUCL
         charges, as found in Tariff FCC No. 1, also apply. Revenues from access
         charges, whether usage sensitive or flat rated, will be retained by
         NEVADA.

               2.9  To the extent allowable by law, CLEC shall be responsible
                    for Primary Interexchange Carrier ( "PIC") change. charges
                    associated with such local exchange line. CLEC shall pay for
                    PIC changes at the tariffed rate.

2.10     NEVADA shall provide the services covered by this Appendix subject to
         availability of existing facilities and on a nondiscriminatory basis
         with its other customers. CLEC shall resell the services provided
         herein only in those service

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areas in which such resale services or any feature or capability thereof are
offered at retail by NEVADA as the incumbent local exchange carrier to its End
Users.

 2.11    When CLEC migrates an End User currently receiving service from
         NEVADA's network, without any changes to NEVADA's network, and such
         order requires manual processing by NEVADA personnel, CLEC will be
         charged an interim per order (i.e., per billable telephone number)
         conversion charge as outlined in Appendix PRICING. The rate for
         migration orders processed and completed electronically will be
         determined at a later date.

         2.11.1   When CLEC converts an End User and adds or changes are made to
                  the network, the respective migration charge will apply, as
                  well as any normal service order charges associated with said
                  changes. All nonrecurring service connection charges,
                  excluding the migration charge mentioned above, will be
                  charged at the appropriate wholesale discount for those
                  services listed in the Exhibits to this Appendix.

 2.12    For the purposes of ordering new service under this Appendix, each
         request for service shall be handled as a separate and initial request
         for service per billable telephone number. The additional line rate for
         Service Order Charges shall apply only to those requests for additional
         residential service at the End User's same location where a residential
         line is currently provided on NEVADA's network, regardless of the
         non-facilities based local service provider of record.

 2.12.1  For purposes of this section, service orders for CLECs shall be handled
         in the same fashion as NEVADA requires for its End Users.

 2.13    If CLEC is in violation of a provision of this Appendix, NEVADA will
         notify CLEC of the violation in writing. Such notice must refer to the
         specific provision being violated. At such time, CLEC will have thirty
         (30) days to correct the violation and notify NEVADA in writing that
         the violation has been corrected. NEVADA will then bill CLEC for the
         charges which should have been collected by NEVADA or the actual
         revenues collected by CLEC from its End Users for the stated violation,
         whichever is greater. Should CLEC dispute the violations, it must
         notify NEVADA in writing within fourteen (14) days of receipt of notice
         from NEVADA. Disputes will be resolved as outlined in the Dispute
         Resolution Section of the General Terms and Conditions of this
         Agreement.

               2.14 NEVADA is not required to make services available for resale
                    at wholesale rates to CLEC for its own use.

               2.15 The effective date of this Appendix shall be ten (10) days
                    after the date the Commission approves the Interconnection
                    Agreement.

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3.       ANCILLARY SERVICES

91 1/E911

 3.1.1   Where available, NEVADA will afford CLEC End Users with the ability to
         make 911 calls. CLEC shall be responsible for collecting and remitting
         all applicable 911 surcharges on a per line basis to the Public Safety
         Answering Point ("PSAP").

         3.1.2    When requested by NEVADA, CLEC shall provide timely, accurate
                  and complete information on each of CLEC's End Users as needed
                  for the

                  provisioning-of 911 service to CLEC's End Users. Such
                  information shall be in a format and a time frame prescribed
                  by NEVADA for purposes of 911 administration.

3.2      White Page Directories: Listings, Distribution & Information Page

 3.2.1   NEVADA shall provide, at no additional charge, a basic listing of
         CLEC's End User in the appropriate NEVADA local White Pages. Subscriber
         listing information on resold lines shall remain the property of
         NEVADA.

         3.2.1.1     Upon receipt of a request from a third party directory
                     publisher, including Nevada Bell Yellow Pages, for
                     subscriber listing information, NEVADA will provide to that
                     third party directory publisher CLEC subscriber's listing
                     information on an interfiled basis and indistinguishable
                     from NEVADA's subscriber listing information.

 3.2.1.2    Each CLEC subscriber will receive one copy of NEVADA's White Pages
            directory, and a Yellow Pages directory when cobound with the White
            Pages, in the same manner and at the same time that they are
            provided to NEVADA's subscribers. It is the Parties' expectation
            that separately bound NEVADA Bell Yellow Pages directories will be
            delivered in the same manner and at the same time to CLEC's
            subscribers as to NEVADA's subscribers.

 3.2.1.3    If CLEC's End User already has a current NEVADA directory, NEVADA
            shall not be required to deliver a directory to that End User until
            new directories are published for that End User's location.

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                  3.2.1.4    The listings described above are included in the
                             wholesale price CLEC owes NEVADA for resold lines
                             and will be provided by NEVADA at no additional
                             charges.

          3.2.1.5 Additional Listing Services (e.g., foreign listings) can be
          purchased by CLEC for its End Users on a per listing basis. CLEC shall
          pay NEVADA for all such listings provided to CLEC's End Users.

                  3.2.1.6    CLEC hereby releases NEVADA from any and all
                             liability for damages due to errors or omissions in
                             CLECs subscriber listing information as it appears
                             in the White Pages directory, including, but not
                             limited to, special, indirect, consequential,
                             punitive or incidental damages. To the extent CLEC
                             reimburses its End User subscriber any listing
                             charge due to errors or omissions caused directly
                             by NEVADA, NEVADA shall reimburse CLEC any
                             associated wholesale rate.

3.3      Directory Assistance ("DA")

         NEVADA shall provide CLEC's End Users access to NEVADA's Directory
         Assistance Service. CLEC shall pay NEVADA amounts attributable to
         Directory Assistance services used by CLEC's End Users. Discounts
         associated with the utilization of Directory Assistance Service are
         outlined in the Exhibits to this Appendix.

3.4      Operator Services

         3.4.1    NEVADA shall provide CLEC's End Users access to NEVADA's
                  Operator Services. CLEC shall pay NEVADA amounts attributable
                  to Operator Services used by CLEC's End Users. Discounts
                  associated with the utilization of Operator Services features
                  are outlined in the Exhibits to this Appendix.

         3.4.2    NEVADA shall provide Busy Line Verification and Busy Line
                  Verification Interrupt on calls made on NEVADA's network to
                  CLEC's End Users. CLEC shall pay NEVADA associated charges
                  when its End Users request such services as outlined in the
                  Exhibits of this Appendix.

3.5      Should CLEC choose to suspend their End User through Company Initiated
         Suspension Service, this suspension period shall not exceed fifteen
         (15) calendar days. CLEC shall be billed a suspend charge per CLEC's
         End User billing telephone number, as outlined in Appendix PRICING.
         When CLEC issues a disconnect on the same end user account within
         fifteen (15) days after the suspension service has been ordered or
         after the fifteen (15) day suspension

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<PAGE>

                  period, CLEC shall be responsible for all appropriate charges
                  on the account back to the suspension date. Should CLEC
                  restore their End User, CLEC will be billed for the
                  appropriate monthly service from the time of suspension.

4.       BRANDING

4.1      Except where otherwise required by law, CLEC shall not, without
         NEVADA's written authorization, offer the resale services covered by
         this Appendix using the trademarks, service marks, trade names, brand
         names, logos, insignia, symbols or decorative designs of NEVADA or its
         affiliates, nor shall CLEC state or imply that there is any joint
         business association or similar arrangement with NEVADA in the
         provision of Telecommunications Services to CLEC's own End Users. CLEC
         may brand services included in this Appendix with its own brand name,
         but NEVADA shall not be responsible for providing such branding.
4.2      Requirements

         Pursuant to Section 226 (b) of The Telecommunications Act of 1996, each
         provider of Operator Services is required to:

               (a)  provide its brand at the beginning of each telephone call
                    and before the consumer incurs any charge for the call; and

               (b)  disclose immediately to the consumer, upon request, a quote
                    of its rates or charges for the call.

4.3      Call Branding

         Currently NEVADA is unable to provide unique branding for CLEC. All
         calls will be unbranded. When NEVADA has the capability to uniquely
         brand CLEC calls, the Parties shall negotiate the specific price,
         terms, and conditions for this service.

4.4      Rate/Reference Information

         Currently NEVADA is unable to provide unique Rate/Reference
         Information. When NEVADA has the capability to provide unique
         Rate/Reference Information for CLECs, the Parties shall negotiate the
         specific price, terms, and conditions for this service. In the interim,
         CLEC specific rate quotes will only be provided when CLEC's OS rates
         exactly mirror NEVADA's rates. To the extent CLEC provides NEVADA its
         customer. service center number, NEVADA will provide such referral
         number to CLEC's End User customer for all other rate quotes.

4.5      Where CLEC purchases resale and elects to provide Directory Assistance
         and/or Operator Services to its customers through its own or a third
         party's Directory Assistance and/or Operator Services platforms, NEVADA
         will provide the functionality and features required to route calls
         from CLEC customers for local

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<PAGE>

                  Directory Assistance and/or Operator Services to CLEC
                  designated, dedicated trunks. Trunk signaling will be
                  appropriate to the technology used to provide access to CLEC's
                  Directory Assistance and/or Operator Services Platform. All
                  CLEC Directory Assistance and/or Operator Services trunk
                  group(s) will be dedicated and will not overflow to the NEVADA
                  network for call completion. A single customized routing
                  configuration will be provided for all of CLEC's customers in
                  an individual switch. Implementation of CLEC customized
                  Directory Assistance and/or Operator Services routing
                  arrangements will be on a project specific individual case
                  basis as mutually agreed by the Parties. Charges for dedicated
                  trunks are stated separately in Appendix PRICING.

5.       RESPONSIBILITIES OF NEVADA

5.1      NEVADA shall allow CLEC to place service orders and receive phone
         number assignments (for new lines). These activities shall be
         accomplished by facsimile or electronic interface when established.
         NEVADA, with input from CLEC, shall provide interface specifications
         for electronic access for these functions to CLEC once such electronic
         interfaces become technically feasible and are in place, However, CLEC
         shall be responsible for modifying and connecting any of its systems
         with NEVADA provided interfaces when such interfaces become available,
         as outlined in Appendix OSS.
5.2      NEVADA shall implement CLEC service orders within the same time
         intervals NEVADA uses to implement service orders for similar services
         for its own End Users.

          5.3 CLEC will have the ability to report trouble for its End Users to
          appropriate NEVADA trouble reporting centers twenty-four (24) hours a
          day, seven (7) days a week in the same manner as NEVADA provides for
          its End Users. CLEC will be assigned a customer contact center when
          initial service agreements are made. CLEC's End Users calling NEVADA
          will be referred to CLEC at the number provided by CLEC. NEVADA shall
          at all times be responsible for the repair and maintenance of its
          network. Nothing herein shall be interpreted to authorize CLEC to
          repair, maintain, or in any way touch NEVADA's network facilities,
          including those on End User premises.

         5.3.1    Methods and procedures for ordering and trouble reporting are
                  outlined in CLEC Handbook, as amended by NEVADA from time to
                  time. Both Parties agree to abide by the procedures contained
                  therein.
5.4      On no less than sixty (60) days advance written notice, CLEC may
         request NEVADA to make certain usage information available to CLEC on a
         daily basis in a standard electronic format as outlined in Appendix
         OSS. The information will consist of usage sensitive charges NEVADA
         will bill to CLEC arising out of

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<PAGE>

               the  -use of resold lines. CLEC agrees to pay NEVADA three tenths
                    of a cent ($.003) per message for this service.

5.5      NEVADA will notify CLEC of any changes in the price, terms and
         conditions under which NEVADA offers Telecommunications Services at
         retail to subscribers who are not telecommunications providers or
         carriers, including, but not limited to, the introduction of any new
         features, functions, services, promotions, grandfathering or the
         discontinuance of current features or services at the time a tariff
         filing is transmitted to the State Commission, or, in situations where
         a tariff filing is not so transmitted, within sixty (60) days
         (forty-five (45) days for price changes) of the expected effective date
         of such change. 5.5.1 NEVADA currently uses the Accessible Letter
         process to notify CLEC of
                  new services available for resale during the term of this
                  Agreement. The notification shall advise CLEC of the category
                  in which such new service shall be placed and the same
                  discount already applicable to CLEC in that category shall
                  apply to the new service. Should NEVADA change its
                  notification procedures to CLEC, the notice will be no less
                  prompt than the Accessible Letter.

5.6      CLEC End User's activation of Call Trace shall be handled by NEVADA.
         NEVADA shall notify CLEC of requests by its End Users to provide the
         call records to the proper authorities. Subsequent communication and
         resolution of the case with CLEC's End User (whether that End User is
         the victim or the suspect) will be coordinated through CLEC.

               5.6.1 CLEC understands that for services where reports are
                    provided to law enforcement agencies (e.g., Call Trace) only
                    billing number and address information shall be provided. It
                    shall be CLEC's responsibility to provide additional
                    information necessary for any police investigation. CLEC
                    shall indemnify NEVADA against any claims that insufficient
                    information led to inadequate prosecution. NEVADA shall
                    handle law enforcement requests consistent with the
                    Miscellaneous-Law Enforcement Section of the General Terms
                    and Conditions of this Agreement.

6.       RESPONSIBILITIES OF CLEC

          6.1 Prior to submitting an order under this Agreement, CLEC shall
          obtain End User

          authorization as required by applicable state or federal laws and
          regulations, and

         assumes responsibility for applicable charges as specified in Section
         258(b) of the Telecommunications Act of 1996. NEVADA shall abide by the
         same applicable laws and regulations.

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<PAGE>

               6.2  Only an End User can initiate a challenge to a change in its
                    local exchange service provider. If an End User notifies
                    NEVADA or CLEC that the End User requests local exchange
                    service, the Party receiving such request shall be free to
                    immediately provide service to such End User, except in
                    those instances where the end user's account is local PIC
                    protected. It is the responsibility of the end user to
                    provide written authorization to the current provider of
                    record to remove local service provider protection before
                    any changes in local exchange service provider are
                    processed.

         NEVADA shall be free to connect the End User to any local service
         provider based upon the local service provider's request and local
         service provider's assurance that proper End User authorization has
         been obtained. Both Parties shall make authorization available to the
         other Party upon request and at no charge.
6.3      When an End User changes or withdraws authorization, each Party shall
         release customer-specific facilities in accordance with the End User
         customer's direction or the direction of the End User's authorized
         agent. Further, when an End User abandons the premises, NEVADA is free
         to reclaim the facilities for use by another customer and is free to
         issue service orders required to reclaim such facilities.

6.4      Neither Party shall be obligated by this Appendix to investigate any
         allegations of unauthorized changes in local exchange service
         ("slamming") on behalf of the other Party or a third party. If NEVADA,
         on behalf of CLEC, agrees to investigate an alleged incidence of
         slamming, NEVADA shall charge CLEC a fifty dollar ($50) investigation
         fee.

               6.5  When NEVADA receives an order from CLEC for services under
                    this Appendix, and NEVADA is currently providing the same
                    services to another CLEC for the same End User, NEVADA shall
                    notify the End User's CLEC of record of such disconnect
                    activity, should CLEC subscribe to the Local Disconnect
                    Report ("LDR") as outlined below. It shall then be the
                    responsibility of the CLEC of record and CLEC to resolve any
                    issues related to the End User. This paragraph shall not
                    apply to new additional lines and services purchased by an
                    End User from multiple CLECs or from NEVADA.

          6.5.1 When available and on no less than sixty (60) days notice, CLEC
          may request the LDR. NEVADA agrees to furnish to CLEC the Billing
          Telephone Number ("BTN"), Working Telephone Number ("WTN"), and
          terminal number of all End Users who have disconnected CLEC's service.
          CLEC understands and agrees that such information will only be
          available electronically. Information will be provided on a per WTN
          basis to be priced on a per WTN basis. NEVADA will provide CLEC no
          less than thirty (30) days notice prior to any change of the per-WTN
          charge.

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                  NEVADA grants to CLEC a non-exclusive right to use the
                  information provided by NEVADA. CLEC will not permit anyone
                  but its duly authorized employees or agents to inspect or use
                  this information. CLEC agrees to pay NEVADA ten cents ($0.10)
                  per WTN and any other applicable charges for the LDR as
                  outlined in this Appendix.

6.6      CLEC agrees to hold harmless and indemnify NEVADA against any and all
         liability and claims, including reasonable attorney's fees, that may
         result from NEVADA acting under this Appendix.
6.7      CLEC is solely responsible for the payment of charges for all services
         furnished under this Appendix including, but not limited to, recurring
         and nonrecurring charges, calls originated or accepted at CLEC's
         location and its End Users' service locations, with the exception of
         any retail services provided directly by NEVADA to the End User which
         NEVADA shall be responsible for billing.

 6.7.1   Interexchange carried traffic (e.g., sent-paid, information services
         and alternate operator services messages) received by NEVADA for
         billing to resold end-user accounts will be returned as unbillable and
         will not be passed on to CLEC for billing. An unbillable code returned
         with those messages to the carrier will indicate that the messages
         originated from a resold account and will not be billed by NEVADA.

 6.7.2   In accordance with industry standards, IXC PIC selections for lines
         resold to CLEC will not be processed from IXCs or End Users, but will
         only be processed if received from CLEC.

6.8      NEVADA shall not be responsible for the manner in which the use of
         resold service, or the associated charges are allocated to others by
         CLEC. All applicable rates and charges for such services will be billed
         to and shall be the responsibility of CLEC, with the exception of
         retail services provided directly to the End User by NEVADA.

6.8.1    Compensation for all services shall be paid regardless of a Party's
         ability or inability to collect charges from its End User for such
         service.

6.9      If CLEC does not wish to be responsible for collect, third number
         billed, toll, and information services (e.g., 900) calls, it must order
         the appropriate blocking for .resold lines under this Appendix and pay
         any applicable charges. Depending on the origination point, some calls
         may bypass the blocking systems. CLEC acknowledges this limitation and
         understands that CLEC is responsible for any charges associated with
         such calls. CLEC acknowledges that blocking is not available for
         certain types of calls, including 800/888 numbers.

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<PAGE>

         6.10     CLEC shall be responsible for modifying and connecting any of
                  its systems with NEVADA provided interfaces as described in
                  this Appendix.

         6.11     CLEC shall be responsible for providing to its End Users and
                  to NEVADA a telephone number or numbers that CLEC's End Users
                  can use to contact CLEC in the event of service or repair
                  requests. In the event that CLEC's End Users contact NEVADA
                  with regard to such requests, NEVADA shall inform the End User
                  that they should call CLEC and may provide CLEC's contact
                  number. The requirements herein are subject to additional
                  terms and conditions in the Coordinated Repair Calls section
                  of the General Terms and Conditions of this Agreement.

7.       PROCEDURES FOR NONPAYMENT AND DISCONNECTION

7.1      If CLEC fails to pay when due (within 30 days of the bill date), any
         and all charges billed to them under this Appendix, including any late
         payment charges ("Unpaid Charges") or miscellaneous charges, and any
         portion of such charges remain unpaid more than fifteen (15) days after
         the due date of such Unpaid Charges, NEVADA shall notify CLEC in
         writing that in order to avoid having service disconnected, CLEC must
         remit all Unpaid Charges to NEVADA within fourteen (14) days.

7.2      If CLEC disputes the billed charges, it shall, within the fourteen (14)
         day period provided for above, inform NEVADA in writing which portion
         of the charges it disputes, including the specific details and reasons
         for its dispute; immediately pay to NEVADA all undisputed charges; and
         pay all disputed charges into an interest bearing escrow account.

7.3      Disputes hereunder shall be resolved in accordance with the procedures
         identified in the Dispute Resolution Section of the General Terms and
         Conditions of this Agreement. Failure of CLEC to pay charges deemed
         owed to NEVADA after conclusion of the Arbitration shall be grounds for
         termination under this Section.

7.4      If any CLEC charges remain unpaid or undisputed twenty-nine (29) days
         past the due date, NEVADA shall notify CLEC and the Commission in
         writing, that unless all charges are paid within sixteen (16) days,
         CLEC's service shall be disconnected and its End Users shall be
         defaulted to NEVADA's local service. NEVADA will also suspend order
         acceptance with the exception of disconnects on the same day that it
         sends the letter required by the preceding sentence.
7.5      If any CLEC charges remain unpaid or undisputed forty (40) days past
         the due date, CLEC shall, at its sole expense, notify its End Users and
         the Commission that their service may be disconnected for CLEC failure
         to pay Unpaid Charges, and that its End Users must affirmatively select
         a new local service provider

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         within five (5) days. The notice shall also advise the End User that
         NEVADA will assume the End User's account at the end of the five (5)
         day period should the End User fail to select a new local service
         provider.

7.6      If any CLEC charges remain unpaid or undisputed forty-five (45) days
         past the due date, NEVADA shall disconnect CLEC and transfer all CLEC's
         End Users who have not selected another local service provider directly
         to NEVADA's service. These End Users shall receive the same services
         provided through CLEC at the time of transfer. NEVADA shall inform the
         Commission of the names of all End Users transferred through this
         process. Applicable service establishment charges for switching End
         Users from CLEC to NEVADA shall be assessed to CLEC.

7.7      Within five (5) days of the transfer (50 days past CLEC's due date),
         NEVADA shall notify all affected End Users that because of CLEC's
         failure to pay, their service is now being provided by NEVADA. NEVADA
         shall also notify the End User that they have thirty (30) days to
         select a local service provider, after which time should the End User
         not select a local service provider, the End User's service shall be
         terminated.

7.8      NEVADA may discontinue service to CLEC upon failure to pay undisputed
         charges as provided in this Section, and shall have no liability to
         CLEC or CLEC's End Users in the event of such disconnection.

         7.9      If any End User fails to select a local service provider
                  within thirty (30) days of the change of providers (80 days
                  past CLEC's due date), NEVADA shall terminate the End User's
                  service. NEVADA shall notify the Commission of the names of
                  all End Users whose service has been terminated. The End User
                  shall be responsible for any and all charges incurred during
                  the selection period.
         7.10     Nothing herein shall be interpreted to obligate NEVADA to
                  continue to provide service to any such End Users. Nothing
                  herein shall be interpreted to limit any and all disconnection
                  rights NEVADA may have with regard to such End Users.
         7.11     After disconnect procedures have begun, NEVADA shall not
                  accept service orders from CLEC until all unpaid charges are
                  paid. NEVADA shall have the right to require a deposit equal
                  to one month's charges (based on the highest previous month of
                  service from NEVADA) prior to resuming service to CLEC after
                  disconnect for nonpayment.

8.       INTERVENING LAW AND PRESERVATION OF RIGHTS

          8.1 At the time of execution of this Agreement, NEVADA is
          participating in Dockets before the Commission. The Parties have
          included certain rates, terms, and/or

                                      268
<PAGE>

         conditions in this Appendix which reflect rates, terms, and/or
         conditions established in Arbitration and contained in one or more
         agreements approved by the Commission. CLEC acknowledges that any
         negotiations, appeal, stay, injunction or similar proceeding impacting
         the applicability of those rates, terms or conditions to other CLECs
         will similarly impact the applicability of those rates, terms or
         conditions to CLEC (Collectively "Appeals"). If CLEC is not eligible to
         receive one or more rates, terms, or conditions at any time due to such
         Appeals, the Parties agree that NEVADA shall substitute the most
         favorable rate(s), terms, and conditions applicable to CLEC's
         activities then in place from an interconnection agreement which has
         been approved by the Commission.

8.2      Moreover, if the actions of Nevada or federal legislative bodies,
         courts or regulatory agencies of competent jurisdiction invalidate,
         modify or stay the enforcement of laws or regulations that were the
         basis for a provision of the contract which is reflective of the
         Consolidated Award, the affected provision shall be invalidated,
         modified or stayed. In such event, the Parties shall expend diligent
         efforts to arrive at an agreement respecting the modifications to the
         Agreement required. If negotiations fail, disputes between the Parties
         concerning the interpretation of the actions required or the provisions
         affected by such governmental actions shall be resolved pursuant to the
         Dispute Resolution process provided for in the General Terms and
         Conditions of this Agreement. NEVADA expressly reserves all of its
         appellate rights concerning the above Appeals and does not waive any
         legal arguments by executing this Appendix.

                                      269
<PAGE>

APPENDIX RESALE                         LIST OF NEVADA BELL'S TELECOMMUNICATIONS
EXHIBIT A                                          SERVICES AVAILABLE FOR RESALE
                                                           Version Date 04-09-98
                                                  NEVADA/PAC-WEST TELECOMM, INC.

<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL                                                                                   Nevada Bell Retail Rates
--------------------------------------------------------------------------------------------------------------------------------

                                                                Navada Bell
                                                                Tariff Site                         Service
                                                                (Name, Sect,            Monthly   Charge/Non-   Per Use  Minute
NEVADA BELL Service Name                                        Para)          USOC    Recurring   Recurring    Charge   Charge
--------------------------------------------------------------------------------------------------------------------------------
<S>                                                             <C>            <C>     <C>        <C>           <C>      <C>
NETWORK AND EXCHANGE SERVICES                                   NE
PUCN TARIFF                                                     NE A

SERVICE CHARGES                                                 NE A3

RATES AND CHARGES                                               NE A3.1.1.C

Elements for new and additional service,                        NE A3.1.1.C.1
move and changes and in place
connections. (BUSINESS)
 - Service Ordering Charge, per customer request
   - Connecting new or additional central office line                           NLC             $    38.00
   - Move/chg. svc./equip. or add new or additional
     svc./equip. (other than central office line)                               SCC             $    24.00
   - Move/chg. svc./equip. or add new or additional
     svc./equip. associated with CCS or CC2000 ftrs.                            CCCHG           $    24.00
 - Central Office Line Connection Charge, per line:
   - Local Central Office/1/                                                      Y             $    38.00
   - Contiguous Foreign Exchg/Foreign Prefix Svc.                               ZZZYB           $   233.00
   - Noncontiguous Foreign Exchange                                             1LPJ4           $   375.00
   - Premises Visit Charge- each visit                                            N             $    17.00
Elements for new and additional service,                        NE A3.1.1.C.1
move and changes and in place
connections. (RESIDENCE)
 - Service Ordering Charge, per customer request:
   - Connecting new or additional central office line                           NLC              $   18.50
   - Move/chg. svc./equip., or add new or additional
     svc./equip. (other than central office line)                               SCC              $   11.50
   - Move/chg. svc./equip., or add new or additional
     svc./equip. associated with CCS or CC2000 ftrs                             CCCHG            $   11.50
 - Central Office Line Connection Charge, per line:
   - Local Central Office/1/                                                      Y              $   15.00
   - Contiguous Foreign Exchg./Foreign Prefix Svc.                              ZZZYB            $  229.00
   - Noncontiguous Foreign Exchange                                             1LPJ4            $  368.00
Other Equipment and Facilities                                  NE A3.1.1.C.2
 - Charges for moving, rearranging, or changing of
   equip., apparatus, or facilities, other than provided
   in this Section, will be an amount equal to the cost of
   labor and material.                                                                                 Y

MOVE AND CHANGE CHARGES                                         NE A3.1.2

Cust. requested Number Chg. (BUSINESS)                          NE A3.1.2.C.2
 - First Primary Service Line of each account                                   NCK              $   38.00
 - Each Additional Primary Service Line of same
   account on same order                                                        NCK              $   20.00
Cust. requested Number Chg. (RESIDENCE)
 - First Primary Service Line of each account                                   NCK              $   31.00
 - Each Additional Primary Service Line of same
   account on same order                                                        NCK              $   19.00

SERVICE CONNECTION CHARGES/1/                                   NE A3.1.10

------------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                                   Nevada Bell Wholesale
                                                                    Offered Discount %

                                                Message   Mileage               Non-      Notes and References Relate to Retail
NEVADA BELL Service Name                         Charge   Charge   Recurring  Recurring    Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                             <C>       <C>      <C>        <C>         <C>
NETWORK AND EXCHANGE SERVICES
PUCN TARIFF                                                                               Guide "Y" in center of USOC or rate cell,
                                                                                          means yes, see reference or notes for more
                                                                                          information "N" means no USOC or rate for
                                                                                          this item.
SERVICE CHARGES

RATES AND CHARGES

Elements for new and additional service,
move and changes and in place
connections. (BUSINESS)
 - Service Ordering Charge, per customer request:
   - Connecting new or additional central office line                         13.51%
   - Move/chg. svc./equip. or add new or additional
     svc./equip. (other than central office line)                             13.51%
   - Move/chg. svc./equip. or add new or additional
     svc./equip. Associated with CCS or CC2000 ftrs.                          13.51%
 - Central Office Line Connection Charge, per line:
   - Local Central Office/1/                                                  13.51%      NOTE 1: Local Central Office connection
                                                                                          charge is automatically generated by Class
                                                                                          of Service USOCs for residence, business
                                                                                          trunks and extension lines.
   - Contiguous Foreign Exchg/Foreign Prefix Svc.                             13.51%
   - Noncontiguous Foreign Exchange                                           13.51%
   - Premises Visit Charge- each visit                                        13.51%
Elements for new and additional service,
move and changes and in place
connections. (RESIDENCE)
 - Service Ordering Charge, per customer request:
   - Connecting new or additional central office line                         10.37%
   - Move/chg. svc/equip., or add new or additional
     svc./equip. (other than central office line)                             10.37%
   - Move/chg. svc/equip., or add new or additional
     svc./equip. associated with CCS or CC2000 ftrs                           10.37%
 - Central Office Line Connection Charge, per line:
   - Local Central Office/1/                                                  10.37%
   - Contiguous Foreign Exchg./Foreign Prefix Svc.                            10.37%
   - Noncontiguous Foreign Exchange                                           10.37%
Other Equipment and Facilities
 - Charges for moving, rearranging, or changing of
   equip., apparatus, or facilities, other than provided
   in this Section, will be an amount equal to the cost
   labor and material.                                                            0%

MOVE AND CHANGE CHARGES

Cust. requested Number Chg. (BUSINESS)
 - First Primary Service Line of each account                                 13.51%
 - Each Additional Primary Service Line of same
   account on same order                                                      13.51%
Cust. requested Number Chg. (RESIDENCE)
 - First Primary Service Line of each account                                 10.37%
 - Each Additional Primary Service Line of same
   account on same order                                                      10.37%

                                                                                          NOTE 1: Service Connection Charges listed
                                                                                          in this section do not apply to
                                                                                          individual, multi-line, trunks, party line
                                                                                          or farmer line services Charges for these
                                                                                          services are found in NE A3. 1. 1,
                                                                                          multi-element charges.

SERVICE CONNECTION CHARGES/1/
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell. For rates that are cross-referenced, see the
referenced section for rates and discounts.

                                                                         1 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                              LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                     Version Date 04-09-98
                                                                                                     NEVADA/PAC-WEST TELECOMM, INC.

-----------------------------------------------------------------------------------------------------------------------------------

                                                                                     Nevada Bell Retail Rates
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                      Nevada Bell
                                                      Tariff Site                      Service
                                                      (Name, Sect,         Monthly  Charge/Non-  Per Use   Minute  Message  Mileage
NEVADA BELL Service Name                              Para)         USOC  Recurring  Recurring    Charge   Charge   Charge   Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                   <C>           <C>   <C>       <C>          <C>       <C>     <C>      <C>
New and Additional Complex Business Svc./2/           NE A3.1.10.C
 - Primary Service, each line:
   - Local and Extended Area Service
     - TAS trunk line service or Answering line                                      $  119.00
     - Tie line (same premises)                                                      $   72.00
     - Custom Data Service, each line                                                $  220.00
   - Foreign Exchange Service, Contiguous, each line
     - TAS trunk line service or Answering lines                                     $  316.00
   - Foreign Exchange Svc., Noncontiguous, each line
     - TAS trunk line service or Answering lines                                     $  458.00
   - Foreign Prefix Svc. in same exchange, each line
     - TAS trunk line service or Answering lines                                     $  316.00
 - Extension Line; PBX, Horizon, ACD and TAS
   Station Line Service; Secretarial Line Service:
   - Off-premises, in the same bldg. or different
     bldg. on continuous property
     - Extension Line                                                                $   72.00
     - PBX, TAS, Horizon, or ACD Line                                                $   72.00
     - Secretarial Line                                                              $  108.00
   - Off-premises, on noncontiguous property in the
     same central office serving area, each line
     - Extension Line                                                                $  108.00
     - PBX, TAS, ACD, or Horizon line                                                $  189.00
     - Tie line                                                                      $  108.00
     - Secretarial line, Extension of an individual
       access line or trunk                                                          $  108.00
     - Secretarial Line, Extension of a PBX line,
       ACD line or Horizon line                                                      $  189.00
   - Off-premises in a different central office
     serving area in the same exchange or contiguous
     Foreign Exchange Area, each line
     - Extension line                                                                $  305.00

     - PBX, TAS, ACD, Horizon line or Tle line                                       $  350.00
     - Secretarial line - Extension of an individual
       access line or trunk                                                          $  305.00
     - Secretarial line -  Extension of a PBX line,
       ACD line or Horizon line                                                      $  350.00
New and Additional Complex Residence Service         NE A3.1.10.C
 - Primary Service, each line:
   - Local and Extended Area Service
     - Individual access line, Trunk line service                                    $   96.00
     - Custom Data Service, each line                                                $  220.00
   - Foreign Exchange Service, Contiguous, each line
     - Individual access line, Trunk line service                                    $  290.00
   - Foreign Exchange Svc., Noncontiguous, each line
     - Individual access line, Trunk line service                                    $  429.00
   - Foreign Prefix Svc. In same exchange, each line
     - Individual access line, Trunk line service                                    $  290.00
 - Extension Line; PBX Primary Line; Secretarial Line
   Service
   - On and off premises in the same bldg. or different
     bldg. on continuous property, each line
     - Extension line                                                                $   50.00
     - PBX line                                                                      $   50.00

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------

                                                      Nevada Bell Wholesale
NEVADA BELL                                             Offered Discount %
-----------------------------------------------------------------------------------------------------------------------------------
                                                                     Non-
NEVADA BELL Service Name                              Recurring   Recurring     Notes and References Relate to Retail Services Only
-----------------------------------------------------------------------------------------------------------------------------------
                                                                               NOTE 2: Complex Services as used in this tariff are
                                                                               telephone answering service, the lines and Custom
                                                                               Data Service lines.
New and Additional Complex Business Svc./2/
 - Primary Service, each line:
   - Local and Extended Area Service
     - TAS trunk line service or Answering line                     13.51%
     - Tie line (same premises)                                     13.51%
     - Custom Data Service, each line                               13.51%     Includes the rate for one RJ11 type jack
   - Foreign Exchange Service, Contiguous, each line
     - TAS trunk line service of Answering lines                    13.51%
   - Foreign Exchange Svc., Noncontiguous, each line
     - TAS trunk line service or Answering lines                    13.51%
   - Foreign Prefix Svc. In same exchange, each line
     - TAS trunk line service or Answering lines                    13.51%
 - Extension Line; PBX, Horizon, ACD and TAS
   Station Line Service; Secretarial Line Service:
   - Off-premises, in the same bldg. or different
     bldg. on continuous property
     - Extension Line                                               13.51%
     - PBX, TAS, Horizon, or ACD Line                               13.51%
     - Secretarial Line                                             13.51%
   - Off-premises, on noncontiguous property in the
     same central office serving area, each line
     - Extension Line                                               13.51%
     - PBX, TAS, ACD, or Horizon line                               13.51%
     - Tie line                                                     13.51%
     - Secretarial line, Extension of an individual
       access line or trunk                                         13.51%
     - Secretarial Line, Extension of a PBX line,
       ACD line or Horizon line                                     13.51%
   - Off-premises in a different central office
     serving area in the same exchange or contiguous
     Foreign Exchange Area, each line
     - Extension line                                               13.51%
                                                                               Charge shown for these services, (Tie Line only)
                                                                               applies only to services provided off-premises in a
                                                                               different central office serving area in the same
     - PBX, TAS, ACD, Horizon line or Tle line                      13.51%     exchange.
     - Secretarial line - Extension of an individual
       access line or trunk                                         13.51%
     - Secretarial line -  Extension of a PBX line,
       ACD line or Horizon line                                     13.51%
New and Additional Complex Residence Service
 - Primary Service, each line:
   - Local and Extended Area Service
     - Individual access line, Trunk line service                   10.37%
     - Custom Data Service, each line                               10.37%     Includes the rate for one RJ11 type jack
   - Foreign Exchange Service, Contiguous, each line
     - Individual access line, Trunk line service                   10.37%
   - Foreign Exchange Svc., Noncontiguous, each line
     - Individual access line, Trunk line service                   10.37%
   - Foreign Prefix Svc. In same exchange, each line
     - Individual access line, Trunk line service                   10.37%
 - Extension Line; PBX Primary Line; Secretarial Line
   Service
   - On and off premises in the same bldg. or different
     bldg. On continuous property, each line
     - Extension line                                               10.37%
     - PBX line                                                     10.37%
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell. For rates that are cross-referenced,
see the referenced section for rates and discounts.

                                                                         2 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

------------------------------------------------------------------------------------------------------------------------------------

                                                                                                  Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                              Nevada Bell
                                                              Tariff Site                             Service
                                                              (Name, Sect,               Monthly    Charge/ Non-   Per Use  Minute
NEVADA BELL Service Name                                      Para)           USOC      Recurring     Recurring     Charge  Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                           <C>             <C>       <C>         <C>            <C>      <C>
     - Secretarial line                                                                              $   85.00
   - Off-premises on noncontinuous property in the
     same central office service area, each line
     - Extension line                                                                                $   85.00
     - PBX line                                                                                      $  154.00
     - Secretarial line                                                                              $   85.00
   - Off-premises in a different central office serving
     area in the same exchange or contiguous foreign
     exchange area, each line
     - Extension line                                                                                $  279.00
     - PBX line                                                                                      $  313.00
     - Secretarial line                                                                              $  279.00

EXCHANGE SERVICES                                             NE A5

FOREIGN EXCHANGE (FX) SERVICES                                NE A5.1.4

Foreign Exchange Rates and Charges                            NE A5.1.4.D
 - Foreign Exchange Mileage Rate
   - Each one-half mile or fraction thereof-
     - Each individual flat rate PBX business trunk                           1LHAV      $  2.90
     - Each individual flat rate line primary station-
       Res. and Bus.                                                          1LHBV      $  2.90

LOCAL EXCHANGE SERVICES                                       NE A5.2

Measured Rate Service                                         NE A5.2.1
 - Local Exchange Measured Rate Service                       NE A5.2.2.1
   - Rates and Charges                                        NE A5.2.1.1.C
     - Rate per month for each primary individual line
       service (for all Nevada Bell exchanges unless
       otherwise noted):

       - Individual Measured Res. or Bus. Service                             ALD        $ 23.00
       - Individual Measured Business Service                                 1MB/1ML    $ 14.00

       - Individual Standard Measured Residence Svc.                          1MR/1SY    $  6.70
       - Individual Low Use Measured Residence Svc.                           1MQ/1SZ    $  5.40
       - Custom Data Service
         - Rates and Charges                                  NE A5.2.1.2.C
           - Each line                                                                     Y

           - Service Connection Charge                                                                        Y

     - Usage rate schedule
        - The day rate applies to the following:
          - Initial minute                                                                                                  $ 0.05
          - Additional minute                                                                                               $ 0.02
        - The evening rate applies to the following:
          - Initial minute                                                                                                      25%
          - Additional minute                                                                                                   25%
        - The night rate applies to the following:
          - Initial minute                                                                                                      50%
          - Additional minute                                                                                                   50%

   - Switched 58 Data Service                                 NE A5.2.1.3

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                                               Nevada Bell Wholesale
                                                                                 Offered Discount %
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------

                                                             Message Mileage                 Non-     Notes and References Relate to
NEVADA BELL Service Name                                     Charge  Charge  Recurring    Recurring   Retail Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                          <C>     <C>     <C>         <C>          <C>
  - Secretarial line                                                                           10.37%
 - Off-premises on noncontinuous property in the
   same central office service area, each line
   - Extension line                                                                            10.37%
   - PBX line                                                                                  10.37%
   - Secretarial line                                                                          10.37%
 - Off-premises in a different central office serving
   area in the same exchange or contiguous foreign
   exchange area, each line
  - Extension line                                                                             10.37%
  - PBX line                                                                                   10.37%
  - Secretarial line                                                                           10.37%

EXCHANGE SERVICES

FOREIGN EXCHANGE (FX) SERVICES

Foreign Exchange Rates and Charges
 - Foreign Exchange Mileage Rate
   - Each one-half mile or fraction thereof-
     - Each individual flat rate PBX business trunk                             13.51%
     - Each individual flat rate line primary station-
     Res. and Bus.                                                           10.37/13.51%

LOCAL EXCHANGE SERVICES

Measured Rate Service
 - Local Exchange Measured Rate Service
   - Rates and Charges
   - Rate per month for each primary individual line
     service (for all Nevada Bell exchanges unless
     otherwise noted):
      - Individual Measured Res. or Bus. Service                             10.37/13.51%             $23.00 applies to all base
                                                                                                      rate areas and $25.00 applies
                                                                                                      to all special rate areas
                                                                                                      except Golconda SRA which is
                                                                                                      $24.50 per month.

      - Individual Measured Business Service                                    13.51%
      - Individual Standard Measured Residence Svc.                             10.37%                A $2.85 monthly allowance will
                                                                                                      be applied to the total
                                                                                                      monthly message charges for
                                                                                                      exchange standard measure
                                                                                                      residence service only.
      - Individual Low Use Measured Residence Svc.                              10.37%

      - Custom Data Service                                                                           See NE A5.2.1.2.B. for
                                                                                                      regulations.
        - Rates and Charges
          - Each line                                                                                 Includes the rate for one RJ11
                                                                                                      type jack.
          - Service Connection Charge                                                                 The "new" service charge (see
                                                                                                      NE A3.1) applies for changes
                                                                                                      between basic access
                                                                                                      service and Custom Data
                                                                                                      Service.
     - Usage rate schedule                                                                            Rates apply to all local
                                                                                                      calls. See NE A5.2.1.1.C.1 b
                                                                                                      for "Discount Schedule" by
                                                                                                      day/hour etc
       - The day rate applies to the following:
         - Initial minute                                                    10.37/13.51%             Day rate carries no discount.
         - Additional minute                                                 10.37/13.51%             Day rate carries no discount.
       - The evening rate applies to the following:
         - Initial minute                                                    10.37/13.51%             25% off day rate.
         - Additional minute                                                 10.37/13.51%             25% off day rate.
       - The night rate applies to the following:
         - Initial minute                                                    10.37/13.51%             50% off day rate.
         - Additional minute                                                 10.37/13.51%             50% off day rate.
   - Switched 56 Data Service                                                                         See NE A5.2.1.3 for numerous
                                                                                                      descriptions, regulations,
                                                                                                      restrictions and limitations.
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell. For rates that are cross-referenced, see the
referenced section for rates and discounts.

                                                                         3 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                              LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                     Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC

-----------------------------------------------------------------------------------------------------------------------------------

                                                                                     Nevada Bell Retail Rates

NEVADA BELL
----------------------------------------------------------------------------------------------------------------------------------
                                                      Nevada Bell
                                                      Tariff Site                       Service
                                                      (Name, Sect,           Monthly  Charge/Non-  Per Use  Minute  Message Mileage
NEVADA BELL Service Name                              Para)          USOC   Recurring  Recurring    Charge  Charge  Charge  Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                   <C>            <C>    <C>       <C>          <C>      <C>     <C>     <C>
   - Rates and Changes                                NE A5.2.1.3.D
     - Each SW-58 equipped line or trunk
       - Datapath/TCM - 2-wire local                                 DP58K  $   45.00  $  500.00
       - Datapath Extension (DPX) - 2-wire remote                    DX56K  $   45.00  $  500.00
       - Office Channel Unit Dataport/Control Mode
         Idle - 4-wire local                                         OC56K  $   45.00  $  500.00
       - Office Channel Unit Dataport/Control Mode
         Idle - 4-wire remote                                        OX56K  $   45.00  $  500.00
Flat-Rate Service                                     NE A5.2.4.
 - Local Exchange Flat-Rate Service                   NE A5.2.4.
   - Rates and Changes                                NE A5.2.4C
     - Rate per month for each primary
       individual and party line service:
       - Individual Line Flat Rate Business Service                  1FB    $   22.00
       - Individual Line Flat Rate Residence Service                 1FR    $   10.75
       - Individual Line Flat Rate Business Service -
         Without Telephone                                           1FL    $   22.00
       - Individual Line Flat Rate Residence Service -
         Without Telephone                                           1FW    $   10.75
       - Two Party Line Flat Rate Business Service                   2FB    $   15.25
       - Two Party Line Flat Rate Residence Service                  2FR    $    8.05
 - Teen Line                                          NE A5.2.4.1
   - Rates and Changes                                NE A5.2.4.1.D

     - TeenLine                                                      1TL    $    1.60

Local Service Options                                 NE A5.2.5
 - Farmer Line Service                                NE A5.2.5.1
   - Rates and Changes                                NE A5.2.5.1D
     - Rate per month for each station
     - Farmer Line Business Service                                  LSE    $    8.80
     - Farmer Line Residence Service                                 LSF    $    4.40
 - Suburban Service                                   NE A5.2.5.2
   - Rates and Changes                                NE A5.2.5.2.D
     - Each suburban primary station service
       - Suburban service business                                   8FN    $   15.10
       - Suburban service residence                                  8FM    $    7.25
 - Suburban  Mileage                                  NE A5.2.5.3
   - Reno and Carson City Exchanges                   NE A5.2.5.3.D
     - All customer's locations within one mile of
       the base rate area of special rate area                       MFM    $     .00
     - All additional customer locations                             MET    $     .00
     - All exchanges except Reno and Carson City
     - All the customer's locations within one mile
       of  the base rate area of special rate area                   RUF    $     .00
     - All additional customer locations                             RUR    $     .00
Interoffice Mileage Rates                             NE A5.2.7
 - Mileage rates- per month                           NE A5.2.7.D
   - Mileage between Central Offices of Exchange
     for each individual residence or business
     service:
     - First One-Quarter-Mile or Fraction of Quarter
       Mile                                                          ZZZYB  $    6.40
     - Each additional Quarter Mile or Fraction of
       Quarter Mile                                                  ZZZYB  $    3.00

PRIVATE BRANCE EXCHANGE TRUNKS                        NE A5.3

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------

                                                           Nevada Bell Wholesale
                                                            Offered Discount %
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------

                                                                       Non-
NEVADA BELL Service Name                                Recurring   Recurring   Notes and References Relate to Retail Services only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                     <C>         <C>        <C>
   - Rates and Changes
     - Each SW-58 equipped line or trunk
       - Datapath/TCM - 2-wire local                      13.51%     13.50%
       - Datapath Extension (DPX) - 2-wire remote         13.51%     13.51%
       - Office Channel Unit Dataport/Control Mode
         Idle - 4-wire local                              13.51%     13.51%
       - Office Channel Unit Dataport/Control Mode
         Idle - 4-wire remote                             13.51%     13.51%
Flat-Rate Service
 - Local Exchange Flat-Rate Service
   - Rates and Changes
     - Rate per month for each primary
       individual and party line service:                                      See tariff for applicable exchanges
       - Individual Line Flat Rate Business Service       13.51%
       - Individual Line Flat Rate Residence Service      10.37%
       - Individual Line Flat Rate Business Service -
         Without Telephone                                13.51%
       - Individual Line Flat Rate Residence Service -
         Without Telephone                                10.37%
       - Two Party Line Flat Rate Business Service        13.51%
       - Two Party Line Flat Rate Residence Service       10.37%
 - Teen Line
   - Rates and Changes
                                                                               Tariff NE A3. This rate element is in addition to
                                                                               the rate for a single party, flat rate residence
     - TeenLine                                           10.37%               access line from Tariff NE A5. (USOC 1FRTL)
Local Service Options
 - Farmer Line Service                                                         See this tariff for applicable exchanges.
   - Rates and Changes
     - Rate per month for each station
     - Farmer Line Business Service                       13.51%
     - Farmer Line Residence Service                      10.37%
 - Suburban Service                                                            See this tariff for applicable exchanges.
   - Rates and Changes
     - Each suburban primary station service
       - Suburban service business                        13.51%
       - Suburban service residence                       10.37%
 - Suburban  Mileage
   - Reno and Carson City Exchanges
     - All customer's locations within one mile of
       the base rate area of special rate area               NA         NA
     - All additional customer locations                     NA         NA
     - All exchanges except Reno and Carson City
     - All the customer's locations within one mile
       of  the base rate area of special rate area           NA         NA
     - All additional customer locations                     NA         NA
Interoffice Mileage Rates
 - Mileage rates- per month
   - Mileage between Central Offices of Exchange
     for each individual residence or business
     service:
     - First One-Quarter-Mile or Fraction of Quarter
       Mile                                             10.37/13.51%           To calculate mileage refer to NE A6.2.7.Sec.
     - Each additional Quarter Mile or Fraction of
       Quarter Mile                                     10.37/13.51%

PRIVATE BRANCE EXCHANGE TRUNKS
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell. For rates that are cross-referenced,
see the referenced section for rates and discounts.

                                                                         4 of 30
<PAGE>

<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
                            A                                       B            C           E          F           G        H
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                  Nevada Bell Retail Rates
 1    NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                                Nevada Bell
                                                                Tariff Site                            Service
                                                                (Name, Sect.               Monthly   Charge/Non-  Per Use   Minute
 2   NEVADA BELL Service Name                                   Para)           USOC      Recurring   Recurring    Charge   Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                             <C>             <C>       <C>        <C>          <C>       <C>
218  Private Branch Exchange Trunks                             NE A5.3
-----------------------------------------------------------------------------------------------------------------------------------
219   - Rates per month                                         NE A5.3 C.1
-----------------------------------------------------------------------------------------------------------------------------------
220     - Mileage between COs of exchange
-----------------------------------------------------------------------------------------------------------------------------------
221       - First one-quarter mile or fraction thereof
-----------------------------------------------------------------------------------------------------------------------------------
222         - Each PBX trunk line equipped                                     ZZZYB     $     8.40
-----------------------------------------------------------------------------------------------------------------------------------
223       - Each additional quarter mile or fraction thereof
-----------------------------------------------------------------------------------------------------------------------------------
224         - Each PBX trunk line equipped                                     ZZZYB     $     3.00
-----------------------------------------------------------------------------------------------------------------------------------
225  Measured Rate Trunks                                       NE A5 3.1
-----------------------------------------------------------------------------------------------------------------------------------
226   - Rates and Charges                                       NE A5.3.1.B
-----------------------------------------------------------------------------------------------------------------------------------
227     - Rates apply to each trunk line equipped
-----------------------------------------------------------------------------------------------------------------------------------
228       - 2-wire monthly rate (all applicable exchanges)                               $    16.00
-----------------------------------------------------------------------------------------------------------------------------------
229       - 4-wire monthly rate (all applicable exchanges)                               $    29.00
-----------------------------------------------------------------------------------------------------------------------------------
230  Flat Rate Trunks                                           NE A5.3 3
-----------------------------------------------------------------------------------------------------------------------------------
231  - Rates and Charges                                        NE A5.3.3.B
-----------------------------------------------------------------------------------------------------------------------------------
232    - 2-wire monthly rate (all applicable exchanges)                                  $    25.00
-----------------------------------------------------------------------------------------------------------------------------------
233    - 4-wire monthly rate (all applicable exchanges)                                  $    37.00
-----------------------------------------------------------------------------------------------------------------------------------
234  Direct-in-Dialing (DID) to PBX Systems                     NE A5.3.4
-----------------------------------------------------------------------------------------------------------------------------------
235  - Rates and Charges                                        NE A5.3.4 B
-----------------------------------------------------------------------------------------------------------------------------------
236    - DID service
-----------------------------------------------------------------------------------------------------------------------------------
237      - Group of DID Numbers
-----------------------------------------------------------------------------------------------------------------------------------
238        -  20 numbers                                                       ND4       $    10.00     $  400.00
-----------------------------------------------------------------------------------------------------------------------------------
239        -  60 numbers                                                       ND6DD     $    15.00
-----------------------------------------------------------------------------------------------------------------------------------
240        - 100 numbers                                                       ND0DD     $    25.00
-----------------------------------------------------------------------------------------------------------------------------------
241      - Additional Group of numbers
-----------------------------------------------------------------------------------------------------------------------------------
242        -  20 numbers                                                       NDJ       $    10.00     $   75.00
-----------------------------------------------------------------------------------------------------------------------------------
243        -  60 numbers                                                       NDJ6A     $    15.00
-----------------------------------------------------------------------------------------------------------------------------------
244        - 100 numbers                                                       NDJ0A     $    25.00
-----------------------------------------------------------------------------------------------------------------------------------
245  Two-way Operation to PBX Systems (DID/DOD)                 NE A5.3.5
-----------------------------------------------------------------------------------------------------------------------------------
246  - Rates and Charges                                        NE A5.3.5.B
-----------------------------------------------------------------------------------------------------------------------------------
247    - Two-way Operation
-----------------------------------------------------------------------------------------------------------------------------------
248      - Group of DID/DOD Numbers
-----------------------------------------------------------------------------------------------------------------------------------
249        -  20 numbers                                                       ND4       $    10.00     $  400.00
-----------------------------------------------------------------------------------------------------------------------------------
250        -  60 numbers                                                       ND6DD     $    15.00
-----------------------------------------------------------------------------------------------------------------------------------
251        - 100 numbers                                                       ND0DD     $    25.00
-----------------------------------------------------------------------------------------------------------------------------------
252      - Additional Group of DID/DOD numbers
-----------------------------------------------------------------------------------------------------------------------------------
253        -  20 numbers                                                       NDJ                      $   75.00
-----------------------------------------------------------------------------------------------------------------------------------
254        -  60 numbers                                                       NDJ6A
-----------------------------------------------------------------------------------------------------------------------------------
255        - 100 numbers                                                       NDJ1A
-----------------------------------------------------------------------------------------------------------------------------------
256
-----------------------------------------------------------------------------------------------------------------------------------
257  PREMIUM EXCHANGE SERVICES                                  NE A5.4
-----------------------------------------------------------------------------------------------------------------------------------
258
-----------------------------------------------------------------------------------------------------------------------------------
259  Extension Service                                          NE A5.4.1
-----------------------------------------------------------------------------------------------------------------------------------
260  Remote Call Forwarding                                     NE A5.4.4
-----------------------------------------------------------------------------------------------------------------------------------
261  - Rates and Charges                                        NE A5.4.4.D
-----------------------------------------------------------------------------------------------------------------------------------
262    - The following rates are for Remote Call
-----------------------------------------------------------------------------------------------------------------------------------
263      Forwarding Service and are in addition to
-----------------------------------------------------------------------------------------------------------------------------------
264      Charges and Rates for equipment with which it
-----------------------------------------------------------------------------------------------------------------------------------
265      is used
-----------------------------------------------------------------------------------------------------------------------------------
266      - First access path
-----------------------------------------------------------------------------------------------------------------------------------
267        - Intrastate Inter-Service Area flat rate bus.                      *BF       $    16.00         Y
-----------------------------------------------------------------------------------------------------------------------------------
268        - Interstate flat rate business                                     *NF       $    16.00         Y
-----------------------------------------------------------------------------------------------------------------------------------
269        - Intrastate Inter-Service Area flat rate res.                      *FR       $    16.00         Y
-----------------------------------------------------------------------------------------------------------------------------------
270        - Interstate flat rate residence                                    *NL       $    16.00         Y
-----------------------------------------------------------------------------------------------------------------------------------
271        - Intra-Service Area flat rate business                             *BL       $    16.00         Y
-----------------------------------------------------------------------------------------------------------------------------------
272        - Intra-Service Area flat rate residence                            *LF       $    16.00         Y
-----------------------------------------------------------------------------------------------------------------------------------
273      - Additional access path
-----------------------------------------------------------------------------------------------------------------------------------
274        - each, Local                                                       RCA       $    16.00         Y
-----------------------------------------------------------------------------------------------------------------------------------
275        - each, Toll                                                        PATH2     $     2.00         Y
-----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-------------------------------------------------------------------------------------------------------------------
                            A                                      I             J          K           L
-------------------------------------------------------------------------------------------------------------------
                                                                                           Nevada Bell Wholesale
 1    NEVADA BELL                                                                            Offered Discount %
-------------------------------------------------------------------------------------------------------------------

                                                                Message       Mileage                   Non-
 2   NEVADA BELL Service Name                                   Charge        Charge     Recurring   Recurring
-------------------------------------------------------------------------------------------------------------------
<S>                                                             <C>           <C>        <C>         <C>
218  Private Branch Exchange Trunks
-------------------------------------------------------------------------------------------------------------------
219   - Rates per month
-------------------------------------------------------------------------------------------------------------------
220     - Mileage between COs of exchange
-------------------------------------------------------------------------------------------------------------------
221       - First one-quarter mile or fraction thereof
-------------------------------------------------------------------------------------------------------------------
222         - Each PBX trunk line equipped                                                 13.51%
-------------------------------------------------------------------------------------------------------------------
223       - Each additional quarter mile or fraction thereof
-------------------------------------------------------------------------------------------------------------------
224         - Each PBX trunk line equipped                                                 13.51%
-------------------------------------------------------------------------------------------------------------------
225  Measured Rate Trunks
-------------------------------------------------------------------------------------------------------------------
226   - Rates and Charges
-------------------------------------------------------------------------------------------------------------------
227     - Rates apply to each trunk line equipped
-------------------------------------------------------------------------------------------------------------------
228       - 2-wire monthly rate (all applicable exchanges)                                 13.51%
-------------------------------------------------------------------------------------------------------------------
229       - 4-wire monthly rate (all applicable exchanges)                                 13.51%
-------------------------------------------------------------------------------------------------------------------
230  Flat Rate Trunks
-------------------------------------------------------------------------------------------------------------------
231  - Rates and Charges
-------------------------------------------------------------------------------------------------------------------
232    - 2-wire monthly rate (all applicable exchanges)                                    13.51%
-------------------------------------------------------------------------------------------------------------------
233    - 4-wire monthly rate (all applicable exchanges)                                    13.51%
-------------------------------------------------------------------------------------------------------------------
234  Direct-in-Dialing (DID) to PBX Systems
-------------------------------------------------------------------------------------------------------------------
235  - Rates and Charges
-------------------------------------------------------------------------------------------------------------------
236    - DID service
-------------------------------------------------------------------------------------------------------------------
237      - Group of DID Numbers
-------------------------------------------------------------------------------------------------------------------
238        -  20 numbers                                                                   13.51%        13.51%
-------------------------------------------------------------------------------------------------------------------
239        -  60 numbers                                                                   13.51%
-------------------------------------------------------------------------------------------------------------------
240        - 100 numbers                                                                   13.51%
-------------------------------------------------------------------------------------------------------------------
241      - Additional Group of numbers
-------------------------------------------------------------------------------------------------------------------
242        -  20 numbers                                                                   13.51%        13.51%
-------------------------------------------------------------------------------------------------------------------
243        -  60 numbers                                                                   13.51%
-------------------------------------------------------------------------------------------------------------------
244        - 100 numbers                                                                   13.51%
-------------------------------------------------------------------------------------------------------------------
245  Two-way Operation to PBX Systems (DID/DOD)                                            13.51%
-------------------------------------------------------------------------------------------------------------------
246  - Rates and Charges
-------------------------------------------------------------------------------------------------------------------
247    - Two-way Operation
-------------------------------------------------------------------------------------------------------------------
248      - Group of DID/DOD Numbers
-------------------------------------------------------------------------------------------------------------------
249        -  20 numbers                                                                   13.51%        13.51%
-------------------------------------------------------------------------------------------------------------------
250        -  60 numbers                                                                   13.51%
-------------------------------------------------------------------------------------------------------------------
251        - 100 numbers                                                                   13.51%
-------------------------------------------------------------------------------------------------------------------
252      - Additional Group of DID/DOD numbers
-------------------------------------------------------------------------------------------------------------------
253        -  20 numbers                                                                   13.51%        13.51%
-------------------------------------------------------------------------------------------------------------------
254        -  60 numbers                                                                   13.51%
-------------------------------------------------------------------------------------------------------------------
255        - 100 numbers                                                                   13.51%
-------------------------------------------------------------------------------------------------------------------
256
-------------------------------------------------------------------------------------------------------------------
257  PREMIUM EXCHANGE SERVICES
-------------------------------------------------------------------------------------------------------------------
258
-------------------------------------------------------------------------------------------------------------------
259  Extension Service
-------------------------------------------------------------------------------------------------------------------
260  Remote Call Forwarding
-------------------------------------------------------------------------------------------------------------------
261  - Rates and Charges
-------------------------------------------------------------------------------------------------------------------
262    - The following rates are for Remote Call
-------------------------------------------------------------------------------------------------------------------
263      Forwarding Service and are in addition to
-------------------------------------------------------------------------------------------------------------------
264      Charges and Rates for equipment with which it
-------------------------------------------------------------------------------------------------------------------
265      is used
-------------------------------------------------------------------------------------------------------------------
266      - First access path
-------------------------------------------------------------------------------------------------------------------
267        - Interstate Inter-Service Area flat rate bus.                                  13.51%
-------------------------------------------------------------------------------------------------------------------
268        - Interstate flat rate business                                                 13.51%
-------------------------------------------------------------------------------------------------------------------
269        - Interstate Inter-Service Area flat rate res.                                  10.37%
-------------------------------------------------------------------------------------------------------------------
270        - Interstate flat rate residence                                                10.37%
-------------------------------------------------------------------------------------------------------------------
271        - Intra-Service Area flat rate business                                         10.37%
-------------------------------------------------------------------------------------------------------------------
272        - Intra-Service Area flat rate residence                                        10.37%
-------------------------------------------------------------------------------------------------------------------
273      - Additional access path
-------------------------------------------------------------------------------------------------------------------
274        - each, Local                                                                 10.37/13.51%
-------------------------------------------------------------------------------------------------------------------
275        - each, Toll                                                                  10.37/13.51%
-------------------------------------------------------------------------------------------------------------------

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
                            A                                                                       M
-----------------------------------------------------------------------------------------------------------------------------------

 1    NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------

 2   NEVADA BELL Service Name                                             Notes and References Relate to Retail Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                              <C>
218  Private Branch Exchange Trunks
-----------------------------------------------------------------------------------------------------------------------------------
219   - Rates per month
-----------------------------------------------------------------------------------------------------------------------------------
220     - Mileage between COs of exchange                        See tariff for rules on calculating mileage
-----------------------------------------------------------------------------------------------------------------------------------
221       - First one-quarter mile or fraction thereof
-----------------------------------------------------------------------------------------------------------------------------------
222         - Each PBX trunk line equipped
-----------------------------------------------------------------------------------------------------------------------------------
223       - Each additional quarter mile or fraction thereof
-----------------------------------------------------------------------------------------------------------------------------------
224         - Each PBX trunk line equipped
-----------------------------------------------------------------------------------------------------------------------------------
225  Measured Rate Trunks
-----------------------------------------------------------------------------------------------------------------------------------
226   - Rates and Charges                                        See NE A5.3.1.B for descriptions of the various Measured Rate
                                                                  Trunks
-----------------------------------------------------------------------------------------------------------------------------------
227     - Rates apply to each trunk line equipped
-----------------------------------------------------------------------------------------------------------------------------------
228       - 2-wire monthly rate (all applicable exchanges)       2W USOCS: TMB, TM2, TM3, TM4, THBHD
-----------------------------------------------------------------------------------------------------------------------------------
229       - 4-wire monthly rate (all applicable exchanges)       4W USOCS: TMB4X, TM24X, TM34X, TM44X, THB4X
-----------------------------------------------------------------------------------------------------------------------------------
230  Flat Rate Trunks                                            See NE A5.3.3.B for descriptions of the various Flat Rate Trunks
-----------------------------------------------------------------------------------------------------------------------------------
231  - Rates and Charges
-----------------------------------------------------------------------------------------------------------------------------------
232    - 2-wire monthly rate (all applicable exchanges)          2W USOCS: T86, TFB, TFU, TFR, TFT, TFN, TTTXA, TTTXB, TWB, W7W
-----------------------------------------------------------------------------------------------------------------------------------
233    - 4-wire monthly rate (all applicable exchanges)          4W: T864X, TFB4X, TFU4X, TFR4X, TFN4X, TTTXC, TTTXD, TWB4X, W7W4X
-----------------------------------------------------------------------------------------------------------------------------------
234  Direct-in-Dialing (DID) to PBX Systems
-----------------------------------------------------------------------------------------------------------------------------------
235  - Rates and Charges                                         These rates are in addition to the rates shown elsewhere in the
-----------------------------------------------------------------------------------------------------------------------------------
236    - DID service                                              Tariffs for the services with which this offering is associated
-----------------------------------------------------------------------------------------------------------------------------------
237      - Group of DID Numbers                                   (e.g. trunk-line rate)
-----------------------------------------------------------------------------------------------------------------------------------
238        -  20 numbers
-----------------------------------------------------------------------------------------------------------------------------------
239        -  60 numbers
-----------------------------------------------------------------------------------------------------------------------------------
240        - 100 numbers
-----------------------------------------------------------------------------------------------------------------------------------
241      - Additional Group of numbers
-----------------------------------------------------------------------------------------------------------------------------------
242        -  20 numbers
-----------------------------------------------------------------------------------------------------------------------------------
243        -  60 numbers
-----------------------------------------------------------------------------------------------------------------------------------
244        - 100 numbers
-----------------------------------------------------------------------------------------------------------------------------------
245  Two-way Operation to PBX Systems (DID/DOD)
-----------------------------------------------------------------------------------------------------------------------------------
246  - Rates and Charges
-----------------------------------------------------------------------------------------------------------------------------------
247    - Two-way Operation                                       Two-way Operation is only available on 4-wire trunks
-----------------------------------------------------------------------------------------------------------------------------------
248      - Group of DID/DOD Numbers
-----------------------------------------------------------------------------------------------------------------------------------
249        -  20 numbers
-----------------------------------------------------------------------------------------------------------------------------------
250        -  60 numbers
-----------------------------------------------------------------------------------------------------------------------------------
251        - 100 numbers
-----------------------------------------------------------------------------------------------------------------------------------
252      - Additional Group of DID/DOD numbers
-----------------------------------------------------------------------------------------------------------------------------------
253        -  20 numbers
-----------------------------------------------------------------------------------------------------------------------------------
254        -  60 numbers
-----------------------------------------------------------------------------------------------------------------------------------
255        - 100 numbers
-----------------------------------------------------------------------------------------------------------------------------------
256
-----------------------------------------------------------------------------------------------------------------------------------
257  PREMIUM EXCHANGE SERVICES
-----------------------------------------------------------------------------------------------------------------------------------
258
-----------------------------------------------------------------------------------------------------------------------------------
259  Extension Service                                           See Tariffs NE A3 & A10.2 for non-recurring and recurring charges
-----------------------------------------------------------------------------------------------------------------------------------
260  Remote Call Forwarding
-----------------------------------------------------------------------------------------------------------------------------------
261  - Rates and Charges
-----------------------------------------------------------------------------------------------------------------------------------
262    - The following rates are for Remote Call
-----------------------------------------------------------------------------------------------------------------------------------
263      Forwarding Service and are in addition to
-----------------------------------------------------------------------------------------------------------------------------------
264      Charges and Rates for equipment with which it
-----------------------------------------------------------------------------------------------------------------------------------
265      is used
-----------------------------------------------------------------------------------------------------------------------------------
266      - First access path
-----------------------------------------------------------------------------------------------------------------------------------
267        - Interstate Inter-Service Area flat rate bus.        Non-recurring. See Multi-Element Service Charges in NE A3 for
-----------------------------------------------------------------------------------------------------------------------------------
268        - Interstate flat rate business                        rates and discounts.
-----------------------------------------------------------------------------------------------------------------------------------
269        - Interstate Inter-Service Area flat rate res.
-----------------------------------------------------------------------------------------------------------------------------------
270        - Interstate flat rate residence
-----------------------------------------------------------------------------------------------------------------------------------
271        - Intra-Service Area flat rate business
-----------------------------------------------------------------------------------------------------------------------------------
272        - Intra-Service Area flat rate residence
-----------------------------------------------------------------------------------------------------------------------------------
273      - Additional access path
-----------------------------------------------------------------------------------------------------------------------------------
274        - each, Local
-----------------------------------------------------------------------------------------------------------------------------------
275        - each, Toll
-----------------------------------------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                             LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                    Version Date 04-09-98
                                                                                                    NEVADA/PAC-WEST TELECOMM, INC.
----------------------------------------------------------------------------------------------------------------------------------

                                                                                    Nevada Bell Retail Rates
NEVADA BELL
----------------------------------------------------------------------------------------------------------------------------------
                                                  Nevada Bell
                                                  Tariff Site                       Service
                                                  (Name, Sect,          Monthly   Charge/ Non-  Per Use   Minute   Message Mileage
NEVADA BELL Service Name                          Para)         USOC   Recurring    Recurring    Charge   Charge   Charge  Charge
----------------------------------------------------------------------------------------------------------------------------------
<S>                                               <C>           <C>    <C>        <C>           <C>      <C>      <C>      <C>
Premiere Communications Service                   NE A5.4.5
 - Rates and Charges - Premiere 6                 NE A5.4.5 F
   - The rates and charges following
     are for Premiere 6 only and are
     in addition to the applicable
     service connection charges,
     monthly rates and non-recurring
     charges for equipment with
     which they are associated.
     - Basic Features, Premiere 6
       - Each line                                              MVP      $ 7.00
     - Optional Line Features
       - Premiere 6 Call Waiting - each
         line                                                   MVPCW    $ 3.50
       - Premiere 6 Call Forwarding -
         each line                                              MVPCF    $ 3.50
       - Premiere 6 Alternate Answering -
         each line                                              MVPAA    $ 3.50
     - Optional Group Features
       - Premiere 6 Convenience Dialing
         each Premiere 6 group                                  MVPCD    $ 5.00
       - Premiere 6 Distinctive Ringing
         each Premiere 6 group                                  MVPDR    $ 5.00
       - Premiere 6 Outward WATS Access
         each Premiere 6 group                                  MVPOW    $ 5.00
       - Premiere 6 800 Service Access -
         each Premiere 6 group                                  MVP8S    $ 5.00
     - Service Charges
       - Establishment of Service
         - Same time as associated access
           line(s)                                                                     N

         - Subsequent to establishing
           associated line                                                         $27.00
       - Service Charges below are
         applicable to the following changes
         in an established Premiere group.
         These rates and USOCs to both
         Business and Residence, except
         800 Service.
         - Addition of optional feature(s)
           to an existing Premiere group -
           each group                                           NWCPS              $27.00
         - Changes to the customer specified
           para- meters associated with Premiere
           Alternate Answering each line                        NWCPS              $27.00
         - Changes requested by the customer in
           the intercom designation code
           associated with Premiere Intercom -
           each line                                            NWCPS              $27.00
           - Add a line to a Premiere group -
             each line                                          NWCPS              $27.00
           - Change or remove a line from a
             Premiere group - each line                         NWCPS              $27.00
           - Change from Premiere 6 to Premiere
             20- each line                                      NWCPS              $27.00
           - Install Outward WATS/800 Service
             Access, each System                                NWCPS              $27.00

         - Measured Service
     - Rates and Charges - Premiere 20            NE A5.4.5 J
       - The rates and  charges following
         are for Premiere 20 only and are in
         addition to the applicable service
         connection charges and monthly rates
         for the access line with which
         they are associated.
         - Basic Features, Premier 20 - each line               MVC      $ 8.00
         - Optional Line Features

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------

                                              Nevada Bell Wholesale
NEVADA BELL                                     Offered Discount %
------------------------------------------------------------------------------------------------------------------------------------
                                                               Non-
NEVADA BELL Service Name                    Recurring        Recurring        Notes and References Relate to Retail Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                         <C>              <C>            <C>
Premiere Communications Service
 - Rates and Charges - Premiere 6
   - The rates and charges following are
     for Premiere 6 only and are in
     addition to the applicable service
     connection charges, monthly rates
     and non-recurring charges for
     equipment with which they are
     associated.
     - Basic Features, Premiere 6
       - Each line                          10.37/13.51%
     - Optional Line Features
       - Premiere 6 Call Waiting - each
         line                               10.37/13.51%
       - Premiere 6 Call Forwarding -
         each line                          10.37/13.51%
       - Premiere 6 Alternate Answering
         - each line                        10.37/13.51%
     - Optional Group Features
       - Premiere 6 Convenience Dialing
         each Premiere 6 group              10.37/13.51%
       - Premiere 6 Distinctive Ringing     10.37/13.51%
         each Premiere 6 group              10.37/13.51%
       - Premiere 6 Outward WATS Access
         each Premiere 6 group                 13.51%
       - Premiere 6 800 Service Access
         each Premiere 6 group                 13.51%
     - Service Charges
       - Establishment of Service
         - Same time as associated
           access line(s)                                                   No additional service charge will apply
                                                                            A Service Charge of $27.00 for each Res. or Bus will
                                                                            apply in addition to one multi-element service charge or
         - Subsequent to establishing                                       the equivalent as specified in A.3 1 for the service
           associated line                                   10.37/13.51%   order.
       - Service Charges below are
         applicable to the following
         changes in an established
         Premiere group. These rates
         and USOCs apply to both Business
         and Residence, except 800 Service
         - Addition of optional feature(s)
           to an existing Premiere group
           - each group                                      10.37/13.51%
         - Changes to the customer
           specified parameters associated
           with Premiere Alternate
           Answering each line                               10.37/13.51%
         - Changes requested by the
           customer in the intercom
           designation code associated
           with Premiere Intercom - each
           line                                              10.37/13.51%
         - Add a line to a Premiere group
           - each line                                       10.37/13.51%
         - Change or remove a line from
           a Premiere group - each line                      10.37/13.51%
         - Change  from  Premiere 6 to
           Premiere 20- each line                            10.37/13.51%
         - Install Outward WATS/800                                         Outward WATS service is Grandfathered
           Service Access, each System                             13.51%
                                                                            Where measured service exchange individual access lines
                                                                            are combined in a Premiere group, message charges are
                                                                            not applicable to calls completed utilizing the Premiere
       - Measured Service                                                   intercom feature
     - Rates and Charges - Premiere 20
       - The rates and charges following
         are for Premiere 20 only and are
         in addition to the applicable
         service connection charges and
         monthly rates for the access line
         with which they are associated.
       - Basic Features, Premier 20 -
         each line                          10.37/13.51%
       - Optional Line Features
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff-exempt services
call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                         6 of 30
<PAGE>

APPENDIX RESALE                         LIST OF NEVADA BELL'S TELECOMMUNICATIONS
EXHIBIT A                                          SERVICES AVAILABLE FOR RESALE
                                                           Version Date 04-09-98
                                                  NEVADA/PAC-WEST TELECOMM, INC.

<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL                                                                                           Nevada Bell Retail Rates
--------------------------------------------------------------------------------------------------------------------------------
                                                                Nevada Bell
                                                                Tariff Site                         Service
                                                                (Name, Sect,            Monthly   Charge/Non-   Per Use  Minute
NEVADA BELL Service Name                                        Para)          USOC    Recurring   Recurring    Charge   Charge
--------------------------------------------------------------------------------------------------------------------------------
<S>                                                             <C>            <C>     <C>        <C>           <C>      <C>
     - Premiere 20 Call Waiting- each line                                     MVCCW    $ 3.50
     - Premiere 20 Call Forwarding- each line                                  MVCCF    $ 3.50
     - Premiere 20 Alternate Answering- each
       line                                                                    MVCAA    $ 3.50
     - Premiere 20 Convenience Dialing- each
       line                                                                    MVCCD    $ 3.50
   - Optional group Features
     - Premiere 20 Distinctive Ringing- each
       group                                                                   MVCDR    $10.00
     - Premiere 20 Outward WATS/800 Access-
     - WATS Access
       - each access code                                                      MVCOW    $ 3.00
     - 800 Service Access
       - each 800 Service Line                                                 MVC8S    $ 2.00
   - Premiere 20 Additional Call Pickup Group
     - each additional group                                                   MVCCP    $ 5.00
Hunting Service                                                 NE A5.4.6

 - Rates and Charges /1.2.3/                                    NE A5.4.6.E

   - Hunting Service, each line in a hunt
     group

     - Series Complete                                                         HTGSH    $ 0.50         Y/N
     - Circular                                                                HTGCH    $ 1.25         Y/N
     - Preferential                                                            HTGPH    $ 1.50         Y/N
     - Uniform Call Distribution                                               HTGUH    $ 1.50         Y/N
Direct Connect
 - Rates and Charges                                            NE A5.4.7.C

   - each line                                                                 DCNNV    $ 2.25      $ 40.00

Confinement Services Offered by Nevada Bell                     NE A5.5.4
 - Rates and Charges                                            NE A5.5.4.C
   - Rate Periods and Rate Discounts
   - Mileage and Corresponding Rates for
     Initial Minute and each Additional
     Minute.
     - Rate Mileage
       -   0 - 10   Initial Minute                                                                                        $ 0.14
       -  11 - 22   Initial Minute                                                                                        $ 0.20
       -  23 - 55   Initial Minute                                                                                        $ 0.27
       -  56 - 124  Initial Minute                                                                                        $ 0.33
       - 125 - Plus Initial Minute                                                                                        $ 0.39
   - Operator Assisted Messages
     - Operator Assisted Station
     - Operator Assisted Person

     - Station Service and Person Service

JOINT USER SERVICE                                              NE A5.6

        - Regulations                                           NE A5.6.1
          - the following rates apply in
            addition to the rates and charges
            for the facilities and all other
            service provided                                    NE A5.6.1.B.4
          - joint user service is not furnished
            in connection with residence
            telephone service or farmer line
            service.                                            NE A5.6.1.B.5
        - Rates and Charges                                     NE A5.6.1.D

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                                      Nevada Bell Wholesale
NEVADA BELL                                                            Offered Discount %
------------------------------------------------------------------------------------------------------------------------------------

                                               Message  Mileage                 Non-       Notes and References Relate to Retail
NEVADA BELL Service Name                       Charge   Charge   Recurring    Recurring    Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                            <C>      <C>     <C>           <C>          <C>
     - Premiere 20 Call Waiting- each line                      10.37/13.51%
     - Premiere 20 Call Forwarding- each line                   10.37/13.51%
     - Premiere 20 Alternate Answering- each
       line                                                     10.37/13.51%
     - Premiere 20 Convenience Dialing- each
       line                                                     10.37/13.51%
   - Optional group Features
     - Premiere 20 Distinctive Ringing- each
       group                                                    10.37/13.51%
     - Premiere 20 Outward WATS/800 Access-                                                Outward WATS is grandfathered.
     - WATS Access
       - each access code                                             13.51%
     - 800 Service Access
       - each 800 Service Line                                        13.51%
   - Premiere 20 Additional Call Pickup Group
     - each additional group                                    10.37/13.51%
Hunting Service

                                                                                           NOTE 1: When a service connection or
                                                                                           service charge applies to a line/lines or
                                                                                           trunk/trunks; hunting will be established
 - Rates and Charges /1.2.3/                                                               without additional non-recurring charge.
                                                                                           NOTE 2: When existing lines or trunks are
                                                                                           subsequently added to or removed from a
                                                                                           hunting group or the type of hunting
                                                                                           feature is changed, one "M2 and one" M4
                                                                                           as set forth in NE A3 will apply to each
   - Hunting Service, each line in a hunt                                                  hunt group.
     group
                                                                                           NOTE 3: One "M2 and one "M4 (NE A3) will
                                                                                           apply when existing lines or trunks are
     - Series Complete                                                                     subsequently rearranged with in the hunt
                                                                                           group.

     - Circular                                                       13.51%
     - Preferential                                                   13.51%
     - Uniform Call Distribution                                      13.51%
Direct Connect                                                        13.51%
 - Rates and Charges
                                                                                           The rates and charges listed are for
                                                                                           Direct Connect service only Installation
                                                                                           charge does not apply when Direct Connect
                                                                                           is installed concurrently on the same
                                                                                           line to which a service connection, move
                                                                                           or change charge applies

   - each line                                                  10.37/13.51%  10.37/15.31%

                                                                                           See NE A5.5.4.C for current rate periods
Confinement Services Offered by Nevada Bell                                                and rate discounts.
 - Rates and Charges
   - Rate Periods and Rate Discounts
   - Mileage and Corresponding Rates for                                                   - each additional minute $ .05
     Initial Minute and each Additional                                                    - each additional minute $ .09
     Minute.                                                                               - each additional minute $ .14
     - Rate Mileage                                                                        - each additional minute $ .21
       -   0 - 10   Initial Minute                                    13.51%               - each additional minute $ .26
       -  11 - 22   Initial Minute                                    13.51%
       -  23 - 55   Initial Minute                                    13.51%
       -  56 - 124  Initial Minute                                    13.51%
       - 125 - Plus Initial Minute                                    13.51%
   - Operator Assisted Messages
     - Operator Assisted Station                        $ 1.00        13.51%
     - Operator Assisted Person                         $ 3.00        13.51%
                                                                                          The charge for a call paid for Confinement
                                                                                          Services offered by Nevada Bell is the
                                                                                          sum of the appropriate dial station-to-
                                                                                          station charges, operator assisted service
                                                                                          charge and federal tax, rounded to the
     - Station Service and Person Service                  Y                              nearer multiple of $ 05

JOINT USER SERVICE

        - Regulations
          - the following rates apply in
            addition to the rates and charges
            for the facilities and all other
            service provided
          - joint user service is not furnished
            in connection with residence
            telephone service or farmer line
            service.
        - Rates and Charges
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                         7 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                                 LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR SALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

-----------------------------------------------------------------------------------------------------------------------------------

                                                                                              Nevada Bell Retail Rates
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                          Nevada Bell
                                                          Tariff Site                            Service
                                                          (Name, Sect,             Monthly     Charge/Non-   Per Use    Minute
NEVADA BELL Service Name                                  Para)           USOC    Recurring    Recurring     Charge     Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                       <C>            <C>     <C>          <C>            <C>       <C>
  - Rate per month for each joint user service:
    - Individual Party or Answering Line Service
                                                                                     low $2.40
      - all exchanges                                                               high $4.00

    - PBX or Cord-Operated Answering Service
                                                                                     low $4.80
      - all exchanges                                                               high $6.95

DIRECTORY SERVICES                                        NE A5.7

Local Directory Assistance Service                        NE A5.7.2
 - Rates and Charges                                      NE A5.7.2.C
   - Direct dialed calls to Directory Assistance          NE A5.7.2.C.1
    - Each call exceeding the Call Allowance              NE A5.7.2.C.1.b.                                    $  0.50
   - Operator Assisted Calls to Directory Assistance
    - Each operator assisted call exceeding the
      allowance (from Direct Dial Access stations)/1/                                                         $  0.50
    - Each operator assisted call exceeding the
      allowance (from Non-Direct Dial Access stations)                                                        $  0.50

OPERATOR SERVICES                                         NE A5.8

Local Operator Verification/ Interrupt Service            NE A5.8.1
 - Rates and Charges                                      NE A5.8.1.C
   - Verification                                                                                             $  0.50
   - Combination of a verification and interruption of a
     conversation                                                                                             $  1.00
Operator Assisted Local Calls                             NE A5.8.2
 - Dial Station Message Toll Charges for the lowest
   rate step (0-10 miles), plus the appropriate Operator
   Service Charge, as set forth in Tariff A 6, apply to
   local calls placed with the assistance of a Utility
   operator.                                                                                                        Y

RADIO SERVICES                                            NE A5.9

Service Through Radiotelepone Utilities                   NE A5.9.4
 - Charges                                                NE A5.9.4.C

   - Each Measured Rate Business Line or Trunk                                           Y

   - Each Flat Rate Business Line or Trunk                                               Y
Service Through Basic Exchange Telecommunications
Radio Service                                             NE A5.9.5
 - Charges                                                NE A5.9.5.D
   - Each Measured Rate Business or Residence Line
     or Trunk /1,3/                                                                      Y
   - Each Flat Rate Business or Residence Line or
     Trunk /2,4/                                                                         Y

MESSAGE TELECOMMUNICATION SERVICE                         NE A6

STANDARD SERVICE OFFERINGS                                NE A6.2

Two-Point Message Telecommunication Service               NE A6.2.1
------------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                                                 Nevada Bell Wholesale
                                                                                  Offered Discount %
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                       Message        Mileage                    Non-
NEVADA BELL Service Name                               Charge         Charge     Recurring    Recurring
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                    <C>            <C>      <C>          <C>
  - Rate per month for each joint user service:
    - Individual Party or Answering Line Service

      - all exchanges                                                                13.51%
    - PBX or Cord-Operated Answering Service

      - all exchanges                                                                13.51%

DIRECTORY SERVICES

Local Directory Assistance Service
 - Rates and Charges
   - Direct dialed calls to Directory Assistance
     - Each call exceeding the Call Allowance                                  10.37/13.51%
    - Operator Assisted Calls to Directory Assistance
     - Each operator assisted call exceeding the
       allowance (from Direct Dial Access stations)/1/                         10.37/13.51%
     - Each operator assisted call exceeding the
       allowance (from Non-Direct Dial Access stations                         10.37/13.51%

OPERATOR SERVICES

Local Operator Verification/ Interrupt Service
 - Rates and Charges
   - Verification                                                              10.37/13.51%
   - Combination of a verification and interruption of a
     conversation                                                              10.37/13.51%
Operator Assisted Local Calls
 - Dial Station Message Toll Charges for the lowest
   rate step (0-10 miles), plus the appropriate Operator
   Service Charge, as set forth in Tariff A 6, apply to
   local calls placed with the assistance of a Utility
   operator.

RADIO SERVICES

Service Through Radiotelepone Utilities
 - Charges

   - Each Measured Rate Business Line or Trunk

   - Each Flat Rate Business Line or Trunk
Service Through Basic Exchange Telecommunications
Radio Service
 - Charges
   - Each Measured Rate Business or Residence Line
     or Trunk /1,3/
   - Each Flat Rate Business or Residence Line or
     Trunk /2,4/

MESSAGE TELECOMMUNICATION SERVICE

STANDARD SERVICE OFFERINGS

Two-Point Message Telecommunication Service
----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
----------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL
----------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL Service Name                                          Notes and References Relate to Retail Services Only
----------------------------------------------------------------------------------------------------------------------------------
<S>                                                       <C>
  - Rate per month for each joint user service:
    - Individual Party or Answering Line Service

      - all exchanges                                     See NE A5.6.1.D for exact rates for each exchange.
    - PBX or Cord-Operated Answering Service

      - all exchanges                                     See NE A5.6.1.D for exact rates for each exchange.

DIRECTORY SERVICES

Local Directory Assistance Service                        See tariff for regulations.
 - Rates and Charges
   - Direct dialed calls to Directory Assistance
     - Each call exceeding the Call Allowance             See NE A5.7.2 for D A charge exemptions and Call Allowances
   - Operator Assisted Calls to Directory Assistance      See NE A5.7.2 C for other operator assisted charges that apply
     - Each operator assisted call exceeding the
       allowance (from Direct Dial Access stations)/1/    See NE A5.7.2 for D A charge exemptions and Call Allowances
     - Each operator assisted call exceeding the          NOTE 1: This `per use' charge is in addition to the surcharge for an
       allowance (from Non-Direct Dial Access stations)   operator-assisted station message set forth in NE A6.2.1. This charge
                                                          does not cover the completion of a message toll call

OPERATOR SERVICES

Local Operator Verification/ Interrupt Service
 - Rates and Charges
   - Verification
   - Combination of a verification and interruption of a
     conversation
Operator Assisted Local Calls
 - Dial Station Message Toll Charges for the lowest
   rate step (0-10 miles), plus the appropriate Operator
   Service Charge, as set forth in Tariff A 6, apply to
   local calls placed with the assistance of a Utility
   operator.

RADIO SERVICES

Service Through Radiotelepone Utilities
 - Charges                                                See tariff for regulations and additional charges to this service
                                                          Rates, charges and regulations as applicable to measured rate business
   - Each Measured Rate Business Line or Trunk            service under NE A5.2.1 or NE A5.3.1 as appropriate.
                                                          Rates, charges and regulations as applicable to flat rate business
   - Each Flat Rate Business Line or Trunk                service under NE A5.2.4 or NE A5.3.3 as appropriate.
Service Through Basic Exchange Telecommunications
Radio Service
 - Charges
   - Each Measured Rate Business or Residence Line        NOTE 1: Rates as applicable to Measured Rate Svc. in NE A5.2.1
     or Trunk /1,3/                                       NOTE 2: Rates as applicable to Flat Rate Service in NE A5.2.4
   - Each Flat Rate Business or Residence Line or         NOTE 3: Rates as applicable to Measured Rate Trunks in NE A5.3.1
     Trunk /2,4/                                          NOTE 4: Rates as applicable to Flat Rate Trunks in NE A5.3.3

MESSAGE TELECOMMUNICATION SERVICE

STANDARD SERVICE OFFERINGS

Two-Point Message Telecommunication Service
----------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell. For rates that are cross-
referenced, see the referenced section for rates and discounts.
                                                                         8 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                              LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                     Version Date 04-09-98
                                                                                                     NEVADA/PAC-WEST TELECOMM, INC.

-----------------------------------------------------------------------------------------------------------------------------------

                                                                                  Nevada Bell Retail Rates
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                          Nevada Bell
                                                          Tariff Site                    Service
                                                          (Name, Sect,         Monthly  Charge/Non- Per Use  Minute Message Mileage
NEVADA BELL Service Name                                  Para)         USOC  Recurring  Recurring   Charge  Charge Charge   Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                       <C>           <C>   <C>       <C>         <C>      <C>    <C>     <C>
 - Rates and Charges - Messages Toll Rate -
   Reno LATA                                              NE A6.2.1.C
   - Rate Periods and Rate Discounts/1/                   NE A6.2.1.C.1
     - Monday thru Friday/2/
       - day rate (8:00 am to 5:00 pm) = 0% discount                                                           0.0%
       - evening rate (5:00 pm to 11:00 pm) = 25% disc.                                                         25%
       - night rate (11:00 pm to 8:00 am) = 50% discount                                                        50%
     - Saturday, night rate, all hours = 50% discount                                                           50%
     - Sunday/2/
       - night rate (8:00 am to 5:00 pm) = 50% discount                                                         50%
       - evening rate (5:00 to 11:00 pm) = 25% disc.                                                            25%
       - night rate (11:00 pm to 8:00 am) = 50% discount                                                        50%
   - Mileage and Corresponding Rates for Different
     Classes of Service - Day Rate Period                 NE A6.2.1.C.2
     - Residence - Dial Station-to-Station
       - Rate Mileage
         - 0-10
           - Initial minute                                                                                 $ 0.12
           - each additional minute                                                                         $ 0.05
         - 11-22
           - Initial minute                                                                                 $ 0.17
           - each additional minute                                                                         $ 0.08
         - 23-55
           - Initial minute                                                                                 $ 0.24
           - each additional minute                                                                         $ 0.13
         - 58-124
           - Initial minute                                                                                 $ 0.29
           - each additional minute                                                                         $ 0.19
         - 125-plus
           - Initial minute                                                                                 $ 0.35
           - each additional minute                                                                         $ 0.23
   - Business and assisted types of calls/3/
     - Rate Mileage
       - 0-10
         - Initial minute                                                                                   $ 0.14
         - each additional minute                                                                           $ 0.05
       - 11-22
         - Initial minute                                                                                   $ 0.20
         - each additional minute                                                                           $ 0.09
       - 23-55
         - Initial minute                                                                                   $ 0.27
         - each additional minute                                                                           $ 0.14
       - 58-124
         - Initial minute                                                                                   $ 0.33
         - each additional minute                                                                           $ 0.21
       - 125-plus
         - Initial minute                                                                                   $ 0.39
         - each additional minute                                                                           $ 0.26
   - Operator Assisted Messages                           NE A6.2.1.C.3
     - In addition to the Dial Station-to-Station Rate,
       the following service charges are applicable as
       outlined in regulations section A6.2.1.B.6.
       - Customer Dialed Calling Card                                                                $ 0.25
       - Operator Assisted Calling Card                                                              $ 1.00
       - Operator Assisted Station                                                                   $ 1.00
       - Operator Assisted Person                                                                    $ 3.00
     - Coin Station Service and Coin Person Service
       - The charge for a call paid for by coin
         deposit in a public coin telephone is the
         sum of the

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------

                                                         Nevada Bell Wholesale
                                                          Offered Discount %
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------

                                                                       Non-
NEVADA BELL Service Name                                 Recurring  Recurring   Notes and References Relate to Retail Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                      <C>        <C>        <C>
 - Rates and Charges - Message  Toll Rate -                                    Northern Service Area
   Reno LATA
   - Rate Periods and Rate Discounts/1/                                        NOTE 1: Discounts apply to the charge for the
     - Monday thru Friday/2/                                                   initial minute occurring within the discount period
       - day rate (8:00 am to 5:00 pm) = 0% discount                           and to all additional minutes occurring within each
       - evening rate (5:00 pm to 11:00 pm) = 25% disc.                        discount rate period, but not to the operator
       - night rate (11:00 pm to 8:00 am) = 50% discount                       service charges. Dial charges and operator surcharges
     - Saturday, night rate, all hours = 50% discount                          are determined from A6.2.1.C.2
     - Sunday/2/                                                               NOTE 2: Night rates apply on Holidays, see Holidays,
       - night rate (8:00 am to 5:00 pm) = 50% discount                        A6 2.1 B 6
       - evening rate (5:00 to 11:00 pm) = 25% disc.
       - night rate (11:00 pm to 8:00 am) = 50% discount
   - Mileage and Corresponding Rates for Different
     Classes of Service - Day Rate Period
     - Residence - Dial Station-to-Station
       - Rate Mileage
         - 0-10
           - Initial minute                                           10.37%
           - each additional minute                                   10.37%
         - 11-22
           - Initial minute                                           10.37%
           - each additional minute                                   10.37%
         - 23-55
           - Initial minute                                           10.37%
           - each additional minute                                   10.37%
         - 58-124
           - Initial minute                                           10.37%
           - each additional minute                                   10.37%
         - 125-plus
           - Initial minute                                           10.37%
           - each additional minute                                   10.37%
   - Business and assisted types of calls/3/                                   NOTE 3: Assisted means all calls other than residence
     - Rate Mileage                                                            direct dialed calls, including but not limited to:
       - 0-10                                                                  Customer Dialed Calling Card, Operator Assisted
         - Initial minute                                             13.51%   Calling Card, Operator Assisted Station and Operator
         - each additional minute                                     13.51%   Assisted Person.
       - 11-22
         - Initial minute                                             13.51%
         - each additional minute                                     13.51%
       - 23-55
         - Initial minute                                             13.51%
         - each additional minute                                     13.51%
       - 58-124
         - Initial minute                                             13.51%
         - each additional minute                                     13.51%
       - 125-plus
         - Initial minute                                             13.51%
         - each additional minute                                     13.51%
   - Operator Assisted Messages
     - In addition to the Dial Station-to-Station Rate,
       the following service charges are applicable as
       outlined in regulations section A6.2.1.B.6.
       - Customer Dialed Calling Card                              10.37/13.51%
       - Operator Assisted Calling Card                            10.37/13.51%
       - Operator Assisted Station                                 10.37/13.51%
       - Operator Assisted Person                                  10.37/13.51%
       - Coin Station Service and Coin Person Service
         - The charge for a call paid for by coin
           deposit in a public coin telephone is the
           sum of the
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell. For rates that are cross-referenced,
see the referenced section for rates and discounts.

                                                                         9 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

------------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL                                                                                        Nevada Bell Retail Rates

------------------------------------------------------------------------------------------------------------------------------------
                                                                 NEVADA Bell
                                                                 Tariff Site                              Service
                                                                 (Name, Sect,                Monthly    Charge/Non-     Per Use
NEVADA BELL Service Name                                         Para)            USOC      Recurring    Recurring       Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                        <C>                    <C>       <C>         <C>             <C>
   Business two-point message rates, operator
   assisted service charge and federal tax, rounded
   to the nearer multiple of $.05.
Toll Stations                                                    NE A6.2.2
- Rates and Charges                                              NE A6.2.2.E
  - Individual Access Lines and Primary Station Service
    - Individual access line/1.a.b/                                               SHH       $   5.30        Y
  - Extension Station Service Line

    - Where located off the premises on which the
       primary service point is located
       - Installation charge/2/                                                                             Y
       - Monthly rate/3/                                                                        Y
Message Toll Telephone Service                                   NE A6.2.7
 - See this tariff for a complete list of rate centers and
   Central Offices in the State of Nevada, together with
   V-H coordinates for use in determining air-line mileages
   for message toll telephone service and measured
   exchange service.
Toll Service - Station Service                                   NE A6.2.8
 - Rates                                                         NE A6.2.8.B
   - Each business or residence toll service-station,
     per year                                                                               $   6.40
   - Interconnection of two toll service-station lines
     terminating at same toll station or toll switchboard,
     each message
   - Messages between toll service-stations and the toll
     station or toll switchboard to which they are
     connected, each message

OPTIONAL CALLING PLANS                                           A6.3

Dial One Metro                                                   A6.3.2
 - Rates and Charges                                             A6.3.2.C
   - Dial One Metro -Residence
     - From EAD 1 to EADs 2,3,4, per billing account             DMR                        $   5.00
       - Non-recurring/1/                                        NRDMR                                  $  16.00
     - From EAD 2 to EADs 1,3,4, per billing account             DMR                        $   5.00
       - Non-recurring/1/                                        NRDMR                                  $  16.00
     - From EAD 3 to EADs 1,2,4, per billing account             DMR                        $   5.00
       - Non-recurring/1/                                        NRDMR                                  $  16.00
     - From EAD 4 to EADs 1,2,3, per billing account             DMR                        $   5.00
       - Non-recurring/1/                                        NRDMR                                  $  16.00
 - Dial One Metro - Business
     - From EAD 1 to EADs 2,3,4, per billing account             DMB                        $   5.00
       - Non-recurring/1/                                        NRDMB                                  $  24.00
     - From EAD 2 to EADs 1,3,4, per billing account             DMB                        $   5.00
       - Non-recurring/1/                                        NRDMB                                  $  24.00
     - From EAD 3 to EADs 1,2,4, per billing account             DMB                        $   5.00
       - Non-recurring/1/                                        NRDMB                                  $  24.00
     - From EAD 4 to EADs 1,2,3, per billing account             DMB                        $   5.00
       - Non-recurring/1/                                        NRDMB                                  $  24.00
 - Dial One Metro or Equivalent/2/
       - From Rural Telephone Company prefix 969 to
         EAD 7                                                     N                        $   5.00    $  24.00

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                                                                       Nevada Bell Wholesale
                                                                                                         Offered Discount %
------------------------------------------------------------------------------------------------------------------------------------
                                                                Minute       Message      Mileage                       Non-
                                                                Charge        Charge      Charge      Recurring      Recurring
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                             <C>          <C>          <C>         <C>            <C>
NEVADA BELL Service Name
   Business two-point message rates, operator
   assisted service charge and federal tax, rounded
   to the nearer multiple of $.05.                                 Y         Y
Toll Stations
- Rates and Charges
- Individual Access Lines and Primary Station Service
   - Individual access line 1.a.b                                                                   10.37/13.51%
   - Extension Station Service Line
   - Where located off the premises on which the
       primary service point is located
       - Installation charge/2/                                                                                            0%
       - Monthly rate/3/
Message Toll Telephone Service
 - See this tariff for a complete list of rate centers and
   Central Offices in the State of Nevada, together with
   V-H coordinates for use in determining air-line mileages
   for message toll telephone service and measured
   exchange service.
Toll Service - Station Service
 - Rates
   - Each business or residence toll service-station,
     per year                                                                                       10.37/13.51%
   - Interconnection of two toll service-station lines
     terminating at same toll station or toll switchboard,
     each message                                                            $   1.07               10.37/13.51%
   - Messages between toll service-stations and the toll
     station or toll switchboard to which they are
     connected, each message                                                 $   1.07               10.37/13.51%

OPTIONAL CALLING PLANS

Dial One Metro
 - Rates and Charges
   - Dial One Metro -Residence
     - From EAD 1 to EADs 2,3,4, per billing account                                                      10.37%
       - Non-recurring/1/                                                                                               10.37%
     - From EAD 2 to EADs 1,3,4, per billing account                                                      10.37%
       - Non-recurring/1/                                                                                               10.37%
     - From EAD 3 to EADs 1,2,4, per billing account                                                      10.37%
       - Non-recurring/1/                                                                                               10.37%
     - From EAD 4 to EADs 1,2,3, per billing account                                                      10.37%
       - Non-recurring/1/                                                                                               13.51%
   - Dial One Metro - Business                                                                            13.51%
     - From EAD 1 to EADs 2,3,4, per billing account
       - Non-recurring/1/                                                                                 13.51%
     - From EAD 2 to EADs 1,3,4, per billing account                                                                    13.51%
       - Non-recurring/1/                                                                                 13.51%
     - From EAD 3 to EADs 1,2,4, per billing account                                                                    13.51%
       - Non-recurring/1/                                                                                 13.51%
     - From EAD 4 to EADs 1,2,3, per billing account                                                                    13.51%
       - Non-recurring/1/
   - Dial One Metro or Equivalent/2/
         - From Rural Telephone Company prefix 969 to
           EAD 7                                                                                    10.37/13.51%  10.37/13.51%

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL Service Name                                                   Notes and References Relate to Retail Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                           <C>
   Business two-point message rates, operator
   assisted service charge and federal tax, rounded
   to the nearer multiple of $.05.
Toll Stations                                                 NOTE 1: a Service connection charges are equivalent to Multi-Element
- Rates and Charges                                           Service charges or Service Connection charges as specified in Tariff
  - Individual Access Lines and Primary Station Service       NE A3.1.
   - Individual access line/1.a.b/                            b. The monthly rate is in addition to a guarantee of revenue from
    - Extension Station Service Line                          message toll telephone service as provided in description NE A3
     - Where located off the premises on which the
       primary service point is located
       - Installation charge/2/                               NOTE 2: Based on Cost.
       - Monthly rate/3/                                      NOTE 3: Apply off-premises mileage rate as shown in NE A10. 2. 1
Message Toll Telephone Service
 - See this tariff for a complete list of rate centers and
   Central Offices in the State of Nevada, together with
   V-H coordinates for use in determining air-line mileages
   for message toll telephone service and measured
   exchange service.
Toll Service - Station Service
 - Rates
   - Each business or residence toll service-station,
     per year                                                 This is a per year recurring charge.
   - Interconnection of two toll service-station lines
     terminating at same toll station or toll switchboard,
     each message
   - Messages between toll service-stations and the toll
     station or toll switchboard to which they are
     connected, each message

OPTIONAL CALLING PLANS

 Dial One Metro
  - Rates and Charges
    - Dial One Metro -Residence
     - From EAD 1 to EADs 2,3,4, per billing account
       - Non-recurring/1/                                     NOTE 1: Equivalent to one multi-element service order charge
     - From EAD 2 to EADs 1,3,4, per billing account
       - Non-recurring/1/
     - From EAD 3 to EADs 1,2,4, per billing account
       - Non-recurring/1/
     - From EAD 4 to EADs 1,2,3, per billing account
       - Non-recurring/1/
   - Dial One Metro - Business
     - From EAD 1 to EADs 2,3,4, per billing account
       - Non-recurring/1/
     - From EAD 2 to EADs 1,3,4, per billing account
       - Non-recurring/1/
     - From EAD 4 to EADs 1,2,3, per billing account
       - Non-recurring/1/
     - From EAD 1 to EADs 2,3,4, per billing account
       - Non-recurring/1/
   - Dial One Metro or Equivalent/2/                          NOTE 2: Billed by Rural Telephone Company under the Designated
     - From Rural Telephone Company prefix 969 to             Carrier Plan
         EAD 7
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell. For rates that are cross-referenced,
see the referenced section for rates and discounts.

                                                                        10 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                            LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT                                                                                                     Version Date 04-09-98
                                                                                                   NEVADA/PAC-WEST TELECOMM, INC.

-----------------------------------------------------------------------------------------------------------------

NEVADA BELL
-----------------------------------------------------------------------------------------------------------------
                                                                 Nevada Bell
                                                                 Tariff Site                       Service
                                                                 (Name,Sect,           Monthly     Charge/Non-
NEVADA BELL Service Name                                         Para)          USOC   Recurring    Recurring
-----------------------------------------------------------------------------------------------------------------
<S>                                                              <C>            <C>    <C>         <C>
WIDE AREA TELECOMMUNICATION SVC. (WATS)                          NE A7
OUTWARD WATS AND 800 SERVICE                                     NE A7.1
Outward Wats and 800 Service                                     NE A7.1
 - Charges and Rates                                             NE A7.1.E
   - Installation Charge
     - an access line will be furnished at the service
       connection charges or multi-element service
       charges equivalent to that of a business individual
       access line as shown in NE A3.                                                                    Y
   - Extension Station Lines
     - Extension station lines are charged for at the rates
       specified for in Private Line Service in Tariff
       PL B3.                                                                              Y
   - Move and Change Charge
     - Move or change an outward statewide access line                          WAX++               $   36.00
     - Move or change an outward intraLATA access line                          WLT++               $   36.00
     - Move or change an 800 access line                                        W4A++               $   36.00
Outward WATS                                                     NE A7.1.1
     - Rates and Charges                                         NE A7.1.1.B
       - Access Rates
         - Statewide (B and 8)
           - Access line, each/1/                                               WAX++   $   27.65
         - IntraLATA only (B and 9), within the customer's
           serving LATA
           - Access line, each                                                  WLT++   $   27.65
         - InterLATA only (B and 11), outside the customer's
           serving LATA
         - Access line, each/1/                                                 WFS++   $   27.65
       - Monthly Usage Rates
         - Average Hours of Use per Line - Outward WATS
           - 0 - 15
           - 15.1 - 40
           - 40.1 - 80
           - over 80
800 Service                                                      NE A7.1.2
 - Rates and Charges                                             NE A7.1.2.C
   - Access Rates - Statewide
     - Access Line, each/1/                                                     W4A++   $   39.75
   - Monthly Usage Rates - Statewide
     - Hours of Usage
   - Business Day, Monday thru Friday, 9a.m. to 9p.m.
     - Off Peak, All Other Hours

CENTRAL OFFICE SERVICES                                          NE A9
TELEPHONE ANSWERING SERVICE                                      NE A9.3
Secretarial Answering Service                                    NE A9.3.1
 - Rates and Charges                                             NE A9.3.1.C
   - Each secretarial extension line, extension of a trunk
     line, PBX or CENTREX cord-operated equipment or
     key equipment
     - Charge as appropriate for an extension line, PBX
------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------
                                                                                   Nevada Bell Retail Rates

NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------
                                                                 Per Use    Minute    Message   Mileage                Non-
NEVADA BELL Service Name                                         Charge     Charge    Charge    Charge   Recurring   Recurring
------------------------------------------------------------------------------------------------------------------------------
<S>                                                              <C>        <C>       <C>       <C>      <C>         <C>
WIDE AREA TELECOMMUNICATION SVC. (WATS)
OUTWARD WATS AND 800 SERVICE
Outward Wats and 800 Service
 - Charges and Rates
   - Installation Charge
     - an access line will be furnished at the service
       connection charges or multi-element service
       charges equivalent to that of a business individual
       access line as shown in NE A3.
   - Extension Station Lines
     - Extension station lines are charged for at the rates
       specified for in Private Line Service in Tariff
       PL B3.
   - Move and Change Charge
     - Move or change an outward statewide access line                                                                13.51%
     - Move or change an outward intraLATA access line                                                                13.51%
     - Move or change an 800 access line                                                                              13.51%
Outward WATS
     - Rates and Charges
       - Access Rates
         - Statewide (B and 8)
           - Access line, each/1/                                                                         13.51%
         - IntraLATA only (B and 9), within the customer's
           serving LATA
           - Access line, each                                                                            13.51%
         - InterLATA only (B and 11), outside the customer's
           serving LATA
         - Access line, each/1/                                                                           13.51%
       - Monthly Usage Rates
         - Average Hours of Use per Line - Outward WATS
           - 0 - 15                                                        $  6.00                        13.51%
           - 15.1 - 40                                                     $  6.00                        13.51%
           - 40.1 - 80                                                     $  6.00                        13.51%
           - over 80                                                       $  6.00                        13.51%
800 Service
 - Rates and Charges
   - Access Rates - Statewide
     - Access Line, each/1/                                                                               13.51%
   - Monthly Usage Rates - Statewide
     - Hours of Usage
   - Business Day, Monday thru Friday, 9a.m. to 9p.m.                      $ 12.00                        13.51%
     - Off Peak, All Other Hours                                           $  9.60                        13.51%
CENTRAL OFFICE SERVICES
TELEPHONE ANSWERING SERVICE
Secretarial Answering Service
 - Rates and Charges
   - Each secretarial extension line, extension of a trunk
     line, PBX or CENTREX cord-operated equipment or
     key equipment
     - Charge as appropriate for an extension line, PBX
-------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL Service Name                                                    Notes and References Relate to Retail Services Only
-------------------------------------------------------------------------------------------------------------------------------
<S>                                                                   <C>
WIDE AREA TELECOMMUNICATION SVC. (WATS)
OUTWARD WATS AND 800 SERVICE                                          Outward WATS Service is Grandfathered.
Outward Wats and 800 Service
 - Charges and Rates
   - Installation Charge
     - an access line will be furnished at the service
       connection charges or multi-element service
       charges equivalent to that of a business individual
       access line as shown in NE A3.
   - Extension Station Lines
     - Extension station lines are charged for at the rates
       specified for in Private Line Service in Tariff
       PL B3.
   - Move and Change Charge
     - Move or change an outward statewide access line                Outward WATS Service is Grandfathered
     - Move or change an outward intraLATA access line                Outward WATS Service is Grandfathered
     - Move or change an 800 access line
Outward WATS                                                          Outward WATS Service is Grandfathered
     - Rates and Charges
       - Access Rates
         - Statewide (B and 8)
           - Access line, each/1/                                     OutwardWATS Service is Grandfathered
         - IntraLATA only (B and 9), within the customer's
           serving LATA
           - Access line, each                                        Outward WATS Service is Grandfathered
         - InterLATA only (B and 11), outside the customer's          NOTE 1: Any access line used in conjunction with an interLATA
           serving LATA                                               usage schedule will be billed a surcharge as defined in C7 4
                                                                      2 of the Access Service Tariff.
         - Access line, each/1/
       - Monthly Usage Rates
         - Average Hours of  Use per Line - Outward WATS
           - 0 - 15                                                   Rates are per hour   Outward WATS Service Grandfathered
           - 15.1 - 40                                                Rates are per hour   Outward WATS Service Grandfathered
           - 40.1 - 80                                                Rates are per hour   Outward WATS Service Grandfathered
           - over 80                                                  Rates are per hour   Outward WATS Service Grandfathered
800 Service
 - Rates and Charges
   - Access Rates - Statewide
     - Access Line, each/1/                                           NOTE 1: Any access line used in conjunction with an InterLATA
   - Monthly Usage Rates - Statewide                                  usage schedule will be billed a surcharge as defined in C7
                                                                      4.2 of the Access Service Taiff.
     - Hours of Usage
   - Business Day, Monday thru Friday, 9a.m. to 9p.m.                 Rates are per hour.
     - Off Peak, All Other Hours                                      Rates are per hour.
CENTRAL OFFICE SERVICES
TELEPHONE ANSWERING SERVICE
Secretarial Answering Service
 - Rates and Charges
   - Each secretarial extension line, extension of a trunk
     line, PBX or CENTREX cord-operated equipment or
     key equipment
     - Charge as appropriate for an extension line, PBX
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Navada Bell. For rates that are cross-referenced, see the
referenced section for rates and discounts.                             11 of 30
<PAGE>

APPENDIX RESALE
EXHIBIT A

          LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
                                                           Version Date 04-09-98
                                                  NEVADA/PAC-WEST TELECOMM, INC.
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------------------------

                                                                                     Nevada Bell Retail Rates
NEVADA BELL
-------------------------------------------------------------------------------------------------------------------------

                                                Nevada Bell
                                                Tariff Site                            Service
                                                (Name, Sect,             Monthly     Charge/Non-     Per Use   Minute
NEVADA BELL Service Name                        Para)           USOC    Recurring     Recurring      Charge    Charge
-------------------------------------------------------------------------------------------------------------------------
<S>                                             <C>             <C>      <C>          <C>             <C>       <C>
     or CENTREX extension line plus the
     following
     mileage:
     - 1/4 to 3/4 miles, flat rate
       - each extension line                                     1LJPR   $   17.70
     - 4/4 to 7.4 miles, flat rate
       - each extension line                                     1LJPR   $   26.00
     - over 7.4 miles, flat rate
       - each extension line                                     1LJPR   $   44.00
  - Where the telephone answering equipment
    is located outside the base rate area or
    special rate area where the subscriber's
    primary service is located: use the
    applicable rate above, plus appropriate
    suburban mileage charges as specified in
    NE A5.2.5.3.                                                               Y
  - Where the telephone answering equipment
    is located in an exchange contiguous to the
    exchange in which the customer's primary
    service is located:
    - Use rates applicable to off-premises
      mileage between contiguous exchanges as
      specified in NE A10.2                                                    Y
Lines Terminating in Telephone Answering
 System                                         A9.3.6
 - Rates and Charges                            A9.3.6.B
   - Primary and Extension Lines
     - A Service Connection Charge
       applies as specified in Tariff NE A3.                                             Y
   - Lines Terminated on Telephone
     Answering Equipment
     - Trunk Line Service in connection
       with cord-operated telephone answering
       equipment:
       - Same subscriber - Provided
         according to the rates listed for
         commercial PBX trunk lines as
         specified in NE A5.3.                                                 Y
     - Key Equipment Business individual
       Line Service
       - Same subscriber - Provided according
         to the rates listed for business
         individual line service as specified
         in Tariff NE A5.2.                                                    Y
     - Answering Line Service - Different
       Subscribers:
       - Each answering lines - Provided
         according to the rates listed for
         business individual line service as
         specified in NE A5.2.                                                 Y
     - The Line Service
       - Each tie line between cord-operated
         telephone answering systems or
         between cord-operated telephone
         answering system and PBX system on
         the same or different premises of
         the same or different subscribers:
         - Rate applicable to the line
           service between PBX systems as
           specified in NE A5.3 and NE A10.2.                                  Y
       - Each termination of a tie line in the
         attendant's position of a telephone
         answering equipment sys.
         - Rate applicable to termination of
           tie lines in PBX attendant
           positions as specified in NE A5.3
           and NE A10.2                                                        Y

CALL MANAGEMENT SYSTEMS                         A9.4

Call Management Systems                         A9.4
 - Rates and Charges                            A9.4 C
   - Rate table items listed below are
     applicable for use with Models 15,
     60 and 200
<CAPTION>
---------------------------------------------------------------------------------------------------------------------------------
                                                                           Nevada Bell Wholesale
NEVADA BELL                                                                 Offered Discount %
---------------------------------------------------------------------------------------------------------------------------------

                                                 Message Mileage               Non-       Notes and References Relate to Retail
NEVADA BELL Service Name                         Charge   Charge  Recurring  Recurring                Services Only
---------------------------------------------------------------------------------------------------------------------------------
     or CENTREX extension line plus the
     following
     mileage:
     - 1/4 to 3/4 miles, flat rate
       - each extension line                                        13.51%
     - 4/4 to 7.4 miles, flat rate
       - each extension line                                        13.51%
     - over 7.4 miles, flat rate
       - each extension line                                        13.51%
  - Where the telephone answering equipment
    is located outside the base rate area or
    special rate area where the subscriber's
    primary service is located: use the
    applicable rate above, plus appropriate
    suburban mileage charges as specified in
    NE A5.2.5.3.
  - Where the telephone answering equipment
    is located in an exchange contiguous to the
    exchange in which the customer's primary
    service is located:
    - Use rates applicable to off-premises
      mileage between contiguous exchanges as
      specified in NE A10.2
Lines Terminating in Telephone Answering
 System
 - Rates and Charges
   - Primary and Extension Lines
     - A Service Connection Charge
       applies as specified in Tariff NE A3.
   - Lines Terminated on Telephone
     Answering Equipment
     - Trunk Line Service in connection
       with cord-operated telephone answering
       equipment:
       - Same subscriber - Provided
         according to the rates listed for
         commercial PBX trunk lines as
         specified in NE A5.3.
     - Key Equipment Business individual
       Line Service
       - Same subscriber - Provided according
         to the rates listed for business
         individual line service as specified
         in Tariff NE A5.2.
     - Answering Line Service - Different
       Subscribers:
       - Each answering lines - Provided
         according to the rates listed for
         business individual line service as
         specified in NE A5.2.
     - The Line Service
       - Each tie line between cord-operated
         telephone answering systems or
         between cord-operated telephone
         answering system and PBX system on
         the same or different premises of
         the same or different subscribers:
         - Rate applicable to the line
           service between PBX systems as
           specified in NE A5.3 and NE A10.2.
       - Each termination of a tie line in the
         attendant's position of a telephone
         answering equipment sys.
         - Rate applicable to termination of
           tie lines in PBX attendant
           positions as specified in NE A5.3
           and NE A10.2

CALL MANAGEMENT SYSTEMS

Call Management Systems
 - Rates and Charges
   - Rate table items listed below are
     applicable for use with Models 15,
     60 and 200
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        12 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.
------------------------------------------------------------------------------------------------------------------------------------
                                                                                                Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                               Nevada Bell
                                                               Tariff Site                       Service
                                                               (Name, Sect,          Monthly   Charge/Non-  Per Use  Minute  Message
NEVADA BELL Service Name                                        Para)        USOC   Recurring   Recurring   Charge   Charge  Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                            <C>           <C>    <C>        <C>          <C>      <C>     <C>
 - Lines
   - Outward line from attendant's position equipment
     to central office
      - each                                                                   NA       Y           Y
   - Transfer equipment line to Centrex Switching
      Equipment
      - each                                                                  GJY       Y           Y
   - Overflow lines:
      - On premises line, each                                                 NA       N           N
      - Off-premises line, each                                                NA       Y           Y
 - Trunks
   - Trunk lines to common equipment                                           NA       Y           Y

MISCELLANEOUS SERVICE OFFERINGS                                NE A10

MILEAGE CHARGES                                                NE A10.2

Extension Lines                                                NE A10.2.1
 - Rates and Charges                                           NE A10.2.1.C
   - Apply to each extension, PBX, order receiving
     equipment and key equipment station line
     - No mileage charge applies where the terminals are
       in different buildings on continuous property where
       the remote building is within 300 feet from the
       primary station or PBX switchboard (A10.2.1. B.7)
     - Terminals are in different buildings on continuous
       property and located beyond 300 feet from the
       primary station (See A10.2.1.B.7)
       - Each one-quarter mile or fraction thereof-
       - Each extension station                                             1LLBG   $   2 .10
       - Each PBX station                                                   1LVBG   $   2 .10
       - Terminals are on noncontinuous property within the
         same exchange (See A10.2.1 B 8 & A10.2.1.B.9)
         - Each extension situation line or key equipment
           station line, per local loop (1 required per line)               1LLBP   $   32.25
         - Each private branch exchange station line or
           order receiving equipment line, per local loop
           (2 required per line)                                            1LVDP   $   21.00
         - Terminals are on noncontinuous property between
           contiguous exchanges. (See A10.2.1.B.8 & B.9)
         - First one-quarter mile or fraction thereof-
           - Each PBX station                                               1LVBR   $    6.40
           - Each extension station                                         1LLBR   $    6.40
         - Each additional one-quarter mile or fraction there-
           of-
           - Each PBX station                                               1LVBR   $    3.00
           - Each extension station                                         1LLBR   $    3.00
       - Where all of the following conditions prevail, cable
         charges based on estimated cost may be applied
         In lieu of mileage charges:
         - for one customer
         - served by dedicated cable between premises
           of same customer on noncontinuous property,
         - minimum cable capacity of 100 parts and less
           than on airline mile in length.
           - Each dedicated cable
             - basic termination charge/1/                                                       Cost
------------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------

                                                                          Nevada Bell Wholesale
                                                                            Offered Discount %
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------

                                                                Mileage                Non-       Notes and References Relate to
NEVADA BELL Service Name                                        Charge   Recurring  Recurring     Retail Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                             <C>      <C>        <C>           <C>
 - Lines
   - Outward line from attendant's position equipment
     to central office
   - each                                                                                            Charge and rate applicable to
                                                                                                     business
 - Transfer equipment line to Centrex Switching
   Equipment
   - each                                                                                            Charge and rate applicable to
                                                                                                     CENTREX primary station line.
 - Overflow lines:
   - On premises line, each
   - Off-premises line, each                                                                         Charges and rates applicable
                                                                                                     to Local Channels or
                                                                                                     Interexchange
 - Trunks                                                                                             Channels, Tariff PL B3.2.2
   - Trunk lines to common equipment                                                                 Charge and rate applicable to
                                                                                                     private branch exchange trunks.
MISCELLANEOUS SERVICE OFFERINGS

MILEAGE CHARGES

Extension Lines
 - Rates and Charges
   - Apply to each extension, PBX, order receiving
     equipment and key equipment station line
     - No mileage charge applies where the terminals are
       in different buildings on continuous property where
       the remote building is within 300 feet from the
       primary station or PBX switchboard (A10.2.1. B.7)
     - Terminals are in different buildings on continuous
       property and located beyond 300 feet from the
       primary station (See A10.2.1.B.7)
       - Each one-quarter mile or fraction thereof-
       - Each extension station                                          10.37/13.51%
       - Each PBX station                                                      13.51%
       - Terminals are on noncontinuous property within the
         same exchange (See A10.2.1 B 8 & A10.2.1.B.9)
         - Each extension situation line or key equipment
           station line, per local loop (1 required per line)            10.37/13.51%
         - Each private branch exchange station line or
           order receiving equipment line, per local loop
           (2 required per line)                                               13.51%
         - Terminals are on noncontinuous property between
           contiguous exchanges. (See A10.2.1.8 & B.9)
         - First one-quarter mile or fraction thereof-
           - Each PBX station                                                  13.51%
           - Each extension station                                      10.37/13.51%
         - Each additional one-quarter mile or fraction there-
           of-
           - Each PBX station                                                  13.51%
           - Each extension station                                      10.37/13.51%
       - Where all of the following conditions prevail, cable
         charges based on estimated cost may be applied
         In lieu of mileage charges:
         - for one customer
         - served by dedicated cable between premises
           of same customer on noncontinuous property,
         - minimum cable capacity of 100 parts and less
           than on airline mile in length.                                                           NOTE 1: Reduces 1/60 for each
           - Each dedicated cable                                                                    full month the facilities are
                                                                                                     retained in service between
                                                                                                     the same premises.
             - basic termination charge/1/                                                      0%   Based on Estimated Cost
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        13 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.
------------------------------------------------------------------------------------------------------------------------------------
                                                                                      Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                            Nevada Bell
                                                            Tariff Site                           Service
                                                            (Name,sect,               Monthly    Charge/Non-    Per Use    Minute
NEVADA BELL Service Name                                    Para)           USCO      Recurring   Recurring     Charge     Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                         <C>            <C>       <C>        <C>            <C>         <C>
       - rate per month                                                                 Cost
     - Service Area Transmission Equipment
       - Installation charge                                                                        Cost
       - rate per month                                                                 Cost
       - expense incurred by the Utility to meet
         transmission and/or signalling requirements.
The Line Service                                            NE A10.2.2
  - Rates and Charges                                       NE A10.2.2.B
    - Each Tie Line between PBX or Intercommunicating
      Systems on Different Premises, Different Central
      Office, Each Loop (2 required)                                        1LTDP     $   21.00
    - Each Tie Line between PBX or Intercommunicating
      Systems on Different Premises, Same Central Office,
      Each Loop (2 required)                                                1LTBP     $   21.00

MISCELLANEOUS SWITCHING ARRANGEMENTS                        NE A10.3
Arrangements for Night, Sunday, and Holidays                NE A10.3.1
 - Rates and Charges                                        NE A10.3.1.B
   - Termination in Central Office, With Night Listing for
     Private Branch Exchange System
     - each terminal                                                        NCB       $    1.80
Multiple Line Control Arrangements                          NE A10.3.2
 -  Rates and Charges                                       NE A10.3.2.C
    -  First 6 Lines of a Group                                             P89       $   11.00   $    90.00
    -  Each Additional Line of Same Group                                   9GV       $    1.00   $    14.00
TOLL RESTRICTION SERVICES                                   NE A10.4

Toll Diversion                                              NE A10.4.1
 - Rates and Changes                                        NE A10.4.1.C
   - Changes in Telephone Prefixes and Codes:
     Each change in diverting equipment arrangement
     or call control equipment to divert or not divert calls
     to one or more telephone prefixes or codes:/1/
     - For each Group of Trunks having the same
       diverting arrangement                                                  N               N   $     9.65
   - Access Code Diverting Service:
     -  Each central office arrangement of a trunk of a dial
        PBX system to divert access code "0" or "1"/2/                    COACD       $    2.60   $    60.00

DISCRETIONARY EXCHANGE SERVICES                             NE A11
CUSTOM CALLING 2000                                         NE A11.1
 - Rates and Changes                                        NE A11.1.E
   - Feature Rates (See NOTE 1 where non-recurring)
     column = Y.)
     - Call Management Features
       - Call Trace, residence
       - Initial charge                                                                              Y
       - each occurrence                                                  CALTR                                  $  5.00

     - Call Trace, business
       -  Initial charge                                                                             Y
       -  each occurrence                                                 CALTR                                  $  5.00
     - Caller ID, residence
<CAPTION>
                                                                 Nevada Bell Retail Rates         Nevada Bell Wholesale
                                                                                                    Offered Discount %
NEVADA BELL
                                                                  Message      Mileage                               Non-
NEVADA BELL Service Name                                          Charge       Charge          Recurring           Recurring
<S>                                                               <C>          <C>            <C>                  <C>
       - rate per month                                                                               0%
     - Service Area Transmission Equipment
       - Installation charge                                                                                           0%
       - rate per month                                                                               0%
       - expense incurred by the Utility to meet
         transmission and/or signalling requirements.
The Line Service
  - Rates and Charges
    - Each Tie Line between PBX or Intercommunicating
      Systems on Different Premises, Different Central
      Office, Each Loop (2 required)                                                              13.51%
    - Each Tie Line between PBX or Intercommunicating
      Systems on Different Premises, Same Central Office.
      Each Loop (2 required)                                                                      13.51%
MISCELLANEOUS SWITCHING ARRANGEMENTS
Arrangements for Night, Sunday, and Holidays
 - Rates and Charges
   - Termination in Central Office, With Night Listing for
     Private Branch Exchange System
     - each terminal                                                                              13.51%
Multiple Line Control Arrangements
 -  Rates and Charges
  First 6 Lines of a Group                                                                        13.51%           13.51%
    -  Each Additional Line of Same Group                                                         13.51%           13.51%
TOLL RESTRICTION SERVICES

Toll Diversion
 - Rates and Changes
   - Changes in Telephone Prefixes and Codes:
     Each change in diverting equipment arrangement
     or call control equipment to divert or not divert calls
     to one or more telephone prefixes or codes: /1/
     - For each Group of Trunks having the same
       diverting arrangement                                                                                       13.51%
   - Access Code Diverting Service:
     -  Each central office arrangement of a trunk of a dial
        PBX system to divert access code "0" or "1"/2/                                            13.51%           13.51%
DISCRETIONARY EXCHANGE SERVICES
CUSTOM CALLING 2000
 - Rates and Changes
   - Feature Rates (See NOTE 1 where non-recurring
     column = Y.)
     - Call Management Features
       - Call Trace, residence
         - Initial charge
         - each occurrence                                                                        10.37%
     - Call Trace, business
       -  Initial charge
       -  each occurrence                                                                         13.51%
      - Caller ID, residence
<CAPTION>

NEVADA BELL
<S>                                                              <C>
NEVADA BELL Service Name                                                   Notes and References Relate to Retail Services Only
       - rate per month                                          Based on  Estimated Cost
     - Service Area Transmission Equipment
       - Installation charge                                     Based on Estimated Cost
       - rate per month                                          Based on Estimated Cost
       - expense incurred by the Utility to meet
         transmission and/or signalling requirements.
The Line Service
  - Rates and Charges
    - Each Tie Line between PBX or Intercommunicating
      Systems on Different Premises, Different Central
      Office, Each Loop (2 required)
    - Each Tie Line between PBX or Intercommunicating
      Systems on Different Premises, Same Central Office.
      Each Loop (2 required)
MISCELLANEOUS SWITCHING ARRANGEMENTS
Arrangements for Night, Sunday, and Holidays
 - Rates and Charges
   - Termination in Central Office, With Night Listing for
     Private Branch Exchange System
     - each terminal
Multiple Line Control Arrangements
 -  Rates and Charges
    -  First 6 Lines of a Group
    -  Each Additional Line of Same Group
TOLL RESTRICTION SERVICES
Toll Diversion
 - Rates and Changes
   - Changes in Telephone Prefixes and Codes:
     Each change in diverting equipment arrangement
     or call control equipment to divert or not divert call
     to one or more telephone prefixes or codes: /1/             NOTE 1: See A10.4.1.B.4 and A10.4.1.B.5
     - For each Group of Trunks having the same
       diverting arrangement
   - Access Code Diverting Service:
     -  Each central office arrangement of a trunk of a dial
        PBX system to divert access code "0" or "1"/2/           NOTE 2: See A10.4. 1B.6.
DISCRETIONARY EXCHANGE SERVICES                                  All Discretionary Services have an approved floor ceiling monthly
                                                                 rate range within which Nevada Bell has authority to change rates
                                                                 at is discretion.  See the appropriate tariff reference for these
CUSTOM CALLING 2000                                              ranges. Only currently charged rates are listed in this price list.
 - Rates and Changes
   - Feature Rates (See NOTE 1 where non-recurring
     column = Y.)
     - Call Management Features
       - Call Trace, residence
         - Initial charge                                        NOTE 1: A service order charge on moves and changes to existing
         - each occurrence                                       service will apply as specified in Tariff NE A3.1. There will be no
     - Call Trace, business                                      additional charge for Custom Calling 2000 features associated with
       -  Initial charge                                         new service.
       -  each occurrence
      - Caller ID, residence
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        14 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                          LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                 Version Date 04-09-98
                                                                                                 NEVADA/PAC-WEST TELECOMM, INC.

------------------------------------------------------------------------------------------------------------------------------------

                                                                                                        Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                              Nevada Bell
                                                              Tariff Site                           Service
                                                              (Name, Sect,             Monthly    Charge/Non-      Per Use   Minute
NEVADA BELL Service Name                                      Para)          USOC     Recurring    Recurring       Charge    Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                           <C>            <C>     <C>          <C>              <C>       <C>
     -per line                                                               CNM     $     4.00        Y
    -Caller ID, business
     -per line                                                               CNM     $     6.00        Y
    -Call Return, residence
     -per line                                                               CCR     $     2.00        Y
    -Call Return, business
     -per  line                                                              CCR     $     4.00        Y
    -Repeat Dialing, residence
     -per line                                                               CRP     $     2.00        Y
    -Repeat Dialing, business
     -per line                                                               CRP     $     4.00        Y
  -Privacy Features
    -Per Call Blocking, residence
     -per line                                                                 N     $     0.00        N
    -Per Call Blocking, business
     -per line                                                                 N     $     0.00        N
    -Per Line Blocking, residence
     -per line                                                               CNMBK   $     0.00        N
    -Blocked Call Rejection, residence
     -per line                                                               CRE     $     2.00        Y
    -Blocked Call Rejection, business
     -per line                                                               CRE     $     4.00        Y
   -Screen List Editing Features
    -Call  Screen, residence
     -per line                                                               CCB     $     2.00        Y
    -Call  Screen, business
     -per line                                                               CCB     $     4.00        Y
    -Priority Ringing, residence
     -per line                                                               CLP     $     2.00        Y
    -Priority Ringing, business
     -per line                                                               CLP     $     4.00        Y
    -Select Call Forwarding, residence
     -per line                                                               CSF     $     2.00        Y
    -Select Call Forward, business
     -per line                                                               CSF     $     4.00        Y
  -Multi-feature discounts
    -Multi-feature discount rates will apply when
     ordering the following CC2000 features:
      -Caller ID, Call Screen, Call Return, Repeat
       Dialing, Priority Ringing, Select Call Forwarding,
       and Blocked Call Rejection.
     -Multi-feature discounts apply to both Residence and
      Business features
       -One feature, current discount is 0%
       -Two or more features, current discount is 25%

EXPRESS CALL COMPLETION SERVICE (ECCS)                        NE A11.2

  -Rates and Changes                                          NE A11.2.C
   -Per affirmative activation, per call                                                                           $    0.45

PRIMARY RATE ISDN (PRI)                                       NE A11.3

   -Rates and Changes                                         NE A11.3.D
   -Primary Rate Interface/1,2/
     -23B+Primary D Interface, Each
      -Month-to-Month                                                        PRAS1   $   400.00        $  1,250.00
-----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------

                                                                                                           Nevada Bell Wholesale
                                                   Nevada Bell Retail Rates                                Offered Discount %
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------

                                                          Message   Mileage                   Non-       Notes and Reference Relate
NEVADA BELL Service Name                                   Charge   Charge      Recurring   Recurring    to Retail Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                        <C>      <C>         <C>         <C>          <C>
     -per line                                                                  10.37%
    -Caller ID, business
     -per line                                                                  13.51%
    -Call Return, residence
     -per line                                                                  10.37%
    -Call Return, business
     -per  line                                                                 13.51%
    -Repeat Dialing, residence
     -per line                                                                  10.37%
    -Repeat Dialing, business
     -per line                                                                  13.51%
  -Privacy Features
    -Per Call Blocking, residence
     -per line                                                                  NA
    -Per Call Blocking, business
     -per line                                                                  NA
    -Per Line Blocking, residence
     -per line                                                                  NA
    -Blocked Call Rejection, residence
     -per line                                                                  10.37%
    -Blocked Call Rejection, business
     -per line                                                                  13.51%
   -Screen List Editing Features
    -Call  Screen, residence
     -per line                                                                  10.37%
    -Call  Screen, business
     -per line                                                                  13.51%
    -Priority Ringing, residence
     -per line                                                                  10.37%
    -Priority Ringing, business
     -per line                                                                  13.51%
    -Select Call Forwarding, residence
     -per line                                                                  10.37%
    -Select Call Forward, business
     -per line                                                                  13.51%
  -Multi-feature discounts
    -Multi-feature discount rates will apply when
     ordering the following CC2000 features:
      -Caller ID, Call Screen, Call Return, Repeat
       Dialing, Priority Ringing, Select Call Forwarding,
       and Blocked Call Rejection.
     -Multi-feature discounts apply to both Residence and
      Business features
       -One feature, current discount is 0%
       -Two or more features, current discount is 25%

EXPRESS CALL COMPLETION SERVICE (ECCS)

  -Rates and Changes
   -Per affirmative activation, per call                                        10.37/13.51%

PRIMARY RATE ISDN (PRI)

   -Rates and Changes
   -Primary Rate Interface/1,2/
     -23B+Primary D Interface, Each                                                                      NOTE 1: Available only in
                                                                                                         those Central Offices that
                                                                                                         are suitably equipped
                                                                                                         NOTE 2: Digital transport
                                                                                                         facility is not included
      -Month-to-Month                                                           13.51%      13.51%
-----------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.

For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        15 of 30
<PAGE>

<TABLE>
<CAPTION>

APPENDIX RESALE                                             LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                    Version Date 04-09-98
                                                                                                     NEVADA/PAC-WEST TELECOMM, INC

-----------------------------------------------------------------------------------------------------------------------------------

                                            Nevada Bell Retail Rates
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------

                                            Nevada Bell                             Service
                                            Tariff Site                             Charge/
NEVADA BELL Service Name                    (Name,                   Monthly        Non-Recurring    Per Use     Minute
                                            Sect, Para)    USOC      Recurring        Charge         Charge      Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                         <C>            <C>       <C>            <C>             <C>          <C>
    -  3 - year                                            PRA3Y     $ 365.00        $ 1,250.00
    -  5 - year                                            PRA5Y     $ 325.00        $ 1,250.00
  -  Additional interfaces
    -  24B interface.  Each
       -  Month-to-Month                                   PRAS2     $ 400.00        $ 1,000.00
       -  3 - year                                         PRB3Y     $ 365.00        $ 1,000.00
       - 5 - year                                          PRB5Y     $ 325.00        $ 1,000.00
     -  23B+Back-up D interface,  Each
        -  Month-to-Month                                  PRAS3     $ 400.00        $ 1,000.00
        -  3 - year                                        PRC3Y     $ 365.00        $ 1,000.00
        -  5 - year                                        PRC5Y     $ 325.00        $ 1,000.00
     -  Optional Features/1/
         -  Alternate Route, each route                    PRAAR     $  10.00       $    100.00
         -  PRI  - NET, each PRI interface
            and Centrex                                    PRADP     $ 151.00       $    100.00
         -  Non-PRI Foreign Exchange
            /Foreign Prefix
            Connection, each path/each
            telephone number                               PRSFX     $  25.00       $     80.00
         -  PRI Subgroup, each subgroup                    PRASG     $  10.00       $    175.00
         -  Private Facility Connection,
            each facility group/
            trunk group connected                          PRSPF     $  25.00       $    250.00
         -  User to User information, each
         PRI interface                                     PRSUU     $  10.00       $     60.00
     -  Change Charges
         -  PRI Miscellaneous Change Charge
         -  Each affected PRI serving
            arrangement                                      XPB          N         $    300.00

OPTIONAL DISCOUNT TOLL CALLING PLANS        NE A11.4

      -  Rates and Charges                  NE A11.4.D
        -  Comstock Plan - Residence
         -  Monthly Toll Usage Revenues
            - $0 - $49.99
              - per minute rate is not
                changed
            - $50.00 and above, per
              minute rate
              - per minute rate                                                                                  $  0.10
       -  Bonanza Plan - Business
           - Monthly Toll Usage Revenues
            - $0 - $14.99
              - per minute rate is not
                changed
            - $15.00 - $49.99
              - per minute rate                                                                                 $  0.15
            - $50.00 - $249.99
              - per minute rate                                                                                 $  0.12
            - $250.00 and above
              - per minute rate                                                                                 $  0.06
         -  Optional Term Discounts -
         Business
             - 1 - Year Term = Additional 5%
             - 2 - Year Term = Additional 10%
             - 3 - Year Term = Additional 15%

PRIVATE LINE SERVICES                       PL
PUCN TARIFF                                 PL B

CHANNELS                                    PL B3

NON-RECURRING CHARGES                       PL B3.1.5
-----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                        Nevada Bell Wholesale
                                                         Offered Discount %
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------

                                              Message   Mileage       Non-                 Notes and References Relate to Retail
NEVADA BELL Service Name                      Charge    Charge   Recurring      Recurring  Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                           <C>       <C>         <C>         <C>        <C>
    -  3 - year                                          13.51%     13.51%
    -  5 - year                                          13.51%     13.51%
  -  Additional interfaces
    -  24B interface.  Each
       -  Month-to-Month                                 13.51%     13.51%
       -  3 - year                                       13.51%     13.51%
       - 5 - year                                        13.51%     13.51%
     -  23B+Back-up D interface,  Each
        -  Month-to-Month                                13.51%     13.51%
        -  3 - year                                      13.51%     13.51%
        -  5 - year                                      13.51%     13.51%
     -  Optional Features1
         -  Alternate Route, each route                  13.51%     13.51%
         -  PRI  - NET, each PRI interface               13.51%     13.51%
         and Centrex
         -  Non-PRI Foreign Exchange
         /Foreign Prefix
            Connection, each path/each                   13.51%     13.51%
            telephone number
         -  PRI Subgroup, each subgroup
         -  Private Facility Connection,
         each facility group/
            Trunk group connected                        13.51%     13.51%
         -  User to User information, each               13.51%     13.51%
         PRI interface
         -  Change Charges
         -  PRI Miscellaneous Change Charge
         -  Each affected PRI serving                      NA       13.51%
         arrangement

OPTIONAL DISCOUNT TOLL CALLING PLANS

      -  Rates and Charges
        -  Comstock Plan - Residence
         -  Monthly Toll Usage Revenues
            - $0 - $49.99
              -  per minute rate is not
                 changed
            - $50.00 and above, per
              minute rate
              -  per minute rate                         10.37%
       -  Bonanza Plan - Business
           - Monthly Toll Usage Revenues
              - $0 - $14.99
                 -  per minute rate is not
                 changed
              - $15.00 - $49.99
                 -  per minute rate                      13.51%
              - $50.00 - $249.99
                  -  per minute rate                     13.51%
              - $250.00 and above
                 -  per minute rate                      13.51%
         -  Optional Term Discounts -
         Business
              - 1 - Year Term = Additional 5%            13.51%
              - 2 - Year Term = Additional 10%           13.51%
              - 3 - Year Term = Additional 15%

PRIVATE LINE SERVICES
PUCN TARIFF                                                                                See PL B1 and PL B2 for all general
                                                                                           information and  regulations

CHANNELS

NON-RECURRING CHARGES
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff-exempt services
call Nevada Bell. For rates that are cross-referenced, see the referenced
section for rates and discounts.

                                                                        16 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                       NEVADA/PAC-WEST TELECOMM,INC.
------------------------------------------------------------------------------------------------------------------------------------
                                                                                                    Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                            Nevada Bell
                                                            Tariff Site                                 Service
                                                            (Name, Sect,                 Monthly       Charge/Non-     Per Use
NEVADA BELL Service Name                                    Para)              USOC     Recurring       Recurring      Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                         <C>                <C>      <C>            <C>             <C>
Charges                                                     PL B3.1.5.B
   - Channel Termination for Telephone Sets:
     - Each move or change of a channel termination                                                    $     85.00
   - Channels for remote metering, Supervisory
     Control and Miscellaneous Signalling Purposes
     - Each change in location of a termination
       of a channel made on same premises at the
       customer's request                                                                              $     85.00
   - Change of Channel Termination where Customer-
     Owned Teletypewriter of Morse Station Eq. is used
     - Each termination moved or changed on
       the same premises at the customer's request                                                     $     85.00
   - Channels for One-Way Program Transmission
     Networks in Connection with Loudspeakers.
     - Station channel                                                                                 $     26.75
     - Station channel extension                                                                       $     13.35
   - Channels for Data Transmission (Schedules 0, 1, 2, 3,
     3A, 4) and Teletypewriter Channels
     - Each termination of a channel moved or changed
       on the same premises at the customer's request                                                  $     85.00
   - Moves to different premises.
     - A change of location from one premise to another
       will not be treated as a move but as a disconnect
       and a new install.

CLASSIFICATION AND RATES                                    PL B3.2

Series 1000 Channels                                        PL B3.2.1
   -  Private Line Service and Channels for
      Remote Metering, Supervisory Control, and
      Miscellaneous Signaling                               PL B3.2.1.A
      - Charges and Rates                                   PL B3.2.1.A.5
        - Local or interexchange Private Line Channels      PL B3.2.1.A.5 a
          - Channel between first 2 terminations on
            different premises on the same continuous
            property:
            - Types 1001 and 1009C:
              - Half Duplex                                                     1L3A+    $   24.00           N
              - Full Duplex                                                     1L3C+    $   46.75           N
            - Types 1002 and 1005:
              - Half Duplex                                                     1L3A+    $   36.75           N
              - Full Duplex                                                     1L3C+    $   36.75           N
            - Type 1006
              - Half duplex                                                     1L3A+    $   35.50           N
              - Full Duplex                                                     1L3C+    $   35.50           N
            - CPE Termination
              - Each                                                            AVESQ        N         $     70.00
          - Channel between first terminations on different
            premises on noncontinuous property:
            -  Local Loop for Each First Termination
               - Types 1001 and 1009C./1/
                 - Half Duplex                                                  1L3AP    $   24.00           N
                 - Full Duplex                                                  1L3CP    $   46.75           N
               - Types 1002 and 1005
                 - Half Duples                                                  1L3AP    $   36.75           N
                 - Full Duplex                                                  1L3CP    $   36.75           N
               - Type 1006:
                 - Half Duplex                                                  1L3AP    $   35.50           N
                 - Full Duplex                                                  1L3CP    $   35.50           N
            - Each first termination on premises
------------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                      Nevada Bell Wholesale
                                                                                                       Offered Discount %
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                               Minute      Message     Mileage                    Non-
NEVADA BELL Service Name                                       Charge      Charge      Charge      Recurring      Recurring
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                            <C>         <C>         <C>         <C>            <C>
Charges
   - Channel Termination for Telephone Sets:
     - Each move or change of a channel termination                                                                 13.51%
   - Channels for remote metering, Supervisory
     Control and Miscellaneous Signalling Purposes
     - Each change in location of a termination
       of a channel made on same premises at the
       customer's request                                                                                           13.51%
   - Change of Channel Termination where Customer-
     Owned Teletypewriter of Morse Station Eq. is used
     - Each termination moved or changed on
       the same premises at the customer's request                                                                  13.51%
   - Channels for One-Way Program Transmission
     Networks in Connection with Loudspeakers.
     - Station channel                                                                                              13.51%
     - Station channel extension                                                                                    13.51%
   - Channels for Data Transmission (Schedules 0, 1, 2, 3,
     3A, 4) and Teletypewriter Channels
     - Each termination of a channel moved or changed
       on the same premises at the customer's request                                                               13.51%
   - Moves to different premises.
     - A change of location from one premise to another
       will not be treated as a move but as a disconnect
       and a new install.

CLASSIFICATION AND RATES

Series 1000 Channels
   -  Private Line Service and Channels for
      Remote Metering, Supervisory Control, and
      Miscellaneous Signaling
      - Charges and Rates
        - Local or interexchange Private Line Channels
          - Channel between first 2 terminations on
            different premises on the same continuous
            property:
            - Types 1001 and 1009C:
              - Half Duplex                                                                          13.51%
              - Full Duplex                                                                          13.51%
            - Types 1002 and 1005:
              - Half Duplex                                                                          13.51%
              - Full Duplex                                                                          13.51%
            - Type 1006
              - Half duplex                                                                          13.51%
              - Full Duplex                                                                          13.51%
            - CPE Termination
              - Each                                                                                                13.51%
          - Channel between first terminations on different
            premises on noncontinuous property:
            -  Local Loop for Each First Termination
               - Types 1001 and 1009C./1/
                 - Half Duplex                                                                       13.51%
                 - Full Duplex                                                                       13.51%
               - Types 1002 and 1005
                 - Half Duples                                                                       13.51%
                 - Full Duplex                                                                       13.51%
               - Type 1006:
                 - Half Duplex                                                                       13.51%
                 - Full Duplex                                                                       13.51%
            - Each first termination on premises
-----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL Service Name                                               Notes and References Relate to Retail Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                        <C>
Charges
   - Channel Termination for Telephone Sets:               See tariff for more non-recurring charge details.
     - Each move or change of a channel termination
   - Channels for remote metering, Supervisory
     Control and Miscellaneous Signalling Purposes         This change applies in all exchanges and locations outside exchg. areas
     - Each change in location of a termination
       of a channel made on same premises at the
       customer's request
   - Change of Channel Termination where Customer-
     Owned Teletypewriter of Morse Station Eq. is used
     - Each termination moved or changed on
       the same premises at the customer's request
   - Channels for One-Way Program Transmission
     Networks in Connection with Loudspeakers.
     - Station channel
     - Station channel extension
   - Channels for Data Transmission (Schedules 0, 1, 2, 3,
     3A, 4) and Teletypewriter Channels
     - Each termination of a channel moved or changed
       on the same premises at the customer's request
   - Moves to different premises.
     - A change of location from one premise to another
       will not be treated as a move but as a disconnect
       and a new install.

CLASSIFICATION AND RATES

Series 1000 Channels
   -  Private Line Service and Channels for
      Remote Metering, Supervisory Control, and
      Miscellaneous Signaling
      - Charges and Rates
        - Local or interexchange Private Line Channels
          - Channel between first 2 terminations on
            different premises on the same continuous
            property:
            - Types 1001 and 1009C:
              - Half Duplex
              - Full Duplex
            - Types 1002 and 1005:
              - Half Duplex
              - Full Duplex
            - Type 1006
              - Half duplex
              - Full Duplex
            - CPE Termination
              - Each
          - Channel between first terminations on different
            premises on noncontinuous property:
            -  Local Loop for Each First Termination
               - Types 1001 and 1009C.1                         NOTE 1: Type 1009C - Rates and charges for Local Loops are in
                 - Half Duplex                                  addition to the rates and charges shown in following section titled
                 - Full Duplex                                  "Type 1009C Channels", at B3.2.1.A.5 a (7)
               -Type 1002 and 1005
                 - Half Duples
                 - Full Duplex
               - Type 1006:
                 - Half Duplex
                 - Full Duplex
            - Each first termination on premises
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell. For rates that are cross-referenced, see the
referenced section for rates and discounts.

                                                                        17 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                       NEVADA/PAC-WEST TELECOMM, INC

----------------------------------------------------------------------------------------------------------------------------

                                                                                    Nevada Bell Retail Rates

NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------
                                                           Nevada Bell
                                                           Tariff Site                               Service
                                                           (Name, Sect,                 Monthly     Charge/ Non-    Per Use
NEVADA BELL Service Name                                   Para)             USOC      Recurring     Recurring       Charge
-----------------------------------------------------------------------------------------------------------------------------
<S>                                                        <C>               <C>       <C>          <C>             <C>
            -CPE Termination
              -Each                                                          27BSQ         N        $    140.00
       - Additional termination of the  same Channel on
         different premises on the same continuous
         property as the first termination:
            - Types 1001 and 1009C:/1/
              - Half  Duplex                                                 1L3A3     $   12.25       N
              - Full Duplex                                                  1L3C3     $   23.50       N
            - Types  1002, 1005, and 1006:
              - Half Duplex                                                  1L3A3     $   17.75       N
              - Full Duplex                                                  1L3C3     $   17.75       N
            - CPE Termination
              - Each                                                         27BSQ         N        $    140.00
       - Parallel Drop - up to 30 Bauds
            - Local Channel:  Each                                           24A       $    3.00    $     28.00
       - Type 1000C Channels/2/
            - Each Serving Central Office Termination of an
              Outlying CPE Station (Alarmed Location)                        AYX       $    4.50    $     25.00
       - A change in termination from 1 Channel to another
         at the customer's request will be treated as a
         new installation.
       - Station Arrangement - 150 Baud
           - The rate applies to each first termination.
            - Station Arrangement, Each                                      4GTMS     $   75.00       N
       - Channels between Exchanges (Interexchange         PL B3.2.1A.5.b
         Channels)
       - Each Channel Terminal for terminating a 2-point
         Channel or 2-point section of a Multipoint Channel
         In a Central Office
           - Half or Full Duplex:
            - Channel Terminal, Each                                         P3N       $   17.00       N
       - Interexchange channel mileage for each 2-point
         or 2-point section of a Multipoint Channel, per
         airline mile; per month:
           - Type 1001 and 1009C:
            - First 40 miles
               - Half Duplex                                                 1L3A4     $    4.65       N
               - Full Duplex                                                 1L3C4     $    4.65       N
            - Next 210 miles
               - Half Duplex                                                 1L3A4     $    2.55       N
               - Full Duplex                                                 1L3C4     $    2.55       N
            - Each Additional Mile
               - Half Duplex                                                 1L3A4     $    1.80       N
               - Full Duplex                                                 1L3C4     $    1.80       N
           - Type 1002, 1005, and 1006:
            - First 40 miles
               - Half Duplex                                                 1L3A4     $    3.75       N
               - Full Duplex                                                 1L3C4     $    3.75       N
            - Next 210 miles
               - Half Duplex                                                 1L3A4     $    1.50       N
               - Full Duplex                                                 1L3C4     $    1.50       N
            - Each Additional Mile
               - Half  Duplex                                                1L3A4     $    1.00       N
               - Full Duplex                                                 1L3C4     $    1.00       N
        - Each Interexchange channel also requires a
          Local Loop for each station location on non-
          continuous property:/3/ If applicable, additional
          termination of same channel on different

<CAPTION>
-------------------------------------------------------------------------------------------------------------------

                                                                                         Nevada Bell Wholesale
                                                                                          Offered Discount %

-------------------------------------------------------------------------------------------------------------------

                                                        Minute   Message   Mileage                    Non-
NEVADA BELL Service Name                                Charge   Charge    Charge       Recurring     Recurring
-------------------------------------------------------------------------------------------------------------------
<S>                                                     <C>       <C>      <C>           <C>           <C>
          -CPE Termination
              -Each                                                                                      13.51%
       - Additional termination of the  same Channel on
         different premises on the same continuous
         property as the first termination:
            - Types 1001 and 1009C:/1/
              - Half  Duplex                                                             13.51%
              - Full Duplex                                                              13.51%
            - Types  1002, 1005, and 1006:
              - Half Duplex                                                              13.51%
              - Full Duplex                                                              13.51%
            - CPE Termination
              - Each                                                                                     13.51%
       - Parallel Drop - up to 30 Bauds
            - Local Channel:  Each                                                       13.51%          13.51%
       - Type 1000C Channels/2/
          - Each Serving Central Office Termination of an
              Outlying CPE Station (Alarmed Location)                                   13.51%          13.51%
       - A change in termination from 1 Channel to another
         at the customer's request will be treated as a
         new installation.
       - Station Arrangement - 150 Baud
           - The rate applies to each first termination.
            - Station Arrangement, Each                                                  13.51%
       - Channels between Exchanges (Interexchange
         Channels)
       - Each Channel Terminal for terminating a 2-point
         Channel or 2-point section of a Multipoint Channel
         In a Central Office
           - Half or Full Duplex:
            - Channel Terminal, Each                                                     13.51%
       - Interexchange channel mileage for each 2-point
         or 2-point section of a Multipoint Channel, per
         airline mile; per month:
           - Type 1001 and 1009C:
            - First 40 miles
               - Half Duplex                                                             13.51%
               - Full Duplex                                                             13.51%
            - Next 210 miles
               - Half Duplex                                                             13.51%
               - Full Duplex                                                             13.51%
            - Each Additional Mile
               - Half Duplex                                                             13.51%
               - Full Duplex                                                             13.51%
           - Type 1002, 1005, and 1006:
            - First 40 miles
               - Half Duplex                                                             13.51%
               - Full Duplex                                                             13.51%
            - Next 210 miles
               - Half Duplex                                                             13.51%
               - Full Duplex                                                             13.51%
            - Each Additional Mile
               - Half  Duplex                                                            13.51%
               - Full Duplex                                                             13.51%
        - Each Interexchange channel also requires a
          Local Loop for each station location on non-
          continuous property:/3/ If applicable, additional
          termination of same channel on different

<CAPTION>
-------------------------------------------------------------------------------------------------------------------

-------------------------------------------------------------------------------------------------------------------

NEVADA BELL Service Name                                Notes and References Relate to Retail Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                     <C>
           -CPE Termination
              -Each
       - Additional termination of the  same Channel on
         different premises on the same continuous
         property as the first termination:
            - Types 1001 and 1009C:/1/
              - Half  Duplex
              - Full Duplex
            - Types 1002, 1005, and 1006:
              - Half Duplex
              - Full Duplex
            - CPE Termination
              - Each
       - Parallel Drop - up to 30 Bauds
            - Local Channel:  Each
       - Type 1000C Channels/2/                                NOTE 2 The charges and rates are in addition to the
         - Each Serving Central Office Termination of an       charges and rates shown at B3.2.1.A.5.a.(3)
              Outlying CPE Station (Alarmed Location)
       - A change in termination from 1 Channel to another
         at the customer's request will be treated as a
         new installation.
       - Station Arrangement - 150 Baud
           - The rate applies to each first termination.
            - Station Arrangement, Each
       - Channels between Exchanges (interexchange
         Channels)
       - Each Channel Terminal for terminating a 2-point
         Channel or 2-point section of a Multipoint Channel
         In a Central Office
           - Half or Full Duplex:
            - Channel Terminal, Each
       - Interexchange channel mileage for each 2-point
         or 2-point section of a Multipoint Channel, per
         airline mile; per month:
           - Type 1001 and 1009C:
            - First 40 miles
               - Half Duplex
               - Full Duplex
            - Next 210 miles
               - Half Duplex
               - Full Duplex
            - Each Additional Mile
               - Half Duplex
               - Full Duplex
           - Type 1002, 1005, and 1006:
            - First 40 miles
               - Half Duplex
               - Full Duplex
            - Next 210 miles
               - Half Duplex
               - Full Duplex
            - Each Additional Mile
               - Half  Duplex
               - Full Duplex
        - Each Interexchange channel also requires a
          Local Loop for each station location on non-         NOTE 3: See "Channel between first terminations on different
          continuous property:/3/ If applicable, additional    premises on noncontinuous property", above, for rates
          termination of same channel on different             NOTE 4: See "Additional termination of the same Channel on different
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt sevices call Nevada Bell. For rates that are cross-
referenced, see the referenced section for rates and discounts.

                                                                        18 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                           LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                  Version Date 04-09-98
                                                                                                  NEVADA/PAC-WEST TELECOMM, INC.

-----------------------------------------------------------------------------------------------------------------------------------
                                                                                     Nevada Bell Retail Rates

NEVADA BELL

                                                          Nevada Bell
                                                          Tariff Site                                Service
                                                          (Name, Sect,                 Monthly     Charge/ Non-  Per Use   Minute
NEVADA BELL Service Name                                  Para)              USOC     Recurring     Recurring    Charge    Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                       <C>                <C>      <C>          <C>           <C>       <C>
      premises on the same continuous property
      as first termination, also applies./4/                                             Y               Y
    - Battery                                             PL B3.2.1.A.5.d
      - Battery Supply Other Than Dry Cells:
        - Each A.C. or D.C. Battery Tap                                       NG7      $  1.30           N
  - Private Line Teletypewriter Service and
    Channels                                              PL B3.2.1.B
    - Rates and Charges                                   PL B3.2.1.B.2
      - Local or Interexchange Private Line
        Teletypewriter Channels                           PL B3.2.1.B.2.a
       - Channel between first 2 terminations
         on different premises on the same
         continuous property:
          - 60, 75, 100 Speed
            - Channel:
              - Half Duplex                                                   1LYD+    $ 36.75           N
              - Full Duplex                                                   1LYK+    $ 36.75           N
           - 150 Baud
             - Channel:
              - Half Duplex                                                   1LYD+    $ 35.50           N
              - Full Duplex                                                   1LYK+    $ 35.50           N
             - CPE Termination
              - Each                                                          AVESQ      N           $ 70.00
         - Channel between first terminations
           on different premises on
           noncontinuous property:
           - Local Loop for termination on
             a premises
            - 60, 75, 100 Speed
             - Channel:
              - Half Duplex                                                   1LYDP    $ 36.75           N
              - Full Duplex                                                   1LYKP    $ 36.75           N
             - CPE Termination
              - Each                                                          27BSQ      N           $140.00
           - 150 Baud
             - Channel
              - Half Duplex, Each                                             1LYDP    $ 35.50           N
              - Full Duplex, Each                                             1LYDP    $ 35.50           N
             - CPE Termination
              - Each                                                          27BSQ      N           $140.00
         - Additional termination of the
           same Channel on different premises
           on the same continuous property
           as the first termination:
           - 60, 75, and 100 Speed and 150 Baud
             - Channel:
              -  Half Duplex, Each                                            1LYD3    $ 17.75           N
              -  Full Duplex, Each                                            1LYK3    $ 17.75           N
             - CPE Termination
               -  Each                                                        27BSQ      N           $140.00
         - Channels between Exchanges                     PL B3.2.1.B.2.b
          - Terminating a 2-point Channel
            or 2-point section of a
            Multipoint Channel in a
            Central Office:
           - Channel Terminal:
            - Each                                                            P3N      $ 17.00           N
          - Interexchange Channel Mileage
            for each 2-point Channel or
            2 Point Section of a Multipoint
            Channel per Airline Mile
            - 0-40 Miles
              - Half Duplex                                                   1LYD4    $  3.75           N
              - Full Duplex                                                   1LYK4    $  3.75           N
             - Next 210 Miles
              - Half Duplex                                                   1LYD4    $  1.50           N

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
                                                                 Nevada Bell Wholesale
                                                                  Offered Discount  %
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL

                                                     Minute                       Non-       Notes and References Relate to Retail
NEVADA BELL Service Name                             Charge      Recurring      Recurring    Services only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                  <C>         <C>            <C>          <C>
      premises on the same continuous property
      as first termination, also applies./4/                                                 premises on the same continuous
                                                                                             property as the first termination
                                                                                             above, for rates.
    - Battery
      - Battery Supply Other Than Dry Cells:
        - Each A.C. or D.C. Battery Tap                           13.51%
  - Private Line Teletypewriter Service and
    Channels                                                                                 See PL B3. 2.1 B.1 for regulations in
                                                                                             addition to the general Regulations
                                                                                             and Definitions applicable to Private
                                                                                             Line Services and Channels in PL B2.
    - Rates and Charges
      - Local or Interexchange Private Line
        Teletypewriter Channels
       - Channel between first 2 terminations
         on different premises on the same
         continuous property:
          - 60, 75, 100 Speed
            - Channel:
              - Half Duplex                                         13.51%
              - Full Duplex                                         13.51%
           - 150 Baud
             - Channel:
              - Half Duplex                                         13.51%
              - Full Duplex                                         13.51%
             - CPE Termination
              - Each                                                             13.51%
         - Channel between first terminations
           on different premises on
           noncontinuous property:
           - Local Loop for termination on
             a premises
            - 60, 75, 100 Speed
             - Channel:
              - Half Duplex                                         13.51%
              - Full Duplex                                         13.51%
             - CPE Termination
              - Each                                                             13.51%
           - 150 Baud
             - Channel
              - Half Duplex, Each                                   13.51%
              - Full Duplex, Each                                   13.51%
             - CPE Termination
              - Each                                                             13.51%
         - Additional termination of the
           same Channel on different premises
           on the same continuous property
           as the first termination:
           - 60, 75, and 100 Speed and 150 Baud
             - Channel:
              - Half Duplex, Each                                   13.51%
              - Full Duplex, Each                                   13.51%
             - CPE Termination
              - Each                                                             13.51%
         - Channels between Exchanges
          - Terminating a 2-point Channel
            or 2-point section of a
            Multipoint Channel in a
            Central Office:
           - Channel Terminal:
            - Each                                                  13.51%
          - Interexchange Channel Mileage
            for each 2-point Channel or
            2 Point Section of a Multipoint
            Channel per Airline Mile
            - 0-40 Miles
              - Half Duplex                                         13.51%
              - Full Duplex                                         13.51%
             - Next 210 Miles
              - Half Duplex                                         13.51%
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        19 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

-----------------------------------------------------------------------------------------------------------------------------------
                                                               Nevada Bell Retail Rates
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                              Nevada Bell
                                              Tariff Site                            Service
                                              (Name, Sect,              Monthly    Charge/Non-   Per Use  Minute  Message  Mileage
NEVADA BELL Service Name                      Para)              USOC  Recurring    Recurring     Charge   Charge  Charge   Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                           <C>              <C>     <C>         <C>           <C>       <C>     <C>      <C>
         - Full Duplex                                          1LYK4  $   1.50         N
       - Each Additional Mile
         - Half Duplex                                          1LYD4  $   1.00         N
         - Full Duplex                                          1LYK4  $   1.00         N
       - Each Channel or service also
         requires a Local Loop for each
         station location on noncontinuous
         property./6/ In addition, Channel
         between first termination on
         different premises on the same
         continuous property/6/, and
         additional termination on
         different premises on the same
         continuous property, also apply if
         applicable./7/                                                    Y          Y
    - Station Arrangement - 150 Baud Service  PL B3.2.1.B.2.c
      - The charge applies:
        - once to a Channel entirely on
          the same premises
        - to each first termination on
          different premises
          - Station Arrangement, Each                           4GTMS  $  75.00        N
 - Channels for Data Transmission             PL B3.2.1.C
  - Charges and Rates                         PL B3.2.1.C.4
    - Local or interexchange Private Line
      Channels                                PL B3.2.1.C.4.a
      - Channel between first 2
        terminations on different premises
        on the same continuous property:
        - Schedule O
          -  Type 1001:
             -  Half Duplex, Each                               1L6B+  $  24.00        N
             -  Full Duplex, Each                               1L6D+  $  46.75        N
          -  CPE Termination:
             -  Each                                            AEVSQ       N      $   70.00
          -  Schedule 1, 2, and 3
             - Types 1002 and 1005:
               -  Half Duplex, Each                             1L6B+  $  36.75        N
               -  Full Duplex, Each                             1L6D+  $  36.75        N
          -  CPE Termination:
             -  Each                                            AEVSQ       N      $   70.00
        - Schedule 3A
          - Types 1006 and 1009C:
            -  Half Duplex, Each                                1L6B+  $  35.50        N
            -  Full Duplex, Each                                1L6D+  $  35.50        N
          - CPE Termination:
            -  Each                                             AEVSQ       N      $   70.00
     -  Channel between first terminations on
        different premises on noncontinuous
        property:
        -  Local Loop for each first
           termination on a premise.
           -  Schedule O
              -  Type 1001:
                 -  Half Duplex, Each                           1L6BP  $  24.00        N
                 -  Full Duplex, Each                           1L6DP  $  46.75        N
           -  CPE Termination
              -  Each                                           27BSQ       N      $  140.00
           -  Schedule 1, 2, and 3
              - Types 1002 and 1005:
                -  Half Duplex, Each                            1L68P  $  36.75        N
                -  Full Duplex, Each                            1L6DP  $  36.75        N
           - CPE Termination
             -  Each                                            27BSQ       N      $  140.00
           - Schedule 3A
             - Types 1006 and 1009C:

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                                Non-
NEVADA BELL Service Name                        Recurring    Recurring     Notes and References Relate to Retail Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                             <C>          <C>           <C>
         - Full Duplex                          13.51%
       - Each Additional Mile
          - Half Duplex                         13.51%
          - Full Duplex                         13.51%
       - Each Channel or service also                                     NOTE 5: See "Channel between first terminations on
         requires a Local Loop for each                                   different premises on noncontinuous property", above,
         station location on noncontinuous                                for rates.
         property./6/ In addition, Channel                                NOTE 6: See "Channel between first 2 terminations on
         between first termination on                                      different premises on the same continuous property",
         different premises on the same                                    above, for rates.
         continuous property/6/, and                                       NOTE 7: See "Additional termination of the same Channel
         additional termination on                                         on different premises on the same continuous property as
         different premises on the same                                    the first termination", above, for rates.
         continuous property, also apply if
         applicable./7/
    - Station Arrangement - 150 Baud Service
      - The charge applies:
        - once to a Channel entirely on
          the same premises
        - to each first termination on
          different premises
          - Station Arrangement, Each
 - Channels for Data Transmission
  - Charges and Rates
    - Local or interexchange Private Line
      Channels
      - Channel between first 2
        terminations on different premises
        on the same continuous property:
        - Schedule O                                                       See PL B3.2.1.C.3 for descriptions of Private Line
                                                                           Channel types.
          -  Type 1001:
             -  Half Duplex, Each
             -  Full Duplex, Each
          -  CPE Termination:
             -  Each
          -  Schedule 1, 2, and 3
             - Types 1002 and 1005:
               -  Half Duplex, Each
               -  Full Duplex, Each
          -  CPE Termination:
             -  Each
        - Schedule 3A
          - Types 1006 and 1009C:
            -  Half Duplex, Each
            -  Full Duplex, Each
          - CPE Termination:
            -  Each
     -  Channel between first terminations on
        different premises on noncontinuous
        property:
        -  Local Loop for each first
           termination on a premise.
           -  Schedule O
              -  Type 1001:
                 -  Half Duplex, Each
                 -  Full Duplex, Each
           -  CPE Termination
              -  Each
           -  Schedule 1, 2, and 3
              - Types 1002 and 1005:
                -  Half Duplex, Each
                -  Full Duplex, Each
           - CPE Termination
             -  Each
           - Schedule 3A
             - Types 1006 and 1009C:
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell. For rates that are cross-referenced,
see the referenced section for rates and discounts.
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                              LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                     Version Date 04-09-98
                                                                                                     NEVADA/PAC-WEST TELECOMM, INC.

-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                     Nevada Bell Retail Rates
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                                Nevada Bell
                                                                Tariff Site                                  Service
                                                                (Name, Sect,                  Monthly       Charge/Non-
NEVADA BELL Service Name                                        Para)               USOC      Recurring      Recurring
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                             <C>                 <C>       <C>           <C>
          -  Half Duplex, Each                                                      1L6BP     $  35.50          N
          -  Full Duplex, Each                                                      1L6DP     $  35.50          N
        - CPE Termination
          -  Each                                                                   27BSQ        N          $   140.00
     -  Additional termination of the same Channel on
        different premises on the same continuous
        property as the first termination:
        - Schedule O
          - Type 1001:
            - Half Duplex, Each                                                     1L6B3     $  12.25          N
            - Full Duplex, Each                                                     1L6D3     $  23.50          N
          - CPE Termination:
          - Each                                                                    27BSQ        N          $   140.00
        - Schedule 1, 2, 3, and 3A
          - Types 1002, 1005, 1006 and 1009C:
            - Half Duplex, Each                                                     1L6B3     $  17.75          N
            - Full Duplex, Each                                                     1L6D3     $  17.75          N
          - CPE Termination:
          - Each                                                                    27BSQ        N          $   140.00
   - Channels between Exchanges (Interexchange                  PL B3.2.1.C.4.b
     Channels):
     - Each Channel Terminal for terminating a 2-point
       Channel or 2-point section of a Multipoint Channel
       in a Central Office
       - Half or Full Duplex:
         - Channel Terminal, Each                                                   P3N       $  17.00          N
     - Interexchange Channel mileage for each 2-point
       Channel or 2-point section of a Multipoint Channel,
       per airline mile, per month
       - Schedule O:
         - 0-40 Miles
           - Half Duplex                                                            1L6A4     $   4.65          N
           - Full Duplex                                                            1L6C4     $   4.65          N
         - Next 210 Miles
           - Half Duplex                                                            1L6A4     $   2.55          N
           - Full Duplex                                                            1L6C4     $   2.55          N
         - Each Additional Mile
           - Half Duplex                                                            1L6A4     $   1.80          N
           - Full Duplex                                                            1L6C4     $   1.80          N
       - Schedule 1, 2, 3, and 3A:
         - 0-40 Miles
           - Half Duplex                                                            1L6A4     $   3.75          N
           - Full Duplex                                                            1L6C4     $   3.75          N
         - Next 210 Miles
           - Half Duplex                                                            1L6A4     $   1.50          N
           - Full Duplex                                                            1L6C4     $   1.50          N
         - Each Additional Mile
           - Half Duplex                                                            1L6A4     $   1.00          N
           - Full Duplex                                                            1L6C4     $   1.00          N
       - Each channel also requires a local loop for each
         station location on noncontinuous property./8/
         In addition, Channel between first terminations
         on different premises on the same continuous
         Property, /9/ and additional termination on
         different premises on the same continuous
         property, also apply, if applicable. /10/
Series 2000 Channels                                            PL B3.2.2
 -  Private Line Telephone Service and Channels                 PL B3.2.2.A
-----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                            Nevada Bell
                                                                                                         Wholesale Offered
NEVADA BELL                                                         Nevada Bell Retail Rate                  Discount %
-----------------------------------------------------------------------------------------------------------------------------------
                                                                Per Use  Minute   Message   Mileage                   Non-
NEVADA BELL Service Name                                        Charge   Charge   Charge    Charge    Recurring    Recurring
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                            <C>       <C>      <C>       <C>       <C>          <C>
          -  Half Duplex, Each                                                                         13.51%
          -  Full Duplex, Each                                                                         13.51%
        - CPE Termination
          -  Each                                                                                                   13.51%
     -  Additional termination of the same Channel on
        different premises on the same continuous
        property as the first termination:
        - Schedule O
          - Type 1001:
            - Half Duplex, Each                                                                        13.51%
            - Full Duplex, Each                                                                        13.51%
          - CPE Termination:
          - Each                                                                                                    13.51%
        - Schedule 1, 2, 3, and 3A
          - Types 1002, 1005, 1006 and 1009C:
            - Half Duplex, Each                                                                        13.51%
            - Full Duplex, Each                                                                        13.51%
          - CPE Termination:
          - Each                                                                                                    13.51%
   - Channels between Exchanges (Interexchange
     Channels):
     - Each Channel Terminal for terminating a 2-point
       Channel or 2-point section of a Multipoint Channel
       in a Central Office
       - Half or Full Duplex:
         - Channel Terminal, Each                                                                      13.51%
     - Interexchange Channel mileage for each 2-point
       Channel or 2-point section of a Multipoint Channel,
       per airline mile, per month
       - Schedule O:
         - 0-40 Miles
           - Half Duplex                                                                               13.51%
           - Full Duplex                                                                               13.51%
         - Next 210 Miles
           - Half Duplex                                                                               13.51%
           - Full Duplex                                                                               13.51%
         - Each Additional Mile
           - Half Duplex                                                                               13.51%
           - Full Duplex                                                                               13.51%
       - Schedule 1, 2, 3, and 3A:
         - 0-40 Miles
           - Half Duplex                                                                               13.51%
           - Full Duplex                                                                               13.51%
         - Next 210 Miles
           - Half Duplex                                                                               13.51%
           - Full Duplex                                                                               13.51%
         - Each Additional Mile
           - Half Duplex                                                                               13.51%
           - Full Duplex                                                                               13.51%
       - Each channel also requires a local loop for each
         station location on noncontinuous property./8/
         In addition, Channel between first terminations
         on different premises on the same continuous
         Property, /9/ and additional termination on
         different premises on the same continuous
         property, also apply, if applicable. /10/
Series 2000 Channels
 -  Private Line Telephone Service and Channels
-----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
----------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL
----------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL Service Name                                           Notes and References Relate to Retail Services Only
----------------------------------------------------------------------------------------------------------------------------------
<S>                                                        <C>
          -  Half Duplex, Each
          -  Full Duplex, Each
        - CPE Termination
          -  Each
     -  Additional termination of the same Channel on
        different premises on the same continuous
        property as the first termination:
        - Schedule O
          - Type 1001:
            - Half Duplex, Each
            - Full Duplex, Each
          - CPE Termination:
          - Each
        - Schedule 1, 2, 3, and 3A
          - Types 1002, 1005, 1006 and 1009C:
            - Half Duplex, Each
            - Full Duplex, Each
          - CPE Termination:
          - Each
   - Channels between Exchanges (Interexchange
     Channels):
     - Each Channel Terminal for terminating a 2-point
       Channel or 2-point section of a Multipoint Channel
       in a Central Office
       - Half or Full Duplex:
         - Channel Terminal, Each
     - Interexchange Channel mileage for each 2-point
       Channel or 2-point section of a Multipoint Channel,
       per airline mile, per month
       - Schedule O:
         - 0-40 Miles
           - Half Duplex
           - Full Duplex
         - Next 210 Miles
           - Half Duplex
           - Full Duplex
         - Each Additional Mile
           - Half Duplex
           - Full Duplex
       - Schedule 1, 2, 3, and 3A:
         - 0-40 Miles
           - Half Duplex
           - Full Duplex
         - Next 210 Miles
           - Half Duplex
           - Full Duplex
         - Each Additional Mile
           - Half Duplex
           - Full Duplex
       - Each channel also requires a local loop for each  NOTE 8: See "Channel between first terminations on different premises
         station location on noncontinuous property./8/    on noncontinuous property", above for rates.
         In addition, Channel between first terminations   NOTE 9: See "Channel between first 2 terminations on different premises
         on different premises on the same continuous      on the same continuous property", above for rates.
         Property, /9/ and additional termination on       Note 10: See "Additional termination of the same Channel on different
         different premises on the same continuous         premises on the same continuous property as the first termination", above
         property, also apply, if applicable. /10/         for rates.
Series 2000 Channels
 -  Private Line Telephone Service and Channels
----------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell. For rates that are cross-referenced,
see the referenced section for rates and discounts.

                                                                        21 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE
EXHIBIT A                                                     LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
                                                                                                               Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

------------------------------------------------------------------------------------------------------------------------------------
                                                                                                       Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                              Nevada Bell
                                                              Tariff Site                               Service
                                                              (Name, Sect,                 Monthly     Charge/Non-     Per Use
NEVADA BELL Service Name                                       Para)            USOC      Recurring     Recurring      Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                            <C>              <C>       <C>          <C>             <C>
   - Charges and Rates                                         PL B3.2.2.A.2
     - Local or Interexchange Private Line Telephone
       Service and Channels                                    PL B3.2.2.A.2.b
       - Channel between the first 2 terminations on
         different premises on the same continuous
         property:
         - Half Duplex:
           - Type 2001, Each                                                    1LPJ+     $   46.75         N
           - Type 2002, Each                                                    1L1B+     $   46.75         N
         - Full Duplex:
           - Type 2001, Each                                                    1LPN+     $   46.75         N
           - Type 2002, Each                                                    1L1F+     $   46.75         N
         - CPE Termination:
           - Each                                                               AEVSQ         N        $     70.00
       - Channel between first terminations on different
         premises on noncontinuous property
         - Half Duplex:
           - Type 2001, Each                                                    1LPJP     $   46.75         N
           - Type 2002, Each                                                    1L1BP     $   46.75         N
         - Full Duplex:
           - Type 2001, Each                                                    1LPNP     $   46.75         N
           - Type 2002, Each                                                    1L1FP     $   46.75         N
         - CPE Termination:
           - Each                                                               27BSQ         N        $    140.00
       - Additional termination of the same Channel on
         different premises on the same continuous
         property as the first termination
         - Half Duplex:
           - Type 2001, Each                                                    1LPJ3     $   23.50         N
           -  Type 2002, Each                                                   1L1B3     $   23.50         N
         - Full Duplex:
           -  Type 2001, Each                                                   1LPN3     $   23.50         N
           -  Type 2002, Each                                                   1L1F3     $   23.50         N
         - CPE Termination:
           -  Each                                                              27BSQ         N        $    140.00
     - Signalling (if required)                                PL B3.2.2.A.2.c
        - Per Local Loop or Channel                                             AS2       $   19.25         N
     - Channels between Exchanges (Interexchange               PL B3.2.2.A.2.d
      Channels):
      - Each Channel Terminal for terminating a 2-point
        Channel or 2-point section of a Multipoint Channel
        In a Central Office
        - Channel Terminal:
          - Each                                                                P3N       $   17.00         N
        - Interexchange Channel mileage for each 2-point
          Channel or 2-point section of a Multipoint Channel,
          per airline mile, per month
          - First 40 Miles:
            - Half Duplex, Each                                                 1LPJ4     $   21.0          N
            - Full Duplex, Each                                                 1LPN4     $   21.0          N
          - Next 210 Miles:
            - Half Duplex, Each                                                 1L1A4     $   1.95          N
            - Full  Duplex, Each                                                1L1E4     $   1.95          N
          - Each Additional Mile:
            - Half Duple, Each                                                  1L1A4     $   0.60          N
            - Full Duplex, Each                                                 1L1E4     $   0.60          N
        - Each Channel or service also requires a Local
          Loop for each station location on noncontinuous
-----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                  Nevada Bell Wholesale
NEVADA BELL                                                                                         Offered Discount %
-----------------------------------------------------------------------------------------------------------------------------------
                                                               Minute     Message    Mileage                     Non-
NEVADA BELL Service Name                                       Charge     Charge     Charge     Recurring     Recurring
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                            <C>        <C>        <C>        <C>           <C>
   - Charges and Rates
     - Local or Interexchange Private Line Telephone
       Service and Channels
       - Channel between the first 2 terminations on
         different premises on the same continuous
         property:
         - Half Duplex:
           - Type 2001, Each                                                                      13.51%
           - Type 2002, Each                                                                      13.51%
         - Full Duplex:
           - Type 2001, Each                                                                      13.51%
           - Type 2002, Each                                                                      13.51%
         - CPE Termination:
           - Each                                                                                               13.51%
       - Channel between first terminations on different
         premises on noncontinuous property
         - Half Duplex:
           - Type 2001, Each                                                                      13.51%
           - Type 2002, Each                                                                      13.51%
         - Full Duplex:
           - Type 2001, Each                                                                      13.51%
           - Type 2002, Each                                                                      13.51%
         - CPE Termination:
           - Each                                                                                               13.51%
       - Additional termination of the same Channel on
         different premises on the same continuous
         property as the first termination
         - Half Duplex:
           - Type 2001, Each                                                                      13.51%
           - Type 2002, Each                                                                      13.51%
         - Full Duplex:
           - Type 2001, Each                                                                      13.51%
           - Type 2002, Each                                                                      13.51%
         - CPE Termination:
           -  Each                                                                                              13.51%
     - Signalling (if required)
        - Per Local Loop or Channel                                                               13.51%
     - Channels between Exchanges (Interexchange
       Channels):
      - Each Channel Terminal for terminating a 2-point
        Channel or 2-point section of a Multipoint Channel
        In a Central Office
        - Channel Terminal:
          - Each                                                                                  13.51%
        - Interexchange Channel mileage for each 2-point
          Channel or 2-point section of a Multipoint Channel,
          per airline mile, per month
          - First 40 Miles:
            - Half Duplex, Each                                                                   13.51%
            - Full Duplex, Each                                                                   13.51%
          - Next 210 Miles:
            - Half Duplex, Each                                                                   13.51%
            - Full  Duplex, Each                                                                  13.51%
          - Each Additional Mile:
            - Half Duplex, Each                                                                   13.51%
            - Full Duplex, Each                                                                   13.51%
        - Each Channel or service also requires a Local
          Loop for each station location on noncontinuous
-----------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL Service Name                                                 Notes and References Relate to Retail Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                          <C>
   - Charges and Rates
     - Local or Interexchange Private Line Telephone
       Service and Channels
       - Channel between the first 2 terminations on
         different premises on the same continuous
         property:
         - Half Duplex:
           - Type 2001, Each
           - Type 2002, Each
         - Full Duplex:
           - Type 2001, Each
           - Type 2002, Each
         - CPE Termination:
           - Each
       - Channel between first terminations on different
         premises on noncontinuous property
         - Half Duplex:
           - Type 2001, Each
           - Type 2002, Each
         - Full Duplex:
           - Type 2001, Each
           - Type 2002, Each
         - CPE Termination:
           - Each
       - Additional termination of the same Channel on
         different premises on the same continuous
         property as the first termination
         - Half Duplex:
           - Type 2001, Each
           - Type 2002, Each
         - Full Duplex:
           - Type 2001, Each
           - Type 2002, Each
         - CPE Termination:
           -  Each
     - Signalling (if required)
        - Per Local Loop or Channel
     - Channels between Exchanges (Interexchange
      Channels):
      - Each Channel Terminal for terminating a 2-point
        Channel or 2-point section of a Multipoint Channel
        In a Central Office
        - Channel Terminal:
          - Each
        - Interexchange Channel mileage for each 2-point
          Channel or 2-point section of a Multipoint Channel,
          per airline mile, per month
          - First 40 Miles:
            - Half Duplex, Each
            - Full Duplex, Each
          - Next 210 Miles:
            - Half Duplex, Each
            - Full  Duplex, Each
          - Each Additional Mile:
            - Half Duplex, Each
            - Full Duplex, Each
        - Each Channel or service also requires a Local
          Loop for each station location on noncontinuous    NOTE 1: See "Channel between first terminations on different premises
-----------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell. For rates that are cross-referenced,
see the referenced section for rates and discounts.                     22 of 30
<PAGE>

<TABLE>
<CAPTION>

APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

------------------------------------------------------------------------------------------------------------------------------------

NEVADA BELL                                                                      Nevada Bell Retail Rates

------------------------------------------------------------------------------------------------------------------------------------
                                                   Nevada Bell
                                                   Tariff Site                                  Service
                                                   (Name, Sect,                    Monthly    Charge/ Non-  Per Use  Minute  Message
NEVADA BELL Service Name                           Para)               USOC       Recurring    Recurring    Charge   Charge  Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                <C>                 <C>        <C>         <C>           <C>      <C>     <C>
        property. /1/ In addition, a Channel
        between first terminations on
        different premises on the same
        continuous property, /2/ and additional
        termination of the same Channel on
        different premises on the same
        continuous property also apply. /3/ If
        applicable.

      - Where a switching arrangement is
        provided, each station or termination
        on an interexchange Service or
        Channel at the switching point
        requires a Local Loop and Channel
        terminal for each of the Inter-
        exchange Private Lines to which it is
        connected and which can be operated
        as a separate private line.
      - Switching Arrangements (See                PL B3.2.2.A.2.e
        Regulation 1.(1))
        - A charge applies at the switching
          point for each Local or
          interexchange Private Line arranged
          for Switching.
        - Switching Arrangement:
          - Local Service or Channel:
            - Each                                                     29A        $   10.00       N
          - Interexchange Service or Channel:
            - Each                                                     XPL        $   10.00       N
  - Private Line Services and Channels for         PL B3.2.2.B
    Data Transmission
    - Charges and Rates                            PL B3.2.2.B.4
      - Local or interexchange Private             PL B3.2.2.B.4.a
        Line Channels
        - Channel between first 2 terminations
          on different premises on the same
          continuous property
          - Types 2001, 2002, and 2006:
            - Half Duplex, Each                                        1L6B+      $   35.50       N
            - Full Duplex, Each                                        1L6D+      $   35.50       N
            - CPE Termination:
              - Each                                                   AEVSQ            N     $   70.00
          - Channel between first terminations
            on different premises on
            noncontinuous property
            - Local Loop for each first
              termination on a premise
              - Types 2001, 2002, and 2006:
                - Half Duplex, Each                                    1L6BP      $   35.50       N
                - Full Duplex, Each                                    1L6DP      $   35.50       N
              - CPE Termination:
                - Each                                                 27BSQ            N     $  140.00
          - Additional termination of the same
            Channel on different premises on
            the same continuous property as the
            first termination
            - Types 2001, 2002, and 2006:
              - Half Duplex, Each                                      1L6B3      $   17.75       N
              - Full Duplex, Each                                      1L6D3      $   17.75       N
            - CPE Termination:
              - Each                                                   27BSQ            N     $  140.00
    - Channels between Exchanges (Interexchange
      Channels)                                      PL B3.2.2.B.4.b
    - Each channel terminal for terminating a 2-
      point Channel or 2-point section of a
      Multipoint Channel,
      In a Central Office
      - Half or Full Duplex
        - Channel Terminal, Each                                       P3N        $   17.00       N
      - Interexchange Channel mileage for each
        2-point

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                            Nevada Bell Wholesale
NEVADA BELL                                                  Offered Discount %
------------------------------------------------------------------------------------------------------------------------------------
                                                  Mileage                Non-
NEVADA BELL Service Name                          Charge   Recurring   Recurring    Notes and References Relate to Retail Services
                                                                                    Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                              <C>       <C>         <C>          <C>
        property. /1/ In addition, a Channel                                        on noncontinuous property", above, for rates.
        between first terminations on                                               NOTE 2: See "Channel between first 2
        different premises on the same                                              terminations on different premises on the
        continuous property, /2/ and additional                                     same continuous property", above, for rates.
        termination of the same Channel on                                          NOTE 3: See "Additional termination of the
        different premises on the same                                              same Channel on different premises on the
        continuous property also apply. /3/ If                                      same continuous property as the first
        applicable.                                                                 termination", above, for rates.

      - Where a switching arrangement is
        provided, each station or termination
        on an interexchange Service or
        Channel at the switching point
        requires a Local Loop and Channel
        terminal for each of the Inter-
        exchange Private Lines to which it is
        connected and which can be operated
        as a separate private line.
      - Switching Arrangements (See
        Regulation 1.(1))
        - A charge applies at the switching
          point for each Local or
          Interexchange Private Line arranged
          for Switching.
        - Switching Arrangement:
          - Local Service or Channel:
            - Each                                         13.51%
          - Interexchange Service or Channel:
            - Each                                         13.51%
  - Private Line Services and Channels for
    Data Transmission
    - Charges and Rates
      - Local or interexchange Private
        Line Channels
        - Channel between first 2 terminations
          on different premises on the same
          continuous property
          - Types 2001, 2002, and 2006:
            - Half Duplex, Each                            13.51%
            - Full Duplex, Each                            13.51%
            - CPE Termination:
              - Each                                                   13.51%
          - Channel between first terminations
            on different premises on
            noncontinuous property
            - Local Loop for each first
              termination on a premise
              - Types 2001, 2002, and 2006:
                - Half Duplex, Each                        13.51%
                - Full Duplex, Each                        13.51%
              - CPE Termination:
                - Each                                                 13.51%
          - Additional termination of the same
            Channel on different premises on
            the same continuous property as the
            first termination
            - Types 2001, 2002, and 2006:
              - Half Duplex, Each                          13.51%
              - Full Duplex, Each                          13.51%
            - CPE Termination:
              - Each                                                   13.51%
    - Channels between Exchanges (Interexchange
      Channels)
    - Each channel terminal for terminating a 2-
      point Channel or 2-point section of a
      Multipoint Channel,
      In a Central Office
      - Half or Full Duplex
        - Channel Terminal, Each                           13.51%
      - Interexchange Channel mileage for each
        2-point
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell. For rates that are cross-referenced,
see the referenced section for rates and discounts.

                                                                        23 of 30
<PAGE>

<TABLE>
<CAPTION>

APPENDIX RESALE                                                                             LIST OF NEVADA BELL'S TELECOMMUNICATIONS
EXHIBIT A                                                                                              SERVICES AVAILABLE FOR RESALE
                                                                                                               Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.
------------------------------------------------------------------------------------------------------------------------------------

                                                                             Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                         Nevada Bell
                                         Tariff Site                                   Service
                                         (Name, Sect,                     Monthly    Charge/Non-  Per Use  Minute   Message  Mileage
NEVADA BELL Service Name                 Para)                   USOC     Recurring  Recurring    Charge   Charge   Charge   Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                      <C>                     <C>      <C>        <C>          <C>      <C>      <C>      <C>
     Channel or 2-point section of a
      Multipoint Channel,
     per airline mile, per month
      - Schedule 3A:
        - 0-40 Miles
          - Half Duplex                                           1L6A4     $  3.75       N
          - Full Duplex                                           1L6C4     $  3.75       N
        - Next 210 Miles
          - Half Duplex                                           1L6A4     $  1.50       N
          - Full Duplex                                           1L6C4     $  1.50       N
        - Each Additional Mile
          - Half Duplex                                           1L6A4     $  1.00       N
          - Full Duplex                                           1L6C4     $  1.00       N
        - Each channel also requires a
          local loop for each station
          location on noncontinuous
          property/4/
          In addition, Channel between
          first terminations on
          different premises on the same
          continuous property,/5/ and
          additional termination of the
          same Channel on different premises
          on the same continuous property,
          /6/ also apply, if applicable
Series 3000 Channels                             PL B3.2.3
 - Channels for Remote Metering, Supervisory
   Control and
   Miscellaneous Signaling Purposes              PL B3.2.3.A.
   - Charges and Rates                           PL B3.2.3.A.5
     - Local or Interexchange Private Line
        Channels-                                PL B3.2.3.A.5.a
       Type 3001
       - Channel between first 2 terminations
         on different premises on the same
         continuous property
           - Type 3001:
             - Half Duplex, Each                                  1L3A+     $  40.00      N
             - Full Duplex, Each                                  1L3C+     $  60.50      N
           - CPE Termination:
             - Each                                               AEVSQ         N       $     70.00
           - Channel between first terminations
             on different premises on
             noncontinuous property
           - Local Loop for Each First Termination
             - Type 3001:
               - Half Duplex, Each                                1L3AP     $  40.00      N
               - Full Duplex, Each                                1L3CP     $  60.50      N
             - CPE Termination:
               - Each                                             27BSQ         N       $    140.00
           - Additional termination of the same
             Channel on different premises on
             the same continuous property as the
             first termination
               - Type 3001:
                 - Half Duplex, Each                              1L3A3     $  20.25      N
                 - Full Duplex, Each                              1L3C3     $  30.25      N
               - CPE Termination:
                 - Each                                           27BSQ         N       $    140.00
           - Channels between Exchanges
             (Interexchange Channels)            PL B3.2.3.A.5.b
             - Each channel terminal for
               terminating a 2-point or
               2-point section of a Multipoint
               Channel in a Central Office
               - Half Duplex:
                 - Channel Terminal, Each                         P3N       $  17.00      N
             - Interexchange Channel mileage for
               each 2-point Channel or 2-point
               section of a Multipoint Channel,
               per airline mile, per month

<CAPTION>
                                              Nevada Bell Wholesale
                                                Offered Discount %
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                   Recurring      Non-Recurring        Notes and References Relate to Retail
                                                                                       Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                <C>          <C>                <C>
     Channel or 2-point section of a
      Multipoint Channel,
     per airline mile, per month
      - Schedule 3A:
        - 0-40 Miles
          - Half Duplex                              13.51%
          - Full Duplex                              13.51%
        - Next 210 Miles
          - Half Duplex                              13.51%
          - Full Duplex                              13.51%
        - Each Additional Mile
          - Half Duplex                              13.51%
          - Full Duplex                              13.51%
        - Each channel also requires a
          local loop for each station                                                  NOTE 4: See "Channel between first
          location on noncontinuous                                                    terminations on different premises on
          property/4/                                                                  noncontinuous property", above, for rates.
          In addition, Channel between                                                 NOTE 5: See "Channel between first 2
          first terminations on                                                        terminations on different premises on the
          different premises on the same                                               same continuous property", above, for rates.
          continuous property,/5/ and                                                  NOTE 6: See "Additional termination of the
          additional termination of the                                                same Channel on different premises on the
          same Channel on different premises                                           same continuous property as the first
          on the same continuous property,                                             termination", above, for rates.
          /6/ also apply, if applicable
Series 3000 Channels
 - Channels for Remote Metering, Supervisory
   Control and
   Miscellaneous Signaling Purposes
   - Charges and Rates
     - Local or Interexchange Private Line
        Channels-
       Type 3001
       - Channel between first 2 terminations
         on different premises on the same
         continuous property
           - Type 3001:
             - Half Duplex, Each                     13.51%
             - Full Duplex, Each                     13.51%
           - CPE Termination:
             - Each                                             13.51%
           - Channel between first terminations
             on different premises on
             noncontinuous property
           - Local Loop for Each First Termination
             - Type 3001:
               - Half Duplex, Each                   13.51%
               - Full Duplex, Each                   13.51%
             - CPE Termination:
               - Each                                           13.51%
           - Additional termination of the same
             Channel on different premises on
             the same continuous property as the
             first termination
               - Type 3001:
                 - Half Duplex, Each                 13.51%
                 - Full Duplex, Each                 13.51%
               - CPE Termination:
                 - Each                                         13.51%
           - Channels between Exchanges
             (Interexchange Channels)
             - Each channel terminal for
               terminating a 2-point or
               2-point section of a Multipoint
               Channel in a Central Office
               - Half Duplex:
                 - Channel Terminal, Each            13.51%
             - Interexchange Channel mileage for
               each 2-point Channel or 2-point
               section of a Multipoint Channel,
               per airline mile, per month
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        24 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

------------------------------------------------------------------------------------------------------------------------------------

                                                                                                  Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                              Nevada Bell
                                                              Tariff Site                             Service
                                                              (Name, Sect,               Monthly    Charge/ Non-   Per Use  Minute
NEVADA BELL Service Name                                      Para)           USOC      Recurring     Recurring     Charge  Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                           <C>             <C>       <C>         <C>            <C>      <C>
       - First 40 miles
         - Half Duplex, Each                                                  1L3A4     $    2.10             N
         - Full Duplex, Each                                                  1L3C4     $    2.10             N
       - Next 210 Miles
         - Half Duplex, Each                                                  1L3A4     $    1.95             N
         - Full Duplex, Each                                                  1L3C4     $    1.95             N
       - Each Additional Mile
         - Half Duplex, Each                                                  1L3A4     $    0.60             N
         - Full Duplex, Each                                                  1L3C4     $    0.60             N
     - Each Interexchange Channel also requires a
       Local Loop for each station location on non-
       continuous property./1/ If applicable, additional
       termination of the same Channel on different
       premises on the same continuous property
       as the first termination,/2/ also applies.

     - Station Arrangement - 150 Bauds
       - This change applies:
         - once to a Channel entirely on same premises
         - to each first termination on different premises
       -  Station Arrangement, Each                                           4GTMS     $   75.00             N
     - Channel conditioning arrangements may be
         provided for Type 3001 Channels with the rates
         and provisions of Tariff PL B3.3.1.
       - Signalling for Type 3001 Channels (if required)
         - Per Local Loop or Channel Arranged/3/                              AS1       $    6.25             N

       - A change in termination from 1 channel to another
         at the customer's request will be treated as a
         new installation.
 - Channels for Data Transmission                             PL B3.2.3.B
   - Charges and Rates                                        PL B3.2.3.B.4
     - Local or Interexchange Private Line Channels-
       Schedules 3A and 4                                     PL B3.2.3.B.4.a
       - Channel between first 2 terminations on different
         premises on the same continuous property
         - Type 3001:
           - Half Duplex, Each                                                1L6B+     $   35.50             N
           - Full Duplex, Each                                                1L6D+     $   35.50             N
         - CPE Termination:
           - Each                                                             AEVSQ             N     $   70.00
         - Type 3002:
           - Half Duplex, Each                                                1L6B+     $   40.00             N
           - Full Duplex, Each                                                1L6D+     $   60.00             N
         - CPE Termination:
           - Each                                                             AEVSQ             N     $   70.00
       - Channel between first terminations on different
         premises on noncontinuous property
         - Local Loop for each first termination on a
           premises
           - Type 3001:
             - Half Duplex, Each                                              1L6BP     $   35.50             N
             - Full Duplex, Each                                              1L6DP     $   35.50             N
           - CPE Termination:
             - Each                                                           27BSQ             N     $  140.00
           - Type 3002:
             - Half Duplex, Each                                              1L6BP     $   40.00             N
             - Full Duplex, Each                                              1L6DP     $   60.50             N
           - CPE Termination:
             - Each                                                           27BSQ             N     $  140.00

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                                               Nevada Bell Wholesale
                                                                                 Offered Discount %
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------

                                                             Message Mileage                 Non-     Notes and References Relate to
NEVADA BELL Service Name                                     Charge  Charge  Recurring    Recurring   Retail Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                          <C>     <C>     <C>         <C>         <C>
       - First 40 miles
         - Half Duplex, Each                                                 13.51%
         - Full Duplex, Each                                                 13.51%
       - Next 210 Miles
         - Half Duplex, Each                                                 13.51%
         - Full Duplex, Each                                                 13.51%
       - Each Additional Mile
         - Half Duplex, Each                                                 13.51%
         - Full Duplex, Each                                                 13.51%
     - Each Interexchange Channel also requires a
       Local Loop for each station location on non-
       continuous property./1/ If applicable, additional                                             NOTE 1: See "Channel between
       termination of the same Channel on different                                                  first terminations on different
       premises on the same continuous property                                                      premises on noncontinuous
       as the first termination,/2/ also applies.                                                    property", termination of the
                                                                                                     same Channel on different
                                                                                                     above, for rates
                                                                                                     NOTE 2: See "Additional
                                                                                                     premises on the same continuous
                                                                                                     property as the first
                                                                                                     termination", above, for rates.
     - Station Arrangement - 150 Bauds
       - This change applies:
         - once to a Channel entirely on same premises
         - to each first termination on different premises
       -  Station Arrangement, Each                                     13.51%
     - Channel conditioning arrangements may be
         provided for Type 3001 Channels with the rates
         and provisions of Tariff PL B3.3.1.                                                         NOTE 3: For Local Loop Rate see
                                                                                                     "Channel between first
                                                                                                     terminations on different
       - Signalling for Type 3001 Channels (if required)                                             premises on noncontinuous
                                                                                                     property", above. Or see
                                                                                                     Channel Rate in "Channel
         - Per Local Loop or Channel Arranged/3/                             13.51%                  between first 2 terminations on
                                                                                                     different premises on the
       - A change in termination from 1 channel to another                                           same continuous property",
         at the customer's request will be treated as a                                              above.
         new installation.
 - Channels for Data Transmission
   - Charges and Rates
     - Local or Interexchange Private Line Channels-
       Schedules 3A and 4
       - Channel between first 2 terminations on different
         premises on the same continuous property
         - Type 3001:
           - Half Duplex, Each                                               13.51%
           - Full Duplex, Each                                               13.51%
         - CPE Termination:
           - Each                                                                          13.51%
         - Type 3002:
           - Half Duplex, Each                                               13.51%
           - Full Duplex, Each                                               13.51%
         - CPE Termination:
           - Each                                                                          13.51%
       - Channel between first terminations on different
         premises on noncontinuous property
         - Local Loop for each first termination on a
           premises
           - Type 3001:
             - Half Duplex, Each                                             13.51%
             - Full Duplex, Each                                             13.51%
           - CPE Termination:
             - Each                                                                        13.51%
           - Type 3002:
             - Half Duplex, Each                                             13.51%
             - Full Duplex, Each                                             13.51%
           - CPE Termination:
             - Each                                                                        13.51%
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.

For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        25 of 30
<PAGE>

APPENDIX RESALE                         LIST OF NEVADA BELL'S TELECOMMUNICATIONS
EXHIBIT A                                          SERVICES AVAILABLE FOR RESALE
                                                           Version Date 04-09-98
                                                  NEVADA/PAC-WEST TELECOMM, INC.

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                                                           Nevada Bell Retail Rates
------------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL
                                                        Nevada Bell
                                                        Tariff Site                                Service
                                                        (Name, Sect,                 Monthly      Charge/Non-     Per Use   Minute
NEVADA BELL Service Name                                Para)             USOC      Recurring      Recurring       Charge   Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                     <C>               <C>       <C>           <C>             <C>       <C>
       - Additional termination of the
         same Channel on different premises
         on the same continuous property
         as the first termination
         - Type 3001:
           - Half Duplex, Each                                            1L6B3        $ 17.75           N
           - Full Duplex, Each                                            1L6D3        $ 17.75           N
         - CPE Termination:
           - Each                                                         27BSQ            N         $ 140.00
         - Type 3002:
           - Half Duplex, Each                                            1L6B3        $ 20.25           N
           - Full Duplex, Each                                            1L6D3        $ 30.25           N
         - CPE Termination:
           - Each                                                         27BSQ            N         $ 140.00
       - Bulk Pricing (for large volumes
         of Type 3002) (See NOTE 4 for
         nonrecurring change information)
         - Channel between first terminations
           on different premises on
           noncontinuous property
           - Local Loop for each first
             termination on a premises
             - Half Duplex, Each                                           1L9B+       $ 25.06           Y
             - Full Duplex, Each                                           1L9D+       $ 47.40           Y
           - Channel Terminal, Bulk Pricing:
             - Half Duplex, Each                                           P3N9+       $ 12.00           N
             - Full Duplex, Each                                           P3N9+       $ 12.00           N
           - Interoffice Channel Mileage Bulk
             Pricing for each two-point channel
             or two-point section of a multi-
             point channel, -per airline mile,
              per month/5/                                                 1L9A+       $  1.11           N
           - Change to meet Bulk Pricing
             "minimum" channel service
             change requirement
             - per channel                                                 MNMM+       $ 90.04           N
      - Channels between Exchanges (Interexchange
        Channels)                                       PL B3.2.3.B.4.b
        - Each Channel terminal for terminating a
          2-point Channel or 2-point section
          of a Multipoint Channel in a
          Central Office
          - Channel Terminal, Each                                          P3N        $ 17.00           N
        - Interexchange channel mileage for each
          2-point Channel or 2-point section
          of a Multipoint Channel per airline
          mile, per month
          - Schedule 3A:
            - 0-40 Miles
              - Half Duplex                                               1L6A4        $  3.75           N
              - Full Duplex                                               1L6C4        $  3.75           N
          - Next 210 Miles
              - Half Duplex                                               1L6A4        $  1.50           N
              - Full Duplex                                               1L6C4        $  1.50           N
          - Each Additional Mile
              - Half Duplex                                               1L6A4        $  1.00           N
              - Full Duplex                                               1L6C4        $  1.00           N
          - Schedule 4:
            - 0-40 Miles
              - Half Duplex                                               1L6A4        $  2.10           N
              - Full Duplex                                               1L6C4        $  2.10           N
          - Next 210 Miles
              - Half Duplex                                               1L6A4        $  1.95           N
              - Full Duplex                                               1L6C4        $  1.95           N
            - Each Additional Mile

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
NEVADA BELL
                                                              Nevada Bell
                                                           Wholesale Offered
                                                              Discount %
------------------------------------------------------------------------------------------------------------------------------------
                                                 Mileage                 Non-      Notes and References Relate to Retail Services
NEVADA BELL Service Name                          Charge   Recurring   Recurring   Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                              <C>       <C>         <C>         <C>
       - Additional termination of the
         same Channel on different premises
         on the same continuous property
         as the first termination
         - Type 3001:
           - Half Duplex, Each                               13.51%
           - Full Duplex, Each                               13.51%
         - CPE Termination:
           - Each                                                       13.51%
         - Type 3002:
           - Half Duplex, Each                               13.51%
           - Full Duplex, Each                               13.51%
         - CPE Termination:
           - Each                                                       13.51%
       - Bulk Pricing (for large volumes                                           See this section for additional regulations and
         of Type 3002) (See NOTE 4 for                                             conditions on Bulk Pricing
         nonrecurring change information)                                          NOTE 4: The customer is subject to all
                                                                                   appropriate nonrecurring changes as
         - Channel between first terminations                                      outlined in these tariffs for installations,
           on different premises on                                                additions, moves or changes associated with rate
           noncontinuous property                                                  elements covered by Bulk Pricing.
           - Local Loop for each first
             termination on a premises
             - Half Duplex, Each                             13.51%                SEE NOTE 4.
             - Full Duplex, Each                             13.51%                See NOTE 4.
           - Channel Terminal, Bulk Pricing:
             - Half Duplex, Each                             13.51%
             - Full Duplex, Each                             13.51%
           - Interoffice Channel Mileage Bulk
             Pricing for each two-point channel
             or two-point section of a multi-
             point channel, -per airline mile,                                     NOTE 5: Mileage measurement between wire centers
              per month/5/                                   13.51%                is calculated as detailed in Tariff PL. B3.4.
           - Change to meet Bulk Pricing
             "minimum" channel service
             change requirement
             - per channel                                   13.51%
      - Channels between Exchanges (Interexchange
        Channels)
        - Each Channel terminal for terminating a
          2-point Channel or 2-point section
          of a Multipoint Channel in a
          Central Office
          - Channel Terminal, Each                           13.51%
        - Interexchange channel mileage for each
          2-point Channel or 2-point section
          of a Multipoint Channel
          per airline mile, per month
          - Schedule 3A;
            - 0-40 Miles
              - Half Duplex                                  13.51%
              - Full Duplex                                  13.51%
          - Next 210 Miles
              - Half Duplex                                  13.51%
              - Full Duplex                                  13.51%
          - Each Additional Mile
              - Half Duplex                                  13.51%
              - Full Duplex                                  13.51%
          - Schedule 4:
            - 0-40 Miles
              - Half Duplex                                  13.51%
              - Full Duplex                                  13.51%
          - Next 210 Miles
              - Half Duplex                                  13.51%
              - Full Duplex                                  13.51%
            - Each Additional Mile
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        26 of 30

<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                       NEVADA/PAC-WEST TELECOMM, INC

----------------------------------------------------------------------------------------------------------------------------------

                                                                           Nevada Bell Retail Rates

NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                  Nevada Bell
                                                  Tariff Site                         Service
                                                  (Name, Sect,            Monthly    Charge/Non   Per Use   Minute  Message Mileage
NEVADA BELL Service Name                          Para)          USOC    Recurring    Recurring    Charge   Charge  Charge  Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                               <C>            <C>     <C>         <C>           <C>      <C>     <C>     <C>
              -  Half Duplex                                     1L6A4   $    0.60      N
              -  Full Duplex                                     1L6C4   $    0.60      N
         - Each channel also requires a
           local loop for each station
           location on noncontinuous
           property/6/
           In addition, channel between
           first terminations on
           different premises on the
           same continuous property,/7/
           and additional termination
           on different premises on the
           same continuous property/8/
           also apply, if applicable.
         - Signaling for Schedule 4
           Channels (if required)
           - Local Loop or Channel:
             - Arranged for Signaling                            AS1     $    6.25      N
         - Station Arrangements - Schedule
           3A
           - The rate applies:
             - once to a Channel entirely on
               same premises
             - to each first termination on
               different premises
           - Station Arrangement, Each                           4GTMS  $    75.00      N
         - Switching Arrangements for
           Schedule 4 Channels are furnished
           with the rates and provisions of
           Tariff PL B3.2.2.
         -  Channel Conditioning for Schedule
            4 Channels is furnished with
            the rates and provisions of Tariff PL B3.3.1.
    - Local Area Data Channels (LADC)             PL B3.2.3.C
      - Charges and Rates                         PL B3.2.3.C.3
        - Channel between first two
          terminations on different premises
          on the same continuous property/9/
          - Type:
            - 2-wire, Each                                       1L6G+  $    60.50      N
            - 4-wire, Each                                       1L8G+  $    60.50      N
          - Termination
            - Each                                               AVESQ       N        $  70.00
        - Channel between two
          terminations:
          - Local Loop for each
            termination
            - Type:
              - 2-wire, Each                                     1L6GP  $    60.50      N
              -  4-wire, Each                                    1L8GP  $    60.50      N
            - Termination:
              - Each                                             27BSQ        N       $ 140.00
Other Channels                                     PL B3.2.12
 -  Bell and Lights System Attack Warning
    Service
    This service is not offered at this            PL B3.2.12.A
    time.
    - Farmer Lines                                 PL B3.2.12.B
    - Rates and Charges                            PL B3.2.12.B.4
    - Connection Charge
    - Each connection made with
      customer-owned facilities./1/                                                     Y
    - Channel Rate - Each Channel
      -In Cable
       - Each one-quarter mile or fraction
         thereof, airline measurement, per                       1LXH9  $     8.00      N
         year/2/
      - Open Wire
        - First one-quarter mile or fraction
          thereof, airline measurement, per
          month./2/                                              1LXHR  $     2.70      N
        - Each additional one-quarter mile
          or fraction thereof, airline
          measurement, per month/2/                                 N   $     1.30      N
------------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
                                                Nevada Bell Wholesale
                                                  Offered Discount %
-----------------------------------------------------------------------------------------------------------------------------------

                                                              Non-            Notes and References Relate to Retail Services Only
                                             Recurring      Recurring
----------------------------------------------------------------------------------------------------------------------------------
<S>                                          <C>            <C>          <C>
              -  Half Duplex                   13.51%
              -  Full Duplex                   13.51%
         - Each channel also requires a
           local loop for each station                                   NOTE 6: See "Channel between first terminations on
           location on noncontinuous                                     different premises on noncontinuous property", above, for
           property/6/                                                   rates.
           In addition, channel between                                  NOTE 7: See "Channel between first 2 terminations on
           first terminations on                                         different premises on the same continuous property", above,
           different premises on the                                     for rates.
           same continuous property,/7/                                  NOTE 8: See "Additional termination of the same channel on
           and additional termination                                    different premises on the same continuous property as the
           on different premises on the                                  first termination", above, for rates.
           same continuous property/8/
           also apply, if applicable.
         - Signaling for Schedule 4
           Channels (if required)
           - Local Loop or Channel:
             - Arranged for Signaling          13.51%
         - Station Arrangements - Schedule
           3A
           - The rate applies:
             - once to a Channel entirely on
               same premises
             - to each first termination on
               different premises
           - Station Arrangement, Each         13.51%
         - Switching Arrangements for
           Schedule 4 Channels are furnished
           with the rates and provisions of
           Tariff PL B3.2.2.
         -  Channel Conditioning for Schedule
            4 Channels is furnished with
            the rates and provisions of
            Tariff PL B3.3.1.
    - Local Area Data Channels (LADC)
      - Charges and Rates
        - Channel between first two
          terminations on different premises
          on the same continuous property/9/                             NOTE 9: See Regulations - Special Conditions
          - Type:                                                        (PL B3.2.3.C.2 g)
            - 2-wire, Each                     13.51%
            - 4-wire, Each                     13.51%
          - Termination
            - Each                                           13.51%
        - Channel between two
          terminations:
          - Local Loop for each
            termination
            - Type:
              - 2-wire, Each                   13.51%
              - 4-wire, Each                   13.51%
            - Termination:
              - Each                                         13.51%
Other Channels
 -  Bell and Lights System Attack Warning
    Service
    This service is not offered at this
    time.
    - Farmer Lines
    - Rates and Charges
    - Connection Charge
    - Each connection made with
      customer-owned facilities./1/                                      NOTE 1: Multi-Element Service Charges apply as specified in
    - Channel Rate - Each Channel                                        Tariff NE A3.1.1.
      -In Cable
       - Each one-quarter mile or fraction
         thereof, airline measurement, per
         year/2/                               13.51%                    This is a per year charge.
      - Open Wire                                                        NOTE 2: For Mileage Measurements, see Regulations, PL
        - First one-quarter mile or fraction                             B3.2.12.B.3.C
          thereof, airline measurement, per
          month./2/                            13.51%
        - Each additional one-quarter mile
          or fraction thereof, airline
          measurement, per month/2/            13.51%
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For
tariff-exempt services call Nevada Bell.

For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        27 of 30
<PAGE>

  APPENDIX RESALE              LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES
  EXHIBIT A                                                 AVAILABLE FOR RESALE
                                                           Version Date 04-09-98
                                                  NEVADA/PAC-WEST TELECOMM, INC.

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                                                                                      Nevada Bell Retail Rates
NEVADA BELL
------------------------------------------------------------------------------------------------------------------------------------
                                                             Nevada Bell
                                                             Tariff Site                            Service
                                                             (Name, Sect,              Monthly     Charge/Non-     Per Use  Minute
NEVADA BELL Service Name                                      Para)          USOC     Recurring    Recurring       Charge   Charge
------------------------------------------------------------------------------------------------------------------------------------
<S>                                                           <C>            <C>      <C>          <C>             <C>     <C>
OTHER FEATURES AND ARRANGEMENTS                               PL B3.3

Classification and Rates - Channel Conditioning               PL B3.3.1
  - Charges and Rates                                         PL B3.3.1.B
    - Type C1, C2, and C4 Channel Conditioning
      -  For the First Station in an Exchange:
         - On a 2-point Channel not arranged for
             Switching:
         -  Type C1                                                          P2W      $12.50       $ 35.00
         -  Type C2                                                          P3H      $47.00       $ 65.00
         -  Type C4                                                          P4G      $57.00       $ 90.00
         - On a 2-point Channel arranged for:
             -  Switching Type C1                                            P2X      $25.00       $ 55.00
             -  Multi Point Type C1                                          P3G      $25.00       $ 55.00
          -  On a Multi Point Channel:
           -  Type C2                                                        P3W      $60.00       $ 85.00
        -  For Each Additional Station on the Same Channel
           and in the Same Exchange as the First Station:
           -  Type C1                                                        P3E      $ 7.50       $ 25.00
           -  Type C2                                                        P3B      $25.50       $ 39.00
           -  Type C4                                                        P4H      $26.00       $ 42.00
     -  Type D1, High Performance Data Conditioning applies
        to Schedule 4 Channels for data transmission.
        -  When High Performance Data Conditioning is
           ordered subsequent to the installation of the Data
           Channel, a charge equal to the installation Charge
           for the Local Channel will apply for each Local
           Channel in addition to the charge for the High
           Performance Data Conditioning.
           - On a 2-point Channel not arranged for switching:
             -  Type D1, per Channel                                         QHA       N           $850.00
Classification and Rates - Signaling Options                  PL B3.3.2
    - Charges and Rates                                       PL B3.3.2.B
         -  Dial Conditioning Arrangement used
              with Channels
            Between Non-contiguous Exchanges
            - The dial conditioning
               arrangement charge would
               not apply when furnished at a
               service point equipped with an
               interexchange switching arrangement.
             - Dial Signaling Arrangement:
                -  Per Point Service                                         13F      $  5.75       N
             - Dial Termination Arrangement:
                -  Per Point Service                                         27E      $  5.75       N
Classification and Rates - Multipoint Service and
Multistation Arrangements                                     PL B3.3.8
     -  Charges and Rates                                     PL B3.3.8.C
        - Intraexchange
          -  Multipoint Charge:
             -  Per Central Office Terminati on                              BQ7      $  2.75      $ 20.00
        - Interexchange
          -  Multipoint Charge:
             -  Per Central Office Termination                               BGA      $  3.50      $ 20.00
V & H                                                         PL B3.4
     -  See this tariff for a list of rate
        centers and central offices in the
        State of Nevada, together with V & H
        (vertical and horizontal) coordinates
        for use in
------------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------

                                                                           Nevada Bell Wholesale
NEVADA BELL                                                                 Offered Discount %
------------------------------------------------------------------------------------------------------------------------------------

                                                Message      Mileage                       Non-     Notes and References Relate
NEVADA BELL Service Name                         Charge       Charge       Recurring    Recurring     to Retail Services Only
------------------------------------------------------------------------------------------------------------------------------------
<S>                                             <C>          <C>           <C>          <C>         <C>
OTHER FEATURES AND ARRANGEMENTS

Classification and Rates - Channel Conditioning
    - Charges and Rates
      - Type C1, C2, and C4 Channel Conditioning                                                    See PL B3 3 1 A for regulations
        -  For the First Station in an Exchange:                                                        and descriptions of types.
            - On a 2-point Channel not arranged for
                Switching:
               -  Type C1                                                       13.51%    13.51%
               -  Type C2                                                       13.51%    13.51%
               -  Type C4                                                       13.51%    13.51%
        - On a 2-point Channel arranged for:
            -  Switching Type C1                                                13.51%    13.51%
            -  Multi Point Type C1                                              13.51%    13.51%
        -  On a Multi Point Channel:
            -  Type C2                                                          13.51%    13.51%
         -  For Each Additional Station on the Same Channel
            and in the Same Exchange as the First Station:
            -  Type C1                                                          13.51%    13.51%
            -  Type C2                                                          13.51%    13.51%
            -  Type C4                                                          13.51%    13.51%
       -  Type D1, High Performance Data Conditioning applies
          to Schedule 4 Channels for data transmission.
       -  When High Performance Data Conditioning is
          ordered subsequent to the installation of the Data
          Channel, a charge equal to the installation Charge
          for the Local Channel will apply for each Local
          Channel in addition to the charge for the High
          Performance Data Conditioning.
              - On a 2-point Channel not arranged for
                Switching:
                -  Type D1, per Channel                                                   13.51%
Classification and Rates - Signalling Options
    -   Charges and Rates
         -  Dial Conditioning Arrangement used
            with Channels
            Between Non-contiguous Exchanges
            -   The dial conditioning
                arrangement charge would
                not apply when furnished at a
                service point equipped with an
                interexchange switching
                arrangement.
                 -  Dial Signalling Arrangement:
                     -  Per Point Service                                       13.51%
                -  Dial Termination Arrangement:
                 -  Per Point Service                                           13.51%
Classification and Rates - Multipoint Service and
Multistation Arrangements
     -  Charges and Rates
        -  Intraexchange
          -  Multipoint Change:
               -  Per Central Office Termination                                13.51%    13.51%
          -  Interexchange
             -  Multipoint Charge:
                -  Per Central Office Termination                               13.51%    13.51%
V & H
     -  See this tariff for a list of rate
        centers and central offices in the
        State of Nevada, together with V & H
        (vertical and horizontal) coordinates
        for use in
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell.
For rates that are cross-referenced, see the referenced section for rates and
discounts.

                                                                        28 of 30
<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                             LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                    Version Date 04-09-98
                                                                                                     NEVADA/PAC-WEST TELECOMM, INC.

----------------------------------------------------------------------------------------------------------------------------------

                                                                                    Nevada Bell Retail Rates
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                Nevada Bell                         Service
                                                Tariff Site                        Charge/Non-
                                                (Name, Sect,             Monthly   Recurring    Per Use  Minute   Message  Mileage
NEVADA BELL Service Name                        Para)           USOC    Recurring    Charge     Charge   Charge   Charge
----------------------------------------------------------------------------------------------------------------------------------
<S>                                             <C>             <C>     <C>        <C>          <C>      <C>      <C>      <C>
  determining air-line mileages for private
   line services.

DIGITAL ACCESS SERVICE                          PL B5

DIGITAL DATA SERVICE                            PL B5.1

Rates and Charges                               PL B5.1.D

 - Channels Between Digital Cities
   - The rates below apply for each two-point
     channel section furnished between Digital
     City Rate Centers.
     - Airline Mileage
       - Each mile at 2.4 Kbps                                  1L7E4   $  1.50        N
       - Each mile at 4.8 Kbps                                  1L7F4   $  1.50        N
       - Each mile at 9.6 Kbps                                  1L7G4   $  1.50        N
       - Each mile at 56 Kbps                                   1L7H4   $  1.50        N
     - Channels
       - Each channel at 2.4 Kbps                               1L7E4   $ 70.00        N
       - Each channel at 4.8 Kbps                               1L7F4   $ 89.00        N
       - Each channel at 9.6 Kbps                               1L7G4   $152.00        N
       - Each channel at 56 Kbps                                1L7H4   $250.00        N
 - Local Distribution Channel
   - The rates below apply for each two-point
     Local Distribution Channel terminated at
     a station in a Digital City Serving Area,
     thereby providing a path for digital
     transmission between the Serving Wire
     Center Central Office and the customer's
     premises.
     - Transmission speed
       - 2.4 Kbps                                               LCDD2   $ 77.00      $ 490.00
       - 4.8 Kbps                                               LCDD4   $ 89.00      $ 490.00
       - 9.6 Kbps                                               LCDD9   $100.00      $ 490.00
       - 56 Kbps                                                LCDD5   $300.00      $ 490.00
 - Interoffice Digital Channel
   - The rates below apply for each two point
     channel section furnished between the
     Principal Central Office and the Serving
     Central Office.
     - Transmission speed per channel
       - 2.4 Kbps                                               1LD2X   $ 42.00        N
       - 4.8 Kbps                                               1LD4X   $ 48.00        N
       - 9.6 Kbps                                               1LD9X   $ 55.00        N
       - 56 Kbps                                                1LD5X   $165.00        N
     - Transmission speed per airline mile
       - 2.4 Kbps                                               1LD2X   $  1.15        N
       - 4.8 Kbps                                               1LD4X   $  1.35        N
       - 9.6 Kbps                                               1LD9X   $  1.50        N
       - 56 Kbps                                                1LD5X   $  4.50        N
 - Multi-Station Arrangement
   - A monthly charge per station applies
     when a Digital Data Service is arranged
     for multi-station operation
     - Each station                                             DDZ     $ 25.00        N
 - Move Charges
   - When Local Distribution Channels are
     moved to a new location on the same
     premises, one-half the installation
     charge applies.
   - When Local Distribution Channels are
     moved to a new location on a different
     premises, the installation charge applies.

<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------

                                                   Nevada Bell Wholesale
                                                    Offered Discount %
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------

                                                                 Non-
NEVADA BELL Service Name                           Recurring   Recurring   Notes and References Relate to Retail Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                <C>          <C>         <C>
  determining air-line mileages for private
   line services.

DIGITAL ACCESS SERVICE

DIGITAL DATA SERVICE

Rates and Charges

 - Channels Between Digital Cities                                          See Regulations and Descriptions in this section for
   - The rates below apply for each two-point                               more detail on serving areas, etc.
     channel section furnished between Digital
     City Rate Centers.
     - Airline Mileage
       - Each mile at 2.4 Kbps                       13.51%
       - Each mile at 4.8 Kbps                       13.51%
       - Each mile at 9.6 Kbps                       13.51%
       - Each mile at 56 Kbps                        13.51%
     - Channels
       - Each channel at 2.4 Kbps                    13.51%
       - Each channel at 4.8 Kbps                    13.51%
       - Each channel at 9.6 Kbps                    13.51%
       - Each channel at 56 Kbps                     13.51%
 - Local Distribution Channel
   - The rates below apply for each two-point
     Local Distribution Channel terminated at
     a station in a Digital City Serving Area,
     thereby providing a path for digital
     transmission between the Serving Wire
     Center Central Office and the customer's
     premises.
     - Transmission speed
       - 2.4 Kbps                                    13.51%        13.51%
       - 4.8 Kbps                                    13.51%        13.51%
       - 9.6 Kbps                                    13.51%        13.51%
       - 56 Kbps                                     13.51%        13.51%
 - Interoffice Digital Channel
   - The rates below apply for each two point
     channel section furnished between the
     Principal Central Office and the Serving
     Central Office.
     - Transmission speed per channel
       - 2.4 Kbps                                    13.51%
       - 4.8 Kbps                                    13.51%
       - 9.6 Kbps                                    13.51%
       - 56 Kbps                                     13.51%
     - Transmission speed per airline mile
       - 2.4 Kbps                                    13.51%
       - 4.8 Kbps                                    13.51%
       - 9.6 Kbps                                    13.51%
       - 56 Kbps                                     13.51%
 - Multi-Station Arrangement
   - A monthly charge per station applies
     when a Digital Data Service is arranged
     for multi-station operation
     - Each station                                  13.51%
 - Move Charges
   - When Local Distribution Channels are
     moved to a new location on the same
     premises, one-half the installation
     charge applies.
   - When Local Distribution Channels are
     moved to a new location on a different
     premises, the installation charge applies.
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell. For rates that are cross-referenced. See the
referenced section for rates and discounts.

                                                                        29 of 30

<PAGE>

<TABLE>
<CAPTION>
APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

----------------------------------------------------------------------------------------------------------------------------------

                                                                                  Nevada Bell Retail Rates
NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------

                                          Nevada Bell                            Service
                                          Tariff Site                Monthly    Charge/Non-   Per Use   Minute   Message   Mileage
NEVADA BELL Service Name                (Name, Sect, Para)  USOC    Recurring   Recurring     Charge    Charge   Charge     Charge
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                           <C>           <C>     <C>         <C>           <C>       <C>      <C>       <C>
HIGH CAPACITY (HICAP) DIGITAL DATA SERVICE    PL B5.2

Rates and Charges                             PL B5.2.E
    - 1.544 Mbps. HICAP Service
       - Channel Termination
         - Initial circuit
         - each channel termination                         TMECS   $  95.45    $  300.00
             - recurring 3-year term                                $  85.91
             - recurring 5-year term                                $  76.37
      - Each additional circuit (same two
        locations)
        - each channel termination                          TMECS   $  95.45    $  150.00
          - recurring 3-year term                                   $  85.91
          - recurring 5-year term                                   $  76.37
      - Channel mileage
         - Channel Mileage Facility
            - per mile                                      CMF     $   6.77        N
             - recurring 3-year term                                $   6.77
             - recurring 5-year term                                $   6.77
      - Channel Mileage Termination
        - per termination                                   CMT     $  55.66        N
           - recurring 3-year term                                  $  50.09
           - recurring 5-year term                                  $  44.52
     - Optional Features and Functions
       - Central Office Multiplexing
          - DS-1 to Voice/Digital                           MQ1     $ 200.00        N
              - recurring 3-year term                               $ 180.00
              - recurring 5-year term                               $ 160.00

CONNECTIONS OF PREMISES EQUIPMENT TO          PL B8
INTRASTATE PRIVATE LINE SERVICES

CONNECTING ARRANGEMENTS APPLICABLE TO
PRIVATE LINE SERVICE AND CHANNELS             PL B8.1.18

Entrance Channels                             PL B8.1.18.F
     - Individual Case Basis (ICB)
       Arrangements are available for
       resale at applicable wholsesale
       rates.
Special Services and Channels for Misc.
       Purposes                               PL B8.1.18.G
     - Individual Case Basis (ICB)
       Arrangements are available
       for resale at applicable
       wholsesale rates.

THE FOLLOWING NEVADA BELL SERVICES,
ALTHOUGH EXEMPT FROM STATE TARIFF
REQUIREMENTS, ARE AVAILABLE FOR RESALE AT
APPLICABLE WHOLESALE RATES:

     - Centrax Services (Including Centrax
          ISDN)
     - ESS Optional Features (Custom Calling
          Features)

APPENDIX RESALE                                               LIST OF NEVADA BELL'S TELECOMMUNICATIONS SERVICES AVAILABLE FOR RESALE
EXHIBIT A                                                                                                      Version Date 04-09-98
                                                                                                      NEVADA/PAC-WEST TELECOMM, INC.

-----------------------------------------------------------------------------------------------------------------------------------
                                                        Nevada Bell Wholesale
                                                         Offered Discount %

NEVADA BELL
-----------------------------------------------------------------------------------------------------------------------------------
                                                                      Non-           Notes and References Relate to Retail
NEVADA BELL Service Name                             Recurring      Recurring        Services Only
-----------------------------------------------------------------------------------------------------------------------------------
<S>                                                 <C>             <C>              <C>
HIGH CAPACITY (HICAP) DIGITAL DATA SERVICE

Rates and Charges
    - 1.544 Mbps. HICAP Service
       - Channel Termination
         - Initial circuit
         - each channel termination                    13.51%        13.51%
             - recurring 3-year term                   13.51%                      This is a 3-year recurring rate.
             - recurring 5-year term                   13.51%                      This is a 5-year recurring rate.
      - Each additional circuit (same two
        locations)
        - each channel termination                     13.51%        13.51%
          - recurring 3-year term                      13.51%                      This is a 3-year recurring rate.
          - recurring 5-year term                      13.51%                      This is a 5-year recurring rate.
      - Channel mileage
         - Channel Mileage Facility
            - per mile                                 13.51%
             - recurring 3-year term                   13.51%                      This is a 3-year recurring rate.
             - recurring 5-year term                   13.51%                      This is a 5-year recurring rate.
      - Channel Mileage Termination
        - per termination                              13.51%
           - recurring 3-year term                     13.51%                      This is a 3-year recurring rate.
           - recurring 5-year term                     13.51%                      This is a 5-year recurring rate.
     - Optional Features and Functions
       - Central Office Multiplexing
          - DS-1 to Voice/Digital                      13.51%
              - recurring 3-year term                  13.51%                      This is a 3-year recurring rate.
              - recurring 5-year term                  13.51%                      This is a 5-year recurring rate.

CONNECTIONS OF PREMISES EQUIPMENT TO
INTRASTATE PRIVATE LINE SERVICES

CONNECTING ARRANGEMENTS APPLICABLE TO
PRIVATE LINE SERVICE AND CHANNELS

Entrance Channels
     - Individual Case Basis (ICB)
       Arrangements are
       available for resale at applicable
       wholsesale rates.
Special Services and Channels for Misc.
       Purposes
     - Individual Case Basis (ICB)
       Arrangements are available
       for resale at applicable
       wholsesale rates.

THE FOLLOWING NEVADA BELL SERVICES,
ALTHOUGH EXEMPT FROM STATE TARIFF
REQUIREMENTS, ARE AVAILABLE FOR RESALE AT
APPLICABLE WHOLESALE RATES:

     - Centrax Services (Including Centrax
        ISDN)
     - ESS Optional Features (Custom Calling
        Features)
</TABLE>

Where the tariff and this matrix conflict, refer to the tariff. For tariff-
exempt services call Nevada Bell. For rates that are cross-referenced, see the
referenced section for rates and discounts.

                                                                        30 of 30
<PAGE>

APPENDIX SS7

                                      300
<PAGE>

TABLE OF CONTENTS

 1.  SERVICE DESCRIPTION
     -------------------
     1.1 SS7-Transport

  1.2 Signaling Links .......................................................2
      -----------------------------------------------------------------------

  1.3 Transit Signalin ......................................................4
              ---------------------------------------------------------------

 2.  DEFINITIONS ............................................................4
     ------------------------------------------------------------------------

 3.  MANNER OF PROVISIONING .................................................6
     ------------------------------------------------------------------------

     3.1 SS7 Transport ......................................................6
             ----------------------------------------------------------------

  3.2 Signaling Links .......................................................6
      -----------------------------------------------------------------------

 4.  DESCRIPTION OF RATE ELEMENTS ...........................................8
     ------------------------------------------------------------------------

     4.1  SS7 Transport .....................................................8
              ---------------------------------------------------------------

 4.2  Dedicated Signaling Links .............................................8
                ----------

  4.2.1 SS7 Link Cross Connect ..............................................8
        ---------------------------------------------------------------------
  4.2.2 STP Port ............................................................8

  4.2.3 SS7 Link ............................................................9

 4.3  Transit Signaling .....................................................9
              ---------------------------------------------------------------

 4.4  Service Rearrangement .................................................9
              ---------------------------------------------------------------

 5.  RATES AND CHARGES .......................................................9
     -------------------------------------------------------------------------

 6.  ORDERING THE SERVICE ....................................................9
     -------------------------------------------------------------------------

     6.1   SS7  Service ......................................................9

                                      301
<PAGE>

                            APPENDIX SS7
                                 Page ii of ii
NEVADA/PAC-WEST TELECOMM, INC.

  6.2 Dedicated Signaling Links ..............................................9
      ------------------------------------------------------------------------

  6.3 Call Set-Up Translations ...............................................9
           -------------------------------------------------------------------

  6.4 Transit Signalin ......................................................10
              ---------------------------------------------------------------

  6.5 Service Rearrangement .................................................10
              ---------------------------------------------------------------

 7.  RESPONSIBILITIES OF NEVADA .............................................10
     ------------------------------------------------------------------------

 8.  RESPONSIBILITIES OF CLEC ...............................................11
     --------------------------------------------------------------------------

 9. RESPONSIBILITIES OF THE PARTIES (CLEC AND NEVADA) .......................12
    -------------------------------------------------------------------------

                                      302
<PAGE>

                                 APPENDIX SS7

                          APPENDIX FOR THE PROVISION OF
                                   SS7 SERVICE

This Appendix sets forth the terms and conditions under which NEVADA shall
provide to CLEC certain Common Channel Signaling/Signaling System 7 ("CCS/SS7")
services, herein referred to as "SS7 Service".

This Appendix provides for the use of NEVADA's Common Channel Signaling network,
which uses the Signaling System 7 ("SS7") protocol, and for a Dedicated
Signaling Link, which provides network interconnection to NEVADA's Signal
Transfer Points ("STPs"), including facilities. SS7 Service provides CCS/SS7
functionality and translations to support SS7 based services and applications as
they become available and as facilities permit.

SS7 Service includes the screening of messages based on origination signaling
point code and the muting of messages by NEVADA's mated pair of STPs. Services
such as STP ports and Signaling Link interconnection, and 800 Data Base Access
will be provided pursuant to this Appendix SS7, Appendix 800, and Appendix
PRICING. Arrangements for services should be made through NEVADA's Service
Center.

1.       SERVICE DESCRIPTION

1.1      SS7 - Transport

 1.1.1   SS7 transport provides for the routing and screening of SS7 messages
         from NEVADA's pair of STPs (i.e. a mated pair) to a regional pair of
         STPs. The screening of messages provides for CLEC designation of
         signaling points associated with CLEC and controls which messages may
         be allowed or not allowed by NEVADA's ST? pairs. The routing of
         messages provides for the transfer of a complete message between
         signaling links, and for a Global Title Translation of the message
         address, if needed.

 1.1.2   SS7 transport provides routing of messages for all parts of the SS7
         protocol including, for example, Message Transfer Part ("MTP")
         messages, Integrated Services Digital Network User Part ("ISDNUP" or
         "ISUP") messages, Signaling Connection and Control Part ("SCCP")
         messages, and Transaction Capability Application Part ("TCAP")
         messages. SS7 transport provides for screening and routing of signaling
         messages based on the SS7

                                      303
<PAGE>

protocol. These messages may support other applications and services, such as,
Toll Free Database services. SS7 transport will route messages to the global
title address or to the signaling point code address of the message based on the
translation information of NEVADA's STP. These services are restricted to
NEVADA's existing database services.

         1.       1.3 SS7 transport provides screening and routing of messages
                  that are generated by the action of CLEC's signaling point, or
                  messages that are generated by a signaling point connected via
                  CLEC's signaling point.

1.2      Signaling Links

 1.2.1   Dedicated Signaling Links provide physical access to NEVADA's signaling
         network. The links are fully dedicated to the use of CLEC and provide
         the screening and routing usage for NEVADA's STP to which the link is
         connected. Signaling Links are provided as a set of links connecting to
         NEVADA's mated pair of STPs. Signaling Links are dedicated two-way
         digital data circuits that interconnect NEVADA's STP locations and
         CLEC's signaling points at Signaling Point of Interface ("SPOI")
         locations. Signaling links are available to CLECs for their use in
         furnishing SS7-based services or applications to their End Users or
         other users of SS7 signaling information.

1.2.2    Signaling links must include the following elements:

          1.2.2.1 Cross Connect

                    The Cross Connect provides a DS-0 connection and access
                    point for testing in NEVADA's ST? building. The cross
                    connect connects the STP Port Termination to CLEC's
                    unbundled dedicated transport, to a collocation cage or to a
                    STP Access Link. It must be purchased separately from
                    Appendix UNE.

          1.2.2.2 STP Port

                    The STP Port is the physical termination of the signaling
                    link (i.e. 56 kbps circuit) at NEVADA's STP. An STP Port is
                    used for each 56 kbps Cross Connect terminated at NEVADA's
                    STP.

                                      304
<PAGE>

1.2.2.3 SS7 Link

           The SS7 Link provides a 56 kilobit per second digital facility when
           CLEC requires an interoffice facility to connect from CLEC's
           Dedicated Transport or Entrance Facility to the STP building
           location.

 1.2.3 The STP Port shall provide for the use of NEVADA's STP to which the port
is connected.

 1.2.4   CLEC shall provide the portion of the signaling link from CLEC's
         premises within the LATA to NEVADA's STP location using unbundled
         dedicated transport, or the optional bundled SS7 link and STP port.
         CLEC shall notify NEVADA that the facility contains a signaling link
         service. Multiple facilities provided by NEVADA will be identified so
         that NEVADA may maintain facility diversity between links and linksets
         that require diversity. CLEC shall identify the DS-1 and the channel of
         a DS-1 that will be used for the signaling link.

 1.2.5   CLEC shall identify to NEVADA the facility and channel to which the SS7
         Link Cross Connect shall connect. If the facility does not terminate in
         the STP location NEVADA shall provide a STP Link. The STP Access Link
         will connect to the DS-0 Cross Connect at the STP location.

 1.2.6   When CLEC uses an alternative DS-1 facility or arrangements, or agrees
         to allow a physical degree of diversity or performance that is not in
         accordance with the specifications of Bellcore, GR-905-CORE, NEVADA
         acknowledges that the performance and reliability of the SS7 protocol
         may be affected and the performance and reliability standards described
         in GR-905-CORE may be disqualified.

 1.2.7   Signaling links are subject to NEVADA interoperability testing and
         certification requirements per the Network Operations Forum Reference
         Document, per Bellcore, GR-905-CORE and per (PUB L-780023-PB/NB). First
         interconnections to NEVADA's signaling network per CLEC and per
         signaling point type of equipment will require CLECs completion of
         NEVADA's CCS/SS7 interconnection questionnaire and pre-ordering
         meetings to exchange information and schedule inter-operability testing
         and pre-ordering meetings.

                                      305
<PAGE>

          1.3     Transit Signalin

                  Transit signaling will provide the ability for an
                  Interconnecting Network ("ICY) to pass signaling information
                  through NEVADA's signaling network to a third party without
                  requiring a trunking connection by the third party with
                  NEVADA. The ICN will not be required to purchase signaling
                  links to the third party. Instead, the ICN will provide NEVADA
                  with information necessary to complete local calls.

2.       DEFINITIONS

2.1      Common Channel Signaling ("CCS")
         A high-speed specialized packet switched communications network that is
         separate (out-of-band) from the public packet switched and message
         networks. CCS carries addressed signaling messages for individual trunk
         circuits and/or database related services between Signaling Points (SS7
         nodes) in the CCS network.

2.2      Interoperability Testin
         Testing performed by representatives from NEVADA and CLEC to determine
         proper interconnection of CCS network facilities for accurate
         transmission of system signals and messages. This is often referred to
         as TR-905 Compatibility Testing.

2.3      Octet
         8-bits of binary information.

2.4      Service Control Point ("SCP")
         A node in the CCS network that provides a database functionality.

2.5      Service Switching Point ("SSP")
         A signaling point that can launch queries to databases and
         receive/interpret responses used to provide specific End User services.

2.6      Signal Transfer Point ("STP")
         A packet switch in the CCS network that is used to route SS7 protocol
         signaling messages between signaling nodes. A STP provides screening
         and routing of SS7 messages. STPs transfer signaling messages to other
         networks. NEVADA's signaling network includes mated pairs of local and
         regional STPs.

2.7      Signaling Link
         An end-to-end high-capacity digital, data quality, link operating at 56
         kilobits per second that transmits signaling information in the form of

                                      306
<PAGE>

signaling messages from one network SS7 node to another node in a CCS network.
The Link Type identifies the functionality of the signaling link sets. Signaling
links provide physical interconnection between signaling points of another party
and NEVADA's STPs.

2.8      Signaling Point ("SP")

         A node in the CCS network that originates and/or receives signaling
         messages, or transfers signaling messages from one signaling link to
         another, or both.

2.9      Signaling Point Code ("SPC")

         An identifier code that identifies a signaling point in the CCS
         network. The signaling point code provides an address within the CCS
         network which enables messages to be routed to signaling points.
         Signaling Point Codes are 24-bit binary numbers comprised of three
         segments:

(a)      the Network Identification;

(b)      the Network Cluster; and

(c)      the Member number within the cluster.

Signaling Point Codes are represented digitally as AAA-AAA-AAA, where "AAA"
represents a decimal number from 000 to 255.

2.10     Signaling Point of Interface ("SPOI")

         A mutually agreed point at which NEVADA hands off signaling

         information to CLEC.

2.11     Signaling System 7 ("SS7")

         See SS7 Protocol.

2.12     Signaling System 7 ("SS7") Protocol

         The signaling protocol, Version 7, used by the nodes of the CCS
         network. The SS7 protocol used by NEVADA is the American National
         Standards Institute ("ANSI") standard protocol defined by Bellcore
         Generic Requirement, GR-246-CORE, defined by Bellcore requirements
         (GR-317-CORE, GR-394-CORE, GR-444-Core, GR-606-CORE, GR-82-CORE,
         GR-905-CORE and various other documents) and defined by NEVADA's
         Technical Publication L-780023 PB/LB.

                                      307
<PAGE>

3.       MANNER OF PROVISIONING

         3.1      SS7 Transport

                  3.1.1    CLEC shall use SS7 transport subject to the screening
                           and routing information of NEVADA's STPs. NEVADA
                           shall provide information to CLEC on the routes and
                           signaling point codes served by NEVADA's STPs.

                  3.1.2    SS7 transport shall route ISUP messages for the
                           purpose of establishing trunk voice paths between
                           switching machines.

               3.1.3 CLEC shall route TCAP to NEVADA's "regional" ST? pair that
                    directly serves the database of TCAP messages.

                  3.1.4    When CLEC requires modification of NEVADA's SS7
                           Service components not otherwise provided in this
                           Appendix, the modifications may be furnished pursuant
                           to the Network Element Bona Fide Request ("BFR")
                           process as outlined in Appendix UNE.

                  3.1.5    SS7 transport provides a signaling route for messages
                           only to signaling points to which NEVADA has a route.
                           SS7 Transport does not include the provision of a
                           signaling route to every possible signaling point.
                           When NEVADA does establish a route to a signaling
                           point in a mated pair of STPs, the route may not be
                           available to other NEVADA pairs of STPs, until
                           ordered. When NEVADA or CLEC, pursuant to a service
                           order, arranges to establish a route to a signaling
                           point, such route to the other signaling point or
                           other signaling network will be used by all signaling
                           points within and connected to NEVADA's signaling
                           network per the standard requirements of the SS7
                           protocol.

                  3.1.6    Disputes concerning the association of a signaling
                           point among specific link sets associated with
                           NEVADA's mated STP will be resolved by consultation
                           with the signaling point owner, as defined in the
                           Local Exchange Routing Guide ("LERG"), Section 1,
                           Assignment of Signaling Point Codes.

         3.2      Signaling Links

               3.2.1 CLEC shall provide the signaling points and signaling point
                    codes associated with CLEC. CLEC shall provide information
                    to NEVADA to allow NEVADA to translate NEVADA STPs. The

                                      308
<PAGE>

information shall define the screening and routing information for the signaling
point codes of CLEC. This information may include global title address,
translation type and subsystem designations as needed.

 3.2.2   NEVADA mated pairs of STPs shall connect to CLEC premises (including
         collocation locations) within the same LATA. A set of links can be
         either:

(a)      "A" Link Sets from CLEC's Signaling Point ("SP")/Service

         Switching Point ("SSP"). A minimum of two links will be
         required, one from the SP/SSP to each STP; or,

(b)      "B/D" Link Sets from STPs that are connected to

         NEVADA's mated pair of STPs. A minimum of four links will be required
         (i.e., a "quad") between the two pairs of STPs. When CLEC provides its
         own channelized facility, an ST? Port and Cross Connect is required for
         each 56 kbps access link utilized for the Service. STP locations are
         set forth in the National Exchange Carrier Association, Inc. ("NECA")
         Tariff FCC No. 4.

3.3      A pre-order meeting will define NEVADA's facility availability and the
         degree of diversity in both NEVADA's physical network and CLEC's
         physical network from signaling point to signaling point for the link.

3.4      When CLEC requires an SS7 Link, CLEC and NEVADA shall jointly
         negotiate the degree of diversity provided among and between multiple
         dedicated signaling links. The degree of diversity in both NEVADA's
         network and CLEC's network shall be exchanged. The negotiation shall
         consider the requirements of the SS7 standard protocol, the degree of
         diversity available in each network and the possible alternatives. If
         CLEC
         requires a degree of diversity greater than is available in NEVADA's
         network, CLEC shall submit a BFR.

3.5      All applicable signaling point codes for each signaling link must be
         installed at each of NEVADA's interconnecting STPs.

3.6      Call set-up times may be adversely affected when CLEC, using SS7
         signaling, employs intermediate Access Tandems in its network. NEVADA
         makes no warranties with respect to call set-up times when multiple STP
         pairs are involved or when the signaling traffic is exchanged between
         two non-NEVADA signaling points.

                                      309
<PAGE>

3.7      Provisioning of the SS7 Service is in accordance with NEVADA's CCS/SS7
         Network Interface Specifications (PUB L780023-PB/NB) and Bellcore
         Common Channel Network Interface Specification (GR-905- CORE),
as amended.

3.8      When CLEC uses the SS7 Links of another party (the Signaling Service
         Provider), CLEC shall submit a Shared Service Agreement to NEVADA. The
         Signaling Service Provider shall also submit an order for NEVADA to
         change the routing or screening information associated with its
         signaling links.

4.       DESCRIPTION OF RATE ELEMENTS

Where applicable the following rate elements apply to SS7 Service:
4.1 SS7 Transport
    -------------

4. 1.1   SS7 Transport shall be measured per octet of information screened and
routed.

         4.1.2    CLEC shall pay the SS7 Transport Per Octet rate element, at
                  such time as NEVADA is able to measure, for the screening and
                  routing of messages by each additional NEVADA STP pair. A
                  usage rate will apply per octet generated by action of CLEC.

4.2      Dedicated Signaling, Links

4.2.1    SS7 Link Cross Connect

         When CLEC cross connects signaling links to a collocation cage, CLEC
         shall purchase the cross connect as specified in Appendix PRICING.

4.2.2     STP Port

4.2.2.1     CLEC shall pay the STP Port rate element for each termination of the
            SS7 Link Cross Connect at NEVADA's STP. One STP Port must be
            installed at NEVADA's interconnecting STP for each SS7 Link.

4.2.2.2     A fixed recurring monthly rate and nonrecurring rate applies per
port.

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                  4.2.3 SS7 Link

                           CLEC shall pay the SS7 Link rate element for each SS7
                           Link when the STP Access Link is provided. The charge
                           includes a fixed rate per month plus a rate per mile
                           per month in addition to the appropriate nonrecurring
                           rates.

         4.3      Transit Signaling

                  CLEC shall pay the nonrecurring charge for Transit Signaling
for translations work performed for each STP.

         4.4      Service Rearrangement

          CLEC shall pay charges for rearrangement of the SS7 Service which are
          not specifically addressed pursuant to the "BFR!' process.

5.       RATES AND CHARGES

5.1      Appendix PRICING, which is attached hereto and made a part hereof,
         contains the Rates and Charges for the elements described above.

          5.2 Mileage is calculated based on the airline distance between the
          locations involved, using the V & H coordinates method, as set forth
          in the National Exchange Carrier Association, Inc. Tariffs FCC No. 4
          and 5.

6.       ORDERING THE SERVICE

CLEC shall abide by the following ordering guidelines:

6.1      SS7 Service

         CLEC shall submit an LSR, identifying the set of links CLEC will use
         and identifying the service(s) associated with each SPC. CLEC shall
         identify Signaling Point Code and Global Title Translation information
         that must be translated into NEVADA's STPs.

6.2      Dedicated Signaling Links

         CLEC shall submit an LSR identifying NEVADA's STPs, CLEC's premises,
         the circuit interconnection arrangement at CLEC's Dedicated Transport
         location and CLEC's signaling point. CLEC shall identify Signaling
         Point Code and the services associated with each SPC.

6.3      Call Set-Up Translations

         CLEC shall submit an LSR identifying NEVADA's STPs and CLEC's signaling
         point code information that must be added or changed in

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NEVADA's STP translations. CLEC shall identify the SPC(s) and the services
associated with each SPC.

6.4 - Transit Signalin

         CLEC shall submit an ISR containing the following in addition to the
         normally supplied information of the ordering Party's ACNA and Third
         Party Circuit ID ("TSC"):

(a)      Origination Point Code ("OPC");

(b)      Destination Point Code ("DCP");

(c)      Third Party ACNA

         (d)      Third Party Circuit ID ("TSC")

6.5      Service Rearrangement

         CLEC shall order a SS7 Signaling Service Rearrangement per a BFR. The
         Parties shall meet to develop guidelines for SS7 service rearrangements
         on a case-by-case basis.

7.       RESPONSIBILITIES OF NEVADA

7.1      NEVADA shall manage the network and, at its sole discretion, apply

          protective controls. Protective controls include actions taken to
          control or

         minimize the effect of network failures or occurrences, which include,
         but are not limited to, failure or overload of NEVADA or CLEC
         facilities, natural disasters, mass calling or national security
         demands.

7.2      NEVADA shall determine the GTT and Translation Type ("TT") route for
         messages routed to GTT which are associated with NEVADA signaling
         points.

7.3      Regional functions and local functions of NEVADA's STPs are decided in
         the technical publication (PUB L-780023-PB/NB). NEVADA will route ISUP
         messages within NEVADA's signaling network subject to technical
         feasibility. Capacity limitations shall define a temporary technical
         infeasibility until the capacity limit can be resolved.

7.4      In the event that NEVADA provides under this contract special service
         arrangements associated with diversity or other arrangements that do
         not strictly adhere to GR-905-CORE and PUB L-780023-PB/NB and are of
         non-compliance to the technical publications or not certified by

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NEVADA, CLEC acknowledges that the service performance standards need not be met
in the provision of the total service.

               7.5  NEVADA shall route messages generated by the action of CLEC
                    throughout NEVADA's signaling network. The content of the
                    messages is for the use of signaling points of origination
                    and destination. NEVADA will not use any information within
                    messages for any purpose not required by or related to the
                    use of NEVADA's signaling network. NEVADA will not divulge
                    any message or any part of messages generated by CLEC to any
                    other party, except as required to manage NEVADA's signaling
                    network or as may be required by law. 7.6 NEVADA shall
                    determine the monthly charges and issue an invoice to the
                    billing address of CLEC for the respective service(s)
                    requested by CLEC and provided by NEVADA. The invoice will
                    identify nonrecurring charges, recurring charges, and other
                    charges and credits, as they apply.

7.7      NEVADA shall work cooperatively and provide knowledgeable personnel to
         meet with CLEC in order to provision, test, and install the SS7 Service
         in a timely fashion.

8.       RESPONSIBILITIES OF CLEC

8.1      CLEC shall provision the signaling links at CLEC's premises and from
         CLEC's premises to NEVADA's ST? location in a diverse, reliable, and
         technically acceptable manner in accordance with the standard SS7
         protocol, as described in Bellcore GR-905-CORE, and NEVADA's network.

8.2      If CLEC requires a greater degree of diversity than NEVADA provides in
         the existing network, a special facility, or a special routing of
         services, CLEC agrees to initiate a Wholesale Construction request and
         pay additional charges as NEVADA may reasonably determine.

          8.3 CLEC shall identify to NEVADA the SPC(s) associated with CLECs set
          of links.

               8.4  1 When CLEC orders the use of NEVADA's STP, CLEC shall
                    -specify the set of signaling links to be used. If the links
                    are provided to another party, CLEC shall warrant to NEVADA
                    that the other party is aware of the charges associated with
                    the use of the STP and that the other party will pay the
                    monthly charges for the use of NEVADA's STP.

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<PAGE>

               8.5  CLEC shall identify to NEVADA the Global Title and
                    Translation Type information for messages that route to
                    CLEC.

8.6      When routing messages addressed to NEVADA's Subsystem Number ("SSN"),
         CLEC shall use NEVADA's defined SSN designation of NEVADA's mated STP
         pair to which the message is routed.
8.7      CLEC shall transfer Calling Party Number Parameter information
         unchanged, including the "privacy indicator" information, when ISUP
         Initial Address Messages are interchanged with NEVADA's signaling
         network.
8.8      CLEC shall verify the accuracy of information concerning the services
         ordered by CLEC.
8.9      CLEC shall designate the level of diversity associated with CLEC's
         premises. NEVADA shall provide the same degree of diversity as CLEC
         provides.
8.10     CLEC shall work cooperatively and provide knowledgeable personnel to
         meet with NEVADA in order to provision, test, and install the SS7
         Service in a timely fashion.
8.11     CLEC shall furnish to NEVADA, at the time the SS7 Service is ordered
         and annually thereafter, an updated three-year forecast of usage of the
         SS7 Signaling network. The forecast shall include total annual volume
         and busy hour/busy month volumes. NEVADA shall utilize the forecast in
         its own efforts to project further facility requirements.

RESPONSIBILITIES OF THE PARTIES (CLEC AND NEVADA)

The Parties will exchange TCAP messages to facilitate fall interoperability of
CCS-based features and functions, to the extent each Party offers such features
and functions to its own End Users. All CCS signaling parameters will be
provided including CPN. All privacy indicators will be honored.

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APPENDIX UNE

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                           APPENDIX UNE
                                  Page i of ii
NEVADA/PAC-WEST TELECOMM, INC.
                                  020898

TABLE OF CONTENTS

 1. INTRODUCTION ........................................................I
    ---------------------------------------------------------------------

 2. GENERAL TERMS AND CONDITIONS ........................................1
    ---------------------------------------------------------------------
 2.9 Access -to Unbundled Network Elements ..............................2
     --------------------------------------------------------------------
 2. 10 Additional Network Elements ......................................7
       ------------------------------------------------------------------

 2.11 Provisioning/Maintenance Of Network Elements ......................7
      -------------------------------------------------------------------
 2.12 Performance of Network Elements ...................................8
      -------------------------------------------------------------------
 2.13 Bona Fide Request .................................................9
      -------------------------------------------------------------------

 3.
 NETWORK INTERFACE DEVICE ..............................................10
 -----------------------------------------------------------------------

 4.
 LOCAL LOOP/LINK .......................................................12
 -----------------------------------------------------------------------
   4.2.1 2-Wire Analog Loop ............................................12
         ---------------------------------------------------------------
   4.2.2 4-Wire Analog Loop ............................................12
         ---------------------------------------------------------------
   4.2.3 2-Wire Digital Loop ...........................................12
         ---------------------------------------------------------------
   4.2.4 4-Wire Digital Loop ...........................................13
         ---------------------------------------------------------------
   4.5 Project Service Coordination ....................................13
       -----------------------------------------------------------------
   4.6 Forecasts .......................................................14

 5. LOCAL SWITCHING ....................................................14
    --------------------------------------------------------------------
 5.10. SwitchPorts .....................................................16
       -----------------------------------------------------------------

    5.10.1 Analog Line Port ............................................16
           -------------------------------------------------------------
    5.10.2 ISDN Basic Rate Interface ( "BRI") Port .....................16
                --------------------------------------------------------

 5.11   Basic  Switching    Functions
 .....................................................................
 17

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<PAGE>

 5.11.1   Interoffice - Originating ........................................17
                      ------------------------------------------------------
 5.11.2   Interoffice - Terminatin .........................................17
                      ------------------------------------------------------

    5.11.3   Intraoffice ...................................................17
             ---------------------------------------------------------------

 5.12 Forecasts ............................................................17

 6. TANDEM SWITCHING .......................................................17
    ------------------------------------------------------------------------
 6.2 Forecasts .............................................................18

 7. OPERATOR SERVICES AND DIRECTORY ASSISTANCE .............................18
    ------------------------------------------------------------------------
 8. INTEROFFICE TRANSPORT ..................................................18
    ------------------------------------------------------------------------
 8.1 Common Transport ......................................................19
     -----------------------------------------------------------------------
 8.2 Shared Transport ......................................................19
     -----------------------------------------------------------------------
 8.3 Dedicated Transpo .....................................................19
     -----------------------------------------------------------------------
 8.4 Forecasts .............................................................20

 9. SIGNALING NETWORKS AND CALL-RELATED DATABASES ..........................20
    ------------------------------------------------------------------------

 10. OPERATIONS SUPPORT SYSTEMS FUNCTIONS ..................................20
     -----------------------------------------------------------------------

 11. CROSS-CONNECTS ........................................................20
     -----------------------------------------------------------------------

 12. PRICING ...............................................................21
 12.3 Recurring Charges ....................................................21
      ----------------------------------------------------------------------
 12.4 Nonrecurring Charges .................................................22
      ----------------------------------------------------------------------
 12.5 Maintenance of Elements ..............................................22
      ----------------------------------------------------------------------
 12.6 Other Pricing Terms and Conditions for Unbundled Local
      ------------------------------------------------------
       Switching ("ULS") ...................................................24
----------------------------------------------------------------------------

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APPENDIX: UNBUNDLED NETWORK ELEMENTS

1.       INTRODUCTION

         This Appendix UNE (Unbundled Network Elements) to the Agreement sets
         forth the terms and conditions pursuant to which NEVADA agrees to
         furnish CLEC with access to UNEs. CLECs seeking to provide service to
         End Users through use of NEVADA's UNEs are responsible for combining
         those UNEs, whether together, or with CLEC's own facilities, into
         finished services. The specific terms and conditions that apply to
         NEVADA's provision to CLEC of access to UNEs are described below. The
         prices for Network Elements are set forth in Appendix PRICING.

2.       GENERAL TERMS AND CONDITIONS

               2.1  NEVADA and CLEC may agree to connect CLEC's facilities with
                    NEVADA's network at any technically feasible point for
                    access to Unbundled Network Elements for the provision by
                    CLEC of a Telecommunications Service. ((Act, Section 251
                    (c)(2)(B); 47 CFR Section 51.305(a)(2)(vi))

               2.2  NEVADA will provide CLEC nondiscriminatory access to
                    Unbundled Network Elements: (Act, Section 25 1 (c)(3), Act,
                    Section 27 1 (c)(2)(B)(ii); 47 CFR Section 51.3 07(a))

               (a)  at any technically feasible point (Act, Section 25 1 (c)(3);
                    47 CFR Section 51.307(a));

               (b)  at the rates, terms, and conditions herein and in Appendix
                    PRICING which are just, reasonable, and nondiscriminatory
                    (Act, section 251(c)(3); 47 CFR Section 51.307(a));

               (c)  in a manner that allows CLEC to provide any
                    telecommunications service that may be offered by means of
                    that element (Act, Section 251(c)(3); 47 CFR Section
                    51.307(c));

               (d)  in a manner that allows access to the facility or
                    functionality of a network element to be provided separately
                    from access to other elements, and for a separate charge (47
                    CFR Section 51.307(d));

(e)      with technical information regarding NEVADA's facilities to enable

         CLEC to achieve access to elements (47 CFR Section 51.307(e));

               (f)  without limitations, restrictions, or requirements on
                    requests that would impair CLEC's ability to provide a
                    telecommunications service in a manner it intends (47 CFR
                    Section 51.309(a));

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<PAGE>

(g)      in a manner that allows CLEC to purchase access to an Unbundled

         Network Element to use such network element to provide exchange access
         service to itself, in order to provide interexchange services to
         subscribers (47 CFR section 51.309(b)); and

               (h)  where applicable, on terms and conditions of access to
                    elements shall be

         no less favorable than terms and conditions under which NEVADA provides
         such elements to itself (47 CFR Section 51.313(b)).

2.3      CLEC is entitled to exclusive use of an unbundled network facility for
         a period of time, and to use of an unbundled feature, function, or
         capability for a period of time (47 CFR Section 51.309(c)).

2.4      NEVADA shall retain the duty to maintain, repair, or replace Unbundled
         Network Elements (47 CFR Section 51.309(c)) as provided for in Section
         12.5, below.
2.5      Where technically feasible, quality of the element and access to the
         element shall be at least equal to what NEVADA provides itself or any
         subsidiary, affiliate, or other party (47 CFR Section 51.3 11 (a),(b)).

2.6      NEVADA shall offer terms and conditions of access to elements equally
          to all
         CLECs through Section 30.16 of General Terms and Conditions to this
         Agreement. (47 CFR Section 51.313(a))

2.7      Each Party is solely responsible for the services it provides to its
         End
         Users and to
         other Telecommunications Carriers.

2.8      Network elements provided to CLEC under the provisions of this Appendix
         will remain the property of NEVADA.

2.9      Access to Unbundled Network Elements
         This Section 2.9 describes the methods under which NEVADA agrees to
         provide CLECs with access to NEVADA's UNEs and the conditions under
         which NEVADA makes these methods available. The methods listed below
         provide CLEC with access to UNEs without compromising the security,
         integrity, and reliability of the Public Switch Network, as well as to
         minimize the potential service disruptions.

2.9.1    Subject to availability of space and equipment, CLEC may use the
         methods listed below to access and combine identified Unbundled
         Network Elements within NEVADA central offices or tandem offices. The

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<PAGE>

methods listed below provide access on an unbundled basis to loop, switch ports,
and dedicated transport.

2.9. 1.1 (Method 1)

           If a CLEC is physically collocated, NEVADA will extend UNEs that
           require cross connection to CLEC's physical collocation Point of
           Termination (POT) frame.

2.9.1.2 (Method 2)

           If CLEC is physically collocated, NEVADA will extend UNEs that
           require cross connection to the UNE Frame located in a collocation
           common area.

2.9.1.3 (Method 3)

           NEVADA will extend UNEs that require cross connection to the UNE
           Frame located in a common room space, other than collocation common
           area, within the central office building.

2.9.1.4 (Method 4)

           NEVADA will extend UNEs to an external Point of Presence, such as a
           cabinet located outside the central office building provided by
           NEVADA on NEVADA property. CLEC will be afforded access to this
           arrangement through the UNE order process.

2.9.1.5 (Method 5)

           NEVADA shall allow extension of UNEs to a building not controlled by
           NEVADA via cabling provided by CLEC. The CLEC shall provide the
           excess cable necessary to reach a NEVADA frame in the NEVADA central
           office where CLEC requests connection.

          2.9.2 The following terms and conditions apply when NEVADA provides
          access pursuant Sections 2.9. 1. 1 through 2.9.1.5:

2.9.2.1 The terms and conditions for CLECs choosing to access NEVADA's

            UNEs through physical collocation arrangements are set forth in
Appendix PHYSICAL COLLOCATION.

               2.9.2.2 Within ten (10) business days of receipt of a written
                    request for access to

            UNEs involving three (3) or fewer central offices, NEVADA will
            provide a written reply notifying the requesting CLEC of the
            method(s) of access available in the requested central offices. For
            requests

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<PAGE>

impacting four (4) or more central offices the Parties will agree to an
implementation schedule for access to UNEs.

               2-9-2.3 Access to UNEs via Method 1 and Method 2 are only
                    available to physically collocated CLECs.

 2.9-2.4    Method 3, Method 4, and Method 5 are available to both collocated
            and non-collocated CLECs. Methods 2, 3, and 4 are subject to the
            availability of space and equipment.

 2.9.2.5    For requests concerning three (3) or fewer central offices, if the
            agreedupon method of access is not available, NEVADA will within
            ninety (90) business days (or the interval established under a
            request for physical collocation, if applicable) prepare the wire
            center for access to UNEs. For requests impacting four (4) or more
            central offices, the Parties will agree to an implementation
            schedule.

 2.9.2.6    The CLEC may cancel the request at any time, but will pay NEVADA's
            reasonable and demonstrable costs for modifying or making additions
            to its network up to the date of cancellation.

 2.9.2.7    A CLEC electing to exercise Method 5 shall perform all construction,
            cabling, and connection work required to reach the NEVADA manhole
            nearest the subject NEVADA Central Office, including the excess
            cable as outlined in 2.9.1.5. CLEC shall obtain all necessary rights
            of way, easements, and other third party permissions.

 2.9.2.8    CLEC shall be responsible for initial testing and sectionalization
            of facilities containing CLEC installed cross connects.

 2.9.2.9    CLEC shall refer trouble sectionalized in the NEVADA UNE to NEVADA.

 2.9.2.     10 Prior to NEVADA providing access to UNEs under this Appendix,
            CLEC and NEVADA shall provide each other with a point of contact for
            overall coordination.

 2.9.2.11   CLEC shall provide all tools and materials required to place and
            remove the cross connects necessary to combine and disconnect UNEs.

 2.9.2-12   All tools, procedures, and equipment used by CLEC to connect to
            NEVADA's network shall comply with technical standards set out in
            NEVADA"s Technical Publication- Access to UNEs for CLECs, to reduce
            the risk of damage to the network and customer disruption.

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<PAGE>

 2.9.2.13   CLEC shall be responsible for CLEC's p ersonnel observing NEVADA's
            site rules and regulations, including but not limited to safety
            regulations and security requirements, and for working in harmony
            with others while present at the site. If NEVADA for any reasonable
            and lawful reason requests CLEC to discontinue furnishing any person
            provided by CLEC for performing work on NEVADA's premises, CLEC
            shall immediately comply with such request. Such person shall leave
            NEVADA's premises promptly, and CLEC shall not furnish such person
            again to perform work on NEVADA's premises without NEVADA's consent.

               2.9.2.14 CLEC shall provide positive written acknowledgment that
                    the requirements stated in Section 2.9.2.13 have been
                    satisfied for each employee requiring access to NEVADA
                    premises and/or facilities. NEVADA identification cards will
                    be issued for any CLEC employees who are designated by CLEC
                    as meeting the necessary requirements for access. Entry to
                    NEVADA premises will be granted only to CLEC employees with
                    such identification.

 2.9.2.15   CLEC shall designate each network element being ordered from NEVADA.
            CLEC shall provide an interface to receive assignment information
            from NEVADA regarding location of the extended UNEs. This interface
            may be manual or mechanized.

 2.9.2.16   NEVADA will provide CLEC with contact numbers as necessary to
            resolve assignment conflicts encountered. All contact with NEVADA
            shall be referred to such contact numbers.

2.9.2.17    The CLEC shall provide its own administrative telecommunication
            service at each facility and all materials needed by CLEC at the
            work site. The use of Cellular Telephones is not permitted in NEVADA
            equipment areas.

 2.9.2.18   Certain construction and preparation activities may be required to
            modify a building or prepare the premises for access to Unbundled
            Network Elements.

 2.9.2.18.1   Where applicable, a one time preparation charge for modifying a
              building or preparing the premises will be made on an individual
              case basis (ICB). Within 30 days of a request by a CLEC, NEVADA
              will provide an initial estimate of time for preparing the ICB.

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<PAGE>

 2.9.2.18.2   NEVADA will contract for and perform the construction and
              preparation activities using same or consistent practices that are
              used by NEVADA for other construction and preparation work
              performed in the building.

 2.9.2.18.3   The first entity to which NEVADA provides access to Unbundled
              Network Elements the building shall be responsible for all costs
              incurred by NEVADA associated with the preparation of the building
              to provide access to Unbundled Network Elements in the initial
              space where access to Unbundled Network Elements is to be located
              ("Initial Common Charge"). Thereafter the Initial Common Charge
              will be prorated and the prorated share refunded to the previous
              CLEC(s) as additional entities use access to Unbundled Network
              Elements in the building within twelve (12) months of the first
              billing date of the initial monthly charge for the first CLEC in
              the building, using the following

              schedule:

     CLEC               Initial Common Charge              Refund

       1st                           100%                     NA
       2 nd                           50%                     50%
       3rd                          33 1/3%                 16 2/3%
       4 th                           25%                    81.3%
50 and beyond                         0%                      0%

No interest will be paid on refunds. Refunds shall be based on the Initial
Common Charge actually paid by the first CLEC. Notwithstanding the above, NEVADA
shall have no obligation to remit any amount that would result in NEVADA being
unable to retain the full amount of the Initial Common Charge or to remit any
amount based upon charges not actually collected.

2.9.2.18.4    In the event that any charge is not paid when due, the unpaid
              amounts shall bear interest in accordance with the terms and
              conditions set forth in NEVADA" intrastate tariff late payment
              provision(s) applicable to access services in Nevada, or the
              highest rate permitted by law, whichever is lower, from the due
              date until paid.

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2.10     Additional Network Elements

 2-10.1  Various subsections below list the Unbundled Network Elements that CLEC
         and NEVADA have identified as of the Effective Date of this Agreement.
         Upon request, NEVADA will provide access to additional Unbundled
         Network Elements or modifications to previously identified Unbundled
         Network Elements for the provision by CLEC of a Telecommunications
         Service. Such requests shall be processed in accordance with the Bona
         Fide Request process as described in Section 2.13 below.

               2.10.2 NEVADA will provide access to network elements on an
                    unbundled basis where technically feasible. Where facilities
                    and equipment are not available, NEVADA shall not be
                    required to provide UNEs. Provided however, CLEC may request
                    and NEVADA may agree, at its sale discretion, to provide
                    Unbundled Network Elements, even where facilities do not
                    exist, through the Bona Fide Request process.

2.11     Provisioning/Maintenance Of Network Elements

 2.11.1  Access to Unbundled Network Elements are provided under this agreement
         over such routes, technologies, and facilities as NEVADA may elect at
         its own discretion. If CLEC requests special facilities, equipment or
         routing of Unbundled Network Elements, such requests will be handled
         under the Bona Fide Request process.

 2.11.2  Subject to the terms herein, NEVADA is responsible only for the
         installation, operation and maintenance of the Network Elements it
         provides. NEVADA is not otherwise responsible for the
         Telecommunications Services provided by CLEC through the use of those
         elements.

 2.11.3  Where unbundled elements provided to CLEC are dedicated to a single End
         User, if such elements are for any reason disconnected they will be
         made available to NEVADA for future provisioning needs, unless such
         element is disconnected in error. CLEC agrees to relinquish control of
         any such unbundled element concurrent with the disconnection of CLEC's
         End User service.

2.11.4   CLEC shall make available at mutually agreeable times the elements
         provided pursuant to this Appendix in order to permit NEVADA to make
         tests and adjustments appropriate for maintaining the elements in

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          satisfactory operating condition. No credit will be allowed for any
          interruptions involved during such testing and adjustments.

2.1      1.5 CLEC's use of any NEVADA network element, or of its own equipment
         or facilities in conjunction with any NEVADA network element, will not
         materially interfere with or impair service over any facilities of
         NEVADA, its affiliated companies or its connecting and concurring
         carriers involved in its services, cause damage to their plant, impair
         the privacy of any communications carried over their facilities or
         create hazards to the employees of any of them or the public. Upon
         reasonable written notice and opportunity to cure, NEVADA may
         discontinue or refuse service if CLEC violates this provision, provided
         that such termination of service will be limited to CLEC's use of the
         element(s) causing the violation.

2.11.6 When a NEVADA provided tariffed or resold service is replaced by CLEC's
     facility based service using any NEVADA provided Unbundled Network Elements
     (including service provided exclusively via NEVADA provided UNE(s)), CLEC
     shall issue appropriate service requests in accordance with OBF guidelines,
     to both disconnect the existing service and new connect service to CLEC's
     End User. These disconnect/new connect requests will be processed by
     NEVADA, and CLEC will be charged the applicable UNE service order
     charge(s). Similarly, when an End User is served by one CLEC using NEVADA
     provided UNEs, the requesting CLEC shall issue appropriate service requests
     in accordance with OBF guidelines to both disconnect the existing service
     and new connect service to the requesting CLEC's End User. These
     disconnect/new connect requests will be processed by NEVADA and CLEC will
     be charged the applicable service order charge(s).

2.11.7   Unbundled Network Elements may not be connected to or combined with
         NEVADA access services or other NEVADA tariffed service offerings with
         the exception of tariffed collocation services.

2.12     Performance of Network Elements

         Nothing in this Agreement will limit either Party's ability to modify
         its network through the incorporation of new equipment, new software or
         otherwise. Each Party will provide the other Party written notice of
         any such upgrades in its network which will materially impact the other
         Party's service consistent with the timelines established by the FCC in
         the Second Report and Order, CC Docket 96-98. CLEC will be solely
         responsible, at its own expense, for the overall design of its
         telecommunications services and for any redesigning or rearrangement of
         its telecommunications; services which may be required because of
         changes in

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facilities, operations or procedure of NEVADA, minimum network protection
criteria, or operating or maintenance characteristics of the facilities.

2.13 Bona Fide Request

         Various sections below identify specific Unbundled Network Elements and
         provide the terms and conditions on which NEVADA will offer them to
         CLEC. Any request by CLEC for an additional Unbundled Network Element,
         or modifications to previously identified Network Elements, may be
         considered under this Bona Fide Request ("BFR") process, also known as
         the Interconnection and Network Element Request ("MR") process. Where
         facilities and equipment are not available, CLEC may request and NEVADA
         may, at its sole discretion, agree to provide Network Elements through
         the BFR process.

2.13.1 Each Party will promptly consider and analyze access to new Unbundled
     Network Element(s) with the submission of a Network Element Bona Fide
     Request hereunder. The Network Element Bona Fide Request process set forth
     herein does not apply to those services requested pursuant to Report &
     Order and Notice of Proposed Rulemaking 91-141 (reel. Oct. 19, 1992)
     paragraph 259 and n. 603 and subsequent rulings.

 2.13.2     A Network Element Bona Fide Request will be submitted in writing and
            will include an adequate technical description of each requested
            Network Element to determine technical feasibility and development
            requirements, the date when interconnection is requested and the
            projected quantity of interconnection points ordered with a demand
            forecast.

 2.13.3     The requesting Party may cancel a Network Element Bona Fide Request
            at any time, but will pay the other Party's reasonable and
            demonstrable costs of processing and/or implementing the Network
            Element Bona Fide Request up to the date of cancellation.

 2.13.4     Within ten (10) business days of its receipt, the receiving Party
            will acknowledge receipt of the Network Element Bona Fide Request.

 2.13.5     Except under extraordinary circumstances, within forty-five (45)
            days of its receipt of a Network Element Bona Fide Request, the
            receiving Party will provide to the requesting Party a preliminary
            analysis of such Network Element Bona Fide Request. The preliminary
            analysis will confirm that the receiving Party will offer access to
            the Network Element or will provide a detailed explanation that
            access to the Network Element is not technically feasible and/or
            that the request does

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not qualify as a Network Element that is required to be provided under the Act.

2.13.6     If the receiving Party determines that the Network Element Bona Fide
           Request is technically feasible and otherwise qualifies under the
           Act, it will promptly proceed with developing the Network Element
           Bona Fide Request upon receipt of written authorization from the
           requesting Party. When it receives such authorization, the receiving
           Party shall promptly develop the requested services, determine their
           availability, calculate the applicable prices and establish
           installation intervals.

 2.13.7     Unless the Parties otherwise agree, the Network Element Bona Fide
            Request must be priced in accordance with Section 252(d)(1) of the
            Act.

 2.13.8     As soon as feasible, but not more than ninety (90) days after its
            receipt of authorization to proceed with developing the Network
            Element Bona Fide Request, the receiving Party shall provide to the
            requesting Party a Network Element Bona Fide Request quote which
            will include, at a minimum, a description of each Network Element,
            the availability, the applicable rates and the installation
            intervals.

2.13.9     Within thirty (30) days of its receipt of the Network Element Bona
           Fide Request quote, the requesting Party must either confirm its
           order for the Network Element Bona Fide Request pursuant to the
           Network Element Bona Fide Request quote, or cancel the Network
           Element Bona Fide Request and pay the costs of the receiving Party
           pursuant to Section 2.13.3 above, or seek arbitration by the
           Commission pursuant to Section 252 of the Act.

                  2.13.10    If a Party to a Network Element Bona Fide Request
                             believes that the other Party is not requesting,
                             negotiating or processing the Network Element Bona
                             Fide Request in good faith, or disputes a
                             determination, or price or cost quote, such Party
                             may seek mediation or arbitration by the Commission
                             pursuant to Section 252 of the Act.

3.       NETWORK INTERFACE DEVICE

CLEC may connect its local loops to customer's inside wiring through NEVADA's
NID and an adjoining NID deployed by requesting carrier (47 CFR Section
51.319(b)(2)).

 3.1      The Network Interface Device ("NID") is a cross-connect used to
          connect loop facilities to inside wiring. The fundamental function of
          the NID is to establish the official network demarcation point between
          a carrier and its end-user customer. The NID contains the appropriate
          and accessible connection points or posts to

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          which the service provider and the end-user customer each make its
          connections. (Note: If CLEC purchases a NEVADA Loop, a separate NID
          will not be required.)

3. 1.1 Under this Agreement, NEVADA shall offer two general types of NIDs:

3.1.1.1 Simple NID

           A Simple NID is a standard network interface ("SNI") the use of which
           permits the End User's inside wiring to be isolated from NEVADA's
           network.

3.1.1.2 Complex NID

           A Complex NID is a building terminal where an End User's inside
wiring terminates on NEVADA's network.

3.2      CLEC will provide its own NID and will interface to the customer's
         premises wiring through connections in the customer chamber of the
         NEVADA NID.

3.3      Unless requested by CLEC, no coordination is provided. If CLEC requests
         coordination, Additional Labor Billing charges will be applied if
         NEVADA incurs these costs as a result of CLEC request, as specified in
         NEVADA's tariff P.S.C.N. C, Section 13. In addition, unless otherwise
         agreed by CLEC and NEVADA, neither Party shall access the network side
         of the other Party's ND:) unless the owning Party's service technician
         is present, or unless the owning Party has already made the necessary
         modifications to isolate its network.

3.3.1    Upon request, NEVADA will dispatch a technician to tag the End User's
         inside wire facilities on the End User's side of the NID. In such
         cases, a Premise Visit charge shall apply as specified in Appendix
         PRICING, as a Dispatch without Installation of NID.

3.4      The NEVADA NIDs that CLEC uses under this Appendix will be existing
         NIDs installed by NEVADA to serve its customers.

3.5      CLEC shall not attach to or disconnect NEVADA's ground. CLEC shall not
         cut or disconnect NEVADA's loop from its protector. CLEC shall not cut
         any other leads in the NID. CLEC shall protect all disconnected leads
         with plastic sleeves and will store them within the NID enclosure. CLEC
         shall tighten all screws or lugs loosened by CLEC in the NID's
         enclosure and replace all protective covers.

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4.       LOCAL LOOP/LINK

4.1      A "loop" (a.k.a. Link) is a dedicated transmission facility between a
         distribution frame (or its equivalent) in a NEVADA central office and
         an End User customer premises. (47 CFR Section 51.319(a)) (Note: If
         CLEC purchases a NEVADA Loop, a separate NID will not be required).

4.2  NEVADA will provide at the rates, terms, and conditions set out in Appendix
     PRICING the following types of Loops:

4.2.1    2-Wire Analog Loop
         A 2-Wire Analog Loop supports analog voice frequency, voice band
         services with loop start signaling with the frequency spectrum of
         approximately 300 Hz and 3000 Hz.

4.2.1.1      NEVADA will offer 5dB conditioning on a 2-Wire Analog Loop as the
             standard conditioning option available for ground start signaling
             and Reverse Battery.

4.2.2    4-Wire Analog Loop
         A 4-Wire Analog Loop provides a non-signaling voice band frequency
         spectrum of approximately 300 Hz to 3000 Hz. The 4-Wire Analog Loop
         provides separate transmit and receive paths.

4.2.3    2-Wire Digital Loop
         A 2-Wire Digital Loop supports Basic Rate ISDN ("BRI") digital
         services. The 2-Wire Digital Loop supports usable bandwidth up to 160
         Kbps.

4.2.3.1     A Facility(ies) Request Form must be processed by NEVADA for each
            new 2-Wire Digital Loop ordered to assure the facilities meet the
            parameters specified for such loop type. The Facility Request Form
            rate will be billed to CLEC as displayed in Appendix PRICING for
            each loop analyzed.
4.2.3.2     If the results of the Facility(ies) Request analysis indicates that
            special conditioning (i.e., add mid-span repeater) is required to
            meet the parameters for this type of Loop, CLEC will be notified
            before commencement of the work. If CLEC authorizes the installation
            of the loop conditioning, CLEC will be billed the ISDN loop
            conditioning charge(s) as displayed in Appendix

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PRICING i addition to normal monthly and nonrecurring charges for the loop.

         4.2.4 4-Wire Digital Loop

          A 4-Wire Digital Loop supports DS-1 digital services including Primary
          Rate ISDN ("PRI"). The 4-Wire Digital Loop supports usable bandwidth
          up to 1.544 Mbps.

4.3  CLEC may request additional loop types and conditioning pursuant to the
     Bona Fide Request process.

4.4  If CLEC requests one or more unbundled Loops serviced by Integrated Digital
     Loop Carrier ("IDLC") NEVADA will, where available, move the requested
     unbundled Loop(s) to a spare, existing physical or a universal digital loop
     carrier unbundled Loop at no additional charge to CLEC. If, however, no
     spare unbundled Loop is available, NEVADA will within two (2) business
     days, excluding weekends and holidays, of CLEC's request, notify CLEC of
     the lack of available facilities. CLEC may request alternative arrangements
     through the Bona Fide Request process.

4.5      Project Service Coordination

         The following coordination procedures apply only to Loops ordered as a
         project (seven (7) or more lines to a single End User's Minimum Point
         of Entry ("MPOE") at locations where cutover coordination is related:

4.5.1    On each Loop order in a Wire Center, CLEC will contact NEVADA and the
         Parties will agree on a cutover time at least two (2) business days
         before that cutover time. The cutover time will be defined as a half
         (1/2) hour window (normally provisioned from 8 am. to 5 p.m. Monday
         through Friday), within which both CLEC and NEVADA personnel will make
         telephone contact to begin the cutover activity. Coordination for Loops
         meeting the definition of a project will be provided by the Parties at
         no charge unless NEVADA incurs additional costs to accommodate CLEC's
         request. Cutover activity which is requested to take place outside of
         normal business hours (8 a.m. to 5 p.m. Monday through Friday) will be
         billed as described in NEVADA's Tariff P.S.C.N. C, Section 13.

4.5.2    Within the appointed half (1/2) hour cutover time, CLEC will call
         NEVADA's Local Operations Center ("LOC"), and when the LOC is reached
         in that interval, such work will begin. If CLEC fails to call or is not
         ready within the appointed interval, and if CLEC had not called to
         reschedule the work at least two (2) hours prior to the start of the
         interval,

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                  CLEC and NEVADA will reschedule the work. order on a mutually
                  negotiated basis and CLEC will pay the Service Date Change
                  charge as set forth in NEVADA's Tariff P.S.C.N. C, Section 5
                  to reschedule the appointment.

         4.5.3    If NEVADA's LOC is not available or ready when CLEC calls
                  during the half (1/2) hour interval, NEVADA will not bill the
                  Service Date Change charge for the Loop or Loops scheduled for
                  that interval and will reschedule the installation on a
                  mutually negotiated basis.

4.6      Forecasts

         For the first six (6) months after CLEC's first order for a Loop, CLEC
         shall provide to NEVADA forecasts of the number of loops at the LATA
         level. Thereafter, CLEC shall make a good-faith effort to provide such
         forecasts to NEVADA at a Wire Center level. This includes associated
         additional line ("ADL") requirements when NEVADA's primary residential
         POTS service is not to be disconnected in the establishment of loop
         service. CLEC shall provide such

         forecasts to NEVADA on a semi-annual basis.

5.       LOCAL SWITCHING

5.1  The local switching element encompasses line-side and trunk-side facilities
     plus the features, functions and capabilities of the switch. The line side
     facilities include the connection between a loop termination at, for
     example, a main distribution frame ("MDF"), and a switch line card.
     Trunk-side facilities include the connection between, for example, hunk
     termination at a trunk-side cross connect panel and a trunk card. The local
     switching element includes all features, functions, and capabilities of the
     local switch, including but not limited to the basic switching function of
     connecting lines to lines, lines to trunks, trunks to lines and trunks to
     trunks. It also includes the same basic capabilities that are available to
     NEVADA customers, such as a telephone number and dial tone. In addition,
     the local switching element includes access to features that NEVADA uses or
     is authorized to use in that switch, including Custom Calling, CLASS
     features, and Centrex-like capabilities.

 5.2     Until such time that a CLEC purchases unbundled Local Switching and
         elects to provide customized routing for local calls to its customers,
         NEVADA will route local calls as defined by the exchange dialing plan.
         Where CLEC elects to provide customized routing for local calls, NEVADA
         will provide the functionality and features required to route all
         multiple switch local calls from CLEC End Users to CLEC designated,
         dedicated trunks. Intraswitch local calls will continue to be routed
         via NEVADA intraoffice facilities. CLEC custom routed local calls will
         be routed based on the class of call. All CLEC Local Interconnection
         Trunk Group(s) are dedicated and will not overflow to the

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NEVADA network for call completion. A single customized routing configuration
will be provided for all of CLEC's customers in an individual switch.
Implementation of CLEC customized local interconnection routing arrangements
will be on a project-specific basis as mutually agreed by the Parties.

 5.2.1   An End Office Dedicated DS-1 Trunk Port provides CLEC with dedicated
         hunk access on NEVADA's trunk side of an End Office Switch at a DS-1
         level.

 5.2.2   A Tandem Dedicated DS-1 Trunk Port provides CLEC with dedicated trunk
         access on NEVADA's trunk side of a Tandem Switch at a DS-1

         level.

5.3      When CLEC uses unbundled Local Switching, NEVADA will route interLATA,
         interstate and international calls via CLEC End User's presubscription
         or casually dialed interLATA carrier. Until such time that intraLATA
         presubscription is deployed in conjunction with interLATA relief,
         NEVADA will route intraLATA toll calls as defined by the exchange
         dialing plan when CLEC uses Local Switching elements. When intraLATA
         presubscription is deployed, NEVADA will route intraLATA toll calls to
         CLEC End User's presubscribed or casually dialed intraLATA carrier.

 5.4 When CLEC purchases unbundled Local Switching, NEVADA's Local Switching
element will route:

(a)  local calls on NEVADA's shared network to the appropriate trunk or lines
     for call origination or termination; and

(b)  toll calls on NEVADA's common network to the appropriate trunk or lines for
     call origination or termination.

5.5      Where CLEC purchases unbundled Local Switching ("ULS") and elects to
         provide Directory Assistance and/or Operator Services to its customers
         through its own or third party Directory Assistance and/or Operator
         Services platforms, NEVADA will provide the functionality and features
         required to route calls from CLEC customers for local Directory
         Assistance (i.e., DA calls dialed within the customer's NPA) and/or
         Operator Services to CLEC designated, dedicated trunks for the
         provision of CLEC Directory Assistance and/or Operator Services as
         agreed to by the Parties.

 5.5.1   Trunk signaling will be appropriate to the technology used to provide
         access to CLEC Directory Assistance and/or Operator Services Platform.
         All CLEC Directory Assistance and Operator Services trunk group(s) will
         be dedicated final and will not overflow to NEVADA's network for call

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completion. A single customized routing configuration will be provided for all
of CLEC's customers in an individual switch. Implementation of CLEC customized
Directory Assistance and/or Operator Services routing arrangements will be on a
project-specific basis as mutually agreed by the Parties.

         5.5.2    Charges are dependent upon switch type and include Switching
                  Establishment in addition to the Customized Routing charges to
                  be determined on a project specific basis outlined in Section
                  5.2 above.

5.6  NEVADA will provide the Local Switching element only with standard central
     office treatments (e.g., busy tones, vacant codes, fast busy, etc.),
     supervision and announcements.

5.7      NEVADA will control congestion points such as those caused by radio
         station call-ins, and network routing abnormalities, using capabilities
         such as Automatic Call Gapping, Automatic Code Gapping, Automatic
         Congestion Control, and Network Routing Overflow. CLEC agrees to
         respond to NEVADA's notifications regarding network congestion.

5.8      NEVADA will provide switch interfaces to adjuncts in the same manner it
         provides them to itself CLEC requests for use of NEVADA's adjuncts will
         be handled through the Bona Fide Request process.

5.9      In ordering BILLS, CLEC will designate the features and functions that
         are to be activated on a particular unbundled switch port. NEVADA will
         provide features to the extent such features and functions are
         available or as may be requested by the Bona Fide Request process.

5.10.    Switch Ports

          5.10.1 Analog Line Port

                   An Analog Line Port is a line side switch connection
                   available in either a loop or ground start signaling
                   configuration used primarily for Switched voice
                   communications.

5. 10.2 ISDN- Basic Rate Interface ("BRI") Port

         An ISDN BRI Port is a line side switch connection which provides ISDN
Basic Rate Interface ("BR") based capabilities.

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5.11     Basic Switching Functions

         5.11.1 Interoffice - Originating

                  When any call originates from an ULS Port and is routed to
                  NEVADA's public network via a connection to unbundled
                  transport, CLEC will pay the Interoffice -Originating rates.
                  Interoffice - Originating rate elements include a charge for
                  Setup per Attempt and a charge per Minute of Use ("MOU").
                  Charges for unbundled transport as outlined in Section 8 below
                  will also apply.

5.11.2   Interoffice - Terminating

         When a call that has been routed through NEVADA's public network
         terminates to an ULS Port, CLEC will pay Interoffice - Terminating.

         Interoffice - Terminating rate elements include a charge for Setup per
Call and a charge per MOU.

5.11.3   Intraoffice

         CLEC will pay Intraoffice Setup per Call and per MOU for a call
         originating from a CLEC ULS line or trunk port that terminates to a
         NEVADA end user service line or any other unbundled line or trunk port
         which is connected to the same end office switch.

         5.12 Forecasts

                  At the time that CLEC first orders unbundled Switch Ports,
                  CLEC shall provide to NEVADA forecasts of the number of such
                  unbundled Switch Port arrangements (quantities of lines and
                  trunks) at an End Office level. Thereafter, CLEC shall provide
                  such forecasts to NEVADA on a semi-annual basis.

6.       TANDEM SWITCHING

6.1      Tandem Switching is defined as:

(a)      trunk-connect facilities, including but not limited to the connection

         between trunk termination at a cross-connect panel and a switch trunk
         card;

(b)      the basic switching function of connecting trunks to trunks; and

(c)      all technically feasible functions, that NEVADA uses or is authorized
to

         use, that are centralized in tandem switches (as distinguished from

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                           separate end-office switches), including but not
                           limited to call routing, call recording, and
                           signaling conversion features.

                           6.1.1    Tandem Switching will provide trunk-to-trunk
                                    connections for local calls between two end
                                    offices.

                           6.1.2    To the extent all signaling is SS7, Tandem
                                    Switching will preserve CLASS/LASS features
                                    and Caller ID as traffic is processed.
                                    Additional signaling information and
                                    requirements are provided in Section 9 of
                                    this Appendix..

                  Tandem Switching rate elements include a charge for Setup Per
Call and a charge Per MOU.

         6.2      Forecasts

                  At the time that CLEC first orders Tandem Switching, CLEC
                  shall provide to NEVADA forecasts of the number of such Tandem
                  Switching arrangement's (quantities of trunks) at a central
                  office level. Thereafter, CLEC shall provide such forecasts to
                  NEVADA on a semi-annual basis.

7.       OPERATOR SERVICES AND DIRECTORY ASSISTANCE

         NEVADA will provide access to operator service and directory assistance
         facilities where technically feasible. (47 CFR Section 51.319(g)). In
         addition, Operator Services and Directory Assistance ("OS/DA~) are
         available as described in Appendix DA, and Appendix OS.

8.       INTEROFFICE TRANSPORT

         The Interoffice Transport network element is defined as NEVADA's
         interoffice transmission facilities dedicated to a particular customer
         or carrier, or shared by more than one customer or carrier, that
         provides telecommunications between wire centers owned by NEVADA or
         CLEC or third parties acting on behalf of CLEC, or between switches
         owned by NEVADA or CLEC or third parties acting on behalf of CLEC.
         Interoffice Transport includes Common Transport, Shared Transport, and
         unbundled Dedicated Transport, which is comprised of interoffice
         transport, Entrance Facilities, DCS, and Multiplexing.

         NEVADA will be responsible for the engineering, provisioning, and
         maintenance of the underlying equipment and facilities that are used to
         provide Interoffice Transport.

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8.1      Common Transport

         Common Transport is an interoffice transmission path between a NEVADA
         tandem and a NEVADA end office. Common Transport will allow CLEC access
         to a transmission facility to transport the toll call dialed by the
         unbundled Local Switching element to its destination through the use of
         NEVADA's common transport network. Common Transport is charged on a
         Minute-of-Use basis (both fixed and per mile), as outlined in Appendix
         PRICING.

8.2      Shared T
                -

                    Transport

         Shared Transport is an interoffice transmission path between NEVADA End
         Offices. Shared Transport will allow CLEC access to a transmission
         facility to transport the local call dialed by the unbundled Local
         Switching element to its destination through the use of NEVADA's shared
         transport network. Shared Transport is charged on a Minute-of-Use basis
         (both fixed and per mile), as outlined in Appendix PRICING.

8.3      Dedicated Transport

8.3.1    Dedicated Transport is an interoffice transmission path dedicated to a
         particular customer or carrier that provides telecommunications between
         wire centers owned by NEVADA or CLEC, or between switches owned by
         NEVADA or CLEC. Dedicated Transport includes the following rate
         elements:

(a)      Interoffice Transport Fixed - Billed per termination at each

         NEVADA end office.

(b)      Interoffice Transport Variable - Billed per mile for the transmission

         path which extends between each NEVADA end office.

(c)      Entrance Facility - Applies from NEVADA's wire center (serving

         wire center) to the CLEC's location.

(d)      Multiplexing - Applies when CLEC orders multiplexing.

(e)      Digital Cross Connect System ("DCS") - NEVADA will offer access to
         Digital Cross-Connect System(s) ("DCS") in conjunction with the
         unbundled dedicated transport element with the same functionality that
         is offered to interexchange carriers.

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8.3. 1.1 NEVADA will offer Dedicated Transport as a circuit (e.g., DS-1, DS-3)
     dedicated to CLEC.

 8.3.1.2    NEVADA will provide Dedicated Transport at the following speeds:
            DS-1 (1,544 Mbps), and DS-3 (45 Mbps). Availability of unbundled
            transport services at transmission rates other than those provided
            in Appendix PRICING are subject to CLEC's request according to
            Section 2.13 of this Appendix.

8.3.2 See Appendix PRICING for rate elements for Interoffice Transport.

          8.4     Forecasts

                  For the fast six (6) months after CLEC's first order for
                  unbundled Dedicated Transport, unbundled Entrance Facilities,
                  or Digital Cross-Connect System, CLEC shall provide to NEVADA
                  forecasts of the number of such unbundled
                  Transport/interoffice/Entrance Facilities/DCS
                  arrangements/multiplexing at a LATA level. Thereafter, CLEC
                  shall make a good faith effort to provide such forecasts to
                  NEVADA at a wire center level. CLEC shall provide such
                  forecasts to NEVADA on a semi-annual basis.

9.       SIGNALING NETWORKS AND CALL-RELATED DATABASES

         Signaling Networks and Call-Related Databases are Network Elements that
         include Signaling Link Transport, Signaling Transfer Points, Service
         Control Points, and CallRelated Databases. Access to NEVADA's signaling
         network and call related databases will be provided as described in the
         following Appendices: SS7, 800, and AIN.

10.      OPERATIONS SUPPORT SYSTEMS FUNCTIONS

         Operations Support Systems Functions consist of pre-ordering, ordering,
         provisioning, maintenance and repair, and billing functions supported
         by NEVADA's databases and information. NEVADA will provide CLEC access
         to its Operations Support Systems Functions as outlined in Appendix
         OSS.

11.      CROSS-CONNECTS

The cross connect is the media between the NEVADA distribution frame and a CLEC
designated point of access as described in Section 2.5 above.

11.1     The applicable loop cross connects are as follows:

(a)      2-wire analog loop to point of access;

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(b)      4-wire analog loop to point of access;
(c)      2-wire digital loop to point of access; and

         (d)      4-wire digital loop to point of access.

11.2 The applicable unbundled Dedicated Transport cross connects are as follows:

(a)      DS- I to point of access; and

(b)      DS-3 to point of access.

11.3     The applicable Switch Port cross connects are as follows:

(a)      Analog Line Port to point of access;

                  (b)      ISDN BRI Port to point of access.

12.      PRICING

 12.1    Attached hereto as Appendix PRICING is a schedule which reflects the
         prices at which NEVADA agrees to provide CLEC with access to Unbundled
         Network Elements. CLEC agrees to compensate NEVADA for Unbundled
         Network Elements at the terms and conditions contained in this
         Appendix. Unbundled Network Elements are available from NEVADA on a per
         Unbundled Network Element basis at prices as contained in Appendix
         PRICING.

          12.1.1  For any rate element and/or charge contained in or referenced
                  to in this Appendix that are not listed in the attached
                  Appendix PRICING, including Bona Fide Requests, NEVADA and
                  CLEC will negotiate prices.

12.2     Unless otherwise stated, NEVADA will render a monthly bill for Network
         Elements provided hereunder. Remittance in full will be due within
         thirty (30) days of receipt of invoice. Interest will apply on overdue
         amounts.

12.3     Recurring Charges

12.3.1 Unless otherwise listed below, where Rates are shown as monthly, a month
     will be defined as a calendar month. The minimum term for each monthly
     rated element will be one (1) month. After the initial month, billing will
     be on the basis of whole or fractional months used. The

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         minimum service period for elements provided under the Bona Fide
Request process may be longer.

 12.3.2  Where rates are based on minutes of use, usage will be accumulated at
         the end office or other measurement point without any per call rounding
         and total minutes by end office are rounded to the next higher minute.
         CLEC shall pay for all usage on such calls including those that are not
         completed due to busy or don't answer conditions.

12.3.3 Where rates are based on miles, the mileage will be calculated on the
     airline distance involved between the locations. To determine the rate to

         be billed, NEVADA will first compute the mileage using the V&H

         coordinates method, as set forth in the National Exchange Carrier
         Association, Inc. Tariff FCC No 4. When the calculation results in a
         fraction of a mile, NEVADA will round up to the next whole mile before
         determining the mileage and applying rates.

12.4     Nonrecurring Charges

 12.4.1  Consistent with CFR 51.307(d), there are nonrecurring charges for each
         Unbundled Network Element on the first connection on a CLEC order as
         well as separate nonrecurring charges for each additional connection
         associated with the same CLEC order at the same CLEC specified
         premises.

12.4.2   The appropriate nonrecurring charges shall apply for each service
         request processed by NEVADA, including but not limited to the
         following:

(a)      installation (Service Order and Connect);

(b)      disconnection (Disconnect);

(c)      rearrangement/modification (Change); or

(d)      cancellation (per NEVADA's tariff P.S.C.N. C, Section 5).

12.5     Maintenance of Elements

12.5.1 The network elements provided by NEVADA pursuant to this Appendix will be
maintained by NEVADA.

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12.5.2   If trouble occurs with Unbundled Network Elements provided by NEVADA,
         CLEC will first determine whether the trouble is in CLEC's own
         equipment and/or facilities or those of the End User. If CLEC
         determines the trouble is in NEVADA's equipment and/or facilities, CLEC
         will issue a trouble report to NEVADA.

12.5.3   CLEC will pay Additional Labor charges when CLEC reports a suspected
         failure of a network element and NEVADA dispatches personnel to the End
         User's premises or a NEVADA central office and trouble was not caused
         by NEVADA's facilities or equipment. Additional Labor charges will
         include all technicians dispatched, including technicians dispatched to
         other locations for purposes of testing. Rates for Additional Labor
         will be billed pursuant to NEVADA's tariff P.S.C.N. C, Section 13.

12-5.4 CLEC shall pay Additional Labor charges when NEVADA dispatches personnel
     and the trouble is in equipment or communications systems provided by an
     entity other than NEVADA or in detariffed CPE provided by NEVADA.

12.5.5   If CLEC issues a trouble report allowing NEVADA access to the End
         User's premises and NEVADA personnel are dispatched but denied access
         to the premises, then Additional Labor charges will apply for the
         period of time that NEVADA personnel are dispatched.

12.5.6   Additional Labor charges apply on a first and additional basis for each
         half hour or fraction thereof. If more than one technician is
         dispatched in conjunction with the same trouble report, the total time
         for all technicians dispatched will be aggregated prior to the
         distribution of time between the "First Half Hour or Fraction Thereof'
         and "Each Additional Half Hour or Fraction Thereof' rate categories.
         Basic Time is work related efforts of NEVADA performed during normally
         scheduled working hours on a normally scheduled work day. Overtime is
         work related efforts of NEVADA performed on a normally scheduled work
         day, but outside of normally scheduled working hours. Premium Time is
         work related efforts of NEVADA performed other than on a normally
         scheduled work day.

12-5.7   If CLEC requests or approves a NEVADA technician to perform services in
         excess of or not otherwise contemplated by the nonrecurring charges
         herein, CLEC will pay for any additional work to perform such services,
         including requests for installation or conversion outside of normally
         scheduled working hours.

                                      340
<PAGE>

          12.6 Other Pricing Terms and Conditions for Unbundled Local Switching
          ("ULS")

 1-2.6.1 When CLEC purchases unbundled Local Switching, CLEC may also order
         available NEVADA vertical features that the switch is equipped to
         provide. CLEC will pay the monthly and nonrecurring charges for such
         features as listed in Appendix PRICING.

 12-6.2  Use of NEVADA's SS7 signaling network will be provided for unbundled
         local switching. CLEC does not separately order SS7 under this method.

 12.6.3  With unbundled Local Switching, NEVADA will make available features
         that require resources outside the switch, but CLEC will pay additional
         charges (e.g., TCAP messages, SS7 Signaling, database queries, etc.)
         for such features.

                                      341
<PAGE>

<TABLE>
<CAPTION>
<S>     <C>    <C>    <C>    <C>    <C>    <C>

  Analog Line Port            $31.60      $15.80    $64.85           $57.25     $24.50      $11.80        $89.35       $69.05
  BRI Port                    $31.60      $15.80    $64.85           $57.25     $24.50      $11.80        $89.35       $69.05
  PRI Port                    $31.60      $15.80    $104.15          $70.60     $53.40      $29.45       $167.60      $100.05
  Analog DID Port             $31.60      $15.80    $155.35         $148.80     $65.30      $52.60       $220.65      $201.40

                                                                                             ..........
                                                                                             ...

 Unbundled Dedicated                                                                 .....

  Voice Grade 2 Wire          $31.60      $15.80     $130.50       $122.95      $65.30      $52.60      $195.90      $175.55
  Voice Grade 4 Wire          $31.60      $15.80     $155.35       $148.80      $65.30      $52.60      $220.65      $201.40
  DS1                         $31.60      $15.80     $184.00       $143.70      $64.70      $47.40      $248.65      $191.10
  DS3                         ICB         ICB          Ice         ICB          ICB         ICB         Ice          ICB
  OC3                         IGB         Ice         Ice          Ice          Ice         ICB         Ice          ICB
  OC12                        ice         Ice          Ice         ICB          Ice         ICB         ICB          ICB
  OC48                        Ice         ICB          Ice         Ice          ICB         ICB         Ice          Ice

</TABLE>

                                      342
<PAGE>

APPENDIX WP

                                      343
<PAGE>

APPENDIX WP Page i of I NEVADA/PAC-WEST TELECOMM, INC.

                                     020898

TABLE OF CONTENTS

 1. SERVICE PROVIDED ...............................................1
    ----------------------------------------------------------------
 2. USE OF SUBSCRIBER LISTING INFORMATION ..........................2
        ------------------------------------------------------------
 3. PRICING ........................................................2
 4. ASSIGNMENT .....................................................3
    ----------------------------------------------------------------
 5. LIABILITY ......................................................3
    ----------------------------------------------------------------

 6.  BREACH OF CONTRACT ............................................4
     ---------------------------------------------------------------

                                      344
<PAGE>

                            APPENDIX WP
                                 Pagel of 4
NEVADA/PAC-WEST TELECOMM, INC.
                                 020898

APPENDIX WP

WHITE PAGES DIRECTORY APPENDIX

NEVADA and CLEC agree to the following terms and conditions for the printing and
distribution of White Pages directories:

(a)  NEVADA publishes White Pages directories for geographic areas in which CLEC
     also

         provides local exchange telephone service, and CLEC wishes to include
         listings information for its End Users in the appropriate NEVADA White
         Pages directories.

(b)  CLEC also desires distribution to its End Users of the White Pages
     directories that

         include listings of CLEC's End Users.

NOW THEREFORE, in consideration of these premises, NEVADA and CLEC agree as
follows:

1.       SERVICE PROVIDED

1.1  Subject to NEVADA's practices, as well as the rules and regulations
     applicable to

         the provision of White Pages directories, NEVADA will include in
         appropriate White Pages directories the primary alphabetical listings
         of all CLEC End Users located within the local directory scope. The
         rules, regulations and NEVADA practices are subject to change from time
         to time.

1.2  CLEC shall furnish to NEVADA, in a form acceptable to both Parties,
     subscriber

         listing information pertaining to CLEC End Users located within the
         local directory scope, along with such additional information as NEVADA
         may require to prepare and print the alphabetical listings of said
         directory.

1.3      CLEC may provide CLEC's subscriber listing information to NEVADA for

         inclusion in the White Pages directory via an electronic feed of the
         listing information to NEVADA's listing database. Upon receipt of a
         request from a third party directory publisher, including Pacific Bell
         Directory, for subscriber listing information, NEVADA will provide to
         that third party directory publisher CLEC subscriber's listing
         information on an alphabetically Interfiled (interspersed) basis and
         indistinguishable from NEVADA's subscriber listing information. CLEC is
         responsible in using all available information to validate CLEC's End
         User listings for the directory(ies) prior to the directory(ies)
         deadline.

1.4  CLEC must provide a Main Listing (whether the End User's number is to be
     published or non-published) for each end-user that requires delivery.
     NEVADA

                                      345
<PAGE>

will arrange for the delivery of local directories to CLEC end-users in
accordance with current practices.

1.5      Each CLEC subscriber will receive one copy of NEVADA's White Pages

         directory, and a Yellow Pages directory when cobound with the White
         Pages, in the same manner and at the same time that they are provided
         to NEVADA's subscribers.

 1.6     If CLEC's End User already has a current NEVADA directory, NEVADA shall
         not be required to deliver a directory to that End User until new
         directories are published for that End User's location.

         1.7      At CLEC's request, NEVADA will include CLEC specific
                  information (i.e., business office, residence office, repair
                  bureau, etc.) in the White Pages directory on an "index-type"
                  informational page. This page will also include specific
                  information pertaining to other CLECs. At its option, CLEC
                  shall provide NEVADA with its logo and information in the form
                  of a camera ready copy, sized at 1/8h of a page.

2.       USE OF SUBSCRIBER LISTING INFORMATION

CLEC authorizes NEVADA or its affiliated directory publisher to use the
subscriber listing information provided to NEVADA pursuant to this Appendix, for
inclusion in the appropriate printed directories and directory assistance
databases where such service is provided by NEVADA.

Note: NEVADA uses CLEC and NEVADA listings to update/publish the Directory
     Assistance Data Base and the WP directory(ies).

3.       PRICING

3.1  Additional Listing Services (e.g., foreign listings) can be purchased by
     CLEC for its End Users on a per listing basis. CLEC shall pay NEVADA for
     all such listings provided to CLEC's End Users. The rates for additional
     listing services described herein are identified in NEVADA's tariff rates
     as defined in P.S.C.N. A5.

 3.2     Where CLEC's End User requires additional listings to appear in the
         White Pages directory, NEVADA will assess CLEC a monthly charge for
         such listings at existing NEVADA tariff rates as defined in P.S.C.N.
         A5.

                                      346
<PAGE>

4.       ASSIGNMENT

         The subscriber listing information shall remain the property of CLEC.
         Except as stated in Section -a herein, NEVADA shall not sublicense,
         assign, sell or transfer the subscriber listing information provided
         hereunder, nor shall NEVADA authorize any other company, outside the
         Southwestern Bell Company family of companies, or any person to use the
         subscriber listing information for any other purpose. NEVADA shall take
         appropriate measures to guard against any unauthorized use of the
         listings provided to it hereunder (at least the same measures NEVADA
         takes to protect its own listings from unauthorized use), whether by
         NEVADA, its agents, employees or others.

5.       LIABILITY

5.1  CLEC hereby releases NEVADA from any and all liability for damages due to

         errors or omissions in CLEC's subscriber listing information as
         provided to NEVADA under this appendix, and/or CLEC's subscriber
         listing information as it appears in the White Pages directory,
         including, but not limited to, special, indirect, consequential,
         punitive or incidental damages.

 5.2     CLEC shall indemnify, protect, save harmless and defend NEVADA (or
         NEVADA's officers, employees, agents, assigns and representatives) from
         and against any and all losses, liability, damages and expense arising
         out of any demand, claim, suit or judgment by a third party in any way
         related to any error or omission in CLEC's subscriber listing
         information as it appears in the White Pages directory, including any
         error or omission related to non-published or nonlisted subscriber
         listing information. CLEC shall so indemnify regardless of whether the
         demand, claim or suit by the third party is brought jointly against
         CLEC and NEVADA, and/or against NEVADA alone. However, if such demand,
         claim or suit specifically alleges that an error or omission appears in
         CLEC's subscribers listing information in the White Pages directory,
         NEVADA may, at its option, assume and undertake its own defense, or
         assist in the defense of CLEC, in which event CLEC shall reimburse
         NEVADA for reasonable attorney's fees and other expenses incurred by
         NEVADA in handling and defending such demand, claim and/or suit.

 5.3     This Appendix shall not establish, be interpreted as establishing, or
         be used by either party to establish or to represent their relationship
         as any form of agency, partnership or joint venture. Neither party
         shall have any authority to bind the other or to act as an agent for
         the other unless written authority, separate from this Appendix, is
         provided. Nothing in the Appendix shall be construed as providing for
         the sharing of profits or losses arising out of the efforts of either
         or both of the Parties. Nothing herein shall be construed as making
         either Party responsible or liable for the obligations and undertakings
         of the other Party.

                                      347
<PAGE>

6.       BREACH-OF CONTRACT

If either Party is found to have materially breached this Appendix, the
non-breaching Party may terminate the Appendix by providing written notice to
the breaching party, whereupon this Appendix shall be null and void with respect
to any issue of NEVADA'S White Pages directory published sixty (60) or more days
after the date of the receipt of such written notice.

                                      348
<PAGE>

APPENDIX 800

                                      349
<PAGE>

TABLE OF CONTENTS

 1. DESCRIPTION ........................................................1
    --------------------------------------------------------------------

 2. TERMS AND CONDITIONS ...............................................2
    --------------------------------------------------------------------

 3. RATE REGULATIONS ...................................................5
    --------------------------------------------------------------------

 3.2 Rate Elements .....................................................5
     -------------------------------------------------------------------

 4. MONTHLY BILLING ....................................................5
    --------------------------------------------------------------------

                                      350
<PAGE>

                      ACCESS TO THE TOLL FREE CALLING DATABASE

This Appendix sets forth the terms and conditions under which NEVADA provides
Access to the Toll Free Calling Database.

1.       DESCRIPTION

         1.1      NEVADA's 800 database, an ANSI SS7 call-related database
                  system, receives updates processed from the national System
                  Management System/800 ("SMS/800") database. Customer records
                  in the SMS/800 are created or modified by entities known as
                  Responsible Organizations ("RespOrd") who obtain access to the
                  SMS/800 via the System Management System/800 database, Tariff
                  FCC No. 1. 800 Service Providers must either become their own
                  RespOrg or use the services of an established RespOrg. The
                  services of a RespOrg include creating and updating 800
                  records in the SMS/800 to download to the 800 database(s).
                  NEVADA does not, either through a tariff or contract, provide
                  RespOrg service.

          1.2 After the 800 customer record is created in the SMS/800, the
          SMS/800 downloads

                  the records to the appropriate databases, depending on the
                  area of service chosen by the 800 subscriber. An 800 customer
                  record is created in the SMS/800 for each 800 number to be
                  activated. The SMS/800 initiates all routing changes to update
                  information on a nationwide basis.

          1.3 Access to the Toll Free Calling Database allows CLEC to access
          NEVADA's 800

                  database for the purpose of switch query and database
                  response. Access to the Toll Free Calling Database supports
                  the processing of toll free calls (e.g., 800 and 888) where
                  identification of the appropriate carrier (800 Service
                  Provider) to transport the call is dependent upon the full ten
                  digits of the toll free number (e.g., 1+800+NXX+X)CXX). Access
                  to the Toll Free Calling Database includes all 800-type
                  dialing plans (i.e., 800, 888, and other codes as may be
                  designated in the future).

         1.4      Access to the Toll Free Calling Database provides the carrier
                  identification function required to determine the appropriate
                  routing of an 800 number based on the geographic origination
                  of the call, from a specific or any combination of NPA/NXX,
                  NPA or LATA call origination detail.

          1.5     There are three optional features available with 800 service:

                  (a)     POTS Translation;

                  (b)     Multiple Destination;. and

                                      351
<PAGE>

(c)     Six-Digit Master Number List Turnaround.

1.5.1    The POTS Translation feature converts the 800 number into a designated
         10-digit number. If the 800 Service Provider provides the designated
         10digit number associated with the 800 number and requests delivery of
         the designated 10-digit number in place of the 800 number, NEVADA will
         deliver the designated I 0-digit number.

1.5.2 The Multiple Destination feature allows the customer to create routing
schemes utilizing:

(a)      Time of Day;

(b)      Day of Week

(c)      Day of Year

(d)      Allocation of Traffic by Percentage

(e)      NPA-NXX-XXXX

                   1.5.3   The Six-Digit Master Number List Turnaround feature
                           applies when customer identification is performed for
                           Canadian and Caribbean toll free numbers. This
                           feature is billed in lieu of the Basic Toll Free
                           Access Query charge.

2.       TERMS AND CONDITIONS

2.1      Access to the Toll Free Calling Database provided under these terms and
         conditions is only available for use in the provision of telephone
         exchange and exchange access telecommunications services as specified
         in the Telecommunications Act of 1996 and any effective rules and
         regulations of the Federal Communications Commission and Public Utility
         Commission of Nevada.

2.2      Access to the Toll Free Calling Database is offered separate and apart
         from other unbundled network elements necessary for operation of the
         network routing function addressed in these terms and conditions, e.g.,
         end office 800 SSP functionality and CCS/SS7 signaling. This Appendix
         is separate from the prices, terms, conditions and billing for such
         related elements, and in no way shall this Appendix be construed to
         circumvent the prices, terms, conditions or billing as specified for
         such related elements.

2.3  CLEC shall address its queries to NEVADA's database to the alias point code
     of the ST? pair identified by NEVADA. CLECs queries shall use subsystem

                                      352
<PAGE>

number 0 in the calling party address field and a translations type of 254 with
a routing indicator set to route on global title. CLEC acknowledges that such
subsystem number and translation type values are necessary for NEVADA to
properly process queries to its 800 database.

2.4      Each Party warrants to the other that it shall send queries and SS7
         messages conforming to the ANSI approved standards for SS7 protocol and
         pursuant to the Specifications and Standards documents attached and
         incorporated herein in Exhibit I. Both Parties acknowledge that
         transmission in said protocol is necessary for each Party to provision
         Access to the Toll Free Calling Database (or the equivalent thereof).
         Each Party reserves the right to modify its network pursuant to other
         specifications and standards, which may include Bellcore Specifications
         defining specific service applications, message types, and formats,
         that may become necessary to meet the prevailing demands within the
         U.S. telecommunications industry. All such changes shall be announced
         in accordance with the then prevailing industry standard procedures.
         Each Party shall work cooperatively to coordinate any necessary
         changes.
2.5      CLEC acknowledges and agrees that CCS/SS7 network overload due to
         extraordinary volumes of queries and/or other SS7 network messages can
         and will have a detrimental effect on the performance of NEVADA's
         CCS/SS7 network and its 800 database. CLEC further agrees that NEVADA,
         at its sole discretion, may employ certain automatic and/or manual
         overload controls within NEVADA's CCS/SS7 network to guard against
         these detrimental effects. NEVADA shall report to CLEC any instances
         where overload controls are invoked due to CLECs CCS/SS7 network. CLEC
         shall take immediate corrective actions as are necessary to cure the
         conditions causing the overload situation.

2.6      During periods of 800 database system congestion, NEVADA shall utilize
         an automatic code gapping procedure to control congestion that may
         affect the service of all customers of NEVADA's 800 database. The
         automatic code gapping procedure used by NEVADA shall notify the CLEC's
         switch of the gap length (how long CLECs switch should wait before
         sending another query) and the gap duration (how long the switch should
         continue to perform gapping). For example, during an overload
         condition, the automatic code gapping procedures shall tell NEVADA 's
         800 database when to begin to drop one out of three queries received.
         This code gapping procedure shall be applied uniformly to all users of
         NEVADA's 800 database. NEVADA reserves the right to manually invoke the
         automatic code gapping procedure to control congestion.

2.7      Prior to NEVADA initiating service under this Appendix, CLEC shall
         provide an initial forecast of busy hour query volumes. CLEC shall
         update its busy hour forecast for each upcoming calendar year (January
         - December) by October I of the preceding year and also whenever CLEC
         anticipates a change to existing

                                      353
<PAGE>

forecasts. CLEC shall provide such updates each year for the first three (3)
years of this Appendix. If, prior to the establishment of a mutually agreeable
service effective date, in writing, NEVADA, at its discretion, determines that
it lacks adequate processing capability to provide Access to the Toll Free
Calling Database to CLEC, NEVADA shall notify CLEC of NEVADA's intent not to
provide the services under this Appendix and this Appendix will be void and have
no further effect.

2.8      CLEC shall from time to time at NEVADA's request, provide additional
         forecasted information as deemed necessary by NEVADA for network
         planning in connection with this offering.

2.9      NEVADA shall test the Access to the Toll Free Calling Database in
         conjunction with CCS/SS7 Interconnection Service (e.g., SS7 Appendix)
         as outlined in Bellcore Technical References TR-NWT-000533,
         GR-954-CORE, GR-905 CORE, and PUB L-780023-PB/NB.

2.10     CLEC shall only use Access to the Toll Free Calling Database to
         determine the routing requirements for originating 800 calls. Neither
         CLEC nor carrier customers of CLEC, if CLEC is acting on behalf of
         other carriers, shall use the database information to copy, store,
         maintain or create any table or database of any kind or for any
         purpose. If CLEC acts on behalf of other carriers to access NEVADA's
         Toll Free Calling Database, CLEC shall prohibit such carriers from
         copying, storing, maintaining, or creating any table or database of any
         kind from any response provided by NEVADA after a query to NEVADA's
         Toll Free Calling Database. CLEC shall only use this network element in
         connection with the provision of telephone exchange and exchange access
         services.

2.11     CLEC shall ensure that it has sufficient link capacity and related
         facilities to handle its signaling and toll free traffic without
         adversely affecting other network subscribers.

2.12     NEVADA shall provide Access to the Toll Free Calling Database as set
         forth in this Appendix only as such elements are used for CLEC's
         activities on behalf of its Nevada local service customers where NEVADA
         is the incumbent local exchange carrier. CLEC agrees that any other use
         of NEVADA's Toll Free Calling Database for the provision of 800
         database service by CLEC will be pursuant to the terms, conditions,
         rates, and charges of NEVADA's effective tariffs, as revised, for 800
         database services.

2.13 This Appendix shall become effective on date) and shall

         continue for one (1) year from the effective date of implementation of
         Access to the Toll Free Calling Database. Thereafter, this Appendix
         shall remain in effect unless terminated by either Party upon written
         notice given sixty (60) days in advance of the termination date.

                                      354
<PAGE>

         2.14     Ordering and billing inquiries for the elements described
                  herein shall be directed to the Local Service Center ("LSC").
                  Ordering' shall be done through the LSC using the standard
                  CLEC order form and NEVADA's CCS/SS7 Interconnect
                  Questionnaire, if applicable.

3.       RATE REGULATIONS

3.1      CLEC shall pay the rates for Access to the Toll Free Calling Database,
         as described in Appendix PRICING. These rates and charges will apply
         for one (1) year from the service effective date for each exchange.
         After one (1) year, NEVADA may change the rates upon sixty (60) days'
         notice. NEVADA may first give such notice sixty days before the end of
         the first year.
3.2      Rate Elements

         There are four rate elements associated with Access to the Toll Free
Calling Database:

(a)      Basic Toll Free Access Query Rate Element;

(b)      POTS Translations Rate Element;

(c)      Multiple Destination Routing Rate Element; and

(d)      Six-Digit Master Number List Turnaround Rate Element.

         3.3      CLEC shall pay the Basic Toll Free Access query rate for each
                  query received and processed by NEVADA's database. When
                  applicable, the charge for the additional features (POTS
                  Translations, Multiple Destination Routing, and Six Digit
                  Master Number List Turnaround) are per query and in addition
                  to the Basic Toll Free Access query charge, and shall also be
                  paid by CLEC.

4.       MONTHLY BILLING

NEVADA shall render monthly billing statements to CLEC, and remittance in full
will be due within thirty (30) days of receipt.

                                      355
<PAGE>

                                  APPENDIX 800
                                    EXHIBIT I

SPECIFICATIONS AND STANDARDS

Description of Subject Area
and Issuing Organization                                     Document Number

Bellcore, SS7 Specifications                                 GR-246-CORE

TR-NWT-000271

TR-NWT-000533

Bellcore, CCS Network Interface Specifications               GR-905-CORE

PUB L-780023-PB/NB

GR-954-CORE

                                      356
<PAGE>

CERTIFICATE OF SERVICE Docket No.

I hereby certify that I have this day served the foregoing document upon all
parties of record in this proceeding by delivering a copy thereof in person to
or by mailing a copy thereof, properly addressed, with postage prepaid to:

Via Hand Delivery:

Public Utilities Commission of Nevada    Public Utilities Commission of Nevada
Secretary (Orig +10)                     Staff Counsel (1)
1150 E. William Street                   1150 E. William Street, Suite 200
Carson City, NV 89701                    Carson City, NV 89701

Office of the Attorney General
Bureau of Consumer Protection
Fred Schmidt, Esq. (1)
1000 E. William Street, Suite 200
Carson City, NV 89701

Via U.S. Mail, Postage Pre-paid:

Sprint/Central-Nevada                     Sprint Communications
Ann Poncracz, Esq.                        Richard A. Purkey
330 S. Valley View Blvd.                  1850 Gateway Drive, 7th Flr
Las Vegas, NV 89512                       San Mateo, CA 94404-2467

Crowell, Susich, Owen, & Tackes, Ltd      MCI Telecommunications
Steven E. Tackes, Esq.                    Anthony DiTirro
P. 0. Box 1000                            201 Spear Street, 9th FIr
Carson City, NV 89702                     San Francisco, CA 94105

AT&T Communications                       Humboldt County Commission
William A. Ettinger                       50 West Fifth Street, Rm 205
795 Folsom Street                         Winnemucca, NV 89445
San Francisco, 94107

                                      357
<PAGE>

Nye County Commission                       City Manager - Carson City
P. 0. Box 153                               201 N. Carson Street
Tonopah, NV 89049                           Carson City, NV 89701-4264

White Pine County Commission                Storey County Commission
953 Campton Street                          Drawer D
Ely, NV 89301                               Virginia City, NV 89440

Pershing County Commission                  Lyon County Commission
P. 0. Box 820                               31 South Main Street
Lovelock, NV 89419                          Yerington, NV 89447

Lincoln County Commission                   Churchill County Commission
P. 0. Box 27-8                              10 West Williams
Pioche, NV 89043                            Fallon, NV 89406

Mineral County Clerk                        Washoe County Commission
P. 0. Box 1450                              P. 0. Box 11130
Hawthorne, NV 89415                         Reno, NV 89502

Esmeralda County Commission                 Lander County Commission
Fish Lake Valley                            315 South Humboldt
Dyer, NV 89010                              Battle Mountain, NV 89823

Eureka County Clerk                         Douglas County Commission
P. 0. Box 677                               P. 0. Box 218
Eureka, NV 89316                            Minden, NV 89423

Clark County Commission                     Elko County Commission
500 South Grand Central Parkway             569 Court Street
Las Vegas, NV 89106                         Elko, NV 89801

GTE                                         Citizens Communications
Kurt Rasmussen                              Aloa Stevens
One GTE Place, CA500GCF                     9670 South 700 East, Suite 10 1
Thousand Oaks, CA 91362                     Sandy, UT 84070-3455

CenturyTel                                  Rural Telephone Company
Gary Pearleberg, Vice President             James Martell
290 N. Main                                 P. 0. Box 9619
Calispell, MT 59901                         Glenns Ferry, ID 9' )623

                                      358
<PAGE>

Dennis R. Haney & Associates               McDonald, Carano, Wilson, & McCune
Philip J. Dabney, Esq.                     John Frankovich, Esq.
301 E. Clark Avenue, Suite 700             241 Ridge Street, 4th Flr
Las Vegas, NV 89 101                       Reno, NV 89505
Allison, MacKenzie, Hartman                Churchill County Telephone
Karen Peterson                             Don Mello
P. 0. Box 646                              P. 0. Box 1390
Carson City, NV 89702                      Fallon, NV 89406

Filer Mutual                               Lincoln County Telephone Company
John Gunn                                  John W. Christian, III
P. 0. Box 89                               P. 0. Box 150
Filer, ID 82238                            Pioche, NV 89043

Beehive Telephone Company                 State of Nevada
Art Brothers                              Department of Information Services
5160 Wiley Post Vay, Suite 220            505 E. King Street
Salt Lake City, U1 84116-2871             Carson City, NV 89701

AT&T Communications of Nevada             Kilpatrick, Johnston, & Adler
Jim Endres, Assistnt Vice President       Robert G. Johnston, Esq.
5250 South Virigina Street, Suite 370     412 North Division Street
Reno, NV 89502                            Carson City, NV 89703

NextLink Nevada                           GTE Service Corporation
Rex Knowles                               Susan K. Miller. Ph.D.
I I I E. Broadway, Suite 1250             One GTE Place, CA500GCD
Salt Lake City, U1841 I I                 Thousand Oaks, CA 91362-2811

Goodin, Mac Bride 3queri,   et. al.      Pac-West Telecom, Inc.
John Clark, Esq.                         John Sumpter, VP Regulatory
505 Sansome Street Floor                 4210 Coronado Avenue
San Francisco, CA)4111                   Stockton, CA 95204

                                        Sprint Communi( Natalie Wales,
A 1850 Gateway D San Mateo, CA

Dated at Reno, Neia this 30th day of August, 1999.

Beth Freemont

                                      359

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