Cogent Communications Reports Third Quarter 2009 Results

WASHINGTON, Nov. 9 /PRNewswire-FirstCall/ --

Financial and Business Highlights
-- Service revenue for Q3 2009 of $60.2 million - an increase of 3.9%
from
$58.0 million for Q2 2009 and an increase of 10.3% from $54.6 million
for Q3 2008
-- Foreign exchange positively impacts revenue growth from Q2 2009 to
Q3 2009 by $0.9 million and negatively impacts revenue growth from
Q3 2008 to Q3 2009 by $0.9 million
-- Traffic growth of over 15% from Q2 2009 to Q3 2009
-- EBITDA, as adjusted, of $17.0 million for Q3 2009 an increase of 2.0%
from $16.7 million for Q2 2009 and an increase of 20.1% from $14.2
million for Q3 2008
-- Operating income for Q3 2009 of $0.5 million
-- Approximately 21,000 customer connections on the Cogent network

-- 1,421 on-net buildings on the Cogent network

Cogent Communications Group, Inc. (Nasdaq: CCOI) today announced service
revenue of $60.2 million for the three months ended September 30, 2009, an
increase of 3.9% over $58.0 million for the three months ended June 30, 2009
and an increase of 10.3% over $54.6 million for the three months ended
September 30, 2008. On-net revenue was $48.1 million for the three months
ended September 30, 2009, an increase of 3.4% over $46.5 million for the three
months ended June 30, 2009 and an increase of 8.6% over $44.2 million for the
three months ended September 30, 2008. On-net service is provided to
customers located in buildings that are physically connected to Cogent's
network by Cogent facilities. Off-net revenue was $11.1 million for the three
months ended September 30, 2009, an increase of 5.3% over $10.6 million for
the three months ended June 30, 2009 and an increase of 23.7% over $9.0
million for the three months ended September 30, 2008. Off-net customers are
located in buildings directly connected to Cogent's network using other
carriers' facilities and services to provide the last mile portion of the link
from the customers' premises to Cogent's network. Non-core revenue was $1.1
million for the three months ended September 30, 2009, an increase of 7.8%
over $1.0 million for the three months ended June 30, 2009 and a decrease of
22.4% from $1.4 million for the three months ended September 30, 2008.
Non-core services are legacy services, which Cogent acquired and continues to
support but does not actively sell.

(Logo: http://www.newscom.com/cgi-bin/prnh/20020204/DCM032LOGO )

Gross profit, excluding equity-based compensation expense, increased 1.1% to
$33.9 million for the three months ended September 30, 2009 from $33.5 million
for the three months ended June 30, 2009 and increased 10.9% from $30.5
million for the three months ended September 30, 2008. Gross profit margin,
excluding equity-based compensation expense, was 56.2% for the three months
ended September 30, 2009, 57.7% for the three months ended June 30, 2009, and
55.9% for the three months ended September 30, 2008.

Earnings before interest, taxes, depreciation and amortization (EBITDA), as
adjusted, increased 2.0% to $17.0 million for the three months ended September
30, 2009 from $16.7 million for the three months ended June 30, 2009 and
increased 20.1% from $14.2 million for the three months ended September 30,
2008. EBITDA, as adjusted, margin was 28.2% for the three months ended
September 30, 2009, 28.7% for the three months ended June 30, 2009, and 25.9%
for the three months ended September 30, 2008.

Basic and diluted net loss per share was $(0.07) for the three months ended
September 30, 2009, $(0.10) for the three months ended June 30, 2009, and
$(0.15) for the three months ended September 30, 2008. Weighted average
common shares outstanding - basic and diluted - were 43.9 million for the
three months ended September 30, 2009, 43.7 million for the three months ended
June 30, 2009, and 43.6 million for the three months ended September 30, 2008.

Total customer connections increased 2.7% to 20,988 as of September 30, 2009
from 20,428 as of June 30, 2009 and increased 23.8% from 16,954 as of
September 30, 2008. On-net customer connections increased 4.0% to 16,633 as of
September 30, 2009 from 15,988 as of June 30, 2009 and increased 25.0% from
13,307 as of September 30, 2008. Off-net customer connections were 3,290 as
of September 30, 2009, 3,291 as of June 30, 2009 and 2,996 as of September 30,
2008. Non-core customer connections decreased 7.3% from 1,149 as of June 30,
2009 to 1,065 as of September 30, 2009 and increased 63.6% from 651 as of
September 30, 2008.

The number of on-net buildings increased by 32 on-net buildings to 1,421
on-net buildings as of September 30, 2009 from 1,389 on-net buildings as of
June 30, 2009, and increased by 120 on-net buildings from 1,301 on-net
buildings as of September 30, 2008.

Conference Call and Website Information
Cogent will host a conference call with financial analysts at 8:30 a.m. (ET)
on November 9, 2009 to discuss Cogent's operating results for the third
quarter of 2009 and Cogent's expectations for fiscal year 2009. Investors and
other interested parties may access a live audio webcast of the earnings call
under "Events" at the Investor Relations section of Cogent's website at
http://www.cogentco.com/us/ir_events.php. A replay of the webcast, together
with the press release, will be available on the website following the
earnings call.

About Cogent Communications
Cogent Communications (Nasdaq: CCOI) is a multinational, Tier 1
facilities-based ISP. Cogent specializes in providing businesses with high
speed Internet access and point-to-point transport services. Cogent's
facilities-based, all-optical IP network backbone provides IP services in over
140 markets located in North America and Europe.

Cogent Communications is headquartered at 1015 31st Street, NW, Washington,
D.C. 20007. For more information, visit www.cogentco.com. Cogent
Communications can be reached in the United States at (202) 295-4200 or via
email at info@cogentco.com.

COGENT COMMUNICATIONS GROUP, INC., AND SUBSIDIARIES
Summary of Financial and Operational Results

Q1 Q2 Q3 Q4
2008 2008 2008 2008
---- ---- ---- ----
Metric ($in
000's, except
share and per
share data) -
unaudited
On-Net revenue $42,811 $44,215 $44,243 $44,764
% Change from
previous Qtr. 5.7% 3.3% 0.1% 1.2%
Off-Net
revenue $7,994 $8,459 $8,995 $9,159
% Change from
previous Qtr. 0.3% 5.8% 6.3% 1.8%
Non-Core
revenue (1) $1,305 $1,185 $1,356 $1,003
% Change from
previous Qtr. -12.2% -9.2% 14.4% -26.0%
Service
revenue -
total $52,110 $53,859 $54,594 $54,926
% Change from
previous Qtr. 4.3% 3.4% 1.4% 0.6%
Network
operations
expenses (2) $21,958 $22,952 $24,059 $23,758
% Change from
previous Qtr. -2.0% 4.5% 4.8% -1.3%
Gross profit
(2) $30,152 $30,907 $30,535 $31,168
% Change from
previous Qtr. 9.4% 2.5% -1.2% 2.1%
Gross profit
margin (2) 57.9% 57.4% 55.9% 56.7%
Selling,
general and
administrative
expenses (3) $15,550 $14,448 $16,403 $16,517
% Change from
previous Qtr. 8.7% -7.1% 13.5% 0.7%
Depreciation
and
amortization
expense $16,296 $15,828 $15,494 $14,970
% Change from
previous Qtr. -2.8% -2.9% -2.1% -3.4%
Asset
impairment $1,592 $- $- $-
% Change from
previous Qtr. 100.0% -100.0% -% -%
Gains on
purchases of
convertible
notes (5) $- $- $3,245 $19,830
% Change from
previous Qtr. -% -% 100.0% 511.1%
Equity-based
compensation
expense $5,425 $4,166 $4,023 $4,262
% Change from
previous Qtr. 67.5% -23.2% -3.4% 5.9%
Operating
(loss) income $(8,711) $(3,535) $(5,385) $(4,581)
% Change from
previous Qtr. -29.0% 59.4% -52.3% 14.9%
Net (loss)
income (5) $(11,573) $(7,635) $(6,501) $10,487
% Change from
previous Qtr. -65.2% 34.0% 14.9% 261.3%
Basic net
(loss) income
per common
share (5) $(0.25) $(0.17) $(0.15) $0.25
% Change from
previous Qtr. -66.7% 32.0% 11.8% 266.7%
Diluted net
(loss) income
per common
share (5) $(0.25) $(0.17) $(0.15) $0.24
% Change from
previous Qtr. -66.7% 32.0% 11.8% 260.0%

Weighted
average
common
shares -
basic 46,265,575 45,397,919 43,593,205 42,799,786
% Change from
previous
Qtr. -1.3% -1.9% -4.0% -1.8%
Weighted
average
common
shares -
diluted (5) 46,265,575 45,397,919 43,593,205 43,395,989
% Change from
previous
Qtr. -1.3% -1.9% -4.0% -0.5%
EBITDA, as
adjusted (4) $14,618 $16,585 $14,166 $14,653
% Change from
previous Qtr. 9.6% 13.5% -14.6% 3.4%
EBITDA, as
adjusted
margin (4) 28.1% 30.8% 25.9% 26.7%
Cash provided
by operating
activities $11,492 $14,223 $17,828 $10,793
% Change from
Previous Qtr. -14.6% 23.8% 25.3% -39.5%
Capital
expenditures $9,778 $9,029 $9,515 $5,188
% Change from
previous Qtr. 128.2% -7.7% 5.4% -45.5%
Customer
Connections
- end of
period
On-Net 11,849 12,502 13,307 14,148
% Change from
previous Qtr. 5.9% 5.5% 6.4% 6.3%
Off-Net 3,003 2,994 2,996 3,040
% Change from
Previous Qtr. 0.6% -0.3% 0.1% 1.5%
Non Core 744 685 651 612
% Change from
previous Qtr. -7.5% -7.9% -5.0% -6.0%
Total 15,596 16,181 16,954 17,800
% Change from
previous Qtr. 4.1% 3.8% 4.8% 5.0%
Other - end
of period
Buildings
On-Net 1,247 1,274 1,301 1,326
Employees 460 483 509 540

Q1 2009 Q2 2009 Q3 2009
------- ------- -------
Metric ($in
000's, except
share and per
share data) -
unaudited
On-Net revenue $44,293 $46,453 $48,050
% Change from
previous Qtr. -1.1% 4.9% 3.4%
Off-Net revenue $9,867 $10,562 $11,127
% Change from
previous Qtr. 7.7% 7.0% 5.3%
Non-Core revenue(1) $916 $976 $1,052
% Change from
previous Qtr. -8.7% 6.6% 7.8%
Service revenue
- total $55,076 $57,991 $60,229
% Change from
previous Qtr. 0.3% 5.3% 3.9%
Network
operations
expenses (2) $24,118 $24,511 $26,375
% Change from
previous Qtr. 1.5% 1.6% 7.6%
Gross profit (2) $30,958 $33,480 $33,854
% Change from
previous Qtr. -0.7% 8.1% 1.1%
Gross profit
margin (2) 56.2% 57.7% 56.2%
Selling, general
and
administrative
expenses (3) $17,068 $16,962 $16,847
% Change from
previous Qtr. 3.3% -0.6% -0.7%
Depreciation and
amortization
expense $14,576 $15,271 $15,282
% Change from
previous Qtr. -2.6% 4.8% 0.1%
Asset impairment $- $- $-
% Change from
previous Qtr. -% -% -%
Gains on
purchases of
convertible
notes (5) $- $- $-
% Change from
previous Qtr. -100.0% -% -%
Equity-based
compensation
expense $3,814 $2,350 $1,267
% Change from
previous Qtr. -10.5% -38.4% -46.1%
Operating (loss)
income $(4,500) $(1,103) $458
% Change from
previous Qtr. 1.8% 75.5% 141.5%
Net (loss)
income (5) $(8,160) $(4,453) $(3,279)
% Change from
previous Qtr. -177.8% 45.4% 26.4%
Basic net (loss)
income per
common share(5) $(0.19) $(0.10) $(0.07)
% Change from
previous Qtr. -176.0% 47.4% 30.0%
Diluted net
(loss) income
per common
share (5) $(0.19) $(0.10) $(0.07)
% Change from
previous Qtr. -179.2% 47.4% 30.0%
Weighted average
common shares -
basic 42,758,372 43,689,747 43,894,098
% Change from
previous Qtr. -0.1% 2.2% 0.5%
Weighted average
common shares -
diluted (5) 42,758,372 43,689,747 43,894,098
% Change from
previous Qtr. -1.5% 2.2% 0.5%
EBITDA, as
adjusted (4) $13,890 $16,670 $17,007
% Change from
previous Qtr. -5.2% 20.0% 2.0%
EBITDA, as
adjusted margin(4) 25.2% 28.7% 28.2%
Cash provided by
operating
activities $12,816 $13,031 $14,751
% Change from
previous Qtr. 18.7% 1.7% 13.2%
Capital
expenditures $11,746 $13,378 $16,676
% Change from
previous Qtr. 126.4% 13.9% 24.7%
Customer
Connections -
end of period
On-Net 14,674 15,988 16,633
% Change from
previous Qtr. 3.7% 9.0% 4.0%
Off-Net 3,008 3,291 3,290
% Change from
previous Qtr. -1.1% 9.4% -%
Non Core 564 1,149 1,065
% Change from
previous Qtr. -7.8% 103.7% -7.3%
Total 18,246 20,428 20,988
% Change from
previous Qtr. 2.5% 12.0% 2.7%
Other - end of
period
Buildings On-Net 1,355 1,389 1,421
Employees 548 536 569

(1) Consists of legacy services of companies whose assets or businesses
were acquired by Cogent, primarily including voice services (only
provided in Toronto, Canada) and dial-up Internet access services.

(2) Excludes equity-based compensation expense of $85, $83, $80, $80,
$76, $47 and $25 in the three months ended March 31, 2008, June 30,
2008, September 30, 2008, December 31, 2008, March 31, 2009, June 30,
2009 and September 30, 2009, respectively.

(3) Excludes equity-based compensation expense of $5,340, $4,083, $3,943,
$4,182, $3,738, $2,303 and $1,242 in the three months ended March 31,
2008, June 30, 2008, September 30, 2008, December 31, 2008, March
31, 2009, June 30, 2009 and September 30, 2009, respectively.

(4) See schedule of non-GAAP metrics below for definition and
reconciliation to GAAP measures. EBITDA, as adjusted, includes net
gains from the disposition and acquisition of assets of $16, $126,
$34, $2 and $152 in the three months ended March 31, 2008, June 30,
2008, September 30, 2008, December 31, 2008 and June 30, 2009,
respectively. EBITDA, as adjusted, excludes gains on the purchases
of convertible notes of $3,245 and $19,830 for the three months
ended September 30, 2008 and December 31, 2008, respectively.

(5) Amounts have been restated to reflect the adoption of FASB Staff
Position APB 14-1 "Accounting for Convertible Debt Instruments That
May Be Settled in Cash Upon Conversion (Including Partial Cash
Settlement)".

Schedule of Non-GAAP Measures - EBITDA and EBITDA, as adjusted
EBITDA represents net (loss) income before income taxes, net interest expense,
depreciation and amortization. Management believes the most directly
comparable measure to EBITDA calculated in accordance with GAAP is cash flows
provided by operating activities.

EBITDA, as adjusted, represents EBITDA less gains on convertible note
purchases. The Company has excluded these gains because they relate to its
capital structure. The Company believes EBITDA, as adjusted, is a useful
measure of its ability to service debt, fund capital expenditures and expand
its business. EBITDA, as adjusted, is an integral part of the internal
reporting and planning system used by management as a supplement to GAAP
financial information. The Company also believes that EBITDA is a frequently
used measure by securities analysts, investors, and other interested parties
in their evaluation of issuers.

EBITDA and EBITDA, as adjusted, are not recognized terms under generally
accepted accounting principles in the United States, or GAAP, and accordingly,
should not be viewed in isolation or as a substitute for the analysis of
results as reported under GAAP, but rather as a supplemental measure to GAAP.
For example, EBITDA is not intended to reflect the Company's free cash flow,
as it does not consider certain current or future cash requirements, such as
capital expenditures, contractual commitments, and changes in working capital
needs, interest expenses and debt service requirements. The Company's
calculations of EBITDA and EBITDA, as adjusted, may also differ from the
calculation of EBITDA and EBITDA, as adjusted, by its competitors and other
companies and as such, its utility as a comparative measure is limited.

COGENT COMMUNICATIONS GROUP, INC., AND SUBSIDIARIES
EBITDA and EBITDA, as adjusted, are reconciled to cash flows
provided by operating activities in the table below.

Q1 Q2 Q3 Q4 Q1 Q2 Q3
2008 2008 2008 2008 2009 2009 2009
---- ---- ---- ---- ---- ---- ----

($In 000's)
- unaudited
------------
Cash flows
provided by
operating
activities $11,492 $14,223 $17,828 $10,793 $12,816 $13,031 $14,751
Changes in
operating
assets and
liabilities 2,439 250 (5,848) 489 (1,486) 1,109 (333)
Cash
interest
expense
(income)
and income
taxes 671 1,986 2,159 3,369 2,560 2,378 2,589
Gains on
note
purchases
and asset
purchases
and sales(1) 16 126 3,272 19,832 - 152 -
EBITDA,
including
gains (1) $14,618 $16,585 $17,411 $34,483 $13,890 $16,670 $17,007
------- ------- ------- ------- ------- ------- -------
Gains on
note
purchases(1) - - (3,245) (19,830) - - -
EBITDA, as
adjusted $14,618 $16,585 $14,166 $14,653 $13,890 $16,670 $17,007
---------- ------- ------- ------- ------- ------- ------- -------

(1) Amounts have been restated to reflect the adoption of Codification
Subtopic 470-20, Debt, "Debt with Conversion and Other Options".

Cogent's SEC filings are available online via the Investor Relations section
of www.cogentco.com or on the Securities and Exchange Commission's website at
www.sec.gov.

COGENT COMMUNICATIONS GROUP, INC., AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
AS OF DECEMBER 31, 2008 AND SEPTEMBER 30, 2009
(IN THOUSANDS, EXCEPT SHARE DATA)

December 31, September 30,
2008 2009
---- ----
(Adjusted) (Unaudited)
Assets
Current assets:
Cash and cash equivalents $71,291 $51,114
Short term investments -
restricted 62 -
Accounts receivable, net of
allowance for doubtful
accounts of $1,914 and
$2,531, respectively 22,174 24,090
Prepaid expenses and other
current assets 6,389 8,111
----- -----
Total current assets 99,916 83,315
Property and equipment, net 243,939 267,364
Deposits and other assets -
$1,091 and $634 restricted,
respectively 3,938 3,670
----- -----
Total assets $347,793 $354,349
======== ========

Liabilities and
stockholders' equity
Current liabilities:
Accounts payable $12,795 $15,089
Accrued liabilities 14,756 16,089
Current maturities, capital
lease obligations 5,940 10,841
----- ------
Total current liabilities 33,491 42,019
Capital lease obligations,
net of current maturities 98,253 99,160
Convertible senior notes,
net of discount of $30,253
and $26,881 respectively 61,725 65,097
Other long term liabilities 3,374 3,465
----- -----
Total liabilities 196,843 209,741
------- -------
Commitments and
contingencies:
Stockholders' equity:
Common stock, $0.001 par
value; 75,000,000 shares
authorized; 44,318,949 and
44,574,318 shares issued
and outstanding,
respectively 44 45
Additional paid-in capital 465,114 473,599
Stock purchase warrants 764 283
Accumulated other
comprehensive income
-foreign currency
translation adjustment 572 2,117
Accumulated deficit (315,544) (331,436)
-------- --------
Total stockholders' equity 150,950 144,608
------- -------
Total liabilities and
stockholders' equity $347,793 $354,349
======== ========

The condensed consolidated balance sheet as of December 31, 2008 has
been restated for the retrospective application of FASB Accounting
Standards Codification Subtopic 470-20 "Debt with Conversion and
Other Options" ("ASC 470-20").

COGENT COMMUNICATIONS GROUP, INC., AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2008 AND SEPTEMBER 30, 2009
(IN THOUSANDS, EXCEPT SHARE AND PER SHARE AMOUNTS)

Three Months Three Months
Ended Ended
September 30, September 30,
2008 2009
---- ----
(Unaudited &
adjusted) (Unaudited)

Service revenue $54,594 $60,229
Operating expenses:
Network operations (including
$80 and $25 of equity-based
compensation expense,
respectively, exclusive of
amounts shown separately) 24,139 26,400
Selling, general, and
administrative (including
$3,943 and $1,242 of equity-
based compensation expense,
respectively, and $1,409 and
$1,157 of bad debt expense,
net of recoveries, respectively) 20,346 18,089
Depreciation and amortization 15,494 15,282
------ ------
Total operating expenses 59,979 59,771
Operating (loss) income (5,385) 458
Gain - purchase of convertible
notes 3,245 -
Interest income and other, net 751 231
Interest expense (5,112) (4,022)
------ ------
Loss before income taxes (6,501) (3,333)
Income tax (provision) benefit - 54
--- --
Net loss $(6,501) $(3,279)
======= =======

Net loss per common share:
Basic and diluted net
loss per common share $(0.15) $(0.07)
====== ======

Weighted-average common
shares-basic and diluted 43,593,205 43,894,098
========== ==========

The condensed consolidated statement of operations for the three months
ended September 30, 2008 has been restated for the retrospective
application of ASC 470-20.

COGENT COMMUNICATIONS GROUP, INC., AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2008
AND SEPTEMBER 30, 2009
(IN THOUSANDS, EXCEPT SHARE AND PER SHARE AMOUNTS)

Nine Months Nine Months
Ended Ended
September 30, September 30,
2008 2009
---- ----
(Unaudited &
adjusted) (Unaudited)
Service revenue $160,564 $173,295
Operating expenses:
Network operations (including
$248 and $149 of equity-based
compensation expense,
respectively, exclusive
of amounts shown separately) 69,217 75,153
Selling, general, and
Administrative (including
$13,366 and $7,281 of equity-
based compensation expense,
respectively, and $3,246 and
$3,562 of bad debt expense,
net of recoveries, respectively) 59,768 58,158
Asset impairment 1,592 -
Depreciation and amortization 47,619 45,128
------ ------
Total operating expenses 178,196 178,439
Operating loss (17,632) (5,144)
Gain - purchase of convertible
notes 3,245 -
Interest income and other, net 3,127 932
Interest expense (14,449) (11,655)
------- -------
Loss before income taxes (25,709) (15,867)
Income tax provision - (25)
--- ---
Net loss $(25,709) $(15,892)
======== ========

Net loss per common share:
Basic and diluted net loss per
common share $(0.57) $(0.36)
====== ======

Weighted-average common
shares-basic and diluted 45,123,241 43,785,352
========== ==========

The condensed consolidated statement of operations for the nine months
ended September 30, 2008 has been restated for the retrospective
application of ASC 470-20.

COGENT COMMUNICATIONS GROUP, INC., AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2008
AND SEPTEMBER 30, 2009
(IN THOUSANDS)

Nine Months Nine Months
Ended Ended
September 30, September 30,
2008 2009
---- ----
(Unaudited) (Unaudited)
Cash flows from operating
activities:
Net cash provided by
operating activities $43,543 $40,598
------- -------
Cash flows from investing
activities:
Purchases of property and
equipment (28,322) (41,800)
Maturities of short term
investments 650 62
Purchase of other assets - (246)
Proceeds from dispositions
of assets 106 97
--- --
Net cash used in investing
activities (27,566) (41,887)
------- -------
Cash flows from financing
activities:
Purchases of common stock (58,032) (730)
Purchase convertible notes (9,941) -
Proceeds from exercises of
stock options 121 346
Repayments of capital
lease obligations (15,605) (19,214)
------- -------
Net cash used in financing
activities (83,457) (19,598)
------- -------
Effect of exchange rate
changes on cash (491) 710
---- ---
Net decrease in cash and
cash equivalents (67,971) (20,177)
Cash and cash equivalents,
beginning of period 177,021 71,291
------- ------
Cash and cash equivalents,
end of period $109,050 $51,114
======== =======

Except for historical information and discussion contained herein, statements
contained in this release constitute forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. Such
statements include, but are not limited to statements identified by words such
as "believes," "expects," "anticipates," "estimates," "intends," "plans,"
"targets," "projects" and similar expressions. The statements in this
release are based upon the current beliefs and expectations of Cogent's
management and are subject to significant risks and uncertainties. Actual
results may differ from those set forth in the forward-looking statements.
Numerous factors could cause or contribute to such differences. Some of the
factors and risks associated with our business are discussed in Cogent's
filings with the Securities and Exchange Commission.

SOURCE Cogent Communications Group, Inc.

For Public Relations, Travis Wachter, +1-202-295-4217, twachter@cogentco.com;
For Investor Relations: John Chang, +1-202-295-4212,
investor.relations@cogentco.com