Surewest Reports Third Quarter 2008

ROSEVILLE, California — Leading independent communications holding company SureWest Communications (NASDAQ: SURW) today announced operating results for the quarter ended September 30, 2008.

Broadband Residential (Video)

Video continues to experience solid growth as the feature-rich HD DVR and robust HDTV channel package help enhance take-up rates. DVR penetration among video subscribers in both markets is currently at 44%, up from 38% sequentially, and HD penetration grew to 29% from 27% last quarter. Video was also impacted by the success of VoIP as over 10% of customers converting from SureWest’s traditional phone service to VoIP became first-time SureWest video subscribers, even though video is not a precondition to obtaining VoIP service. Video ARPU increased to $61 from $59 in the third quarter of 2007 and decreased from $62 sequentially.

Video Operating Statistics:

                                9/30/2008  9/30/2007     Chg  Chg %  6/30/2008    Chg  Chg %
                                ---------  ---------  ------  -----  ---------  -----  -----
Marketable Homes - Fiber & HFC    221,700    199,600  22,100    11%    217,700  4,000     2%
RGUs - Fiber & HFC                 55,900     50,900   5,000    10%     54,500  1,400     3%
RGUs - Copper                       2,600      3,000   (400)   -13%      2,600      0     0%
Penetration - Fiber & HFC           25.2%      25.5%   -0.3%    -1%      25.0%   0.2%     1%
ARPU                                  $61        $59      $2     3%        $62   ($1)    -2%

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