2

Safe Harbor Statement

Some of the statements made in this presentation are forward looking in nature. These

statements are based on management's current expectations or beliefs. These forward

looking statements are not a guarantee of performance and are subject to a number of

uncertainties and other factors, many of which are outside Level 3's control, which could

cause actual events to differ materially from those expressed or implied by the statements.

The most important factors that could prevent Level 3 from achieving its stated goals

include, but are not limited to, the current uncertainty in the global financial markets and the

global economy; disruptions in the financial markets that could affect Level 3's ability to

obtain additional financing; as well as the company's ability to: increase and maintain the

volume of traffic on the network; successfully integrate acquisitions; develop effective

business support systems; defend intellectual property and proprietary rights; manage

system and network failures or disruptions; develop new services that meet customer

demands and generate acceptable margins; adapt to rapid technological changes that lead

to further competition; attract and retain qualified management and other personnel; and

meet all of the terms and conditions of debt obligations. Additional information concerning

these and other important factors can be found within Level 3's filings with the Securities

and Exchange Commission. Statements in this presentation should be evaluated in light of

these important factors. Level 3 is under no obligation to, and expressly disclaims any such

obligation to, update or alter its forward-looking statements, whether as a result of new

information, future events, or otherwise

• Company Overview

• Financial Overview

3

Presentation Summary

Company Overview

• Level 3 is a premier, international provider of voice, data and video transport services

• The company’s services are purchased by the world’s largest and fastest growing consumers of communications services

• The company’s services are primarily offered over its combined long distance and metro network

• On net services are an increasingly important competitive differentiator

4

Level 3’s Network Connects Directly To Customer Facilities

• Combines metro and intercity components

• Connects to thousands of customer facilities

• Over 300 of the Fortune 500

• Thousands of mid-market enterprises

• 13 of the top 16 U.S. cable companies

• The top U.S. broadcast networks

• 19 top 20 telecom carriers

• 5 of the top 5 U.S. wireless providers

• The biggest social networking sites

• More than 35 federal agencies

5

TowerOffice Building

Cable Headend Building

Data Center

Level 3 Intercity NetworkCentral Office

Level 3 Metro

Networks

The Level 3 Network

• Over $25B of total gross PP&E 1

• Optimized for optical and IP services

• 54,000 intercity route miles

• 27,000 metro route miles

• Approximately 8,000 buildings on net

• 125 metro fiber markets

• Over 100,000 enterprise buildings within 500 ft of US network

6

1. Based on estimated original cost

Communications Services

7

Wholesale Voice Services

• Managed for margin contribution

• Includes voice termination and toll free services

• Our local connections are a competitive advantage

Core Network Services

• Managed for revenue growth

• Includes infrastructure, data, content delivery and local voice

• Our combined LD and metro networks are a competitive advantage

Other Services

•Declining legacy and acquired revenue

•SBC Contract and Internet dial-up access services

•Less than 5% of 1Q10 communications revenue

Level 3 Core Network Services

• Integrated set of optical and IP

services with ~80%

incremental gross margins

• Services from basic building

blocks to feature rich voice

and content distribution

services

• Addresses full range of needs

for service providers,

enterprises and content

owners

8

Infrastructure Services

Transport Services

Data Services

CDN

Services

Local Voice

Services

Pricing & Demand

9

The Market Environment For Core Network Services

Remains Positive

Infra-

structureTransport

Data

Services

Local

Voice

Pricing

Trend

Demand

Trend

1 2

1. High speed IP and CDN services

2. VPN Services

Customer Groups

10

Level 3’s Business Groups Serve The Needs Of A

Premier Group Of Customers

Wholesale 49%

Large

Enterprise and

Federal

19%

Mid-Market 22%

European 10%

Representative Customers

Note: Percentages are of 1Q10 Core Network Services Revenue

Communications Services Revenue

11

Core Network

$701MΔGM ~80%

Wholesale Voice

$165MΔGM ~30%

Communications$900M

Other

$34MΔGM ~80%

ΔGM= Incremental Gross Margin

1Q10 Actuals

Communications Revenue

• Revenue from 2005-2008 includes organic and acquisition growth

• Over the longer term, expect to return to growth as customers return to historic buying patterns

12

($ millions)

$1,516

$3,311

$4,199 $4,226

$3,695 $3,600

2005 2006 2007 2008 2009 2010E

Note: 2010 estimated revenue based on 1Q10 Total Communications Revenue of $900 million, annualized

Sequential CNS Growth

13

Note: Revenue Excludes Vyvx Ads Business

• Backing out a $7 million asset sale in the first quarter, expect Core Network Services revenue to grow sequentially for the rest of 2010

2.1%2.9%

3.5%

-0.9%

3.4%

0%

-0.8%

-7.1%

-3.0%

-0.8%

0.7%

-0.7%

-8.0%

-6.0%

-4.0%

-2.0%

0.0%

2.0%

4.0%

2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10

Stable Gross and EBITDA Margins

14

Q108 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110

Communications Revenue

$1,066 $1,072 $1,054 $1,034 $962 $926 $901 $906 $900

Gross Margin % 57% 59% 60% 60% 60% 59% 59% 60% 59%

Communications EBITDA

$205 $253 $257 $272 $249 $230 $215 $216 $200

EBITDA % 19% 24% 24% 26% (1) 26% 25% 24% 24% 22%

EBITDA-CapEx % 9% 14% 13% 16% (1) 18% 16% 16% 15% 13%

(1) Communications Adj. EBITDA for the fourth quarter excludes the net $52M benefit from the 4Q08 Adjustments

Level 3’s Debt Maturity Profile

15

•Repaid the remaining $111 million of the outstanding 6% Convertible

Subordinated Notes, at maturity

•Repurchased an additional $7 million of debt due in 2010 and 2011 in the open

market

•After the end of the quarter, the company issued a redemption notice for $172

million of 10% Convertible Senior Notes due May 2011

Pro forma for redemption of $172 million 10% Convertible Senior Notes, due in 2011

Note: Figures exclude headquarters mortgage and capital leases of $100M

($ millions)

$38 $196 $294

$695

$2,930

$775 $700 $640

2010 2011 2012 2013 2014 2015 2016 2017 2018

Financial Leverage

• Gross Debt/Adjusted EBITDA 7.2X exiting 2009

• Targeting leverage ratio of 3X to 5X

16

0.0x

5.0x

10.0x

15.0x

20.0x

2005 2006 2007 2008 2009 Target

Summary

17

•Positive momentum with improvements in sales and churn

•Core Network Services revenue has stabilized over the last two quarters•Expect sequential growth in Core Network Services revenue for rest of 2010,

excluding $7 million asset sale in the first quarter

•Continued improvement in debt maturity profile•Since the end of 2009, debt maturities in 2010 & 2011 have decreased from $522

million to $234 million

•Only $38 million in maturities due in the next 12 months

•Extended $550 million of debt maturities from 2013 to 2018