Exhibit 99.1

tw telecom Reports Second Quarter 2009 Results

— Strong Financial Performance —

Grew Net Income to $5.9 million from $2.9 million sequentially

Grew Revenue, M-EBITDA, Margins, and Cash Flow

— Delivered $24 million of Levered Free Cash Flow, while investing in growth opportunities —

— Enterprise Growth Continues as Demand Remains Solid —

LITTLETON, Colo. — August 10, 2009 — tw telecom inc. (NASDAQ: TWTC), a leading provider of managed voice, Internet and data networking solutions for business customers, today announced its second quarter 2009 financial results, including $301.1 million of revenue, $108.9 million in Modified EBITDA¹(“M-EBITDA”), $23.6 million in levered free cash flow³ and net income of $5.9 million, or $0.04 per share.

“We continue to demonstrate strong execution both financially and operationally,” said Larissa Herda, tw telecom’s Chairman, CEO and President. “We grew revenue, delivered strong margins and generated solid cash flow this quarter, while maintaining our strong liquidity. This is no small feat in this economy, and points to our simultaneous strong performance and ongoing strategic positioning. This quarter we continued to invest in customer opportunities, process and system improvements and expanded capabilities, including launching our global IP VPN capabilities. These new services are yet another way to serve our medium to large customers as we expand our market reach, product portfolio, and overall enterprise opportunities. We are focused on managing our operations well today, leveraging our strength in the current marketplace, and investing for the future.”

Highlights for the Second Quarter 2009

• Grew total revenue 4% year over year and 1% sequentially

• Grew enterprise revenue 8% year over year and 2% sequentially

• Grew data and Internet revenue 19% year over year and 3% sequentially

• Grew M-EBITDA 10% year over year and 4% sequentially

• Achieved a 36.2% M-EBITDA margin, a 220 basis point improvement year over year

• Grew EPS to $0.04 per share, a $0.06 improvement year over year

• Delivered $23.6 million of levered free cash flow, representing 8% of revenue

• Ended the quarter with $391.8 million in cash and equivalents

1

Business Trends

“Cash continued to grow, liquidity remains strong, and our overall trends are steady, allowing us to strategically invest, operationally evolve and further optimize our market position for the future,” said Mark Peters, tw telecom’s Executive Vice President and Chief Financial Officer. “Ongoing sales efforts allowed us to outsell the impacts of continued higher churn and ongoing repricing for contract renewals. Customer demand remains solid as bookings⁷ for the quarter returned to the same level as last year.”

The Company continues in a strong liquidity position with no significant debt maturities until 2013, $392 million in cash and equivalents, an undrawn revolver, and no financial maintenance covenants unless it draws its revolver⁴.

Churn

Reflecting the current economic environment, revenue churn⁵ was 1.3% for both the current and prior quarter and 1.2% for the same quarter last year. The Company expects elevated revenue churn to continue to pressure revenue growth.

Customer churn⁵ was 1.4% for the current quarter, up from 1.3% in the prior quarter, and down from 1.5% for the same period last year. The majority of the turnover was from small customers and the Company expects this churn will continue.

Other items for 2009

The Company continues to expect business fluctuations to impact sequential trends in revenue, margins and cash flow. This includes the timing as well as any seasonal nature of sales and installations, usage, disputes, repricing for contract renewals, ongoing revenue churn and fluctuations in expenses and capital expenditures. Given the current economic environment, seasonal and other trends may differ from historical experience.

Capital Expenditures

Capital expenditures were $69.2 million for the quarter compared to $73.4 million for the prior quarter and $68.4 million for the same period last year. The sequential decrease reflects $9.7 million of projects last quarter which did not recur, primarily including an opportunistic purchase of fiber assets, offset by $3 million for internal data center initiatives as well as other fluctuations.

For 2009, the Company expects total capital expenditures to be approximately $275 million, with the majority of the capital tied to new sales opportunities.

2

Year over Year Results — Second Quarter 2009 compared to Second Quarter 2008

Revenue

Revenue for the quarter was $301.1 million compared to $290.2 million for the second quarter last year, representing a year over year increase of $10.9 million, or 4%. Key changes in revenue included:

• $15.9 million increase in revenue from enterprise customers, or 8% year over year, representing 28 consecutive quarters of enterprise growth

• $4.1 million decrease in revenue from carriers. Growth in new sales was outpaced by churn and repricing for contract renewals

• $0.9 million decrease in intercarrier compensation related primarily to rate reductions and fluctuations in volume

By product line, the percentage change in revenue year over year was as follows:

• 19% increase for data and Internet services, primarily due to continued success with Ethernet and IP-based product sales, partially offset by churn and repricing for contract renewals

• 1% decrease in voice services, reflecting ongoing sales of bundled and other local product sales offset by churn

• 6% decrease for network services, due to churn and repricing for contract renewals primarily related to carrier customers and fluctuations in settlements, partially offset by an increase in co-location services

M-EBITDA and Margins

M-EBITDA grew to $108.9 million for the quarter, an increase of 10%, or $10.2 million from the same period last year. The growth in M-EBITDA represents the contribution from revenue growth, cost efficiencies from network and other optimization efforts and rebranding in the second quarter of last year which did not recur, partially offset with increases in property taxes and employee costs.

Operating costs for the quarter increased primarily due to increased network access costs associated with growth in customer installations of service partially offset by grooming and other cost efficiencies. Operating costs as a percent of revenue were 41% for the current period compared with 42% for the same period last year.

Selling, general and administrative costs (“SG&A”) were flat year over year, primarily reflecting increased property taxes and higher employee costs offset by a decrease in branding costs, bad debt expense and other cost efficiencies. Higher employee costs resulted from increases in incentive based compensation, non-cash stock based compensation and the full quarter impact of annual merit-based salary increases. Bad debt expense was $0.7 million for the quarter and $1.0 million for the same period last year, representing .2% of quarterly revenue for the current quarter and .3% for the same period last year. SG&A costs as a percent of revenue were 25% for the quarter as compared to 26% for the same period last year, reflecting cost efficiencies and scaling of the business.

3

Modified gross margin⁶ was 59.3% for the current quarter compared to 58.5% for the same period last year, an 80 basis point improvement. M-EBITDA margin for the quarter was 36.2% as compared to 34.0% for the same period last year, a 220 basis point improvement.

The Company utilizes a fully burdened modified gross margin, including network costs, and personnel costs for customer care, provisioning, network maintenance, technical field and network operations, excluding non-cash stock-based compensation expense.

Net Income and Loss

For the quarter, the Company achieved a net income of $5.9 million, or $0.04 per share compared to a net loss of $3.2 million, or a loss of $0.02 per share, for the same period last year. The increase year over year in net income for the quarter reflects strong M-EBITDA growth partially offset by increased depreciation, and an impairment loss on long term investments for the same period last year that did not recur.

Sequential Results — Second Quarter 2009 compared to First Quarter 2009

Revenue

Revenue for the quarter was $301.1 million, as compared to $297.6 million for the first quarter of 2009, an increase of $3.5 million, or 1%. Key changes in revenue included:

• $4.3 million increase in enterprise revenue, representing 2% sequential growth

• $0.6 million decrease in revenue from carrier customers reflecting new sales offset by churn and the repricing of renewed customer contracts

• $0.2 million decrease in intercarrier compensation for rate changes and fluctuations in volume and disputes

By product line, the percentage change in revenue sequentially was as follows:

• 3% increase for data and Internet services, primarily due to continued success with Ethernet and IP based product sales and fluctuation in disputes partially offset by churn and repricing of customer contract renewals

• 1% increase in voice services, reflecting ongoing sales of bundled and other local products and fluctuations in settlements, partially offset by churn

• 1% decrease in network services, primarily due to ongoing churn and repricing for customer contract renewals, partially offset by an increase in services to enterprises including co-location and large capacity services

M-EBITDA and Margins

M-EBITDA was $108.9 million for the quarter, compared to $104.4 million for the prior quarter, an increase of 4% or $4.5 million. The growth in M-EBITDA represents the contribution from revenue growth, reduced bad debt expense and network and other optimization efforts, partially offset with property tax and employee merit increases.

4

Operating costs decreased primarily reflecting network optimization efforts, partially offset by increased network access costs associated with growth in customer installations of service and higher employee costs for merit increases. Operating costs were 41% of revenue for the quarter compared to 42% for the prior quarter.

SG&A costs decreased primarily reflecting lower bad debt expense, partially offset by property tax and employee merit increases and other employee related costs. Bad debt expense decreased to $0.7 million from $3.5 million sequentially, representing .2% and 1.2% of quarterly revenue, respectively. SG&A was 25% of revenue for both the current and prior quarter.

Modified gross margin was 59.3% compared to 58.7% for the prior quarter, a 60 basis point improvement. M-EBITDA margin was 36.2% for the quarter, compared to 35.1% for the prior quarter, a 110 basis point improvement.

Net Income

For the quarter, the Company reported net income of $5.9 million, or $0.04 per share, compared to net income of $2.9 million, or $0.02 per share for the prior quarter. The increase in net income sequentially reflects strong M-EBITDA growth partially offset by increased depreciation.

Summary

“We are focused on continuing to execute both financially and operationally, invest in growth opportunities and position the business for the future,” said Herda.

tw telecom plans to conduct a webcast conference call to discuss its earnings results on August 11 at 9:00 a.m. MDT (11:00 a.m. EDT). To access the webcast and the financial and other information to be discussed in the webcast, visit www.twtelecom.com under “Investor Relations.”

Investor Relations:	Media Relations:
Carole Curtin 303 566-1000	Bob Meldrum 303 566-1354
carole.curtin@twtelecom.com	bob.meldrum@twtelecom.com

⁽¹⁾ The Company uses a modified definition of EBITDA to eliminate certain non-cash and non-operating income or charges to earnings to enhance the comparability of its financial performance from period to period. Modified EBITDA (or “M-EBITDA”) is defined as net income or loss before depreciation, amortization, accretion, impairment charges and other gains and losses, interest expense, debt extinguishment costs, interest income, income tax expense or benefit, cumulative effect of change in accounting principle, and non-cash stock-based compensation expense.

⁽²⁾ The Company defines unlevered free cash flow as Modified EBITDA less capital expenditures. Unlevered free cash flow is reconciled to Net Cash provided by (used in) operating activities in the supplemental information posted on the Company’s website.

⁽³⁾ The Company defines levered free cash flow as Modified EBITDA less capital expenditures and net interest expense from operations (but excludes debt extinguishment costs and non cash interest expense & deferred debt costs). Levered free cash flow is reconciled to Net Cash provided by (used in) operating activities in the supplemental information posted on the Company’s website.

⁽⁴⁾ The Company does not have any maintenance debt covenants on its current debt instruments unless it draws its unused revolver. Please see the Company’s Form 10-K and other SEC filings for further details.

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⁽⁵⁾ The Company defines revenue churn as the average lost recurring monthly billing from disconnects (excluding repricing impacts and usage) compared to reported revenue for the quarter. Customer churn is defined as the average monthly customer turnover compared to the average monthly customer count.

⁽⁶⁾ The Company defines modified gross margin as Total Revenue less operating costs excluding non-cash stock-based compensation expense. Modified gross margin is reconciled to gross margin in the financial tables.

⁽⁷⁾ Bookings reflects customer sales signed in the quarter. The timing of when these sales are installed and recognized as revenue varies based on the underlying contract which may or may not occur in quarter executed.

Financial Measures

The Company provides financial measures using generally accepted accounting principles (“GAAP”) as well as adjustments to GAAP measures to describe its business trends, including Modified EBITDA. Management believes that its definition of Modified EBITDA (see above) is a standard measure of operating performance and liquidity that is commonly reported and widely used by analysts, investors, and other interested parties in the telecommunications industry because it eliminates many differences in financial, capitalization, and tax structures, as well as non-cash and non-operating income or charges to earnings. Modified EBITDA is not intended to replace operating income (loss), net income (loss), cash flow, and other measures of financial performance and liquidity reported in accordance with GAAP. Management uses Modified EBITDA internally to assess on-going operations and it is the basis for various financial covenants contained in the Company’s debt agreements and for operating performance and liquidity. Modified EBITDA is reconciled to Net Income (Loss), the most comparable GAAP measure for operating performance within the Consolidated Operations Highlights and in the supplemental information posted on the Company’s website. Modified EBITDA, as a measure of liquidity, is also reconciled to Net Cash provided by (used in) operating activities in the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2009 filed with the SEC and posted on the Company’s website.

In addition, management uses unlevered and levered free cash flow, which measure the ability of M-EBITDA to cover capital expenditures. The Company uses these cash flow definitions to eliminate certain non-cash costs. Levered and unlevered free cash flow are reconciled to Net Cash provided by (used in) operating activities and also to Modified EBITDA in the supplemental information posted on the Company’s website. The Company also provides an adjustment to the measure gross margin by eliminating the impact of non-cash stock-based compensation expense related to SFAS 123R. Management uses modified gross margin internally to assess on-going operations. Modified gross margin is reconciled to gross margin in the Consolidated Operations Highlights.

Forward Looking Statements

The statements in this press release concerning the outlook for 2009 and beyond, including expansion plans, growth prospects, bookings, churn, business fluctuations, sales activity, timing of sales and installations, expense trends, seasonality, business trends, repricing for contract renewals, revenue growth, margins and cash flow trends, market opportunities, and expected capital expenditures are forward-looking statements that reflect management’s views with respect to future events and financial performance. These statements are based on management’s current expectations and are subject to risks and uncertainties. Important factors that could cause actual results to differ materially from those in the forward looking statements include the risks disclosed in the Company’s filings with the SEC, especially the section entitled “Risk Factors” in its 2008 Annual Report on Form 10-K and in its quarterly report on Form 10-Q for the quarter ended June 30, 2009. tw telecom undertakes no obligations to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

About tw telecom

tw telecom, headquartered in Littleton, Colo., provides managed network services, specializing in Ethernet and data networking, Internet access, local and long distance voice, VPN, VoIP and network security, to enterprise organizations and communications services companies throughout the U.S including their global locations. As a leading provider of integrated and converged network solutions, tw telecom delivers customers overall economic value, quality service, and improved business productivity. Please visit www.twtelecom.com for more information.

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tw telecom inc.

Consolidated Operations Highlights

(Dollars in thousands)

Unaudited (1)

	Three Months Ended June 30								Six Months Ended June 30
	2009			2008			Growth %		2009			2008			Growth %
Revenue
Data and Internet services	$	115,829		$	97,318		19	%	$	227,871		$	190,108		20	%
Network services		93,297			98,804		-6	%		187,163			195,610		-4	%
Voice services		83,538			84,707		-1	%		166,615			167,780		-1	%
Service Revenue		292,664			280,829		4	%		581,649			553,498		5	%
Intercarrier compensation		8,395			9,341		-10	%		17,041			19,256		-12	%
Total Revenue		301,059			290,170		4	%		598,690			572,754		5	%
Expenses
Operating costs		123,219			121,274					246,950			242,095
Gross Margin		177,840			168,896					351,740			330,659
Selling, general and administrative costs		75,504			75,483					151,324			149,963
Depreciation, amortization, and accretion		74,406			70,919					147,597			140,778
Operating Income		27,930			22,494					52,819			39,918
Interest expense (3)		(16,235	)		(18,302	)				(32,916	)		(38,422	)
Non cash interest expense and deferred debt costs (2) (3)		(4,792	)		(4,465	)				(9,569	)		(8,851	)
Interest income		81			1,538					211			4,224
Other Income (loss)		—			(4,095	)				—			(4,095	)
Income (Loss) before income taxes		6,984			(2,830	)				10,545			(7,226	)
Income tax expense		1,072			378					1,753			753
Net Income (Loss)	$	5,912		$	(3,208	)			$	8,792		$	(7,979	)
SUPPLEMENTAL INFORMATION TO RECONCILE MODIFIED GROSS MARGIN AND MODIFIED EBITDA
Gross Margin	$	177,840		$	168,896				$	351,740		$	330,659
Add back non-cash stock-based compensation expense		778			803					1,503			1,728
Modified Gross Margin		178,618			169,699		5	%		353,243			332,387		6	%
Selling, general and administrative costs		75,504			75,483					151,324			149,963
Add back non-cash stock-based compensation expense		5,809			4,553					11,446			9,713
Modified EBITDA		108,923			98,769		10	%		213,365			192,137		11	%
Non-cash stock-based compensation expense		6,587			5,356					12,949			11,441
Depreciation, amortization, and accretion		74,406			70,919					147,597			140,778
Net Interest expense (3)		16,154			16,764					32,705			34,198
Non cash interest expense and deferred debt costs (2) (3)		4,792			4,465					9,569			8,851
Other Income (loss)		—			(4,095	)				—			(4,095	)
Income tax expense		1,072			378					1,753			753
Net Income (Loss)	$	5,912		$	(3,208	)			$	8,792		$	(7,979	)
Modified Gross Margin %		59.3	%		58.5	%				59.0	%		58.0	%
Modified EBITDA Margin %		36.2	%		34.0	%				35.6	%		33.5	%
Free Cash Flow:
Modified EBITDA	$	108,923		$	98,769		10	%	$	213,365		$	192,137		11	%
Less: Capital Expenditures		69,187			68,405		1	%		142,612			128,042		11	%
Unlevered Free Cash Flow		39,736			30,364		31	%		70,753			64,095		10	%
Less: Net interest expense (3)		16,154			16,764		-4	%		32,705			34,198		-4	%
Levered Free Cash Flow (3)	$	23,582		$	13,600		73	%	$	38,048		$	29,897		27	%

(1) For complete financials and related footnotes, please refer to the Company’s SEC filings.

(2) Effective 1/1/09, the Company adopted FSP APB 14-1 Accounting for Convertible Debt Instruments, which requires retrospective application. Included above is $4.2 million and $3.9 million for the quarter ended June 30, 2009 and 2008, respectively, and $8.4 million and $7.7 million for the six months ended June 30, 2009 and 2008, respectively, for adoption of this pronouncement.

(3) Includes $0.6 million and $1.1 million reclassification from Interest Expense to Non Cash Interest Expense and Deferred Debt Costs for the three and six months ended June 30, 2008, respectively.

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tw telecom inc.

Consolidated Operations Highlights

(Dollars in thousands)

Unaudited (1)

	Three Months Ended
	June 30, 2009			March 31, 2009			Growth %
Revenue
Data and Internet services	$	115,829		$	112,042		3	%
Network services		93,297			93,866		-1	%
Voice services		83,538			83,077		1	%
Service Revenue		292,664			288,985		1	%
Intercarrier compensation		8,395			8,646		-3	%
Total Revenue		301,059			297,631		1	%
Expenses
Operating costs		123,219			123,731
Gross Margin		177,840			173,900
Selling, general and administrative costs		75,504			75,820
Depreciation, amortization, and accretion		74,406			73,191
Operating Income		27,930			24,889
Interest expense		(16,235	)		(16,681	)
Non cash interest expense and deferred debt costs (2)		(4,792	)		(4,777	)
Interest income		81			130
Income before income taxes		6,984			3,561
Income tax expense		1,072			681
Net Income	$	5,912		$	2,880		105	%
SUPPLEMENTAL INFORMATION TO RECONCILE MODIFIED GROSS MARGIN AND MODIFIED EBITDA
Gross Margin	$	177,840		$	173,900
Add back non-cash stock-based compensation expense		778			725
Modified Gross Margin		178,618			174,625		2	%
Selling, general and administrative costs		75,504			75,820
Add back non-cash stock-based compensation expense		5,809			5,637
Modified EBITDA		108,923			104,442		4	%
Non-cash stock-based compensation expense		6,587			6,362
Depreciation, amortization, and accretion		74,406			73,191
Net Interest expense		16,154			16,551
Non cash interest expense and deferred debt costs (2)		4,792			4,777
Income tax expense		1,072			681
Net Income	$	5,912		$	2,880		105	%
Modified Gross Margin %		59.3	%		58.7	%
Modified EBITDA Margin %		36.2	%		35.1	%
Free Cash Flow
Modified EBITDA	$	108,923		$	104,442		4	%
Less: Capital Expenditures		69,187			73,425		-6	%
Unlevered Free Cash Flow		39,736			31,017		28	%
Less: Net interest expense		16,154			16,551		-2	%
Levered Free Cash Flow	$	23,582		$	14,466		63	%

(1) For complete financials and related footnotes, please refer to the Company’s SEC filings.

(2) Effective 1/1/09, the Company adopted FSP APB 14-1 Accounting for Convertible Debt Instruments, which requires retrospective application. Included above is $4.2 million for both the quarters ended June 30, 2009 and March 31, 2009, for adoption of this pronouncement.

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tw telecom inc.

Highlights of Results Per Share

Unaudited (1) (2)

	Three Months Ended
	6/30/09			3/31/09			6/30/08
Weighted Average Shares Outstanding (thousands)
Basic		147,970			147,853			147,136
Diluted (2)		149,557			148,620			147,136
EPS prior to impacts of convertible debt accounting	$	0.07		$	0.05		$	0.00
Adoption of FSP APB 14-1(3)		(0.03	)		(0.03	)		(0.02	)
Basic & Diluted Income (Loss) per Common Share	$	0.04		$	0.02		$	(0.02	)
	As of
	6/30/09			3/31/09			6/30/08
Common shares (thousands)
Actual Shares Outstanding		149,224			149,069			147,292
Unvested Restricted Stock Units and Restricted Stock Awards (thousands)		2,912			2,910			1,555
Options (thousands)
Options Outstanding		13,293			13,657			12,386
Options Exercisable		8,291			8,571			7,231
Options Exercisable and In-the-Money		1,808			1,775			2,522

(1) For complete financials and related footnotes, please refer to the Company’s SEC filings.

(2) Stock options, restricted stock units/awards and convertible debt subject to conversion, are excluded from the computation of diluted weighted average shares outstanding if inclusion would be anti-dilutive. See the Company’s SEC filings for more details.

(3) Effective 1/1/09, the Company adopted FSP APB 14-1 Accounting for Convertible Debt Instruments, which requires retrospective application. Adoption of this pronouncement included $4.2 million, $4.2 million and $3.9 million for the quarters ended June 30, 2009, March 31, 2009 and June 30, 2008, respectively, for Non Cash Interest Expense and Deferred Debt Costs.

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tw telecom inc.

Condensed Consolidated Balance Sheet Highlights

(Dollars in thousands)

Unaudited (1)

	June 30, 2009			March 31, 2009
ASSETS
Cash and equivalents	$	391,801		$	353,212
Receivables		86,013			85,833
Less: allowance		(11,214	)		(13,274	)
Net receivables		74,799			72,559
Other current assets		23,196			22,207
Property, plant and equipment		3,389,653			3,330,115
Less: accumulated depreciation		(2,084,625	)		(2,021,551	)
Net property, plant and equipment		1,305,028			1,308,564
Other Assets (2)		513,320			516,353
Total	$	2,308,144		$	2,272,895
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities (3)
Accounts payable	$	41,997		$	32,967
Deferred revenue		32,359			31,607
Accrued taxes, franchise and other fees		65,337			63,538
Accrued interest		16,577			9,555
Accrued payroll and benefits		33,072			36,322
Accrued carrier costs		34,321			31,271
Current portion of debt and lease obligations		8,114			8,564
Other current liabilities		36,935			33,428
Total current liabilities		268,712			247,252
Long-Term Debt and Capital Lease Obligations
2 3/8% convertible senior debentures, due 4/1/2026 (2)		373,750			373,750
Unamortized Discount (2)		(73,289	)		(77,397	)
Net		300,461			296,353
Floating rate senior secured debt - Term Loan B, due 1/7/2013		585,000			586,500
9 1/4% senior unsecured notes, due 2/15/2014		400,257			400,271
Capital lease obligations		17,857			18,005
Less: current portion		(8,114	)		(8,564	)
Total long-term debt and capital lease obligations		1,295,461			1,292,565
Long-Term Deferred Revenue		16,908			17,457
Other Long-Term Liabilities		29,514			33,120
Stockholders’ Equity (2)		697,549			682,501
Total	$	2,308,144		$	2,272,895

(1) For complete financials and related footnotes, please refer to the Company’s SEC filings.

(2) Effective January 1, 2009 the Company adopted FSP APB 14-1 Accounting for Convertible Debt Instruments. For further details see the Company’s SEC filings and the Company’s supplemental earnings slides.

(3) Certain prior period liabilities have been reclassified to conform with the presentation in the current period.

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tw telecom inc.

tw telecom’s Strong Liquidity

(1) The Company has no financial maintenance covenants as of June 30, 2009. There are financial maintenance covenants in the Company’s undrawn revolver which would only apply if drawn.

(2) Based on annualized results for Q2 2009.

(3) In January 2009, the Company decreased its revolver by $20 million for that portion of the commitment backed by a failed financial institution.

(4) See the Company’s SEC filings for a full description of the debt instruments.

(5) Excludes the impact of adoption of FSP APB 14-1 which decreased debt and increased non cash interest expense.

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tw telecom inc.

Condensed Consolidated Statements of Cash Flows

(Dollars in thousands)

Unaudited (1)

	Three Months Ended									Six Months Ended
	June 30, 2009			Mar. 31, 2009			June 30, 2008			June 30, 2009			June 30, 2008
Cash flows from operating activities:
Net Income (loss)	$	5,912		$	2,880		$	(3,208	)	$	8,792			(7,979	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation, amortization, and accretion		74,406			73,191			70,919			147,597			140,778
Stock-based compensation		6,587			6,362			5,356			12,949			11,441
Discount on debt, investment impairment, deferred debt issue costs and other		4,944			5,198			8,583			10,142			12,993
Changes in operating assets and liabilities:
Receivables, prepaid expense and other assets		(3,128	)		8,681			(2,169	)		5,553			(486	)
Accounts payable, deferred revenue, and other liabilities		17,881			(32,486	)		(7,702	)		(14,605	)		(26,094	)
Net cash provided by operating activities		106,602			63,826			71,779			170,428			130,653
Cash flows from investing activities:
Capital expenditures		(68,560	)		(66,159	)		(66,845	)		(134,719	)		(126,482	)
Proceeds from sale of assets and other investing activities		1,845			5,149			1,245			6,994			(1,142	)
Net cash used in investing activities		(66,715	)		(61,010	)		(65,600	)		(127,725	)		(127,624	)
Cash flows from financing activities:
Net proceeds (tax withholdings) from issuance of common stock upon exercise of stock options, vesting of restricted stock awards and units, and employee stock purchase plan		946			(132	)		2,596			814			4,073
Payment of debt and capital lease obligations		(2,244	)		(1,648	)		(1,837	)		(3,892	)		(3,477	)
Net cash used in financing activities		(1,298	)		(1,780	)		759			(3,078	)		596
Increase in cash and cash equivalents		38,589			1,036			6,938			39,625			3,625
Cash and cash equivalents at the beginning of the period		353,212			352,176			318,218			352,176			321,531
Cash and cash equivalents at the end of the period	$	391,801		$	353,212		$	325,156		$	391,801		$	325,156
Supplemental disclosures of cash flow information:
Cash paid for interest	$	9,890		$	25,134		$	11,843		$	35,024		$	39,389
Cash paid for income taxes	$	2,180		$	28		$	990		$	2,208		$	990
Addition of capital lease obligation	$	627		$	7,266		$	1,560		$	7,893		$	1,560
Supplemental information to reconcile capital expenditures:
Capital expenditures per cash flow statement	$	68,560		$	66,159		$	66,845		$	134,719		$	126,482
Addition of capital lease obligation		627			7,266			1,560			7,893			1,560
Total capital expenditures	$	69,187		$	73,425		$	68,405		$	142,612		$	128,042

(1) For complete financials and related footnotes, please refer to the Company’s SEC filings.

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tw telecom inc.

Selected Operating Statistics

Unaudited (1)

	Three Months Ended
	2008				2009
	Mar. 31	Jun. 30	Sept. 30	Dec. 31	Mar. 31	Jun. 30
Operating Metrics:
Route Miles
Metro	19,009	19,235	19,477	19,843	20,039	20,219
Regional	6,921	6,921	6,922	6,922	6,922	6,922
Total	25,930	26,156	26,399	26,765	26,961	27,141
Buildings (2)
Fiber connected buildings, on-net	8,587	8,810	9,109	9,422	9,685	9,934
Networks
Class 5 Switches	70	69	69	68	68	68
Soft Switches	36	36	36	36	36	36
Headcount
Total Headcount	2,883	2,890	2,827	2,844	2,853	2,861
Sales Associates	511	517	485	485	486	494
Customers
Total Customers	31,200	30,663	30,006	29,672	29,256	28,676

(1) For complete financials and related footnotes, please refer to the Company’s SEC filings.

(2) Fiber connected buildings (e.g. “on-net”) represents locations to which the Company’s fiber network is directly connected.

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