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.

Level 3 Overview

• Level 3 is a facilities based provider of telecom services• Unique combination of long distance

networks and dense metro networks

• Opportunity to accelerate growth: • Enterprise market share gains

• Underlying growth trends in video and wireless data

• Strong demand for data center space and connectivity

• Continue expanding metro infrastructure

• Continued European market expansion

3

Focused on Accelerating Growth

The Level 3 Network

• Over $25B of total gross PP&E 1

• 54,000 intercity route miles• Over 5 million fiber miles

• Primarily multiple conduit

• Subsea routes on 5 unique systems

• Extensive CDN and live broadcast networks

41. Based on estimated original cost

Unique Combination of Local, Long Distance, and Data

Center Infrastructure

The Level 3 Network

5

Unique Combination of Local, Long Distance, and Data

Center Infrastructure…

• 125 metro fiber markets served with ~8,000 traffic aggregation points on net

• 27,000 metro route miles

• Over 2M metro fiber miles

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

• ~210 data center facilities with

~2M sq ft of space

Core Network Services Portfolio

• Broad range of services

addressing needs of service

providers, enterprises, and

content owners

• Focused opportunity to

invest in high growth areas

• Demand is increasing for

transport and infrastructure

services, CDN, Ethernet

and Vyvx Broadcast

6

Voice ServicesLocal Voice Services

Enterprise Voice Services

Infrastructure ServicesDark Fiber

Data Center Services

Data ServicesHigh Speed IP/CDN

Virtual Private Networking (VPN)

Vyvx Broadcast

Transport ServicesWavelengths

Private Line

14%

24%

41%

21%

Note: Percentages are of 3Q10 Core Network Services Revenue

Level 3 Aggregates Several Customer Segments

7

Unique Ability to Connect Bandwidth Intensive

Traffic Aggregation Points (TAPs)

Level 3 Intercity Network

Cable Headends

Large EnterprisesMedium Enterprises

Data Centers

Wireless Towers

Mobile Switching

Centers

Central Offices

Level 3 Metro

Networks

Content Sites

Level 3 Customers

8

Opportunity to Meet Growing Bandwidth Needs

and Increase Market Share

Wholesale 49%

Large Enterprise

and Federal20%

Mid-Market 21%

European 10%

Representative Customers

Note: Percentages are of 3Q10 Core Network Services Revenue

Wholesale Meets The Needs Of Major Bandwidth Users

9

• Growth Drivers• Increasing metro connectivity needs

• Grow with existing customer bandwidth demands

• 4G wireless rollouts

• Opportunities with new and emerging content customers

• Level 3 Positioning• National alternative to incumbent providers

• Highly scalable, reliable partner

• Neutral provider status

• Lack of strategic conflicts

ContentCarrier Cable Wireless

Large Enterprise & Federal Growing Rapidly

• Growth Drivers• Increase market share with new and existing customers

• Rapidly increasing demand for high capacity VPNs

• Government and large enterprise demand for data center connectivity, disaster recovery, and cloud services

• Level 3 Positioning• Portfolio of versatile Ethernet and IP-based services

• High-bandwidth data center networking capabilities

• Extensive metro and LD networks

• Diverse from incumbent carriers

HealthcarePortals

and

Search

Federal

Government

Financial

Services

10

Mid-Market Opportunity to Increase Market Share

11

• Growth Drivers• Local sales and operations personnel in 24 metro regions

• Number of quota bearing salespersons increased by 18% over last year

• Signed sales order volume has significantly increased

• Level 3 Positioning• Full service portfolio

• Combination of local and LD assets, and sales and operations personnel are a key differentiator

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

Regional Service

ProvidersMid Market

Enterprises

Growing European Business

• Growth Drivers• Adding more than 60 major TAPs in 2010

• Expect to accelerate TAP additions in 2011

• Growing European enterprise opportunity

• CDN and Broadcast demands increasing

• Geographic expansion

• Level 3 Positioning• Premier provider of EU cross-border optical and IP services

• Extensive EU network in 45 markets

• ~10,000 intercity miles and ~500 metro miles

• 11 major data centers in 10 cities throughout Europe

12

Large

EnterpriseCarrier Cable Content

Communications Services Revenue

Core Network

$707MΔGM ~80%

Wholesale Voice

$161MΔGM ~30%

13

Communications$895M

Other

$27MΔGM ~80%

3Q10 Actual Results

ΔGM= Incremental Gross Margin

$1,516

$3,311

$4,199 $4,226

$3,695

2005 2006 2007 2008 2009

Communications Revenue

• Revenue from 2005-2008 includes organic and acquisition growth

• Returned to positive CNS growth in 2Q10

14

($ millions)

Core Network Services Revenue Growing in 2010

15

(1) Excludes $7 million asset sale in 1Q10

Sequential CNS Revenue Quarterly Change($million)

2.2% 2.5%

3.5%

-0.9%

3.4%

0%

-0.8%

-7.3%

-3.0%

-0.8%

0.7%

-1.7%

0.7%1.1%

-8.0%

-6.0%

-4.0%

-2.0%

0.0%

2.0%

4.0%

6.0%

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

$728 $746 $772 $765 $791 $791 $785 $728 $706 $700 $706 $6941 $699 $707

Stable Gross and EBITDA Margins

16

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

Communications Revenue

$1,072 $1,054 $1,034 $962 $926 $901 $906 $900 $892 $895

Gross Margin % 59% 60% 60% 60% 59% 59% 60% 59% 60% 61%

Communications EBITDA

$253 $257 $272 $249 $230 $215 $216 $200 $209 $216

EBITDA % 24% 24% 26% (1) 26% 25% 24% 24% 22% 23% 24%

EBITDA-CapEx % 14% 13% 16% (1) 18% 16% 16% 15% 13% 12% 9%

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

Level 3’s Debt Maturity Profile

17

• Repaid ~$330 million of 2010/2011 debt in 2010

• Total debt outstanding is ~$6.5B

• No financial maintenance covenants

• Weighted cost of debt is 8.1%

• Targeting leverage ratio of 3X to 5X

• $544 million cash balance at September 30, 2010 (1)

($ millions)

$0 $196 $294

$695

$2,930

$775

$201

$700 $640

2010 2011 2012 2013 2014 2015 2016 2017 2018

Note: Maturities exclude headquarters mortgage and capital leases of approximately $97M

(1) Cash balance was $518 million as of September 30, 2010; Pro forma for issuance of $26.25 million 6.5% Convertible Senior Notes, cash balance was $544 million

(2) Pro forma for issuance of $26.25 million 6.5% Convertible Senior Notes

(2)