M A R C H 2 0 1 9

Investor Presentation

I N V E S T O R P R E S E N T A T I O N 2

SAFE HARBOR

Some of the statements in this presentation are or may be ‘‘forward-looking statements,” including our statements about sales

opportunities, expanding utilization of next-generation technology in our products and services, investments and

expansion in our fiber network, growth in higher margin recurring revenue, identification of future opportunities, population

growth, geographic expansion, deployment of new services and future investments in people and platforms. These forward-

looking statements are subject to risks, uncertainties and other factors, such as an economic downturn in the geographic

markets where we operate, volatile financial markets, regulatory changes and strong competition, any of which could cause

actual results to differ materially from future results expressed or implied by those forward-looking statements. Although we

believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to

be inaccurate. Therefore, we can give no assurance that the results contemplated in the forward-looking statements will be

realized. The inclusion of forward-looking information should not be construed as a representation by us that our plans or

expectations will be achieved. We undertake no obligation to publicly update or revise any forward-looking statements, whether

as a result of new information, future events or otherwise.

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CORPORATE OVERVIEW

R E V E N U E M I X

$82.0 $79.0 $76.9

$49.3 $44.1 $42.3

FY 2016* FY 2017* FY 2018*

IT Services & Hardware Internet & Communications

All numbers in millions. * FY 2016 and FY 2017 numbers are audited. FY 2018 numbers are unaudited.

I N V E S T O R P R E S E N T A T I O N 4

ONGOING TRANSFORMATION • Communications industry impacted by technological advancement, market shifts and regulatory changes

• NorthState shifting from legacy business and products to fiber-based Internet and data services, infrastructure, IT services,

cybersecurity, and unified communications services

• Long history of success and service in the technology space

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LEADERSHIP TEAM Experienced executive team positioning NorthState to stay ahead in the dynamic communications landscape

I N V E S T O R P R E S E N T A T I O N 6

NORTHSTATE TODAY

of Net Strategic revenue comprises Operating

Revenue 73% I N V E S T O R P R E S E N T A T I O N 7

REF INING OUR STRATEGY

67%

33%

Business Residential

FY 2018 Revenue Mix by Customer

Segment

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VALUE PROPOSIT ION At NorthState Technology Solutions, we help our customers achieve better business outcomes by providing industry-leading secure IT and data center solutions designed specifically for their use. We focus on what we can help them achieve through effective IT.

W H O W E A R E W H A T W E D O W H Y U S ?

Customers

Company

People Technology Partners & Ecosystem

You the Customer

Business Outcomes

Our approach

Reliability

Guaranteed Expertise

Security

Our experience Technology assurance

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v

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KEY TECHNOLOGY PARTNERS

C E R T I F I C A T I O N S

NorthState holds

30+ IT and technical certifications.

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I T SERVICES & HARDWARE

4 Southeastern U.S. & International U.S. Data Centers Operations Centers

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INTERNET & COMMUNICAT IONS

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F IBER INVESTMENT H I G H L I G H T S

• $130 million investment in growing fiber footprint over past 11 years

• Working to foster and match growth of the Piedmont Triad Region of North Carolina

• Plans to continue to expand fiber in current footprint • Plans for additional $5-10 million

investment in next two years to increase footprint

• Evaluate expanded wholesale opportunities with our fiber network

• Strong emphasis on growing connections for small and mid-size businesses with our fiber network

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S TRATEGIC FOCUS

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KEY F INANCIAL INFORMATION FY 2016* FY 2017* FY 2018* Net Operating

Revenue (NOR) $119.3 $123.0 $131.3

By Customer Segment

By Product Segment

67%

33%

66%

34%

35%

65%

67%

33%

36%

64% 38%

62%

H I G H L I G H T S :

• Business revenue comprises 67% of NOR

• Residential revenue up 8% since 2016

• IT Services & Hardware comprises 38% of NOR

• Internet & Communications revenue up 7% since 2016

All numbers in millions. I N V E S T O R P R E S E N T A T I O N * FY 2016 and FY 2017 numbers are audited. FY 2018 numbers are unaudited. 1 6

EBITDA 1

EPS

Operating Income

Capital Expenditures

Net Operating Revenue

F INANCIAL GUIDANCE F Y 2 0 1 8 F Y 2 0 1 9

U N A U D I T E D T A R G E T S 2

$131.3M ~ $147.5 M

$6.3 M ~ $9.3 M

$3.32 ~ $3.96

$30.9 M ~ $31.9 M

$16.9 M ~ $19.1 M

All numbers in millions except EPS. 1,2 – See footnotes page in addendum for important definitions and disclaimers I N V E S T O R P R E S E N T A T I O N related to information on this page.

1 7

INVESTMENT H IGHLIGHTS

1 – See footnotes page in addendum for important definitions and I N V E S T O R P R E S E N T A T I O N disclaimers related to information on this page. 1 8

F INANCIAL FOOTNOTES AND D ISCLAIMERS

1. See Non-GAAP Financials Measures Disclaimer below. 2. See Financial Target Forward-Looking Statement Disclaimer below.

NON-GAAP FINANCIAL MEASURES DISCLAIMER: EBITDA and EBITDA margin are non-GAAP financial measures. Non-GAAP EBITDA is calculated using GAAP net income plus adding the following GAAP items: interest expense, income taxes, depreciation and amortization and distributions from unconsolidated entities, while subtracting equity in earnings of unconsolidated entities. Non-GAAP EBITDA Margin is Non-GAAP EBITDA divided by GAAP Net Operating Revenue. Management uses non-GAAP EBITDA and EBITDA Margin in its internal analysis as a consistent measure for comparing NorthState’s financial

performance to previous financial results. Management believes non-GAAP EBITDA and EBITDA Margin is useful to investors and other users of our financial statements in evaluating operating performance because it provides them with an additional tool to compare business performance across periods. The presentation of non-GAAP EBITDA and EBITDA Margin is intended to complement, and should not be considered an alternative to, the presentation of GAAP financial metrics. In addition, non-GAAP EBITDA and EBITDA Margin as presented in this release may not be comparable to similarly titled measures used by other companies.

FINANCIAL TARGET FORWARD-LOOKING STATEMENT DISCLAIMER: These are not budget estimates or projections; they are targets, they are forward-looking and are inherently subject to significant factors such as industry performance, general business, economic, regulatory, market and financial conditions, as well as changes to the business, financial condition or results of our operations, including the factors described in the opening slide entitled “SAFE HARBOR,” which factors may change and cause the targets to be inaccurate. The targets do not take into account any factual circumstances or events occurring after the date the presentation was prepared. Readers are cautioned not to place undue reliance on the targets. Actual future results may materially differ from these targets. The targets are not a representation or warranty by us or any other person as to the accuracy of the targets or that they will be realized as stated in this presentation. NorthState undertakes no duty to update its targets. In addition, we do not intend to publicly announce at any time in the future any confirmation or comparison of NorthState’s actual performance with the targets.

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