[April 26, 2012]

Axtel, S.A.B. de C.V. Reports 1Q12 Results

Axtel (News - Alert), S.A.B. de C.V. ("AXTEL" or "the Company"), a leading Mexican fixed-line integrated telecommunications company, announced today its unaudited first quarter results ended March 31, 2012⁽¹⁾

For additional information, please contact Adrian de los Santos, Investor Relations Officer and Corporate Finance Director at IR@axtel.com.mx

Highlights:

• Mass market segment revenues and gross margin rose 4% and 8%, respectively, compared to first quarter 2011. Revenues in integrated services, a key driver of AXTEL's enterprise segment performance, increased 15% compared to first quarter 2011.
• RGUs increased 28 thousand in the first quarter, mostly explained by growth in broadband subscribers, which totaled 464 thousand as of the end of the quarter. This represented an increase of 32% compaed to first quarter 2011. FTTH Subscribers represented 13% of total broadband subscribers' base as of the end of the quarter.
• Revenues decreased 6% compared to first quarter 2011. The effect from the phasing-out of a major wholesale customer negatively impacted revenues by 4%. During the quarter, a significant decline in international traffic market prices also negatively affected revenues by an additional 3%.

About AXTEL

AXTEL is a Mexican telecommunications company that provides local and long distance telephony, broadband Internet, data and built-to-suit communications solutions in 39 cities and long distance connectivity to business and residential customers in over 200 cities. AXTEL provides telecommunications services using a suite of technologies including FWA, WiMAX (News - Alert), copper, fiber optic, point to multipoint radios and traditional point to point microwave access, among others.

AXTELCPO trades on the Mexican Stock Exchange and is part of the IPC (News - Alert) Index. AXTEL's American Depositary Shares are eligible for trading in The PORTAL Market, a subsidiary of the NASDAQ Stock Market, Inc.

Visit AXTEL's Investor Relations Center on www.axtel.com.mx

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