Road Runner Hikes Price

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The newly relaunched Road Runner cable-modem service has added features and
content, but they come at a price.

Time Warner Cable's high-speed-data service has hiked subscription rates for
most cable-modem customers -- the first such increase since launching in
1996.

For the past month or so, customers market by market have been notified of
the monthly fee increase. In most cases, it will rise from $39.95 to $44.95.

'There are a few exceptions, but most Road Runner customers by the end of the
year will be paying $44.95,' Time Warner Cable vice president of corporate
communications Mike Luftman said.

The few exceptions are in markets launched for less than one year, because
'we're not going to take the price up within a few months of signing up
customers,' he added.

The hike is partly connected to the September relaunch. The new Road Runner
added remote access, personalized start pages and pumped up video and audio
content.

The subscription-fee increase follows similar hikes among Excite@Home Corp.
cable affiliates.

Earlier this fall, Comcast Corp. raised its monthly cable-modem fee from
$32.95 to $39.95, and in May, AT&T Broadband boosted monthly high-speed
subscriber fees from $39.95 to $45.95. Charter Communications Inc. also raised
its rates $5 among its three high-speed Internet tiers.

Road Runner gained 252,000 new subscribers in the third quarter for a total
of 1.7 million as of Sept. 30. It is now competing head-to-head with EarthLink
Network Inc. and corporate cousin America Online Inc. in several Time Warner
Cable markets.

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