NORTH STATE CREATES INTEGRATED IT SERVICES BUSINESS UNIT

Expanded focus on growing information technology services
throughout the Southeast U.S.

High Point, NC—May 16, 2017—North State, a leading fiber optic network, IT security, data center and cloud services provider, has created a new, integrated IT services business unit.  The new business unit, Technology Solutions, will operate under a single, unified North State brand, and arises from the integration of company subsidiaries, DataChambers, a leading data center / colocation and cloud service provider; and Stalwart Systems, a best-in-class IT services, cloud integration and IT security provider.

The formation of Technology Solutions is the next step in North State’s strategy to build a comprehensive digital ecosystem to serve its customers’ data center, IT security and cloud services needs.

“North State’s leadership team is incredibly excited about the opportunities that lie ahead to better serve our customers.  This is a logical progression in fulfilling our vision to help businesses securely take advantage of the cloud and thrive within the highly complex digital world,” said Royster Tucker III, North State Chief Executive Officer.

“The new business unit provides North State with a platform for strategic growth throughout the Southeast and furthers our ability to effectively address the significant information technology challenges that businesses are facing,” Tucker added.  “More than a century after its founding, North State is a company that continues to be forward-looking and promises to be an industry leader for both business and residential customers.”

Joel Lemke has joined North State as Executive Vice President and President of the Technology Solutions business unit.  An experienced senior executive, Lemke formerly served in leadership positions for prominent companies such as IBM, where he oversaw a substantial solution portfolio, and Dassault Systemes, where he led a significant global brand.  In addition, he founded a successful Value Added Reseller company, Novaquest.  Lemke has more than 30 years’ experience in strategy, product development, marketing, sales, services and support, primarily in software and software services.  Bill Cooper, President and CEO of Stalwart, will move into a strategic advisor role and stay through the transition.

“Joel is a growth-oriented executive with strong leadership strengths in strategic planning, team building, communication, measured operational performance, change management and disciplined project management,” Tucker said.  “He has deep expertise in developing and leading the execution of strategies for long-term strategic growth.  Joel is the ideal person to lead the Technology Solutions business unit, and we welcome him to the North State team.”

Forward-Looking Statements
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.

About North State
North State (OTC: NORSA) (OTC: NORSB) is a technology company focused on inspiring the Internet-driven lifestyle through high-touch experiences. Its fiber-delivered, ultrafast Internet and Internet-driven applications enable residential customers and businesses to efficiently and securely take advantage of the Internet.  Through its Technology Solutions business unit, North State provides best-in-class data center colocation, customized cloud and IT solutions, managed disaster recovery services, managed security and unified communications. For more information, visit northstate.net.

Contacts:
Media Contact:
Scott Carpenter
Capture Public Relations & Marketing
(336) 722-9660 or scott@capturevalue.com

Investor Relations Contact:
Harriet Fried
LHA
(212) 838-3777 or hfried@lhai.com

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