Item 8.01. Other Events.

Neutral Tandem, Inc. d/b/a Inteliquent (the "Company") has been engaged in a contractual dispute with one of its largest customers relating to the termination of certain long distance traffic. As previously disclosed, the Company and the customer previously reached a preliminary verbal agreement to settle the dispute. On December 11, 2012, the Company and the customer definitively agreed to settle the dispute, effective as of December 3, 2012. As part of the settlement, the Company will make a one-time payment of $9.0 million to the customer. In expectation of this settlement, the Company previously recorded a $9.0 million expense in the three month period ended September 30, 2012.

In addition to the settlement, the Company and the customer have also agreed to new terms that govern a portion of their commercial relationship. As a result, the Company will continue to provide voice services to the customer, but at pricing that is significantly lower than the previous rate structure. In addition, the Company will pay the customer a significant amount for certain long distance traffic that terminates to the customer's network. The new terms are effective retroactively as of October 5, 2012.

A press release announcing the settlement is attached to this report as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

Exhibit
No. Description

99.1 Press release issued December 11, 2012.

---