A coding scheme is provided transporting encoded information over an optical communications link to a network. Multi-word information groups are analyzed to determine whether each of the information groups includes control characters. If the information group does not include any control characters, an encoded information stream including a set data indicator and data words is generated. If the information group includes one or more control characters, an encoded information stream is generated which includes control code counters, a transition indicator, location pointers, control codes that are encoded from the control characters, and any data. Accordingly, the necessary bandwidth for transporting the information is reduced by using this encoded information stream without sacrificing any control information.