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PCCW's Beyond the Network Provides Connectivity Solutions to TransTeleCom of Russia

Deal Empowers Russia's Largest Provider of Broadband Communication Services to Provide Wholesale International Internet Access Solutions

Hong Kong August 8, 2001 - Global Internet connectivity provider, Beyond the Network (BtN), a wholly owned subsidiary of PCCW (SEHK: 0008, ADR-NYSE: PCW), announced today that Russia's leading telecom operator, TransTeleCom Company ("TTC"), has signed an agreement to lease a committed STM4 of capacity (equivalent to 622 Mbps) by connecting into a BtN Multi-Service IP Port in London.

Signed in Hong Kong between BtN's Chief Operating Officer Braham Singh and TTC's President Victor Ratnikov, the agreement will enable TTC to provide end-to-end international IP solutions to its domestic customers including Internet Access, MPLS enabled Virtual Circuits and VOIP.

Since its launch in February 2001, BtN has built a legacy-free, all IP-based Multi Protocol Label Switching (MPLS)-enabled network across Europe, Asia and the Americas, providing ISPs and emerging telecom carriers with faster, more flexible and scalable connectivity solutions worldwide through unique BtN Multi-Service IP ports.

Such sales illustrate the close cooperation between BtN and Reach, the joint venture between PCCW and Telstra. Reach provides the underlying transmission to the BtN backbone. In addition, all IP virtual circuits sold by TransTeleCom for Asia termination shall run over Reach's owned SMW3 transmission between the UK and Hong Kong.

"With our global network expansion under way, we are pleased to form a strategic relationship with TransTeleCom and jointly deliver our advanced solutions to the Russian market, which carries strong business development potential," said Jeffrey Stark, BtN's Executive Vice President and General Manager for Latin America, Europe, Commonwealth of Independent States and South Asia. "Thanks to the relationship, we believe we are well positioned to address the Russian market through TransTeleCom's infrastructure."

Attending the signing ceremony today, Mr. Ratnikov said: "This agreement will empower TTC to provide end-to-end, international solutions to its domestic customers, as well as to offer high quality, diversified connectivity to Asian and European operators."

TTC, as Russia's largest provider of broadband communication services, can now speed up its offering of MPLS-enabled VPN services into Russia and deliver services such as data, video, voice and streaming media to TTC's 900 domestic nodes, through a single BtN Multi-Service IP Port.

About Beyond the Network (BtN)

Launched in February 2001, BtN offers end-to-end IP network services to wholesale customers over its own IP Multi Protocol Label Switching (MPLS) technology-based global network. A wholly owned subsidiary of PCCW with offices in Asia, North America and the Middle East, BtN links continents with its global fiber network by connecting regional access points in major international gateways and interfacing them with its networks across Asia, Europe and the Americas.

BtN is focused on expanding its global reach using advanced technology that offers customers greater scalability, increased security and speed, prioritized traffic flows, enhanced quality of service (QoS), cost efficiencies on a global end-to-end coverage basis and a host of web-based monitoring tools that traditional networks do not provide. BtN's customers include emerging carriers, Internet service providers, Internet content providers and ASPs. Primary services range from IP transit and global VPN connectivity, to VoIP and content delivery network solutions.

About TransTeleCom (TTC)

TransTeleCom Company is Russia's largest provider of broadband communication services. With the completion of its nationwide fiber optic network stretching from Europe to Asia, the company is ideally positioned to launch its services in the international market. TransTeleCom's proprietary high-speed network provides the shortest and fastest connection between Europe and Asia, and enables telecommunications providers to avoid the overextended Eurasian information bypass route.

About PCCW

Pacific Century CyberWorks Limited (SEHK: 0008, ADR-NYSE: PCW), the Hong Kong-listed flagship of the Pacific Century Group, is one of Asia's leading integrated communications companies. From its market-leading position in Hong Kong, PCCW is focused on building shareholder value by leveraging synergies between its core businesses and partners, and by delivering total solutions to customers throughout Asia, particularly in greater China. PCCW provides key services in the areas of: integrated telecommunications; broadband solutions; mobility and connectivity; narrowband and interactive broadband (Internet Services); business e-solutions; data centers and related infrastructure.

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