Press Release

June 18, 2002


NTT Communications and Telecom New Zealand
sign wholesale agreement

NTT Communications Corporation (NTT Com) and Telecom New Zealand Limited (Telecom) today announced they have reached an agreement for the reciprocal wholesale of international telecommunications services.

The agreement will enhance the international telecommunications services offered by both NTT Com and Telecom, to their business customers in the Asia-Pacific region. These services are Arcstar Global Network Services which includes Bandwidth, Frame Relay and ATM Services all supplied by NTT Com and the suite of international services offered by Telecom New Zealand.

The benefit for Telecom customers is access to NTT Com's services which have a proven track record in Asia. Asia is an important market for Telecom's New Zealand and Australian customers and NTT's wide geographical coverage, high network availability and 24-hour network operations provides a world class network with access to this market. In turn NTT Com customers will be able to enjoy access to the high-quality international telecommunications services of Telecom, a leading Australasian telecommunications provider. These services also include international bandwidth service, international frame relay service, and international ATM service.

The agreement is beneficial for both NTT Com and Telecom's Asia-Pacific businesses as it should result in the expansion of sales channels in the Asia-Pacific region.

"With this agreement, Telecom gains global coverage through its access to NTT Com's Arcstar Global Network services and we get access to New Zealand and the Pacific region through our use of Telecom's services," said Satoshi Fujita, Executive Manager of the Arcstar Global Network Business Division, NTT Com. "It's a win-win partnership that we would like to build on."

Anthony Briscoe, Telecom's General Manager for their International Network said Telecom were very pleased with the agreement.

"It reinforces our commitment to deliver world class services to our customers," he said.

NTT Com and Telecom are still discussing a few details regarding the services, but both companies are delighted with the milestone this agreement achieves.

About Telecom
Telecom is New Zealand's leading telecommunications provider, offering fixed line, mobile, Internet and data communications services. Telecom also owns Australia's third largest telecommunications company, AAPT. Telecom is New Zealand's largest listed company, and is also listed on the Australian Stock Exchange and New York Stock Exchange. It has about 7300 staff. For more information visit:

About NTT Com
NTT Com, a Tokyo-based subsidiary of Nippon Telegraph and Telephone Corporation, provides long-distance and global services for voice, video and data communication reaching more than 200 countries. NTT Com also provides world-class IP services under the NTT/VERIO brand, as well as managed data, multimedia and additional services under the Arcstar brand. For more information, please visit