Press Release

June 29, 1999


NTT COMMUNICATIONS CORPORATION
to Commence Operations


@

NTT COMMUNICATIONS CORPORATION (NTT Communications) today announced basic policies for the development of its business and the reform of its corporate culture, in addition to unveiling its new corporate logo prior to the commencement of operations on July 1. Additional board directors were named today at the meetings of its shareholders and board of directors, following an initial selection of directors on May 28,1999.

NTT Communications plans to provide the highest quality services on a worldwide level to meet customer needs and enhance customer profitability as a challenger in the info-communications market.

Basic Policies of Business Development

Competition is heating up in the telecommunications market over existing services, such as fixed-line telephones. Computer networks by corporate users, mainly IP services, are also expanding rapidly.

NTT Communications will provide for its corporate users one-stop total solutions under the Arcstar brand-name on a national and global scale. The company will also actively promote partnerships with domestic and international carriers, as well as create new services and establish and provide new info-communications platforms. Concretely, the company will promote a new network concept, focusing on construction of next-generation IP networks. We will also reinforce our competitiveness in quality and pricing for existing services, including introducing rate reductions.
NTT Communications will expand global service coverage through expansion of its own networks mainly in the Asia-Pacific, Northern America and European regions and by cooperating with other carriers.

For individual users, NTT Communications will provide a variety of value-added new services as well as international telephone services. In addition, the company will open up call centers, arrange sales agency networks and expand a network of offices that will provide direct contact with customers.

Reform of Corporate Culture

NTT Communications will promote reform of its corporate culture in order to achieve its basic mission, which is to "Create and provide the best global services to benefit our customers as a challenger in the global info-communications market."

We will formulate and earnestly put into practice Our Business Philosophy, which states the mission and values of NTT Communications and acts as a guide for determining appropriate behavior in the global marketplace.

The OBP statement also defines values and ideals, which should be shared by all NTT CommunicationsŐ employees. For example, it states that employees should strive to be "innovative" and "professional," and that "customer value comes first." The new company will use these principles as a guide in its dealings with customers, business partners and local regions.

As for personnel, the new company will continue to promote globalization among its general workforce. It will also promote employee evaluations that are based on merit and will actively recruit an international staff.

New Corporate Logo

We have dubbed our new corporate symbol "Shining Arc." It symbolizes our aim to be a "challenger in the global information and telecommunications market" and to transform ourselves into "a new global company." The symbol also represents a bow firmly aimed at the 21st century.

Attachment 1: Outline of NTT COMMUNICATIONS CORPORATION
Attachment 2: NTT COMMUNICATIONS CORPORATION Organization
Attachment 3: Planned Directors and Auditors/Planned Personnel
Attachment 4: "Shining Arc" Corporate Logo
Attachment 5: Subsidiaries and Related Companies of NTT Communications Corporation
Attachment 6: Concept of NTT Communicatons Network


For more information, please contact.

@