SOURCE: TELEHOUSE America

March 23, 2005 12:43 ET

FLAG Telecom and TELEHOUSE America Announce Co-Operation Agreement

Global Network Operator Joins Internet Exchanges LAIIX and NYIIX

NEW YORK, NY and LONDON -- (MARKET WIRE) -- March 23, 2005 -- TELEHOUSE America announces a co-operative Agreement with FLAG Telecom ('FLAG'), a member company of the Reliance Group, India's largest business house. The Agreement enables direct connectivity for FLAG's global fiber routes to the TELEHOUSE family via LAIIX and NYIIX. This gives TELEHOUSE's IX members and other clients the full benefit of FLAG's high-quality global reach. The global networking products offered by FLAG Telecom include bandwidth, IP Transit, Ethernet, IP-VPN, as well as co-location services.

TELEHOUSE, via its carrier-neutral data centers, offers international Internet Exchanges in Los Angeles and New York City along with colocation, business continuity, and operational products. Full connectivity to NYIIX and LAIIX enables FLAG to offer direct peering at these sites for their global clients and further improve IP connectivity for their Transit customers. FLAG has the ability to make available international peering from over 14 countries to NYIIX (www.NYIIX.net) and LAIIX (www.LAIIX.net), two major U.S. public Internet exchange points, to support global carriers' demand for expanding international IP networks from their home country to the United States. TELEHOUSE customers will also benefit from FLAG's presence in sales territories across Europe, USA, the Middle East, Africa and Asia.

These benefits are available immediately to existing customers of both firms.

"The Agreement enhances our extensive data center and Internet exchange infrastructure and expands the accessibility of markets for our customers, at a time when the amount of online business transactions shows steady annual growth," said Masahiro Furuya, president and CEO of TELEHOUSE America. "We are most happy about working with FLAG Telecom and look forward to a long, productive relationship."

Chris Wood, VP Marketing, FLAG Telecom, said: "FLAG owns and manages a unique fiberoptic and MPLS/IP network, with access nodes in major cities across four continents. Our agreement with TELEHOUSE provides additional direct connectivity into NYIIX and LAIIX, two of the world's largest IXs, and enables FLAG to deliver customer traffic direct between these key Exchanges and any point on our network, including major PoPs in the Middle East, Europe and Asia. We look forward to working with TELEHOUSE and offering new IX locations to our global carrier customer base."

About FLAG Telecom

FLAG Telecom, a member company of the Reliance Group, has an established customer base of more than 180 leading operators, including all of the top ten international carriers. FLAG owns and manages an extensive optical fiber network spanning four continents and connecting key business markets in Asia, Europe, the Middle East and the USA. FLAG also owns and operates a low latency global MPLS based IP network, which connects most of the world's principal international Internet exchanges. FLAG offers a focused range of global products, including global bandwidth, IP, Internet, Ethernet and Co-location services. In the first international acquisition by the Group, FLAG Telecom became a Reliance Group company on 12 January 2004. Recent news releases and further information are on FLAG Telecom's website at: www.flagtelecom.com.

About Reliance Infocomm

Reliance Infocomm Ltd., a Reliance group company, is India's largest private telecom service provider with a subscriber base of over 10 million. Reliance Infocomm has established a pan-India, high -- capacity, integrated (wireless and wireline) and convergent (voice, data and video) digital network to offer services spanning the entire Infocomm value chain -- infrastructure, services for enterprises and individuals, applications and consulting. The Reliance Group, founded by Shri Dhirubhai H. Ambani (1932-2002), is India's largest business house with total revenues of over Rs 99,000 crore (US$ 22.6 billion), cash profit of Rs 12,500 crore (US$ 2.8 billion), net profit of Rs 6,200 crore (US$ 1.4 billion) and exports of Rs 15,900 crore (US$ 3.6 billion). www.relianceinfo.com

About TELEHOUSE

TELEHOUSE America is a stable and trusted pioneer of carrier-neutral colocation space and services. Since 1989, they have provided customers with secure, power-protected environments where they can house and operate their telecommunications and network resources. Companies from a wide range of industries have chosen to locate their mission critical equipment at one of TELEHOUSE's colocation "meet-me-centers" in New York and California, in order to take advantage of the potential business opportunities that exist from other TELEHOUSE customers. Among the many benefits of colocating with TELEHOUSE is the ability to connect to state-of-the-art peering exchanges in New York (NYIIX), which offers the only seamless fabric between 25 Broadway, 60 Hudson and 111 8th Avenue, and Los Angeles (LAIIX). Through close ties to its sister companies in Europe and Asia, TELEHOUSE can provide continuous, cost-effective operation of network-dependent businesses around the world. For more information, please visit www.TELEHOUSE.com or contact us at sales@TELEHOUSE.com.

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