Embratel Announces Proposed Offering Of Guaranteed Notes

Embratel Announces Proposed Offering Of Guaranteed Notes 


RIO DE JANEIRO, Brazil, Nov. 14  /PRNewswire-FirstCall/ -- Embratel
Participacoes S.A. ("Embrapar") (NYSE: EMT; BOVESPA: EBTP3, EBTP4) announced
today that its subsidiary, Empresa Brasileira de Telecomunicacoes S.A.
("Embratel") intends to offer guaranteed notes due 2008 by means of a private
placement to qualified institutional buyers under Rule 144A, and in offshore
transactions pursuant to Regulation S, under the Securities Act of 1933, as
amended (the "Securities Act"). Embratel will use the net proceeds from the
offering to refinance existing indebtedness, and to the extent remaining, for
general corporate purposes.

The notes will be unsecured and unsubordinated obligations of Embratel and will
be fully and unconditionally guaranteed by Embrapar. The guarantee will rank
equally in right of payment with all of Embrapar's other unsecured and
unsubordinated debt obligations. Embratel and Embrapar will agree to file an
exchange offer registration statement with respect to the notes under a
registration rights agreement.

The notes and the related guarantee have not been and, at the time of the
offering, will not be registered under the Securities Act of 1933, or any state
securities laws, and may not be offered or sold in the United States absent
registration under, or an applicable exemption from, the registration
requirements of the Securities Act of 1933 and applicable state securities laws.
 This press release shall not constitute an offer to sell or a solicitation of
an offer to buy the notes, nor shall there be any sale of these notes in any
state or jurisdiction in which such an offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of any
such state or jurisdiction.

This communication is only being distributed to and is only directed at (i)
persons who are outside the United Kingdom or (ii) to investment professionals
falling within Article 19(5) of the Financial Services and Markets Act 2000
(Financial Promotion) Order 2001 (the "Order") or (iii) high net worth entities,
and other persons to whom it may lawfully be communicated, falling within
Article 49(2) of the Order (all such persons together being referred to as
"relevant persons"). The notes are only available to, and any invitation, offer
or agreement to subscribe, purchase or otherwise acquire such notes will be
engaged in only with, relevant persons. Any person who is not a relevant person
should not act or rely on this communication or any of its contents.

Embratel is the premium telecommunications provider in Brazil and offers and
ample variety of telecom services - local and long distance telephony, advanced
voice, high-speed data transmission, Internet, satellite data communications,
and corporate networks.

The information contained in this release may be deemed to include
forward-looking statements within the meaning of Section 27A of the Securities
Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934,
as amended, that involve risk and uncertainty, including business, financial,
regulatory environment, strategy, trends and other projections. Although the
Company believes that its expectations are based on reasonable assumptions, it
can give no assurance that its expectations will be achieved. The important
factors that could cause actual results to differ materially from those in the
forward-looking statements herein include, without limitation, the Company's
degree of financial leverage, risks associated with debt service requirements
and interest rate fluctuations, risks associated with the announced potential
disposition of MCI ownership interest in the Company, and with any acquisitions
and the integration thereof, risks of international business, including currency
risk, dependence on availability of interconnection facilities, regulation
risks, contingent liabilities, collection risks, and the impact of competitive
services and pricing, as well as other risks referred in the Company's filings
with the CVM and SEC.  The Company does not undertake any obligation to release
publicly any revisions to its forward-looking statements to reflect events or
circumstances after the date hereof or to reflect the occurrence of
unanticipated events.

The Company holds 98.8 percent of Empresa Brasileira de Telecomunicacoes S.A.
("Embratel"). 

DATASOURCE: Embratel Participacoes S.A.



CONTACT:  Silvia M.R. Pereira, Investor Relations, Embratel,

[phone], fax, [phone], ; or





Web site:  http://www.embratel.net.br/

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