Teleglobe to Create Virtual PoP In New York for Polish Telecom Provider Exatel; Exatel Connects Via Teleglobe's Correspondent IP

Teleglobe International Holdings Ltd. (NASDAQ:TLGB), a
leading provider of international telecommunications services to
Internet service providers (ISPs), and fixed and mobile network
operators, today announced an agreement with Poland's Exatel to create
a virtual point of presence for the company in New York, using its
Correspondent International Private Line (IPL) service.
   The agreement will allow the Polish provider of telecommunications
solutions for ISPs and businesses to establish a presence in this
important international market, without the capital investment for
equipment or need for ongoing hardware management at a far-off
location. The virtual PoP, or VPoP, offers the telecom provider's
customers voice, data, and IP access from this major market.
   "As Poland opens up to world markets, our customers need the same
solutions as businesspeople worldwide," explains Christopher Witon at
Exatel. "The cooperation with Teleglobe extends the reach of our
services, enabling us to provide solutions for multinationals from
both Europe and America."
   Eugene Pradas, Managing Director for Europe at Teleglobe comments,
"This is the type of partnership that we excel at and that we're
building more and more. We are able to combine voice, data, and IP
services to bring our customers the full spectrum of
telecommunications along with innovative extras that complete the
picture. Working with Exatel is a great opportunity for us, and we are
looking forward to supporting the company as it continues to innovate
and grow."
   Teleglobe's Correspondent International Private Line (IPL) Service
is a high-speed link dedicated to the use of a single customer for
integrating various applications including voice, data, facsimile,
messaging, and video conferencing. This service is also commonly known
as International Private Leased Circuit (IPLC) service, Half Circuit
IPL, or Traditional IPL. Teleglobe offers its IPL Service to over 95
countries via 131 carrier agreements, of which 55 have enabled
One-stop Shopping, an arrangement between Teleglobe and the carrier
whereby Teleglobe provides the customer with a single contact for
ordering, implementation, and billing of both halves of the leased
correspondent IPL circuits.

   About Exatel

   The result of the merger between two telecommunications operators,
Tel-Energo and Telbank, Exatel is achieving new levels of quality and
security in advanced telecommunication services in Poland and CEE
region through one-stop-shopping agreements with local partners. It
provides services to the most demanding strategic sectors such as
carriers, banking, finance, and utilities. Exatel manages Poland's
largest alternative fibre optic data transmission network, extending
over 15,000 km within the country. It is a key Polish provider of
competitive solutions and access to the global information market.
More information about Exatel is available on the company's Web site
at www.exatel.pl.

   About Teleglobe

   Teleglobe International Holdings Ltd. is a leading provider of
international voice, data, Internet and mobile roaming services with
over 50 years of industry expertise in international
telecommunications. Teleglobe became a public company trading on the
NASDAQ under the symbol TLGB with the acquisition of Voice over IP
(VoIP) network leader ITXC Corp. on June 1, 2004.
   Teleglobe owns and operates one of the world's most extensive
telecommunications networks, reaching over 240 countries and
territories with advanced voice, mobile, and data services. Teleglobe
is the carrier of choice to more than 1,400 wholesale customers
representing the world's leading telecommunications, mobile operators
and Internet service providers.
   With an annual run-rate of over 13 billion minutes, and a
significant portion of the world's Internet traffic, Teleglobe's
network is consistently ranked among the most robust and reliable,
performing at the high end of industry standards. Detailed information
about Teleglobe is available on the company's web site at
www.teleglobe.com.