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  Carolyn Robertson
  212-725-1900 ext. 204
  [email protected]

FOR IMMEDIATE RELEASE

NEW YORK – November 29, 2000 – Arbinet-thexchange, the full-service trading solution for buyers and sellers of telephony bandwidth, announced today its membership has passed 100 companies, including seven of the world’s top ten originators of international minutes. This milestone is significant because it demonstrates Arbinet-thexchange’s robust level of liquidity – the variety and volume of capacity traded.

Members of Arbinet-thexchange trade minutes of telephony bandwidth with each other in real-time using the company’s automated trading, delivery and settlement system. Thexchange uses monitoring equipment to grade the quality of capacity traded and is the financial counter party to all transactions. This allows members on either side of the trade to remain anonymous and to separate their branded business from new business conducted on thexchange. To safeguard anonymity, thexchange does not release the names of its member companies, however, today’s membership profile can be characterized as:

• Seven of the world’s top ten originators of international minutes

• Many of the world’s other leading Tier 1 carriers or incumbent PTTs in North America, Europe and Asia

• A growing number of facilities-based competitive carriers, in the local, national and international markets

• A significant number of carriers originating or terminating traffic on mobile wireless networks

• Numerous carriers that originate or terminate traffic over Voice over Internet Protocol (VoIP) networks

“The rapid growth in Arbinet-thexchange’s membership demonstrates that the industry has recognized that our service represents a more profitable way to trade,” stated Curt Hockemeier, Arbinet-thexchange President and CEO. “Arbinet-thexchange pioneered the bandwidth exchange business, and more than $80 million has been invested in the company. Thexchange has built the world’s only fully scalable, carrier-grade, systems platform that automates the entire process from credit management to delivery to cash settlement.”

Members of Arbinet-thexchange sign the standard trading terms and then physically interconnect their networks with one of thexchange’s Exchange Delivery Points (EDP) which performs the real-time delivery of traded capacity between members. Members pay an initial upfront application fee to join thexchange, and then pay a fixed monthly access fee scaled by volume to use the company’s automated trading platform. Thexchange does not charge a commission fee based on the value of the capacity traded; minutes flow from buyer to seller without a mark-up.

About Arbinet-thexchange

Arbinet-thexchange is the full-service, online exchange for on-demand transactions, automated physical delivery and settlement of trades of telephony bandwidth. Thexchange is neutral, favoring neither buyers nor sellers, and allows participants to trade anonymously. Automated delivery is accomplished by employing advanced trading software and a set of patented processes to link the web-based trading platform with carrier-grade telecommunications switching equipment. Arbinet-thexchange handles all invoicing, collection and payment for trades effected on its exchange and provides continuous monitoring and online rating of the service quality of each seller’ s network.

Arbinet-thexchange estimates the total global market for telephony bandwidth measured in minutes at $706 Billion in 2000. This market is characterized by both falling prices and a high level of SG&A; expense, which at 25% of revenues is 9% higher than the U.S. corporate average. Use of Arbinet-thexchange’ s full-service, automated trading solution helps members cut costs and maintain profitability by providing the opportunity to generate incremental revenues, as well as lowering the cost, risk and transaction time required to complete transactions for telephony bandwidth. For more information, visit Arbinet-thexchange at www.thexchange.com.

120 Albany St. Tower II, Suite 450, New Brunswick, NJ 08901
phone: 732-509-9100, fax: 732-509-9101, website: www.arbinet.com

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