Completion of Bahamas Acquisition

7 April 2011

CABLE & WIRELESS COMMUNICATIONS PLCCOMPLETES PURCHASE OF BAHAMAS TELECOMMUNICATIONS COMPANY

Cable & Wireless Communications Plc (CWC) today announces that all conditions and requisite approvals to CWC's purchase of a 51% stake in the Bahamas Telecommunications Company ("BTC") have been satisfied and obtained. Consequently, CWC is pleased to announce that it has completed the transaction and has taken management control of the business.

CWC signed agreements on 9 February with the Government of the Commonwealth of The Bahamas to acquire the majority interest in BTC for US$210 million.

CWC also announces today that it has appointed Geoff Houston to be Chief Executive Officer of BTC. Mr Houston has worked for CWC for 19 years and has previously been CEO of the company's Jamaica, Seychelles and Channel Islands and Isle of Man operations.

Cable & Wireless Communications' Chief Executive, Tony Rice, commented:

"We are pleased to complete the transaction and we welcome BTC to the Cable & Wireless Communications group. We will now engage with all stakeholders in BTC as we move to the next phase of strengthening the business by improving its networks, introducing new services and moving it to a competitive cost base. The Bahamas is a developing market and one of the larger economies in the Caribbean region. Our intention is to deliver a world class telecom capability, improving the product, service and value proposition for the people and businesses of The Bahamas."

BTC will form part of CWC's Caribbean business unit.

ENDS

Notes to Editors

About BTC

BTC is the exclusive mobile operator in The Bahamas, as well as a leading provider of fixed-line and broadband services. For the year ended 31 December 2009, BTC had total revenues of B$361 million, EBITDA B$101 million, and net income of B$48 million. As at 31 December 2009, BTC had gross assets of B$371 million. The company currently has approximately 123,000 fixed line customers, 388,000 mobile customers and 19,000 broadband customers.

About Cable & Wireless Communications

Cable & Wireless Communications is a global full-service communications business. We operate leading communications businesses through four regional units - the Caribbean, Panama, Macau and Monaco & Islands. Our services include mobile, broadband and domestic and international fixed line services in most of our markets as well as pay-TV, data centre and hosting, carrier and managed service solutions. Our operations are focused on providing our customers - consumers, businesses, governments - with world-class service. We are the market leader in most products we offer and territories we serve. For further information visit www.cwc.com.

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