Statement re Granting of Security Over Shares

3 August 2015

Cable & Wireless Communications Plc (the "Company")

GRANTING OF SECURITY OVER SHARES IN THE COMPANY BY CLEARWATER HOLDINGS (BARBADOS) LIMITED

The Company was notified on 31 July 2015, that Clearwater Holdings (Barbados) Limited ("CHBL"), a shareholder of the Company controlled by John Risley (a director of the Company), has granted a charge over 47,625,527 ordinary shares of US 5 cents each in the share capital of the Company (the "Ordinary Shares") in favour of Portland Telecom L.P. and Portland CHBL Inc., as part of a financing of CHBL.

As a result, CHBL now has a charge granted over a total of 47,625,527 Ordinary Shares representing approximately 1.06 per cent. of the Company's issued share capital.

CHBL remains the beneficial owner of all of the Ordinary Shares which are subject to the charge and retains the associated voting rights which represent approximately 82.39 per cent. of its total beneficial holding.

CHBL's beneficial interest in the share capital of the Company remains unchanged at 57,806,055 Ordinary Shares, representing approximately 1.29 per cent. of the Company's issued share capital.

The interests of the Concert Party (as defined in the Company's announcement dated 29 May 2015) in the share capital of the Company remains unchanged.

Enquires to:

Cable & Wireless Communications Plc Kunal Patel +44(0) 20 7315 4083

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